Aviation Safety And Security Risk Management Case Study Solution and Analysis
Introduction
Aviation Safety And Security Risk Management Case Study Solution is the biggest publishing company with a highest market share in the China's book retail market. CMP has ended up being a specialized information company and a big extensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Crucial Concerns
CMP has spent its 60 years journey efficiently, being an effective publishing home, however, the changing macro market patterns and forces bring certain challenges to the publishing market in basic and Aviation Safety And Security Risk Management Case Study Analysis in particular. These aspects include;
• Entryway of the brand-new publishing firms in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Improvement of science and technology.
The transformation of the macro markets have raised several questions to the management at CPM that what could be the future of CMP in this circumstance? Do the long important experience, technical resources and the capabilities of the company 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
Aviation Safety And Security Risk Management Case Study Analysis has certain strengths that can be made use of to reduce the threats, get rid of the weak point and avail the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Aviation Safety And Security Risk Management Case Study Solution in the publishing industry i.e. 60 years enables the business to provide high quality items at a lower cost utilizing its previous experiences.
• The technical resources and abilities produced by its successful journey supply a competitive advantage to CMP.
• Vast product portfolioof CMP assists it to diversify its threat and offer high value to its consumers.
• Strong monetary position permits the business to think about numerous development opportunities without any worry of raising fund externally.
Weak points
In addition to the strengths, the business has particular weak points which could increase restraints for the business in executing its development program. The weak points of Aviation Safety And Security Risk Management Case Study Analysis are given as follows;
• Despite of being a science and innovation publishing firm, the company still has conventional methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It must propose particular growth strategies to prevent its dependence over the Chinese markets to attain long term growth.
Opportunities
The growth of the publishing industry is declining since 2008, impacting Aviation Safety And Security Risk Management Case Study Analysis as well, but the development could be revived by availing certain opportunities presented in the market. The marketplace opportunities for CMP consist of;
• The company might also present Digital Publishing by using its long term technical experience and a strong consumer 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 funds.
Dangers
The changing macro trends in the market and increasing competitors in the publishing market has presented specific hazards to Aviation Safety And Security Risk Management Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries could lead to decreasing market share of Aviation Safety And Security Risk Management Case Study Analysis due to the customer shift towards virtual libraries.
• The presence of large number of rivals in the publishing industry increase the threat for CMP to lose its competitive position in the market, as competitors can get a strong consumer base by utilizing specific methods like aggressive promotion, quality products, etc.
• Entrance of brand-new publishing firms in the market along with existence of high competition increases the risk of losing the customer base.
Financial Analysis.
Due to lack of data, the monetary ratios of CMP might not be computed. It could be examined from the Appendix III that the yearly overall profits of Aviation Safety And Security Risk Management Case Study Help during the period 2000-2012 are growing at a high growth rate, revealing that the annual demand of the items of CMP is growing and the business is rather efficient in drawing in a large number of customers at a prospective rate.
Together with it, the second chart which shows the annual development in the Aviation Safety And Security Risk Management Case Study Analysis overall assets, shows that the company is rather effective in including value to its properties through its earnings. The development in properties reveals that the overall worth of the company is also increasing with increasing the total profits. (Unknown, 2013).
Another financial analysis of the company utilizing the offered information might be the analysis regarding the distribution of overall incomes of the company. Huge part of the incomes of CMP comes from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company could move towards other company sections with a possible development to attain its future development goal.
PESTEL Analysis
PESTEL analysis could be conducted to find out the various external forces impacting the efficiency of the business and the current trends in the external environment of the company. A short PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a considerable influence on the frame of mind of individuals about the communist ideology of the government, for that reason, the publishing sector is highly monitored and directed by the Publicity Department of the Communist Celebration of China. For that reason, it could be stated that the overall political forces affecting Aviation Safety And Security Risk Management Case Study Analysis business are high. The government policies concerning the publishing sector are likewise increasing with the passage of time.
Cost-effective.
