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Clear Water Sea Foods Case Analysis

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Clear Water Sea Foods Case Study Solution and Analysis


Introduction

Clear Water Sea Foods Case Study Help is the biggest publishing company with a highest market share in the China's book retail market. CMP has become a specialized information supplier and a large detailed Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.

Critical Issues

Although, Clear Water Sea Foods Case Study Help has invested its 60 years journey efficiently, being a successful publishing house, however, the altering macro market patterns and forces bring certain obstacles to the publishing industry in general and CMP in specific. These elements consist of;

• Entrance of the new publishing firms in the industry.
• Decreasing growth of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and innovation.
Executive Summary
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 company could be used to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


Clear Water Sea Foods Case Study Solution has certain strengths that can be used to lower the dangers, overcome the weak point and avail the opportunities. Strengths of CMP are given as follows;

• The long term experience of Clear Water Sea Foods Case Study Help in the publishing market i.e. 60 years allows the business to offer high quality products at a lower cost using its prior experiences.
• The technical resources and capabilities generated by its effective journey offer a competitive benefit to CMP.
• Vast product portfolioof CMP assists it to diversify its risk and offer high worth to its customers.
• Strong monetary position allows the company to consider several advancement opportunities without any fear of raising fund externally.

Weak points

Together with the strengths, the business has certain weak points which might increase constraints for the company in executing its development program. The weak points of Clear Water Sea Foods Case Study Solution are offered as follows;

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

Although, the development of the publishing industry is decreasing considering that 2008, impacting Clear Water Sea Foods Case Study Solution as well, but the growth could be revived by availing specific opportunities presented in the market. The market opportunities for CMP consist of;

• The business could likewise present Digital Publishing by utilizing its long term technical experience and a strong customer acknowledgment in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to lower its reliance over Chinese markets by utilizing its vast funds.

Risks

The changing macro trends in the market and increasing competitors in the publishing industry has actually presented certain hazards to Clear Water Sea Foods Case Study Help consisting of;( Gurel, 2017).

• Intro of digital publishing i.e. digital libraries might lead to decreasing market share of Clear Water Sea Foods Case Study Analysis due to the consumer shift towards virtual libraries.
• The presence of a great deal of competitors in the publishing industry increase the hazard for CMP to lose its competitive position in the market, as rivals can gain a strong customer base by using particular strategies like aggressive promotion, quality products, etc.
• Entrance of brand-new publishing companies in the industry along with presence of high competitors increases the hazard of losing the consumer base.

Monetary Analysis.
Swot Analysis
Due to lack of data, the financial ratios of CMP could not be determined. It could be analyzed from the Appendix III that the yearly total revenues of Clear Water Sea Foods Case Study Analysis throughout the period 2000-2012 are growing at a high growth rate, revealing that the yearly need of the products of CMP is growing and the business is rather effective in attracting a large number of customers at a possible rate.

In addition to it, the 2nd chart which reveals the yearly growth in the Clear Water Sea Foods Case Study Solution overall properties, reveals that the company is quite efficient in including worth to its properties through its revenues. The growth in assets shows that the overall value of the company is also increasing with increasing the total earnings. (Unidentified, 2013).

Another monetary analysis of the business utilizing the provided data could be the analysis relating to the distribution of total profits of the business. Major part of the profits of CMP originates from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The business could move towards other organisation sections with a potential development to attain its future advancement objective.

PESTEL Analysis

PESTEL analysis could be conducted to learn the different external forces affecting the efficiency of the business and the current trends in the external environment of the company. A brief PESTEL analysis of the business is provided as follows; (Alanzi, 2018).

Political.

As the publishing sector could have a considerable effect on the mindset of the people about the communist ideology of the government, for that reason, the publishing sector is highly monitored and guided by the Promotion Department of the Communist Celebration of China. It could be stated that the general political forces impacting CMP organisation are high. The federal government policies regarding the publishing sector are likewise increasing with the passage of time.

Affordable.

Economic forces impacting the publishing sector in general and the Clear Water Sea Foods Case Study Solution in specific includesthe rates of paper, the earnings level of consumers, the inflation rate, and the overall GDP development of the nation. All these forces integrate effect the need for the publishing market. In addition to it, the financial policies associated with the import of books impact the general organisation at CPM. Nevertheless, China's financial conditions are rather beneficial for CMP with high GDP growth and customer earnings level.

