Achieving Mental Health Parity Case Study Solution and Analysis
Intro
Achieving Mental Health Parity Case Study Analysis is the largest publishing business with a greatest market share in the China's book retail market. CMP has actually become a specialized information service provider and a large comprehensive Science and Innovation publishing business through the integration of print media, audio-visual media and the network media.
Crucial Issues
CMP has actually invested its 60 years journey smoothly, being a successful publishing house, nevertheless, the altering macro market patterns and forces bring certain challenges to the publishing market in basic and Achieving Mental Health Parity Case Study Solution in particular. These aspects consist of;
• Entryway of the new publishing firms in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and technology.
The transformation of the macro markets have raised numerous concerns to the management at CPM that what could be the future of CMP in this scenario? Do the long valuable experience, technical resources and the capabilities of the company could be made use of to pursue the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Achieving Mental Health Parity Case Study Solution has particular strengths that can be used to reduce the dangers, overcome the weak point and obtain the chances. Strengths of CMP are provided as follows;
• The long term experience of Achieving Mental Health Parity Case Study Analysis in the publishing market i.e. 60 years permits the company to provide high quality items at a lower expense utilizing its prior experiences.
• The technical resources and abilities generated by its effective journey supply a competitive advantage to CMP.
• Large item portfolioof CMP helps it to diversify its risk and offer high value to its consumers.
• Strong financial position enables the business to think about numerous advancement opportunities with no fear of raising fund externally.
Weak points
Together with the strengths, the business has specific weak points which could increase restrictions for the business in implementing its development program. The weak points of Achieving Mental Health Parity Case Study Help are offered as follows;
• Despite of being a science and innovation publishing firm, the company still has traditional ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It needs to propose particular expansion strategies to avoid its reliance over the Chinese markets to accomplish long term development.
Opportunities
The growth of the publishing market is decreasing because 2008, affecting Achieving Mental Health Parity Case Study Analysis as well, however the growth might be restored by availing specific opportunities provided in the market. The marketplace opportunities for CMP include;
• The business could likewise present Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP could think about an advancement program through the growth towards foreign markets in order to decrease its reliance over Chinese markets by utilizing its vast financial resources.
Risks
The changing macro trends in the market and increasing competition in the publishing market has positioned particular risks to Achieving Mental Health Parity Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might result in declining market share of Achieving Mental Health Parity Case Study Solution due to the customer shift towards digital libraries.
• The presence of large number of competitors in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can gain a strong customer base by utilizing certain techniques like aggressive promo, quality products, etc.
• Entrance of brand-new publishing companies in the market together with existence of high competition increases the threat of losing the client base.
Monetary Analysis.
The company has a rather competitive financial efficiency. Due to lack of information, the financial ratios of CMP might not be calculated. The general monetary efficiency of the business could be analyzed by utilizing the graphs provided in the case Appendices. It might be analyzed from the Appendix III that the yearly total earnings of CMP during the duration 2000-2012 are growing at a high growth rate, revealing that the yearly need of the items of Achieving Mental Health Parity Case Study Help is growing and the company is quite efficient in attracting a large number of customers at a potential price.
Along with it, the second chart which shows the yearly growth in the Achieving Mental Health Parity Case Study Analysis overall possessions, shows that the business is rather effective in adding value to its properties through its profits. The growth in possessions shows that the total worth of the firm is also increasing with increasing the overall revenues. (Unknown, 2013).
Another financial analysis of the business utilizing the provided information could be the analysis concerning the circulation of total profits of the company. Huge part of the earnings of CMP originates from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The company could move towards other business sectors with a potential growth to attain its future development objective.
PESTEL Analysis
PESTEL analysis might be carried out to find out the numerous external forces affecting the performance of the business and the current patterns in the external environment of the business. A brief PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a significant influence on the frame of mind of individuals about the communist ideology of the federal government, therefore, the publishing sector is extremely supervised and assisted by the Promotion Department of the Communist Party of China. Therefore, it might be said that the general political forces affecting Achieving Mental Health Parity Case Study Analysis business are high. The government policies relating to the publishing sector are likewise increasing with the passage of time.
