Emotiv Systems Inc Its The Thoughts That Count Case Study Solution and Analysis
Intro
Emotiv Systems Inc Its The Thoughts That Count Case Study Help is the biggest publishing business with a highest market share in the China's book retail market. CMP has ended up being a specialized info service provider and a large comprehensive Science and Innovation publishing business through the integration of print media, audio-visual media and the network media.
Important Problems
CMP has invested its 60 years journey smoothly, being an effective publishing home, however, the altering macro market trends and forces bring specific challenges to the publishing industry in basic and Emotiv Systems Inc Its The Thoughts That Count Case Study Solution in specific. These aspects include;
• Entryway of the brand-new publishing companies in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Enhancement of science and technology.
The change of the macro markets have raised numerous 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 business could be utilized to pursue the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Emotiv Systems Inc Its The Thoughts That Count Case Study Help has certain strengths that can be utilized to minimize the dangers, get rid of the weakness and get the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Emotiv Systems Inc Its The Thoughts That Count Case Study Solution in the publishing market i.e. 60 years enables the business to offer high quality items at a lower cost utilizing its prior experiences.
• The technical resources and capabilities created by its effective journey provide a competitive benefit to CMP.
• Huge product portfolioof CMP helps it to diversify its risk and supply high value to its consumers.
• Strong financial position allows the company to consider a number of advancement chances without any fear of raising fund externally.
Weaknesses
In addition to the strengths, the business has specific weaknesses which might increase restraints for the business in implementing its advancement program. The weak points of Emotiv Systems Inc Its The Thoughts That Count Case Study Analysis are offered as follows;
• Despite of being a science and innovation publishing company, the company still has standard ways ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It needs to propose particular growth plans to avoid its dependence over the Chinese markets to accomplish long term development.
Opportunities
Although, the development of the publishing industry is declining because 2008, affecting Emotiv Systems Inc Its The Thoughts That Count Case Study Analysis also, but the growth might be restored by availing certain opportunities provided in the market. The marketplace opportunities for CMP include;
• The business could 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 reduce its reliance over Chinese markets by using its huge funds.
Risks
The changing macro patterns in the market and increasing competitors in the publishing industry has postured particular hazards to Emotiv Systems Inc Its The Thoughts That Count Case Study Analysis including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could result in declining market share of Emotiv Systems Inc Its The Thoughts That Count Case Study Help due to the consumer shift towards digital libraries.
• The presence of large number of rivals in the publishing market increase the risk 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 products, and so on
• Entrance of brand-new publishing companies in the industry together with existence of high competitors increases the threat of losing the customer base.
Financial Analysis.
Due to lack of data, the financial ratios of CMP could not be calculated. It could be examined from the Appendix III that the yearly total revenues of Emotiv Systems Inc Its The Thoughts That Count Case Study Help throughout the period 2000-2012 are growing at a high growth rate, showing that the yearly need of the products of CMP is growing and the business is rather efficient in attracting a big number of clients at a prospective price.
Along with it, the second graph which shows the annual growth in the Emotiv Systems Inc Its The Thoughts That Count Case Study Solution total possessions, shows that the business is quite efficient in adding worth to its properties through its earnings. The development in possessions shows that the total value of the firm is also increasing with increasing the total revenues. (Unidentified, 2013).
Another monetary analysis of the company using the offered information might be the analysis relating to the circulation of total profits of the company. Major part of the profits of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The business could move towards other organisation sectors with a potential development to achieve its future advancement objective.
PESTEL Analysis
PESTEL analysis could be conducted to find out the various external forces affecting the efficiency of the business and the recent patterns in the external environment of the business. A short PESTEL analysis of the business is given as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial impact on the mindset of the people about the communist ideology of the federal government, therefore, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Party of China. Therefore, it might be said that the total political forces impacting Emotiv Systems Inc Its The Thoughts That Count Case Study Solution organisation are high. The federal government policies regarding the publishing sector are also increasing with the passage of time.