Social and Demographical.

The consumer preferences are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP ought to focus on digital publishing to satisfy the changing consumer choices.

Technological.

Technological forces impacting the CMP include the technological improvement in the reading strategies and so on. Enhancement of science and innovation along with the rise of digital publishing might minimize the demand for the CMP items, if specific actions would not be taken soon.

Environmental.
Vrio Analysis
Ecological forces impacting Clear Water Sea Foods Case Study Help includes the issues of environmental communities 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 utilized while publishing must not be damaging for the environment.

Legal.

Legal policies for the publishing sector at whole are high. Publishing Ordinance 1997 needs the publishers to be approved initially by the Federal government to be entered in the publishing market.

Industry Analysis (Porter's 5 Forces Design).

Porter's 5 Forces Model might be used to analyze the appearance of the publishing market China. A short analysis of the Porter's 5 Forces is given as follows;.

Hazard of New Entrants.

Threats of brand-new entrants in the Chinese Publishing Industry is moderate. The prospective development in the industry tends to draw in new entrants to the publishing market. The presence of extreme competitors and the requirement of substantial capital tends to demotivate new entrants to enter in the market.

Danger of Alternative.

Risk of Alternative is high for the Chinese Publishing Industry. The replacement products for the published documents is the files presented in the digital libraries on specific websites. The altering consumer preferences towards digital knowing increase the risk of replacement for the industry.

Competitive Rivalry.

Competitive rivalry in the publishing market is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, new entrants are likewise entering into the market increasing the competitors for CMP.

Bargaining Power of Supplier.

The significant suppliers of the Clear Water Sea Foods Case Study Solution consist of the suppliers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the total bargaining power of supplier for CMP is low.

Bargaining Power of Purchaser.

Negotiating power of purchaser 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 needs high quality documents at competitive prices.

Rivals Analysis.

CMP runs in a highly competitive market with the existence of large number of competitors. The business has a competitive position in the market with the highest market share in the Chinese publishing market. Major rivals of Clear Water Sea Foods Case Study Help include;.

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

Chemical Market Press (CIP).

CIPis one of the close competitors of CMP. Established in the exact same duration, CIP publishes similar kind of books. For a big period, CIP held the biggest market share, and still ranks 2nd and 3rd in different market sections, with a significant focus on educational publications. CIP serves as a hazard 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 Clear Water Sea Foods Case Study Help quickly in the current market situation.

Posts and telecommunication Press (PTP).

Another close competitor of CMP is PTP. It was also founded in the same duration as CMP and CIP. It ranks 6th in the state-owned publishers in terms of organisation scale. It is likewise one of the popular players in the publishing market with an annual overall earnings 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 opportunities.
• Avoiding the effect of market saturation in the Chinese publishing industry.

Cons
Recommendations
• Usage of possible resources in growth.
• Threat of failure in new markets.
• Time consuming.

Alernative-2: Introduce Digital Publishing

Pros

• Sustaining consumer base.
• Approaching new markets.
• Easy to introduce using existing capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio provides high worth to consumers.

Cons

• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core business segments to the brand-new one can lead the business to lose demand of its products in the market.

Suggestions

With the deep analysis of the external and internal environment of the company along with the market analysis and the rival analysis, Alternative 2 is suggested to CMP to attain its future advancement. As the preferences are moving towards digital publishing and the company need an immediate option to avoid the declining industry growth. Introduction of digital publishing might show to be an instant service with low amount of danger for the business. Nevertheless, the company might also think about the expansion program after the success of its digital publishing program.

Execution

In order to introduce digital publishing in its product portfolio, the business ought to initially gathers the information related to the customer need, the possible markets, the government policies and the information related to the rivals provided in the market. If the initial offering proves a success, the company ought to go for the other markets. In this way the company would be able to implement its digital publishing program.

Conclusion

Although, the growth of the publishing market is decreasing since 2008, revealing a danger to the company's long term existence, however the situation can be controlled by thinking about an advancement plan in the future. The business might think about introducing digital publishingin its existing market to implement its advancement program at immediate basis and to prevent the risk of failure for entryway in the new markets.

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