The AO Company

John Roberts founded The AO Company as Appliance Online in the year 2000. John's primary goal was to alter the way online commerce was carried out in the UK. A simple wager with a friend led to the appointment of the organization's new CEO, who was tasked with transforming e-commerce. He started an online store in 2001 that provided clients with high-quality electrical products at affordable pricing (AO Foundation). By 2004, the company was supplying goods to stores like Sainsbury's, Marks & Spencer, and Debenhams. One aspect that has enhanced the current witnessed success of the firm is the value it holds for the customers. The organization has made a critical decision to make its customers' needs a priority. In this way, the buyers are at the heart of the company's operation with every activity revolving around satisfying their needs.
In the dawn of the year 2009, the organization established a Facebook page that aimed to reach more target customers. Here, it mainly focused on interacting closely with the buyers and obtaining their feedback. More so, it established an appliance review website in the year 2010 that allows the organization to gain a share of the customers' thoughts and opinion. Still, the corporation has managed to improve the quality and consistency of product delivery from the communication link established. The year 2015 was quite a memorable one as the organization launched a branch in Germany. It aims to open more branches in other countries such as the Netherlands, the US, and furthest nations in the continent. For this purpose, a feasibility report will be helpful for the stakeholders to consider while moving forward and expanding the business.

Business Description
AO is an online organization based in Bolton that distributes household electrical appliances in the UK. With the aim of changing the retailing practice, the AO.com has established a business culture that is both potent and applicable in different locations of the nation (Anderson, 2015). Today, the organization prides on different achievements that have been made possible by the employees. Nevertheless, there has been a heightened alliance with the administrators and the customers to enhance the overall business outcomes.
Early this year, AO.com made various changes on the administrative roles. Steve Caunce who has served as a chief operating officer took over as the new CEO succeeding John Roberts. As a result, Roberts maintained the label of the founder and the executive director of the board. The new CEO will shoulder great responsibilities of strategy accountability and performance delivery. Unlike other online corporations, AO is more unique. The company has established an organizational culture that forms the backbone of its success. The culture guides the operation of the employees and their relationship with the customers and the outside world. The administration has resolved not to settle for less but to push beyond the boundaries of the comfort zone for greater achievements (Sullivan, 2017). Regardless of having achieved various rewards over the years, the organization aims to become the leading European online retailer of electrical products. It also intends to serve beyond the European scope. Such mission and determination is a recipe to change the world by modifying the retail practices and becoming the leading corporation in online retail innovation.
It is laudable how AO.com puts the customers at the heart of its operation. It motivates them to demand more from local retailers. The organization thus incline to better treatment and good relationship with the customers through an enhanced interaction. AO is not about selling and delivering goods. It has trained its team to offer the best and make a formidable choice for each customer according to their needs. The organization has established an excellent culture within the work environment that boosts the performance and the progress of the company. It instills the values of honesty, dedication, and selflessness. In this way, the employees have learned to care for the needs of their fellow workers and those around them (Ao.com). The AO Corporation takes charge in investing on people and creating the right environment for them to attain their best. It gives the employees the autonomy to take risks and independently make a decision that will benefit both the organization, the workers, and the customers.
The notable success observed in U.K serves as a prerequisite for launching more establishments in other nations. Still, the already founded AO in Germany works well, and it is a clear demonstration that the organization will also thrive in other countries as well. There is a great need for the CEO and employees to gather the best resources they have and reach out to the Netherlands and the US for investment. Although these nations have their online businesses that are doing as well, AO has unique value and an outstanding culture that the organizations in these countries can emulate.
Market consideration
Evidently, the current AO branches and its recent expansion to Germany shows that the business is booming in the UK. The organization has done an excellent job to create a stable base and a long-lasting legacy. The employees and the organization stakeholders have a perfect knowledge of the UK customers, their preferences, and shopping behaviors (Forbes Community Voice, 2013). It is also easy to understand the market trend in Europe as the business has stabilized for several years in the content. Creating a new branch in Netherland will be easier for the stakeholders as the country is in proximity to the UK. However, extending to furthest nations in other contents like the US might be a considerable challenge. The organization requires to conduct an intensive market study and point out possible competitors. It will also have to familiarize with the culture of the people and understand their tastes and preferences when it comes to electrical appliances. However, expanding to the US is the best idea. Setting a branch in the nation will be a milestone for the future of AO.com. The country is among the fastest growing regarding the economy and technological innovation. If AO manages to have a share of the market, there is a possibility that it will expand quickly to more nations in the future.