Economical.
Economic forces impacting the publishing sector in basic and the Achieving Mental Health Parity Case Study Solution in particular includesthe rates of paper, the income level of customers, the inflation rate, and the general GDP growth of the nation. All these forces integrate effect the need for the publishing market. Together with it, the economic policies related to the import of books affect the general company at CPM. However, China's financial conditions are quite beneficial for CMP with high GDP development and consumer earnings level.
Social and Demographical.
Social and demographical forces include the population growth, the consumer's preferences towards checking out informative products etc. China has the greatest population worldwide with a high population development, showing the increasing variety of customers of the Achieving Mental Health Parity Case Study Help. Nevertheless, the consumer choices are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to focus on digital publishing to satisfy the changing customer preferences.
Technological.
Technological forces impacting the CMP include the technological development in the reading techniques etc. Improvement of science and innovation along with the rise of digital publishing could minimize the need for the CMP items, if certain actions would not be taken soon.
Environmental.
Ecological forces affecting Achieving Mental Health Parity Case Study Help consists of the issues of environmental neighborhoods over the usage of paper in publishing books. The paper utilized in the books while publishing is needed to be disposable and the ink utilized while publishing should not be damaging for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be authorized first by the Government to be entered in the publishing market.
Industry Analysis (Porter's 5 Forces Design).
Porter's Five Forces Design might be utilized to evaluate the beauty of the publishing industry China. A short analysis of the Porter's 5 Forces is provided as follows;.
Threat of New Entrants.
Risks of brand-new entrants in the Chinese Publishing Industry is moderate. The potential development in the market tends to attract new entrants to the publishing industry. The presence of extreme competitors and the requirement of big capital tends to demotivate new entrants to enter in the market.
Threat of Substitution.
Threat of Replacement is high for the Chinese Publishing Industry. The substitute products for the released files is the documents presented in the virtual libraries on certain websites. The changing consumer choices towards digital learning increase the hazard of alternative for the industry.
Competitive Rivalry.
Competitive rivalry in the publishing market is high. The existence of a great deal of customers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, new entrants are likewise participating in the marketplace increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant providers of the Achieving Mental Health Parity Case Study Analysis consist of the providers of the paper for publishing files. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the general bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of buyer in the publishing market is high. Due to the presence of a large number of publishers in the Chinese market and the marketplace saturation, the purchasers requires high quality documents at competitive rates.
Rivals Analysis.
CMP operates in an extremely competitive market with the existence of large number of rivals. The business has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of Achieving Mental Health Parity Case Study Solution consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a risk for CMP as it could wean its market share due to its long term competitive background. CIP is focused on digital publishing and might wean the market share of CMP easily in the present market situation.
Posts and telecommunication Press (PTP).
It was likewise established in the exact same duration as Achieving Mental Health Parity Case Study Analysis and CIP. It is likewise one of the prominent players in the publishing industry with an annual overall earnings of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering reliance over the Chinese markets.
• Increasing variety of Consumers
• Growth chances.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to present utilizing existing capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio supplies high worth to customers.
Cons
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core service segments to the brand-new one can lead the company to lose demand of its products in the market.
Recommendations
With the deep analysis of the internal and external environment of the business together with the market analysis and the rival analysis, Alternative 2 is recommended to CMP to accomplish its future development. As the choices are shifting towards digital publishing and the business require an instant solution to avoid the declining industry development. For that reason, intro of digital publishing might show to be an immediate option with low amount of risk for the business. Nevertheless, the business might also consider the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its product portfolio, the company must initially gathers the information related to the customer need, the possible markets, the federal government policies and the information related to the competitors presented in the market. If the initial offering shows a success, the company ought to go for the other markets. In this way the business would be able to execute its digital publishing program.
Conclusion
Although, the growth of the publishing market is decreasing considering that 2008, showing a danger to the business's long term presence, however the situation can be managed by thinking about a development strategy in the future. The company could consider presenting digital publishingin its existing market to execute its advancement program at immediate basis and to avoid the danger of failure for entrance in the new markets.
