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Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Solution

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Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Solution and Analysis


Introduction

Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Help is the largest publishing business with a greatest market share in the China's book retail market. CMP has ended up being a specialized info supplier and a big extensive Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.

Vital Problems

CMP has invested its 60 years journey efficiently, being an effective publishing home, nevertheless, the changing macro market trends and forces bring certain obstacles to the publishing market in basic and Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis in specific. These aspects include;

• Entryway of the new publishing companies in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Enhancement of science and innovation.
Executive Summary
The improvement 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 abilities of the company could be used to pursue the future development unceasingly? How could the business sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis has particular strengths that can be made use of to lower the dangers, get rid of the weak point and avail the chances. Strengths of CMP are given as follows;

• The long term experience of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Solution in the publishing industry i.e. 60 years permits the company to offer high quality items at a lower expense utilizing its previous experiences.
• The technical resources and abilities produced by its successful journey supply a competitive advantage to CMP.
• Large product portfolioof CMP helps it to diversify its risk and provide high value to its consumers.
• Strong monetary position enables the company to consider several development opportunities with no fear of raising fund externally.

Weaknesses

Along with the strengths, the company has specific weak points which might increase restraints for the business in executing its development program. The weaknesses of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Help are provided as follows;

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

Although, the growth of the publishing market is decreasing considering that 2008, impacting Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis also, however the development might be revived by availing particular opportunities presented in the market. The market opportunities for CMP consist of;

• The company could also introduce Digital Publishing by using its long term technical experience and a strong consumer recognition in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to lower its dependence over Chinese markets by utilizing its vast financial resources.

Risks

The altering macro trends in the market and increasing competitors in the publishing industry has actually postured particular hazards to Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Help including;( Gurel, 2017).

• Intro of digital publishing i.e. virtual libraries could lead to declining market share of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis due to the customer shift towards virtual libraries.
• The existence of a great deal of rivals in the publishing industry increase the threat for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by utilizing particular strategies like aggressive promotion, quality items, and so on
• Entrance of new publishing firms in the market together with existence of high competition increases the hazard of losing the consumer base.

Monetary Analysis.
Swot Analysis
Due to lack of information, the financial ratios of CMP could not be calculated. It could be evaluated from the Appendix III that the annual total incomes of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Help during the period 2000-2012 are growing at a high development rate, showing that the yearly need of the products of CMP is growing and the business is rather efficient in bring in a large number of customers at a potential cost.

In addition to it, the second chart which shows the yearly development in the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis overall assets, reveals that the company is quite effective in adding value to its properties through its incomes. The growth in properties reveals that the total value of the firm is likewise increasing with increasing the total profits. (Unidentified, 2013).

Another financial analysis of the company using the provided information might be the analysis relating to the circulation of overall earnings of the company. Huge part of the profits of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The business might move towards other business sectors with a potential development to attain its future advancement objective.

PESTEL Analysis

PESTEL analysis could be conducted to find out the different external forces impacting the efficiency of the business and the recent patterns in the external environment of the business. A brief PESTEL analysis of the company is offered as follows; (Alanzi, 2018).

Political.

As the publishing sector could have a substantial effect on the mindset of individuals about the communist ideology of the government, for that reason, the publishing sector is extremely supervised and directed by the Promotion Department of the Communist Party of China. For that reason, it might be said that the overall political forces affecting Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis company are high. The government policies relating to the publishing sector are likewise increasing with the passage of time.

Affordable.

Financial forces impacting the publishing sector in basic and the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis in particular includesthe prices of paper, the income level of consumers, the inflation rate, and the overall GDP growth of the nation. All these forces combine effect the demand for the publishing market. Together with it, the financial policies related to the import of books affect the overall business at CPM. Nevertheless, China's economic conditions are rather favorable for CMP with high GDP development and customer income level.

Social and Demographical.

