With the deep analysis of the above alternatives, it is advised that the company should choose the alternative 3 in order to preserve a competitive position in the long run. As the alternative 3 would allow the company to not just introduce new and innovative products in the market it would also decrease the high expenses on R&D under alternative 2 and increase the revenue margins. It would make it possible for the company to increase its share costs also, as financiers are willing to invest more in companies with considerable R&D spending and increase in the overall worth of the company.
Action and implementation Strategy
Method can be implemented effectively by developing specific short term in addition to long term strategies. These strategies might be as follows;
Short Term Plan (0-1 year)
• Under the short term plan The Buyout Of Amc Entertainment should perform different activities to execute its NHW strategy efficiently. These activities are as follows;.
• Get the audit of its brand name portfolio done, to analyze the core selling brand names, which create most of its earnings.
• Analyze the present target market as well as the marketplace sector which is not include in the business's circle.
• Analyze the current financial information to determine the quantity that needs to be spent on the R&D and acquisitions.
• Analyze the prospective investors and their nature, i.e. do they desire long term advantages (capital gain), or the desire early revenues (dividend). It would let the company to understand that how much quantity must be spent on R&D.
Mid Term Plan (1-5 years)
• Acquire those companies in which the business has prospective experience to handle. Acquire most beneficial organizations with a strong commitment to health, to develop the consumer's understandings in the ideal instructions.
• Focus more on acquisitions than R&D to build the base in the consumer's mind about The Buyout Of Amc Entertainment worths and vision and to avoid potential danger of sunk cost.
Long Term Plan (1-10 years)
• Acquire companies with health in addition to taste aspect, as the base for the The Buyout Of Amc Entertainment as a company producing healthy products has been developed under midterm plan and now the business could move towards taste aspect too to understand the consumers, which focus more on taste rather than health.
• Be more aggressive towards R&D than the acquisitions, as it is the significant time to build brand-new items.
