Description
Write three pages Strategic Alternatives base the the attachment that i give to you, the Strategic Alternatives must base on Industry Impact on that current events.
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Strategic Alternatives
The current business environment in which the Astro group operates in can be described
as highly uncertain and highly competitive. In order to maintain a competitive advantage over its
rivals, the company needs to integrate various strategic alternatives into its business model. This
paper seeks to discuss the strategic alternatives that Astro group needs to employ to secure its
competitiveness in the American hospitality industry.
Diversification
Diversification, as a strategic alternative, means branching out into new business
opportunities, rather than focusing on expanding the existing businesses. The basic idea of
diversification is to expand into new business activities that do not react to the same economic
downturns of the current business venture. Diversification helps a business tap different markets
thereby enhancing its profitability (Imbs & Romain 66). It also helps manage risks by reducing
potential harm to business in the event of an economic downturn.
The Astro group needs to diversify its products to enhance its profitability. As evidenced
in the industry impact analysis, the profitabilit...