Social and demographical forces include the population development, the consumer's preferences towards reading useful materials etc. China has the highest population worldwide with a high population development, showing the increasing number of customers of the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis. However, the consumer choices are moving towards digital publishing instead of the traditional was of publishing. In this regard, CMP ought to concentrate on digital publishing to fulfill the altering customer choices.

Technological.

Technological forces affecting the CMP consist of the technological development in the reading methods and so on. Enhancement of science and innovation together with the increase of digital publishing might decrease the need for the CMP items, if specific actions would not be taken quickly.

Environmental.
Vrio Analysis
Ecological forces affecting Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Help consists of the issues of ecological communities over the use 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 needs to not be harmful for the environment.

Legal.

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

Market Analysis (Porter's 5 Forces Model).

Porter's Five Forces Design could be used to examine the appearance of the publishing industry China. A short analysis of the Porter's 5 Forces is given as follows;.

Hazard of New Entrants.

Risks of new entrants in the Chinese Publishing Industry is moderate. The possible growth in the industry tends to attract brand-new entrants to the publishing market. However, the existence of intense competitors and the requirement of huge capital tends to demotivate brand-new entrants to enter in the marketplace.

Hazard of Substitution.

Threat of Replacement is high for the Chinese Publishing Market. The replacement products for the released files is the documents provided in the virtual libraries on certain websites. The altering customer choices towards digital knowing increase the threat of replacement for the industry.

Competitive Competition.

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

Bargaining Power of Provider.

The major providers of the Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis consist of the providers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, therefore the general bargaining power of provider for CMP is low.

Bargaining Power of Purchaser.

Haggling power of purchaser in the publishing market is high. Due to the existence of a large number 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 industry with the presence of a great deal of rivals. Nevertheless, the company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis include;.

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

Chemical Market Press (CIP).

CIPis among the close rivals of CMP. Founded in the very same period, CIP publishes comparable type of books. For a big time period, CIP held the biggest market share, and still ranks third and second in various market sectors, with a major focus on academic publications. CIP serves 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 might wean the marketplace share of Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Help quickly in the current market situation.

Posts and telecommunication Press (PTP).

It was likewise established in the exact same duration as Colgate Palmolive Company Marketing Anti Cavity Toothpaste 5 Case Study Analysis and CIP. It is likewise one of the prominent players in the publishing market with a yearly overall revenues of RMB 550 million in 2010.

Alternatives

Alternative-1: Broaden towards New Markets

Pros

• Minimizing dependence over the Chinese markets.
• Increasing variety of Customers
• Development opportunities.
• Preventing the impact of market saturation in the Chinese publishing industry.

Cons
Recommendations
• Usage of prospective resources in growth.
• Danger of failure in new markets.
• Time consuming.

Alernative-2: Introduce Digital Publishing

Pros

• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present utilizing current capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high worth to clients.

Cons

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

Recommendations

With the deep analysis of the internal and external environment of the business together with the industry analysis and the competitor analysis, Alternative 2 is suggested to CMP to accomplish its future advancement. As the preferences are shifting towards digital publishing and the business require an instant option to avoid the declining market growth. Introduction of digital publishing might prove to be an instant service with low amount of threat for the business. The company could likewise consider the growth program after the success of its digital publishing program.

Execution

In order to introduce digital publishing in its product portfolio, the business ought to first collects the data associated with the customer need, the prospective markets, the federal government policies and the information related to the rivals provided in the market. After that, the business needs to decide one possible section for its preliminary offering. It must collect research that how it might separate its digital publishing from the existing competitors' items. The steps above the business need to go for the preliminary offering. If the initial offering proves a success, the company should choose the other markets. In this method the business would have the ability to execute its digital publishing program.

Conclusion

Although, the development of the publishing industry is decreasing considering that 2008, showing a danger to the business's long term presence, but the scenario can be managed by thinking about an advancement plan in the future. The company might think about introducing digital publishingin its existing market to execute its advancement program at instant basis and to avoid the risk of failure for entryway in the brand-new markets.

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