Cost-effective.
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 nation. All these forces integrate impact the need for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP must focus on digital publishing to fulfill the changing customer choices.
Technological.
Technological forces impacting the CMP consist of the technological advancement in the reading techniques etc. Enhancement of science and technology along with the rise of digital publishing might lower the demand for the CMP products, if particular actions would not be taken soon.
Environmental.
Ecological forces affecting Emotiv Systems Inc Its The Thoughts That Count Case Study Help consists of the issues of ecological 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 utilized while publishing should not be hazardous for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. The legal guidelines regarding the publishing sector is controlled by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be authorized first by the Government to be gone into in the publishing market. The regulation forbids direct participation of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's 5 Forces Design).
Porter's Five Forces Design might be utilized to examine the appearance of the publishing industry China. A brief analysis of the Porter's Five Forces is offered as follows;.
Threat of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Market is moderate. The potential growth in the industry tends to bring in new entrants to the publishing industry. However, the presence of extreme competition and the requirement of huge capital tends to demotivate brand-new entrants to go into in the market.
Danger of Substitution.
Hazard of Substitution is high for the Chinese Publishing Market. The alternative items for the released documents is the files provided in the digital libraries on certain sites. The altering consumer choices towards digital knowing increase the danger of replacement for the industry.
Competitive Rivalry.
Competitive rivalry in the publishing industry 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 also entering into the market increasing the competitors for CMP.
Bargaining Power of Provider.
The major providers of the Emotiv Systems Inc Its The Thoughts That Count 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 Purchaser.
Haggling power of buyer in the publishing industry is high. Due to the presence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers requires high quality documents at competitive prices.
Rivals Analysis.
CMP operates in a highly competitive industry with the existence of large number of competitors. However, the business has a competitive position in the market with the highest market share in the Chinese publishing market. Significant rivals of Emotiv Systems Inc Its The Thoughts That Count Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis among the close rivals of CMP. Established in the very same duration, CIP publishes comparable type of books. For a big period, CIP held the biggest market share, and still ranks 2nd and 3rd in numerous market sectors, with a significant concentrate on educational publications. CIP functions as a hazard for CMP as it could wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the market share of Emotiv Systems Inc Its The Thoughts That Count Case Study Analysis quickly in the present market situation.
Posts and telecommunication Press (PTP).
It was also established in the very same duration as Emotiv Systems Inc Its The Thoughts That Count Case Study Analysis and CIP. It is also one of the prominent gamers in the publishing market with an annual overall incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Minimizing dependence over the Chinese markets.
• Increasing variety of Clients
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing industry.
Cons
• Usage of prospective resources in growth.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce using present capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased item portfolio offers high value to clients.
Cons
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core service sectors to the new one can lead the company to lose demand of its products in the market.
Suggestions
With the deep analysis of the external and internal environment of the company along with the market analysis and the rival analysis, Alternative 2 is recommended to CMP to attain its future development. As the choices are moving towards digital publishing and the business need an instant option to avoid the declining industry development. Intro of digital publishing might prove to be an immediate solution with low amount of threat for the business. The company could also think about the growth program after the success of its digital publishing program.
Execution
In order to present digital publishing in its item portfolio, the business ought to initially gathers the data connected to the customer demand, the possible markets, the government policies and the information associated with the rivals provided in the market. After that, the business should decide one potential segment for its preliminary offering. It should collect research that how it might differentiate its digital publishing from the existing rivals' items. The steps above the business ought to go for the preliminary offering. The business ought to go for the other markets if the preliminary offering proves a success. In this method the company would have the ability to execute its digital publishing program.
Conclusion
The development of the publishing industry is declining because 2008, showing a hazard to the company's long term existence, however the scenario can be managed by considering a development strategy in the future. The company could think about introducing digital publishingin its existing market to implement its advancement program at instant basis and to prevent the threat of failure for entrance in the new markets.
