Arup Building The Water Cube Case Study Solution and Analysis
Intro
Arup Building The Water Cube Case Study Analysis is the largest publishing company with a greatest market share in the China's book retail market. CMP provides a number of services including; gathering information, processing info and interaction services. Significant business sections of the business include; books, periodicals, consultancy and distribution. The company has a vast product portfolio and its significant products include books, periodicals, online media, exhibitions, research reports etc. Arup Building The Water Cube Case Study Analysis has actually become a specialized details service provider and a large thorough Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
Critical Concerns
Although, Arup Building The Water Cube Case Study Solution has spent its 60 years journey smoothly, being a successful publishing house, nevertheless, the altering macro market trends and forces bring particular challenges to the publishing industry in general and CMP in specific. These aspects include;
• Entrance of the new publishing companies in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Improvement of science and technology.
The change of the macro markets have raised several questions 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 business could be utilized to strive for the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Arup Building The Water Cube Case Study Help has certain strengths that can be used to lower the dangers, conquer the weak point and avail the chances. Strengths of CMP are offered as follows;
• The long term experience of Arup Building The Water Cube Case Study Analysis in the publishing market i.e. 60 years permits the company to provide high quality items at a lower expense using its prior experiences.
• The technical resources and abilities generated by its effective journey offer a competitive advantage to CMP.
• Huge product portfolioof CMP helps it to diversify its threat and supply high value to its clients.
• Strong monetary position permits the company to consider several development opportunities without any worry of raising fund externally.
Weak points
In addition to the strengths, the business has certain weaknesses which could increase constraints for the business in executing its advancement program. The weak points of Arup Building The Water Cube Case Study Help are given as follows;
• Despite of being a science and innovation publishing firm, the business still has standard methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It should propose specific growth plans to avoid its dependence over the Chinese markets to accomplish long term development.
Opportunities
Although, the growth of the publishing market is decreasing since 2008, affecting Arup Building The Water Cube Case Study Analysis too, however the development could be restored by availing particular opportunities provided in the market. The market chances for CMP include;
• The business might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment in the market.
• CMP could think about an advancement program through the expansion towards foreign markets in order to decrease its dependence over Chinese markets by using its large financial resources.
Risks
The altering macro trends in the market and increasing competition in the publishing industry has actually postured particular hazards to Arup Building The Water Cube Case Study Solution consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might cause declining market share of Arup Building The Water Cube Case Study Analysis due to the consumer shift towards virtual libraries.
• The presence of large number of rivals in the publishing industry increase the hazard for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by utilizing particular techniques like aggressive promotion, quality items, etc.
• Entryway of new publishing companies in the market along with existence of high competitors increases the threat of losing the client base.
Monetary Analysis.
Due to lack of data, the monetary ratios of CMP could not be calculated. It could be analyzed from the Appendix III that the yearly overall earnings of Arup Building The Water Cube Case Study Analysis throughout the period 2000-2012 are growing at a high growth rate, showing that the annual demand of the items of CMP is growing and the company is quite efficient in bring in a big number of customers at a prospective cost.
Together with it, the second graph which reveals the yearly growth in the Arup Building The Water Cube Case Study Solution overall possessions, shows that the company is quite effective in including value to its possessions through its earnings. The growth in assets reveals that the overall worth of the firm is also increasing with increasing the overall incomes. (Unidentified, 2013).
Another monetary analysis of the business using the given data might be the analysis concerning the distribution of overall earnings of the business. Huge part of the incomes of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The company could move towards other service sectors with a possible development to attain its future development goal.
PESTEL Analysis
PESTEL analysis might be conducted to discover the numerous external forces affecting the performance of the company and the recent trends in the external environment of the business. A quick PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant impact on the state of mind of the people about the communist ideology of the government, for that reason, the publishing sector is extremely supervised and assisted by the Publicity Department of the Communist Celebration of China. It might be said that the total political forces affecting CMP company are high. The government policies concerning the publishing sector are also increasing with the passage of time.
Affordable.