One key advantage of AO is the increasing innovation in technology. The organization needs to apt its effort and acquire the latest products that meet the customers' needs as per the current trend. As a consequent, it will grasp more customers and earn their trust for the products of the highest quality. Still, the company is at a competitive edge as it is an online business. It can, therefore, reach to a million of customers globally with only a constraint of time when it comes to product delivery. However, there is need to establish key points all over the world to serve as product sources for various nations (Entrepreneur India). In this way, the organization can communicate with the customers online and set a time frame needed for the organization to deliver a product. As seen, the main key to success is the good relationship established between the AO and its customers. The organization's culture has been a prime factor in the success experienced all along. The organization needs not to change the culture but heighten it in the upcoming worldwide branches.
The increasing innovation favors the company because thee people have embraced the new technology. Social media platforms have created a virtual world where people interact efficiently with limited difficulties. The AO should take the opportunity and optimize it as a strength. Rather than relying on a website and Facebook solely, it should make use of other platforms such as Twitter and Instagram. Such will enlarge its scope and increase the number of customers that the organization gets in touch. Therefore, people can quickly get updates on the newest products, their prizes, and confirm the reviews. The online platforms make it easy for the company to access and interact with its customers. Nevertheless, it is a profound opportunity for the customers to meet and interact among themselves. They get to share their experiences on the use of AO products, and this serves as a plus for the company as customers attract more buyers by giving a positive information.
Production and Marketing Plan
As recommended, the organization should consider being at the forefront in producing the latest electrical products. It should establish its bases in the preferred nations such as the Netherlands and the US. Afterwards, it should liaise with manufacturing companies all over the world. AO should strive to get a priority when it comes to obtaining goods from the manufacturers. Concentrating on first-hand products is key to maintaining the customers' trust and a lasting connection henceforth.
Another critical aspect to consider is pricing. Opening more branches in other nation mean meeting more competitors as online business is booming in the modern world. There is a need for all the stakeholders to consider price ranges in different countries that will meet the organization goals and equally satisfy the customer (Forbes Community Voice, 2013). A prior research will be useful for the organization to come up with prizes that not only gives the corporation an advantage over its competitors but also mirrors the quality of the product sold.
As seen, marketing will be easier for AO considering the increasing use of online interaction sites. The company should hold on to maintaining a link with the customers as they determine the growth of the business. As in the UK, future enterprises should encourage more participation of customers in decision making by encouraging them to contribute their opinions. Still, the workers serve a vital role in the continuity of the business. The company should ensure that its workers are always satisfied and that they have the liberty to make contributions that impact the society. As a consequent, the organization will have high employee retention and a stabilized operation strategy that will determine the future outcomes.
Alternatives and Options
The AO organization is active in the UK and Ireland. It seems to progress well in the European nations where it was initially established. The company also makes positive reports that indicate a complete satisfaction with its expansion. The new CEO John Roberts is confident that the Ao.com will become the best electronic retailer in Europe (Ecommerce News, 2015). The company, however, has a variety of options to consider when it considers expanding further. The first choice is to open one more European nation and another one located beyond the European boundaries. As suggested, the US will be a suitable country to consider. The organization will be able to expand its European market while it opens new ones beyond Europe. However, t is preferably beneficial to consider a second option where it needs to concentrate on the European market first before expanding on other nations in the world. This becomes the best option for the organization has the best knowledge of the European market. Perhaps Austria and Netherland will be the most suitable candidates after Germany.
While both these option seems best for the organization to grow expansively, the stakeholders should take time to discuss and consider the better of the two. It is also essential to involve the employees and brainstorm on the whole issue. However, I think it is better for AO to obtain most or at least 75% of electronic market share before expanding to nations beyond the European continent. With such, it will gain strength and momentum to fight against all the odds that might alter its success in the new countries.
