Atricure Inc Case Study Solution and Analysis
Intro
Atricure Inc Case Study Solution is the biggest publishing business with a greatest market share in the China's book retail market. CMP has ended up being a specialized information supplier and a big comprehensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Critical Problems
Although, Atricure Inc Case Study Analysis has actually invested its 60 years journey efficiently, being a successful publishing house, however, the changing macro market patterns and forces bring particular challenges to the publishing market in general and CMP in particular. These elements include;
• Entrance of the brand-new publishing firms in the market.
• Decreasing growth of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and innovation.
The change of the macro markets have raised a number of questions to the management at CPM that what could be the future of CMP in this circumstance? Do the long valuable experience, technical resources and the abilities of the business could be utilized to strive for the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Atricure Inc Case Study Solution has particular strengths that can be made use of to decrease the dangers, get rid of the weakness and obtain the chances. Strengths of CMP are given as follows;
• The long term experience of Atricure Inc Case Study Help in the publishing market i.e. 60 years allows the company to offer high quality products at a lower expense using its prior experiences.
• The technical resources and abilities generated by its successful journey provide a competitive benefit to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and supply high worth to its consumers.
• Strong financial position allows the company to think about a number of advancement chances without any fear of raising fund externally.
Weak points
In addition to the strengths, the business has certain weaknesses which might increase constraints for the business in implementing its advancement program. The weaknesses of Atricure Inc Case Study Help are offered as follows;
• Despite of being a science and technology publishing company, the business still has traditional methods ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It ought to propose specific expansion plans to prevent its reliance over the Chinese markets to achieve long term development.
Opportunities
Although, the growth of the publishing industry is decreasing because 2008, affecting Atricure Inc Case Study Help as well, however the development could be revived by availing particular opportunities presented in the market. The marketplace opportunities for CMP include;
• The company could also introduce Digital Publishing by using its long term technical experience and a strong customer acknowledgment in the market.
• CMP might think about a development program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its vast financial resources.
Dangers
The changing macro trends in the market and increasing competitors in the publishing market has actually presented certain hazards to Atricure Inc Case Study Analysis including;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries might result in decreasing market share of Atricure Inc Case Study Solution due to the consumer shift towards virtual libraries.
• The presence of large number of rivals in the publishing industry increase the risk for CMP to lose its competitive position in the market, as competitors can get a strong consumer base by utilizing particular techniques like aggressive promo, quality items, and so on
• Entryway of brand-new publishing companies in the market in addition to presence of high competition increases the danger of losing the customer base.
Monetary Analysis.
The company has a quite competitive financial performance. Due to absence of data, the monetary ratios of CMP could not be determined. Nevertheless, the overall monetary efficiency of the company might be evaluated by utilizing the graphs given in the case Appendices. It might be evaluated from the Appendix III that the yearly total incomes of CMP throughout the period 2000-2012 are growing at a high development rate, showing that the yearly demand of the items of Atricure Inc Case Study Help is growing and the business is quite effective in drawing in a a great deal of clients at a possible rate.
Along with it, the 2nd chart which reveals the annual development in the Atricure Inc Case Study Analysis total possessions, shows that the company is quite efficient in including worth to its assets through its earnings. The development in possessions reveals that the total worth of the company is also increasing with increasing the total profits. (Unidentified, 2013).
Another monetary analysis of the company utilizing the offered data might be the analysis regarding the distribution of total incomes of the business. Major part of the earnings of CMP comes from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The business could move towards other organisation sectors with a prospective growth to attain its future development objective.
PESTEL Analysis
PESTEL analysis could be performed to find out the different external forces affecting the performance of the business and the current trends in the external environment of the company. A short PESTEL analysis of the business is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant effect on the frame of mind of the people about the communist ideology of the federal government, for that reason, the publishing sector is highly monitored and assisted by the Publicity Department of the Communist Party of China. Therefore, it might be said that the general political forces impacting Atricure Inc Case Study Help company are high. The government policies relating to the publishing sector are also increasing with the passage of time.
Affordable.
Economic forces affecting the publishing sector in basic and the CMP in particular includesthe costs of paper, the income 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.
Social and Demographical.
Social and demographical forces consist of the population development, the consumer's preferences towards reading informative products etc. China has the greatest population worldwide with a high population development, revealing the increasing number of customers of the Atricure Inc Case Study Help. The consumer choices are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP should focus on digital publishing to meet the changing consumer choices.
Technological.
Technological forces impacting the CMP include the technological development in the reading methods etc. Improvement of science and technology in addition to the rise of digital publishing could lower the need for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces affecting Atricure Inc Case Study Analysis includes 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 needs to not be harmful for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. Publishing Ordinance 1997 needs the publishers to be approved first by the Federal government to be gone into in the publishing market.
Industry Analysis (Porter's Five Forces Model).
Porter's 5 Forces Design might be used to examine the attractiveness of the publishing industry China. A quick analysis of the Porter's 5 Forces is given as follows;.
Hazard of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The possible growth in the industry tends to bring in brand-new entrants to the publishing industry. However, the existence of intense competition and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the marketplace.
Hazard of Substitution.
Hazard of Replacement is high for the Chinese Publishing Industry. The replacement items for the released files is the files presented in the digital libraries on specific sites. The changing customer choices towards digital learning increase the threat of substitution for the industry.
Competitive Competition.
Competitive rivalry in the publishing industry is high. The existence of a great deal of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. In addition to it, brand-new entrants are also entering into the market increasing the competitors for CMP.
Bargaining Power of Provider.
The significant suppliers of the Atricure Inc Case Study Help consist of the suppliers of the paper for releasing files. As CMP is the largest publisher in the Chinese Publishing Market, therefore the general bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Haggling power of purchaser in the publishing industry is high. Due to the presence of a a great deal of publishers in the Chinese market and the marketplace saturation, the buyers requires high quality documents at competitive prices.
Rivals Analysis.
CMP operates in a highly competitive industry with the existence of large number of competitors. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Atricure Inc Case Study Solution consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a threat for CMP as it could wean its market share due to its long term competitive background. CIP is focused on digital publishing and could wean the market share of CMP quickly in the present market circumstance.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise founded in the very same duration as CMP and CIP. It ranks sixth in the state-owned publishers in regards to business scale. It is also among the popular gamers in the publishing market with a yearly total profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering reliance over the Chinese markets.
• Increasing variety of Clients
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
Cons
• Usage of potential resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present utilizing existing abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high worth to consumers.
Cons
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core organisation sectors to the new one can lead the business to lose need of its products in the market.
Recommendations
As the choices are moving towards digital publishing and the company need an immediate solution to avoid the decreasing industry growth. The company could also 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 must initially collects the information related to the consumer need, the possible markets, the federal government guidelines and the data related to the competitors provided in the market. If the initial offering shows a success, the business must go for the other markets. In this way the business would be able to implement its digital publishing program.
Conclusion
The development of the publishing market is decreasing since 2008, showing a risk to the business's long term existence, however the situation can be controlled by considering an advancement strategy in the future. The company might think about presenting digital publishingin its existing market to implement its development program at immediate basis and to prevent the danger of failure for entryway in the new markets.