Financial forces impacting the publishing sector in basic and the Arup Building The Water Cube Case Study Help in specific includesthe prices of paper, the earnings level of customers, the inflation rate, and the general GDP development of the nation. All these forces combine effect the demand for the publishing market. Along with it, the financial policies related to the import of books impact the total service at CPM. Nevertheless, China's economic conditions are rather beneficial for CMP with high GDP growth and consumer income level.
Social and Demographical.
Social and demographical forces include the population development, the customer's preferences towards reading helpful products and so on. China has the greatest population on the planet with a high population development, revealing the increasing number of consumers of the Arup Building The Water Cube Case Study Analysis. The customer choices are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP ought to concentrate on digital publishing to satisfy the altering consumer choices.
Technological.
Technological forces affecting the CMP include the technological development in the reading techniques etc. Improvement of science and technology together with the rise of digital publishing could decrease the need for the CMP items, if certain actions would not be taken quickly.
Environmental.
Ecological forces impacting Arup Building The Water Cube Case Study Analysis consists of the concerns of ecological communities over the use of paper in publishing books. The paper utilized in the books while publishing is needed to be disposable and the ink used while publishing ought to not be damaging for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. The legal policies regarding the publishing sector is controlled by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be approved initially by the Government to be gone into in the publishing market. The regulation prohibits direct involvement of foreign entities and people in the publishing sector.
Market Analysis (Porter's Five Forces Design).
Porter's Five Forces Design might be used to examine the appearance of the publishing market China. A brief analysis of the Porter's Five Forces is provided as follows;.
Danger of New Entrants.
Threats of brand-new entrants in the Chinese Publishing Market is moderate. The possible growth in the market tends to bring in brand-new entrants to the publishing market. However, the existence of intense competition and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the marketplace.
Threat of Alternative.
Danger of Alternative is high for the Chinese Publishing Market. The substitute items for the released files is the files presented in the digital libraries on certain websites. The changing consumer choices towards digital learning increase the risk of alternative for the market.
Competitive Competition.
Competitive rivalry in the publishing market is high. The presence of large number of consumers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive competition for CMP. In addition to it, new entrants are also participating in the market increasing the competitors for CMP.
Bargaining Power of Supplier.
The major suppliers of the Arup Building The Water Cube Case Study Solution include the suppliers of the paper for publishing documents. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the total bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Negotiating power of buyer in the publishing industry 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 a highly competitive industry with the existence of large number of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Major rivals of Arup Building The Water Cube Case Study Help include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis among the close rivals of CMP. Founded in the very same period, CIP releases similar type of books. For a big time period, CIP held the largest market share, and still ranks 3rd and second in various market sectors, with a major focus on academic publications. CIP serves as a hazard for CMP as it might wean its market share due to its long term competitive background. CIP is focused on digital publishing and might wean the market share of Arup Building The Water Cube Case Study Help easily in the existing market circumstance.
Posts and telecommunication Press (PTP).
It was also founded in the exact same duration as Arup Building The Water Cube Case Study Analysis and CIP. It is likewise one of the prominent players in the publishing market with an annual overall earnings of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Minimizing dependence over the Chinese markets.
• Increasing number of Consumers
• Development chances.
• Preventing the impact of market saturation in the Chinese publishing market.
Cons
• Use of prospective resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce using existing capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio provides high value to clients.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core company sections to the brand-new one can lead the company to lose need of its items in the market.
Suggestions
As the preferences are moving towards digital publishing and the company need an instant option to avoid the decreasing market development. The company could likewise think about the growth program after the success of its digital publishing program.
Application
In order to introduce digital publishing in its product portfolio, the business ought to initially gathers the information related to the consumer demand, the possible markets, the federal government regulations and the information related to the rivals presented in the market. If the preliminary offering shows a success, the company needs to go for the other markets. In this method the company would be able to execute its digital publishing program.
Conclusion
Although, the growth of the publishing market is declining since 2008, showing a threat to the company's long term existence, but the situation can be managed by considering a development strategy in the future. The company could consider introducing digital publishingin its existing market to execute its development program at instant basis and to prevent the danger of failure for entrance in the brand-new markets.
