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Atlantic Corporation Abridged Case Solution

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Atlantic Corporation Abridged Case Study Solution and Analysis


Introduction

Atlantic Corporation Abridged Case Study Solution is the biggest publishing business with a greatest market share in the China's book retail market. CMP has become a specialized information company and a large thorough Science and Innovation publishing company through the combination of print media, audio-visual media and the network media.

Vital Problems

CMP has spent its 60 years journey efficiently, being a successful publishing house, however, the changing macro market trends and forces bring particular difficulties to the publishing industry in basic and Atlantic Corporation Abridged Case Study Solution in particular. These factors include;

• Entryway of the new publishing firms in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
Executive Summary
The change 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 important experience, technical resources and the abilities of the company could be utilized to pursue the future development unceasingly? How could the company sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


Atlantic Corporation Abridged Case Study Analysis has specific strengths that can be utilized to reduce the dangers, get rid of the weakness and obtain the chances. Strengths of CMP are given as follows;

• The long term experience of Atlantic Corporation Abridged Case Study Analysis in the publishing market i.e. 60 years permits the business to supply high quality products at a lower cost using its previous experiences.
• The technical resources and capabilities created by its successful journey provide a competitive benefit to CMP.
• Large item portfolioof CMP assists it to diversify its risk and supply high worth to its clients.
• Strong monetary position permits the company to consider a number of advancement opportunities without any worry of raising fund externally.

Weak points

In addition to the strengths, the company has certain weak points which might increase constraints for the company in executing its development program. The weak points of Atlantic Corporation Abridged Case Study Analysis are given as follows;

• Despite of being a science and technology publishing company, the business still has traditional ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It ought to propose specific growth plans to prevent its reliance over the Chinese markets to accomplish long term development.
Porter's 5 Forces Analysis
Opportunities

The development of the publishing industry is declining because 2008, impacting Atlantic Corporation Abridged Case Study Analysis as well, but the development might be restored by availing particular opportunities provided in the market. The marketplace opportunities for CMP consist of;

• The business could likewise introduce Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP might think about a development program through the growth towards foreign markets in order to minimize its dependence over Chinese markets by utilizing its vast funds.

Hazards

The changing macro trends in the market and increasing competitors in the publishing market has actually presented particular dangers to Atlantic Corporation Abridged Case Study Help including;( Gurel, 2017).

• Introduction of digital publishing i.e. virtual libraries could cause declining market share of Atlantic Corporation Abridged Case Study Help due to the customer shift towards virtual libraries.
• The existence of a great deal of competitors in the publishing industry increase the risk for CMP to lose its competitive position in the market, as rivals can get a strong customer base by utilizing particular techniques like aggressive promo, quality products, etc.
• Entryway of new publishing companies in the industry together with presence of high competitors increases the risk of losing the customer base.

Financial Analysis.
Swot Analysis
Due to lack of information, the monetary ratios of CMP might not be determined. It might be analyzed from the Appendix III that the yearly total earnings of Atlantic Corporation Abridged Case Study Analysis during the period 2000-2012 are growing at a high development rate, revealing that the yearly demand of the products of CMP is growing and the company is quite efficient in drawing in a big number of customers at a prospective rate.

Along with it, the second graph which reveals the annual development in the Atlantic Corporation Abridged Case Study Analysis overall possessions, reveals that the business is rather efficient in adding worth to its possessions through its incomes. The growth in assets reveals that the total value of the firm is likewise increasing with increasing the overall earnings. (Unidentified, 2013).

Another monetary analysis of the business using the provided information could be the analysis relating to the circulation of total earnings of the business. Major part of the incomes of CMP originates from the sales of its released books i.e. 64% as shown in the Case Appendix V. The business might move towards other business sections with a potential development to attain its future development objective.

PESTEL Analysis

PESTEL analysis could be carried out to find out the various external forces affecting the efficiency of the business and the current trends in the external environment of the company. A quick PESTEL analysis of the company is provided as follows; (Alanzi, 2018).

Political.

As the publishing sector could have a significant effect on the frame of mind of individuals about the communist ideology of the federal government, therefore, the publishing sector is extremely monitored and guided by the Promotion Department of the Communist Celebration of China. For that reason, it might be said that the overall political forces impacting Atlantic Corporation Abridged Case Study Analysis service are high. The government policies concerning the publishing sector are likewise increasing with the passage of time.

Economical.

Financial forces impacting the publishing sector in basic and the Atlantic Corporation Abridged Case Study Help in particular includesthe rates of paper, the earnings level of consumers, the inflation rate, and the general GDP growth of the nation. All these forces integrate impact the demand for the publishing market. Together with it, the economic policies associated with the import of books affect the general business at CPM. However, China's economic conditions are rather beneficial for CMP with high GDP development and customer earnings level.

