Comprehensive Health Plan Case Study Solution and Analysis
Intro
Comprehensive Health Plan Case Study Help is the biggest publishing company with a highest market share in the China's book retail market. CMP supplies a number of services consisting of; collecting info, processing info and interaction services. Significant organisation segments of the company include; books, regulars, consultancy and circulation. The business has a huge item portfolio and its significant products include books, periodicals, online media, exhibitions, research reports etc. Comprehensive Health Plan Case Study Analysis has actually ended up being 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.
Vital Problems
Although, Comprehensive Health Plan Case Study Help has spent its 60 years journey smoothly, being a successful publishing home, nevertheless, the changing macro market trends and forces bring certain difficulties to the publishing market in general and CMP in particular. These aspects consist of;
• Entrance of the brand-new publishing firms in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and innovation.
The improvement 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 scenario? Do the long valuable experience, technical resources and the capabilities of the company could be utilized to strive for the future development unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Comprehensive Health Plan Case Study Analysis has specific strengths that can be utilized to reduce the dangers, get rid of the weakness and obtain the chances. Strengths of CMP are given as follows;
• The long term experience of Comprehensive Health Plan Case Study Help in the publishing industry i.e. 60 years permits the company to provide high quality items at a lower cost using its previous experiences.
• The technical resources and abilities generated by its successful journey provide a competitive advantage to CMP.
• Large product portfolioof CMP assists it to diversify its risk and provide high worth to its clients.
• Strong financial position enables the company to think about a number of development opportunities without any worry of raising fund externally.
Weak points
Along with the strengths, the business has certain weaknesses which could increase constraints for the company in executing its development program. The weaknesses of Comprehensive Health Plan Case Study Help are offered as follows;
• Despite of being a science and technology publishing company, the business still has standard ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It needs to propose particular expansion plans to prevent its dependence over the Chinese markets to attain long term development.
Opportunities
Although, the growth of the publishing market is decreasing since 2008, impacting Comprehensive Health Plan Case Study Analysis as well, however the growth could be restored by availing particular chances presented in the market. The marketplace opportunities for CMP consist of;
• The company could also introduce Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP could consider a development program through the growth towards foreign markets in order to decrease its dependence over Chinese markets by using its vast funds.
Risks
The altering macro trends in the market and increasing competitors in the publishing industry has postured particular threats to Comprehensive Health Plan Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries might result in declining market share of Comprehensive Health Plan Case Study Analysis due to the customer shift towards digital 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 acquire a strong consumer base by using certain strategies like aggressive promo, quality items, and so on
• Entryway of brand-new publishing companies in the industry in addition to presence of high competitors increases the risk of losing the customer base.
Monetary Analysis.
The company has a rather competitive monetary efficiency. Due to lack of information, the financial ratios of CMP could not be determined. The total financial performance of the business could be examined by utilizing the charts given in the case Appendices. It might be evaluated from the Appendix III that the annual total revenues of CMP throughout the period 2000-2012 are growing at a high development rate, revealing that the annual demand of the products of Comprehensive Health Plan Case Study Analysis is growing and the business is rather effective in attracting a large number of consumers at a potential rate.
Along with it, the 2nd chart which reveals the annual growth in the Comprehensive Health Plan Case Study Analysis overall assets, shows that the business is quite effective in including worth to its properties through its revenues. The development in possessions shows that the overall value of the company is also increasing with increasing the total earnings. (Unknown, 2013).
Another financial analysis of the business utilizing the given information could be the analysis concerning the circulation of overall earnings of the business. Major part of the revenues 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 organisation sectors with a prospective development to accomplish its future advancement goal.
PESTEL Analysis
PESTEL analysis might be performed to find out the numerous external forces affecting the performance of the company and the current patterns in the external environment of the company. A quick PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial influence on the frame of mind of individuals about the communist ideology of the federal government, for that reason, the publishing sector is extremely supervised and directed by the Promotion Department of the Communist Celebration of China. For that reason, it might be said that the overall political forces impacting Comprehensive Health Plan Case Study Analysis organisation are high. The government policies relating to the publishing sector are likewise increasing with the passage of time.
Cost-effective.
Financial forces impacting the publishing sector in general and the CMP in particular includesthe costs of paper, the income level of consumers, the inflation rate, and the total GDP growth of the country. All these forces combine impact the demand for the publishing market.
Social and Demographical.
The customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP must focus on digital publishing to satisfy the altering consumer preferences.
Technological.
Technological forces affecting the CMP consist of the technological improvement in the reading techniques etc. Improvement of science and technology in addition to the increase of digital publishing could lower the demand for the CMP products, if specific actions would not be taken soon.
Environmental.
Environmental forces affecting Comprehensive Health Plan Case Study Solution consists of the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is required to be non reusable and the ink used while publishing must not be harmful for the environment.
Legal.
Legal policies for the publishing sector at whole are high. The legal regulations concerning the publishing sector is managed by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be authorized initially by the 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 5 Forces Design).
Porter's 5 Forces Model might be utilized to examine the beauty of the publishing industry China. A quick analysis of the Porter's Five Forces is provided as follows;.
Danger of New Entrants.
Hazards of 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. The presence of intense competitors and the requirement of huge capital tends to demotivate brand-new entrants to go into in the market.
Danger of Alternative.
Risk of Alternative is high for the Chinese Publishing Market. The alternative items for the published documents is the documents presented in the virtual libraries on particular sites. The altering consumer choices towards digital knowing increase the risk of substitution for the market.
Competitive Competition.
Competitive rivalry in the publishing market is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive competition for CMP. In addition to it, new entrants are likewise entering into the market increasing the competition for CMP.
Bargaining Power of Provider.
The significant providers of the Comprehensive Health Plan Case Study Help include the suppliers of the paper for publishing files. 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 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 market saturation, the purchasers requires high quality files at competitive rates.
Competitors Analysis.
CMP operates in an extremely competitive market with the existence of large number of competitors. Nevertheless, the business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Comprehensive Health Plan Case Study Analysis include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a threat for CMP as it might 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 easily in the existing market scenario.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was also founded in the same duration as CMP and CIP. It ranks sixth in the state-owned publishers in terms of service scale. It is also among the prominent gamers in the publishing market with a yearly total earnings of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Reducing dependence over the Chinese markets.
• Increasing variety of Consumers
• Growth opportunities.
• Avoiding the effect of market saturation in the Chinese publishing industry.
Cons
• Usage of possible resources in growth.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present using current abilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased item portfolio offers high value to consumers.
Cons
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core company sections to the brand-new one can lead the company to lose need of its products 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 recommended to CMP to achieve its future development. As the preferences are moving towards digital publishing and the business need an instant service to avoid the decreasing market growth. For that reason, intro of digital publishing could prove to be an instant option with low quantity of risk for the company. The company could likewise consider the expansion program after the success of its digital publishing program.
Execution
In order to present digital publishing in its item portfolio, the business needs to initially gathers the data related to the consumer need, the prospective markets, the federal government regulations and the data related to the competitors 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 execute its digital publishing program.
Conclusion
The growth of the publishing industry is declining since 2008, showing a threat to the business's long term existence, but the situation can be managed by considering a development plan in the future. The company might consider introducing digital publishingin its existing market to implement its development program at instant basis and to prevent the risk of failure for entryway in the new markets.
