Customer Intelligence Advantage Module 2 Assignment Case Study Solution and Analysis
Intro
Customer Intelligence Advantage Module 2 Assignment Case Study Help is the largest publishing business with a highest market share in the China's book retail market. CMP offers a variety of services consisting of; gathering info, processing details and interaction services. Major business segments of the company consist of; books, periodicals, consultancy and distribution. The company has a vast product portfolio and its significant items consist of books, regulars, online media, exhibits, research study reports etc. Customer Intelligence Advantage Module 2 Assignment Case Study Analysis has actually become a specialized info service provider and a large comprehensive Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
Important Problems
Although, Customer Intelligence Advantage Module 2 Assignment Case Study Analysis has actually invested its 60 years journey efficiently, being an effective publishing home, however, the changing macro market trends and forces bring certain difficulties to the publishing industry in basic and CMP in specific. These factors consist of;
• Entrance of the new publishing companies in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Improvement of science and innovation.
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 scenario? 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 business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Customer Intelligence Advantage Module 2 Assignment Case Study Solution has specific strengths that can be made use of to lower the hazards, get rid of the weakness and avail the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Customer Intelligence Advantage Module 2 Assignment Case Study Help in the publishing industry i.e. 60 years permits the company to provide high quality products at a lower cost using its previous experiences.
• The technical resources and capabilities generated by its effective journey provide a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its threat and offer high value to its customers.
• Strong financial position allows the company to consider numerous development opportunities without any worry of raising fund externally.
Weaknesses
Along with the strengths, the business has particular weaknesses which could increase constraints for the company in executing its development program. The weaknesses of Customer Intelligence Advantage Module 2 Assignment Case Study Help are provided as follows;
• Despite of being a science and innovation publishing firm, the company 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 ought to propose certain expansion plans to prevent its reliance over the Chinese markets to attain long term development.
Opportunities
Although, the development of the publishing market is decreasing since 2008, impacting Customer Intelligence Advantage Module 2 Assignment Case Study Help as well, but the development could be revived by availing specific chances presented in the market. The marketplace opportunities for CMP consist of;
• The company could also present Digital Publishing by using its long term technical experience and a strong customer recognition in the market.
• CMP might consider a development program through the growth towards foreign markets in order to lower its reliance over Chinese markets by utilizing its huge funds.
Dangers
The altering macro trends in the market and increasing competitors in the publishing market has posed particular hazards to Customer Intelligence Advantage Module 2 Assignment Case Study Analysis including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could cause decreasing market share of Customer Intelligence Advantage Module 2 Assignment Case Study Solution due to the consumer shift towards digital libraries.
• The existence of large number of rivals in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can gain a strong customer base by utilizing specific techniques like aggressive promotion, quality products, etc.
• Entryway of brand-new publishing companies in the industry in addition to existence of high competitors increases the danger of losing the consumer base.
Financial Analysis.
Due to lack of data, the financial ratios of CMP might not be determined. It might be examined from the Appendix III that the yearly overall earnings of Customer Intelligence Advantage Module 2 Assignment Case Study Analysis during the period 2000-2012 are growing at a high development rate, revealing that the annual demand of the items of CMP is growing and the company is rather efficient in attracting a large number of consumers at a potential cost.
In addition to it, the 2nd graph which shows the annual development in the Customer Intelligence Advantage Module 2 Assignment Case Study Help total properties, reveals that the business is quite efficient in adding value to its possessions through its revenues. The growth in assets reveals that the total worth of the company is also increasing with increasing the total profits. (Unidentified, 2013).
Another monetary analysis of the company utilizing the offered information might be the analysis concerning the distribution of total earnings of the company. Major part of the earnings of CMP comes from the sales of its published books i.e. 64% as shown in the Case Appendix V. The company could move towards other company segments with a possible development to attain its future advancement goal.
