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Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Analysis

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Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Solution and Analysis


Intro

Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Solution is the largest publishing business with a greatest market share in the China's book retail market. CMP provides a number of services consisting of; collecting details, processing information and communication services. Major organisation sections of the business include; books, regulars, consultancy and circulation. The company has a huge product portfolio and its major products include books, regulars, online media, exhibitions, research reports and so on. Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Help has actually become a specialized information supplier and a big extensive Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.

Crucial Problems

CMP has invested its 60 years journey efficiently, being a successful publishing house, however, the altering macro market patterns and forces bring specific difficulties to the publishing industry in basic and Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis in specific. These factors consist of;

• Entryway of the new publishing companies in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Enhancement of science and technology.
Executive Summary
The change of the macro markets have raised several concerns 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 capabilities of the company could be made use of 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


Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis has particular strengths that can be used to lower the dangers, conquer the weakness and avail the opportunities. Strengths of CMP are offered as follows;

• The long term experience of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Solution in the publishing market i.e. 60 years permits the business to provide high quality items at a lower cost using its prior experiences.
• The technical resources and capabilities produced by its successful journey offer a competitive benefit to CMP.
• Vast product portfolioof CMP helps it to diversify its danger and offer high value to its consumers.
• Strong monetary position allows the company to think about several development opportunities without any fear of raising fund externally.

Weak points

Together with the strengths, the business has specific weaknesses which might increase restrictions for the business in executing its development program. The weak points of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis are given as follows;

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

Although, the development of the publishing industry is declining because 2008, impacting Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Solution as well, but the growth could be revived by availing specific chances presented in the market. The marketplace chances for CMP include;

• The business might also introduce Digital Publishing by utilizing its long term technical experience and a strong consumer recognition in the market.
• CMP might consider a development program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its large funds.

Threats

The altering macro patterns in the market and increasing competition in the publishing industry has actually presented certain risks to Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Help consisting of;( Gurel, 2017).

• Introduction of digital publishing i.e. digital libraries could lead to declining market share of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis due to the consumer shift towards digital libraries.
• The presence of a great deal of competitors in the publishing market increase the hazard for CMP to lose its competitive position in the market, as rivals can get a strong customer base by using specific strategies like aggressive promotion, quality products, etc.
• Entrance of new publishing firms in the market along with existence of high competition increases the hazard of losing the customer base.

Financial Analysis.
Swot Analysis
The business has a rather competitive monetary efficiency. Due to lack of data, the financial ratios of CMP might not be computed. However, the total monetary performance of the business could be analyzed by using the charts given up the case Appendices. It could be evaluated from the Appendix III that the yearly overall incomes of CMP during the duration 2000-2012 are growing at a high growth rate, revealing that the annual need of the products of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis is growing and the company is quite efficient in drawing in a a great deal of customers at a possible cost.

In addition to it, the 2nd chart which reveals the annual development in the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis total possessions, reveals that the business is rather efficient in adding worth to its assets through its profits. The growth in assets shows that the total value of the firm is likewise increasing with increasing the overall earnings. (Unknown, 2013).

Another financial analysis of the company utilizing the offered information could be the analysis concerning the distribution of overall incomes of the business. Major part of the profits 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 achieve its future development goal.

PESTEL Analysis

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

Political.

As the publishing sector could have a significant influence on the state of mind of the people about the communist ideology of the government, therefore, the publishing sector is highly monitored and assisted by the Publicity Department of the Communist Party of China. It could be stated that the overall political forces affecting CMP business are high. The government policies concerning the publishing sector are likewise increasing with the passage of time.

Cost-effective.

Economic forces impacting the publishing sector in general and the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis in specific includesthe prices of paper, the earnings level of consumers, the inflation rate, and the general GDP growth of the nation. All these forces combine impact the need for the publishing market. Together with it, the financial policies related to the import of books impact the total organisation at CPM. Nevertheless, China's financial conditions are rather beneficial for CMP with high GDP growth and customer income level.

Social and Demographical.

Social and demographical forces consist of the population development, the customer's choices towards reading informative materials etc. China has the greatest population on the planet with a high population growth, showing the increasing variety of customers of the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Solution. However, the customer preferences are moving towards digital publishing instead of the conventional was of publishing. In this regard, CMP needs to focus on digital publishing to satisfy the altering consumer choices.

Technological.

Technological forces impacting the CMP include the technological improvement in the reading methods and so on. Improvement of science and innovation together with the rise of digital publishing might reduce the demand for the CMP products, if specific actions would not be taken quickly.

Environmental.
Vrio Analysis
Environmental forces impacting Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Solution includes the issues of environmental 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 must not be damaging for the environment.

Legal.

Legal policies for the publishing sector at whole are high. The legal guidelines concerning the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be authorized initially by the Federal government to be entered in the publishing market. The regulation prohibits direct participation of foreign entities and individuals in the publishing sector.

Market Analysis (Porter's Five Forces Model).

Porter's 5 Forces Design could be utilized to analyze the beauty of the publishing market China. A quick analysis of the Porter's 5 Forces is provided as follows;.

Hazard of New Entrants.

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

Risk of Replacement.

Threat of Alternative is high for the Chinese Publishing Market. The alternative items for the released files is the documents provided in the virtual libraries on specific sites. The altering customer choices towards digital knowing increase the risk of replacement for the market.

Competitive Competition.

Competitive competition in the publishing market is high. The existence 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, brand-new entrants are likewise entering into the marketplace increasing the competition for CMP.

Bargaining Power of Supplier.

The major providers of the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Help include the providers of the paper for releasing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the general 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 needs high quality files at competitive rates.

Competitors Analysis.

CMP operates in a highly competitive market with the presence of a great deal of rivals. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis include;.

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

Chemical Market Press (CIP).

CIPis among the close competitors of CMP. Founded in the same period, CIP releases comparable kind of books. For a large period, CIP held the largest market share, and still ranks 2nd and third in numerous market sectors, with a major concentrate on academic publications. CIP functions as a risk 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 Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis quickly in the existing market circumstance.

Posts and telecommunication Press (PTP).

It was also founded in the very same period as Colgate Palmolive Company Marketing Anti Cavity Toothpaste 3 Case Study Analysis and CIP. It is also one of the popular players in the publishing market with a yearly overall profits of RMB 550 million in 2010.

Alternatives

Alternative-1: Expand towards New Markets

Pros

• Decreasing reliance over the Chinese markets.
• Increasing variety of Consumers
• Growth opportunities.
• Preventing the impact of market saturation in the Chinese publishing market.

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

Alernative-2: Present Digital Publishing

Pros

• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present utilizing current capabilities.
• 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 concentrate on the digital publishing.
• Shift of focus from the core company sections to the new one can lead the company to lose demand of its products in the market.

Recommendations

As the choices are moving towards digital publishing and the company need an immediate service to prevent the decreasing industry development. The company might also consider the growth program after the success of its digital publishing program.

Execution

In order to introduce digital publishing in its item portfolio, the business ought to initially collects the information associated with the consumer need, the possible markets, the federal government regulations and the information related to the competitors presented in the market. After that, the company ought to decide one potential segment for its initial offering. It must collect research study that how it could distinguish its digital publishing from the existing rivals' items. After all the steps above the company must opt for the initial offering. The business must go for the other markets if the initial offering shows a success. In this way the business would be able to execute its digital publishing program.

Conclusion

Although, the growth of the publishing industry is declining because 2008, revealing a risk to the company's long term existence, but the situation can be managed by considering an advancement 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 avoid the danger of failure for entryway in the new markets.

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