Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution and Analysis
Introduction
Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help is the largest publishing company with a greatest market share in the China's book retail market. CMP supplies a variety of services including; collecting info, processing information and communication services. Major business segments of the company include; books, regulars, consultancy and circulation. The company has a vast product portfolio and its major products consist of books, periodicals, online media, exhibitions, research reports and so on. Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution has actually become a specialized information service provider and a large extensive Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.
Vital Concerns
CMP has invested its 60 years journey smoothly, being a successful publishing house, nevertheless, the changing macro market trends and forces bring particular difficulties to the publishing market in basic and Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Analysis in specific. These factors consist of;
• Entryway of the brand-new publishing companies in the market.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Improvement of science and technology.
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 capabilities of the business 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
Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help has specific strengths that can be used to minimize the hazards, overcome the weakness and avail the chances. Strengths of CMP are offered as follows;
• The long term experience of Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help in the publishing industry i.e. 60 years allows the business to provide high quality products at a lower cost utilizing its prior experiences.
• The technical resources and abilities generated by its successful journey supply a competitive benefit to CMP.
• Vast product portfolioof CMP assists it to diversify its risk and offer high value to its clients.
• Strong financial position permits the company to think about numerous advancement chances with no fear of raising fund externally.
Weaknesses
Along with the strengths, the business has certain weak points which could increase constraints for the business in implementing its development program. The weak points of Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help are offered as follows;
• Despite of being a science and innovation publishing firm, the business still has standard ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It should propose certain growth plans to prevent its reliance over the Chinese markets to accomplish long term growth.
Opportunities
The growth of the publishing industry is declining because 2008, impacting Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution as well, but the growth could be restored by availing certain opportunities presented in the market. The market chances for CMP include;
• The company might likewise present Digital Publishing by using its long term technical experience and a strong customer acknowledgment in the market.
• CMP might consider a development program through the expansion towards foreign markets in order to lower its dependence over Chinese markets by using its vast funds.
Threats
The altering macro trends in the market and increasing competition in the publishing industry has actually positioned specific dangers to Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries could lead to declining market share of Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution due to the customer shift towards virtual libraries.
• The existence of a great deal of competitors in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can acquire a strong consumer base by utilizing specific methods like aggressive promotion, quality products, etc.
• Entrance of brand-new publishing companies in the industry in addition to presence of high competition increases the hazard of losing the customer base.
Financial 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 overall incomes of Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help during the period 2000-2012 are growing at a high growth rate, showing that the annual need of the items of CMP is growing and the business is quite efficient in attracting a big number of clients at a potential cost.
Together with it, the second graph which shows the yearly development in the Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help overall assets, reveals that the business is rather effective in adding value to its possessions through its revenues. The growth in possessions reveals that the total worth of the company is also increasing with increasing the total incomes. (Unidentified, 2013).
Another financial analysis of the company using the given information might be the analysis relating to the distribution of overall earnings of the company. Huge part of the earnings of CMP originates from the sales of its released books i.e. 64% as shown in the Case Appendix V. The business could move towards other service segments with a prospective growth to accomplish its future advancement goal.
PESTEL Analysis
PESTEL analysis could be carried out to learn the different external forces affecting the performance of the company and the current patterns in the external environment of the business. 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 mindset of individuals about the communist ideology of the federal government, for that reason, the publishing sector is highly supervised and guided by the Promotion Department of the Communist Party of China. It could be stated that the general political forces impacting CMP company are high. The federal government policies regarding the publishing sector are likewise increasing with the passage of time.
Economical.
Financial forces affecting the publishing sector in basic and the Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution in particular includesthe prices of paper, the earnings level of consumers, the inflation rate, and the total GDP development of the country. All these forces integrate effect the demand for the publishing market. Together with it, the financial policies related to the import of books affect the total service at CPM. Nevertheless, China's economic conditions are rather favorable for CMP with high GDP development and consumer earnings level.
Social and Demographical.
Social and demographical forces include the population growth, the customer's preferences towards reading helpful materials etc. China has the highest population worldwide with a high population development, showing the increasing number of customers of the Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution. The customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP ought to concentrate on digital publishing to meet the altering consumer choices.
Technological.
Technological forces affecting the CMP include the technological improvement in the reading techniques and so on. Improvement of science and technology in addition to the rise of digital publishing could reduce the need for the CMP items, if specific actions would not be taken soon.
Environmental.
Ecological forces affecting Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Analysis includes the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is needed to be disposable and the ink used while publishing should not be hazardous for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. Publishing Regulation 1997 requires the publishers to be authorized initially by the Federal government to be entered in the publishing market.
Industry Analysis (Porter's Five Forces Model).
Porter's Five Forces Design might be used to evaluate the beauty of the publishing industry China. A short analysis of the Porter's 5 Forces is offered as follows;.
Threat of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Industry is moderate. The prospective development in the industry tends to attract new entrants to the publishing market. The presence of intense competitors and the requirement of big capital tends to demotivate new entrants to go into in the market.
Risk of Substitution.
Danger of Replacement is high for the Chinese Publishing Industry. The substitute items for the published documents is the files presented in the virtual libraries on certain sites. The changing consumer preferences towards digital learning increase the threat 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 Market like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, new entrants are likewise participating in the market increasing the competition for CMP.
Bargaining Power of Provider.
The significant providers of the Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help include the suppliers of the paper for releasing documents. 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.
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 marketplace saturation, the buyers requires high quality files at competitive prices.
Rivals Analysis.
CMP operates in a highly competitive industry with the existence of large number of competitors. Nevertheless, the company has a competitive position in the market with the highest market share in the Chinese publishing market. Significant competitors of Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Solution include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIP acts as a danger 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 market share of CMP quickly in the existing market situation.
Posts and telecommunication Press (PTP).
It was also founded in the exact same duration as Emirates Airline A Billion Dollar Sukuk Bond Issue 3 Case Study Help and CIP. It is likewise one of the prominent players in the publishing market with an annual total incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Minimizing dependence over the Chinese markets.
• Increasing number of Consumers
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in growth.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce using current capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio offers high worth to clients.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core company sectors to the new one can lead the company to lose demand of its items in the market.
Recommendations
With the deep analysis of the external and internal environment of the business in addition to the market analysis and the competitor analysis, Alternative 2 is recommended to CMP to accomplish its future development. As the preferences are shifting towards digital publishing and the company require an immediate service to prevent the declining industry development. Intro of digital publishing could show to be an immediate solution with low amount of threat for the business. 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 company needs to first gathers the information related to the customer need, the potential markets, the federal government guidelines and the data related to the competitors presented in the market. If the preliminary offering shows a success, the business ought to go for the other markets. In this way the business would be able to implement its digital publishing program.
Conclusion
The development of the publishing industry is declining given that 2008, showing a hazard to the company's long term existence, but the scenario can be managed by thinking about an advancement plan in the future. The business might think about presenting digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the risk of failure for entryway in the new markets.
