The information provided on American Appeal is detailed, the company expanded too fast, and some business decisions, as well as the financial environment, resulted in its near closure. As the new management, the best strategy that can be executed is the selling out and closing of the majority of its assets and branches respectively (Savrul, Incekara, & Sener, 2014). The closure of the branches would be based on performance and that did not indicate any form of improvement from previous innovations were among the first to be closed. Resistance from the board of directors is expected. However, this business strategy would release the needed funds to cover the majority of the debts the company has (Savrul, Incekara, & Sener, 2014). This strategy can be regarded as the short-term solution to solving the company’s long line of issues. The long-term solution would be the improvement and marketing of its e-commerce platform. The data provided indicate that the online retailer has more potential than conventional retails stores. The profitability for the company would come in the sense that rent and employee wages would be reduced (Parmenter, 2015). Moreover, the strategy of focusing on the e-commerce sector is based on the fiscal success of other companies such as Amazon and Alibaba.
There are several means that the success of the strategy can be measured with, for this specific one, financial Metrics would be the recommended key performance indicator. Financial development is the basis by which the KPI was selected; the company is in need of better monitoring of returns, and cost-effective spending among others (Gabčanová, 2012). Customer metric would be another vital aspect to consider as they are among the main stakeholders of the company. Marketing will be crucial for the company to ensure that all the consumers understand the reason for the change (Gabčanová, 2012).
Delegate your assignment to our experts and they will do the rest.
References
Gabčanová, I. (2012). Human resources key performance indicators. Journal of competitiveness .
Parmenter, D. (2015). Key performance indicators: developing, implementing, and using winning KPIs . John Wiley & Sons.
Savrul, M., Incekara, A., & Sener, S. (2014). The potential of e-commerce for SMEs in a globalizing business environment. Procedia-Social and Behavioral Sciences , 150 , 35-45.
