Larson: Future Scenarios and Recommendations Term Paper

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Still, enough signs of recovery could trigger a rise in spending.

A third and more dire economic possibility is the occurrence of another shock and drop in the world's economic markers, especially in the United States' stocks and securities markets, which was largely the trigger for the current recession. There are some that predict a larger economic crisis looms just over the horizon, and if this is truly the case then spending is likely to plummet still further, creating far greater competition and a lessened ability to do business. Most economic indicators and analysts, however, suggest that the worst of the recession has already passed, and many emerging economies -- notably China -- have not even dramatically slowed their economic growth, providing an impetus and momentum that was lacking in the other most notable recession of the industrial age, the Great Depression of the 1930s.

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This scenario, though still a distinct possibility, does not appear to have a likelihood eaul to that of either of the other two alternatives.

Updated Recommendations

Based on the three alternatives and their corresponding likelihoods, the competitive nature of price reductions should become even more a part of Larson's strategy. The perk point program might be continued, though promotions should focus more on coupons and sale advertisements as print supplements in newspapers, or through retailer coupon programs. Such programs not only provide price incentives for consumers, but they also build brand image and recognition, serving as effective long-term advertising platforms. Different battery types could be placed on sale each week, with each new series of coupons/ads further increasing recognition and uniting quality to low price, creating the perception of best value......

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