PESTEL Analysis
PESTEL analysis might be carried out to learn the different external forces impacting the efficiency of the company and the recent patterns in the external environment of the company. A quick PESTEL analysis of the business is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a considerable influence on the frame of mind of the people 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 Celebration of China. For that reason, it could be stated that the general political forces impacting Customer Intelligence Advantage Module 2 Assignment Case Study Help organisation are high. The federal government policies relating to the publishing sector are likewise increasing with the passage of time.
Affordable.
Financial forces affecting the publishing sector in general and the CMP in particular includesthe rates of paper, the income level of customers, the inflation rate, and the general GDP growth of the country. All these forces combine impact the need for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the standard was of publishing. In this regard, CMP ought to focus on digital publishing to fulfill the altering customer preferences.
Technological.
Technological forces impacting the CMP consist of the technological advancement in the reading strategies and so on. Enhancement of science and innovation along with the increase of digital publishing might decrease the demand for the CMP products, if certain actions would not be taken soon.
Environmental.
Ecological forces impacting Customer Intelligence Advantage Module 2 Assignment Case Study Help consists of the concerns of environmental neighborhoods over the use of paper in publishing books. The paper utilized in the books while publishing is required to be disposable and the ink used while publishing ought to not be damaging for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. The legal guidelines relating to the publishing sector is controlled by the General Administration of Press and Publication. Publishing Ordinance 1997 needs the publishers to be authorized first by the Federal government to be gone into in the publishing market. The regulation prohibits direct participation of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's Five Forces Design).
Porter's Five Forces Model might be used to evaluate the attractiveness of the publishing industry China. A quick analysis of the Porter's Five Forces is provided as follows;.
Risk of New Entrants.
Threats of brand-new entrants in the Chinese Publishing Industry is moderate. The potential growth in the industry tends to bring in new entrants to the publishing industry. However, the existence of intense competition and the requirement of big capital tends to demotivate new entrants to go into in the market.
Risk of Replacement.
Danger of Alternative is high for the Chinese Publishing Industry. The replacement products for the released documents is the files presented in the digital libraries on particular websites. The changing customer choices towards digital learning increase the risk of alternative for the market.
Competitive Rivalry.
Competitive rivalry in the publishing market is high. The existence of a great deal of consumers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Along with it, brand-new entrants are likewise participating in the market increasing the competitors for CMP.
Bargaining Power of Provider.
The significant suppliers of the Customer Intelligence Advantage Module 2 Assignment Case Study Help include the providers of the paper for publishing files. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the total bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Haggling power of buyer in the publishing market is high. Due to the presence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers needs high quality files at competitive prices.
Competitors Analysis.
CMP operates in a highly competitive market with the presence of a great deal of rivals. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Significant rivals of Customer Intelligence Advantage Module 2 Assignment Case Study Help consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a hazard 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 CMP quickly in the present market circumstance.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was likewise established in the exact same period as CMP and CIP. It ranks sixth in the state-owned publishers in regards to service scale. 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
• Lowering dependence over the Chinese markets.
• Increasing variety of Clients
• Development chances.
• Preventing the impact of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in expansion.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to introduce utilizing current capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio supplies high worth to customers.
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 company to lose need of its products in the market.
Recommendations
As the choices are moving towards digital publishing and the business require an instant service to prevent the decreasing industry development. The business could also think about the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its item portfolio, the company needs to first collects the information associated with the consumer need, the potential markets, the federal government policies and the information connected to the competitors provided in the market. After that, the company should decide one prospective sector for its initial offering. It needs to collect research study that how it might separate its digital publishing from the existing rivals' items. After all the steps above the company must opt for the preliminary offering. The company must go for the other markets if the initial offering proves a success. In this way the company would be able to execute its digital publishing program.
Conclusion
Although, the development of the publishing market is declining since 2008, revealing a threat to the business's long term presence, but the circumstance can be managed by thinking about a development strategy in the future. The company might consider introducing digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the threat of failure for entrance in the new markets.
