BGC Ltd is looking to the future and is keen to move the company forward. However there is some disagreement within the directors of the company. An extract of the minutes from a meeting highlight some of the conversation which took place. Gio:?We need to recruit more cleaning staff and sales people. Then we can take on more contracts and drive the business to be the market leader.Bev:?But our competitors are undercutting us. In order to compete we have to continually reduce our prices. I think we should be leaving the retail sector - the High Street is really suffering and out of town malls are not as successful as they were. We should really consider moving into the domestic market. People hate cleaning and love coming home to a clean house. We could use our award winning cleaning products in domestic settings and keeping the office contracts as well.Cam:?We need to do some analysis to find out which areas of our business are more profitable.Gio:?If we moved to domestic cleaning we could continue to use the vans and cleaning equipment we already have, and our customers would pay us there and them.Cam:?We need to do some analysis to find out which areas of our business we want to focus on.Following this meeting the following ( in attachment) information has been made available. This consists of an analysis of the sales and gross profit for the years 2018 to 2021 showing the sales and gross profit split between the retail sector and the office sector. Chances of Boom- 25% , static -35% , recession - 40%Report RequirementsUsing calculations to support your reasoning, critically discuss the companys plans for the future.Provide recommendations based onwhether BCG Ltd shouldi. Carry on in the retail and office sectorsii. Shut down the retail element and move into the domestic market

Analysis of current market Sector 2021 2020 2019 2018 Sales Retail 2765 7988 9611 8955 Office 6451 6535 6678 4822 Total 9,216 14,523 16,289 13,777 Gross Profit Retail 89 357 504 489 Office 274 632 775 718 Total 363 989 1,279 1,207 Some analysis of the future markets for cleaning in the retail, office and domestic sector revealed the following: Predicted markets in 2022 Cash inflow Boom Static Recession E000 EOOO EOOO Office 800 375 250 Retail 500 50 .150 Domestic 1100 400 200