Critical risks and problems
One key challenge that Ao.com is likely to encounter is competition. The new target nations considered for expansion have their organizations that deal with online marketing of electronic products. For instance, in Netherland, the firm should be prepared to face an intense competition with the Coolblue (Saunders, 2016). Coolblue is a local company that deals with online sales of electronics. As mentioned earlier, Ao.com should conduct researches beforehand to understand the market environments in these nations. It should take time to study the operation of its competitors and equally adopt the best practices that put it at the best competitive edge.
Another challenge will be for the organization to get a set of employees that suits its culture. The organization accredits its current achievements to the employees who have always shared its values and vision. While other employers set their eyes on qualifications solely, Ao.com looks beyond academic achievement (Hult News, 2016). It focuses on the behaviors, beliefs, and attitudes of the employees. Getting such employers that will be ready to sacrifice to the point of making suitable decisions for the customers might be difficult. The organization will also have to spend on training the new employees to suit to the culture and focus on achieving the best. The firm should identify like-minded people who in addition to earning, they focus on growing. The key to achieving such Saunders (2016), affirms is to ensure that the people in the work environment appreciate and respect each other. They should apply the values in every aspect of their operation to enhance success. Moreover, bringing workers from different departments to reason together ensures that, people interacting understand each other's views and reasoning. As a result, challenging one another becomes acceptable and is done most respectfully.
Opening new branches is a risk that AO decides to take. Getting the customers in a new country to neglect their distributors for AO might be difficult. However, there is a need for the employees to be ready for a gradual growth (TradeGecko, 2017). They should focus to serve best the customers that arrive to ensure they earn their trust. The use of online platforms will ensure that the customers obtain a history of the organization and get the reviews required to ascertain the authenticity of the products sold.
Conclusion
Every business dreams of growing and expanding more in many nations across the globe. Ao.com is no different, and the company has all it requires to suit to any market in the world. Online business is on the verge of growing more in future due to the increase of innovations in the technology field. The influx of online users has become the target market for various organizations that seek to sell products and services remotely. However, AO is more advantaged from how it conducts its business. It aims to give the customers more of the retail goods sold. As a result, it has trained its workers to respect and understand the customers' needs and do the best they can to meet their expectations. The employees' culture is the crucial aspect that predicts the current success of the company. AO has done predominantly well in Europe and hoped to do more in future. With the recent expansion in Germany, there is hope that more enlargement in European nations such as Austria and Netherland will do well. Nevertheless, there is need to consider other markets beyond Europe. America, for instance, is a potential location for future expansion prospects.

References List
Anderson, E., 2015. AO World to launch into new European markets. The Telegraph, 4 July.
AO Foundation, n.d. History of the AO - The First 50 Years. [Online]
Available at: https://www.aofoundation.org/Structure/the-ao-foundation/Pages/History-of-the-AO.aspx
[Accessed 18 December 2017].
Ao.com, n.d. Market: UK Overview. [Online]
Available at: https://ao.com/corporate/investor-centre/market/
[Accessed 18 December 2017].
E-commerce News, 2015. British Ao.com is expanding to more European countries. [Online]
Available at: https://ecommercenews.eu/british-ao-com-expanding-to-more-european-countries/
[Accessed 18 December 2017].
Entrepreneur India, n.d. 5 Things To Consider For International Expansion. [Online]
Available at: https://www.entrepreneur.com/article/274815
[Accessed 18 December 2017].
Forbes Community Voice, 2013. Five Steps To Expand Your Business Globally. Forbes, 8 October.
Hult News, 2016. 11 Biggest Challenges of International Business in 2017. Hult International Business School, 18 December.
Saunders, L., 2016. How AO.com succeeds by focusing on people, culture & customer service. [Online]
Available at: https://econsultancy.com/blog/67942-how-ao-com-succeeds-by-focusing-on-people-culture-customer-service/
[Accessed 18 December 2017].
Sullivan, C., 2017. AO World raises £50m to fund European expansion. Financial Times, 30 March.
TradeGecko, 2017. Overcoming 5 top challenges of international expansion. [Online]
Available at: https://www.tradegecko.com/blog/overcoming-5-top-challenges-of-international-expansion
[Accessed 18 December 2017].






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