With the deep analysis of the above alternatives, it is suggested that the business ought to pick the alternative 3 in order to keep a competitive position in the long run. As the alternative 3 would make it possible for the company to not only present new and ingenious products in the market it would likewise reduce the high expenses on R&D under alternative 2 and increase the earnings margins. It would enable the business to increase its share rates as well, as investors want to invest more in business with significant R&D spending and increase in the total worth of the company.
Action and implementation Strategy
Strategy can be implemented efficiently by establishing particular short-term along with long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term strategy Risk Management At Lehman Brothers must carry out different activities to execute its NHW strategy effectively. These activities are as follows;.
• Get the audit of its brand portfolio done, to analyze the core selling brands, which produce most of its earnings.
• Evaluate the current target audience in addition to the marketplace section which is not include in the business's circle.
• Evaluate the present financial information to determine the amount that must be spent on the R&D and acquisitions.
• Analyze the possible financiers and their nature, i.e. do they want long term advantages (capital gain), or the desire early earnings (dividend). It would let the company to know that how much quantity needs to be invested in R&D.
Mid Term Plan (1-5 years)
• Get those organizations in which the company has potential experience to deal with. Acquire most favorable companies with a strong dedication to health, to construct the consumer's perceptions in the best direction.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about Risk Management At Lehman Brothers worths and vision and to avoid potential threat of sunk expense.
Long Term Plan (1-10 years)
• Obtain companies with health in addition to taste element, as the base for the Risk Management At Lehman Brothers as a company producing healthy products has actually been built under midterm plan and now the company might move towards taste aspect also to grasp the consumers, which focus more on taste instead of health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to build brand-new products.