Financial forces impacting the publishing sector in basic and the Aviation Safety And Security Risk Management Case Study Help in specific includesthe prices of paper, the earnings level of consumers, the inflation rate, and the general GDP development of the country. All these forces integrate impact the demand for the publishing market. Together with it, the financial policies related to the import of books impact the overall service at CPM. However, China's financial conditions are quite beneficial for CMP with high GDP growth 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 must focus on digital publishing to fulfill the altering consumer preferences.
Technological.
Technological forces impacting the CMP consist of the technological development in the reading techniques etc. Improvement of science and technology in addition to the rise of digital publishing might decrease the need for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces impacting Aviation Safety And Security Risk Management Case Study Solution includes the concerns of environmental neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is needed to be non reusable and the ink used while publishing must not be hazardous for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. The legal regulations regarding the publishing sector is controlled by the General Administration of Press and Publication. Publishing Regulation 1997 needs the publishers to be authorized first by the Federal government to be entered in the publishing market. The ordinance forbids direct participation of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's 5 Forces Design).
Porter's Five Forces Model might be used to analyze the attractiveness of the publishing market China. A short analysis of the Porter's 5 Forces is given as follows;.
Hazard of New Entrants.
Threats of new entrants in the Chinese Publishing Market is moderate. The prospective development in the market tends to attract brand-new entrants to the publishing industry. However, the presence of intense competitors and the requirement of huge capital tends to demotivate brand-new entrants to go into in the marketplace.
Danger of Substitution.
Risk of Substitution is high for the Chinese Publishing Industry. The alternative products for the published documents is the documents provided in the digital libraries on particular sites. The altering consumer choices towards digital learning increase the threat of substitution for the market.
Competitive Rivalry.
Competitive rivalry in the publishing market is high. The existence of large number of consumers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive rivalry for CMP. In addition to it, new entrants are likewise entering into the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The significant providers of the Aviation Safety And Security Risk Management Case Study Solution include the suppliers of the paper for publishing documents. As CMP is the biggest publisher in the Chinese Publishing Market, therefore 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 existence of a a great deal of publishers in the Chinese market and the market saturation, the buyers requires high quality documents at competitive prices.
Competitors Analysis.
CMP operates in an extremely competitive industry with the presence of a great deal of competitors. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Aviation Safety And Security Risk Management Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis one of the close competitors of CMP. Founded in the same period, CIP releases comparable kind of books. For a big time period, CIP held the largest market share, and still ranks second and 3rd in numerous market sections, with a major concentrate on instructional publications. CIP acts as a threat for CMP as it might wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the market share of Aviation Safety And Security Risk Management Case Study Analysis easily in the present market situation.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise established in the very same duration as CMP and CIP. It ranks 6th in the state-owned publishers in terms of organisation scale. It is likewise among the prominent gamers in the publishing industry with an annual total profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering dependence over the Chinese markets.
• Increasing number of Consumers
• Development chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
Cons
• Usage of potential resources in expansion.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present utilizing current abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio offers high worth to consumers.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core business sections to the new one can lead the business to lose demand of its products in the market.
Recommendations
As the choices are shifting towards digital publishing and the business require an immediate solution to prevent the declining industry growth. The business could likewise think about the growth program after the success of its digital publishing program.
Execution
In order to present digital publishing in its product portfolio, the company needs to first collects the information related to the customer need, the prospective markets, the government regulations and the data connected to the rivals provided in the market. After that, the business should choose one potential sector for its preliminary offering. It should gather research study that how it could separate its digital publishing from the existing competitors' products. The steps above the business must go for the initial offering. The company ought to go for the other markets if the initial offering shows a success. In this way the business would be able to implement its digital publishing program.
Conclusion
The growth of the publishing industry is declining because 2008, showing a risk to the company's long term presence, however the scenario can be controlled by considering a development strategy in the future. The company could think about introducing digital publishingin its existing market to execute its development program at instant basis and to prevent the threat of failure for entrance in the new markets.