Social and Demographical.

The consumer preferences are moving towards digital publishing rather than the standard was of publishing. In this regard, CMP should focus on digital publishing to fulfill the changing consumer preferences.

Technological.

Technological forces impacting the CMP include the technological development in the reading strategies etc. Improvement of science and technology along with the rise of digital publishing could minimize the demand for the CMP items, if certain actions would not be taken soon.

Environmental.
Vrio Analysis
Environmental forces impacting Atlantic Corporation Abridged Case Study Solution includes the concerns of environmental neighborhoods over the use of paper in publishing books. The paper used in the books while publishing is required to be non reusable and the ink utilized while publishing needs to not be harmful for the environment.

Legal.

Legal regulations for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be authorized initially by the Federal government to be gone into in the publishing market.

Market Analysis (Porter's 5 Forces Design).

Porter's 5 Forces Model could be used to evaluate the beauty of the publishing industry China. A quick analysis of the Porter's Five Forces is offered as follows;.

Risk of New Entrants.

Threats of brand-new entrants in the Chinese Publishing Industry is moderate. The prospective development in the industry tends to attract brand-new entrants to the publishing market. However, the existence of extreme competitors and the requirement of huge capital tends to demotivate brand-new entrants to enter in the marketplace.

Hazard of Alternative.

Hazard of Replacement is high for the Chinese Publishing Industry. The replacement products for the released files is the documents presented in the virtual libraries on certain sites. The altering customer choices towards digital knowing increase the threat of substitution for the industry.

Competitive Competition.

Competitive competition in the publishing market is high. The presence of a great deal of consumers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, new entrants are also participating in the market increasing the competitors for CMP.

Bargaining Power of Supplier.

The significant suppliers of the Atlantic Corporation Abridged Case Study Analysis include the providers of the paper for releasing documents. As CMP is the largest publisher in the Chinese Publishing Market, therefore the total bargaining power of provider for CMP is low.

Bargaining Power of Purchaser.

Bargaining power of buyer in the publishing industry is high. Due to the presence of a a great deal of publishers in the Chinese market and the market saturation, the buyers needs high quality documents at competitive costs.

Rivals Analysis.

CMP runs in an extremely competitive market with the existence of a great deal of rivals. The business has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of Atlantic Corporation Abridged Case Study Analysis include;.

• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).

Chemical Market Press (CIP).

CIPis one of the close rivals of CMP. Established in the very same duration, CIP releases similar kind of books. For a large time period, CIP held the largest market share, and still ranks 3rd and 2nd in numerous market segments, with a significant focus on educational publications. CIP functions as a risk for CMP as it could wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and might wean the market share of Atlantic Corporation Abridged Case Study Help quickly in the present market scenario.

Posts and telecommunication Press (PTP).

It was likewise established in the very same duration as Atlantic Corporation Abridged Case Study Analysis and CIP. It is likewise one of the popular gamers in the publishing market with an annual overall incomes of RMB 550 million in 2010.

Alternatives

Alternative-1: Expand towards New Markets

Pros

• Lowering dependence over the Chinese markets.
• Increasing variety of Customers
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing market.

Cons
Recommendations
• Usage of potential resources in expansion.
• Danger of failure in brand-new markets.
• Time consuming.

Alernative-2: Present Digital Publishing

Pros

• Sustaining customer base.
• Approaching new markets.
• Easy to present using present abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio offers high value to consumers.

Cons

• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core organisation segments to the 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 company in addition to the industry analysis and the competitor analysis, Alternative 2 is advised to CMP to achieve its future advancement. As the preferences are moving towards digital publishing and the business require an instant service to avoid the declining market growth. Introduction of digital publishing could prove to be an immediate option with low quantity of danger for the business. The business might likewise think about the expansion program after the success of its digital publishing program.

Implementation

In order to introduce digital publishing in its product portfolio, the company needs to initially gathers the information connected to the consumer demand, the potential markets, the federal government guidelines and the data connected to the competitors provided in the market. After that, the business needs to choose one possible sector for its initial offering. It ought to gather research study that how it could differentiate its digital publishing from the existing rivals' items. The actions above the business ought to go for the initial offering. If the preliminary offering shows a success, the company ought to opt for the other markets. In this method the business would have the ability to execute its digital publishing program.

Conclusion

The development of the publishing industry is declining since 2008, showing a risk to the company's long term existence, however the scenario can be managed by thinking about a development strategy in the future. The company could think about presenting digital publishingin its existing market to implement its advancement program at instant basis and to avoid the risk of failure for entrance in the brand-new markets.

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