Mercedes Benz India Recommendations Case Studies

Case Study Solution And Analysis

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Mercedes Benz India Case Study Analysis

With the deep analysis of the above alternatives, it is advised that the business ought to pick the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the company to not only present new and ingenious items in the market it would also lower the high expenses on R&D under alternative 2 and increase the revenue margins. It would allow the company to increase its share prices also, as investors are willing to invest more in companies with considerable R&D spending and boost in the overall worth of the business.

Action and implementation Strategy

Technique can be implemented effectively by developing particular short-term in addition to long term plans. These strategies could be as follows;

Short Term Plan (0-1 year)

• Under the short term plan Mercedes Benz India must perform various activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to take a look at the core selling brand names, which create the majority of its income.
• Evaluate the existing target market in addition to the marketplace section which is not consist of in the business's circle.
• Analyze the present financial information to determine the quantity that must be spent on the R&D and acquisitions.
• Analyze the prospective financiers and their nature, i.e. do they desire long term advantages (capital gain), or the desire early profits (dividend). It would let the business to understand that just how much quantity needs to be spent on R&D.

Mid Term Plan (1-5 years)

• Obtain those companies in which the company has possible experience to deal with. Acquire most favorable organizations with a strong commitment to health, to build the consumer's perceptions in the best instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Mercedes Benz India values and vision and to avoid possible risk of sunk expense.

Long Term Plan (1-10 years)

• Obtain organizations with health in addition to taste element, as the base for the Mercedes Benz India as a company producing healthy products has been built under midterm strategy and now the business might move towards taste element as well to grasp the customers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to develop new items.