Fiserv Takes On The E Billing Market Case Study Solution and Analysis
Intro
Fiserv Takes On The E Billing Market Case Study Analysis is the largest publishing company with a highest market share in the China's book retail market. CMP has become a specialized information service provider and a large detailed Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
Crucial Problems
CMP has actually spent its 60 years journey efficiently, being a successful publishing house, however, the altering macro market patterns and forces bring particular challenges to the publishing market in general and Fiserv Takes On The E Billing Market Case Study Solution in particular. These elements consist of;
• Entryway of the new publishing firms in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Improvement of science and technology.
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 situation? Do the long important experience, technical resources and the abilities of the business could be used to pursue the future development unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Fiserv Takes On The E Billing Market Case Study Help has particular strengths that can be utilized to lower the hazards, overcome the weak point and avail the opportunities. Strengths of CMP are offered as follows;
• The long term experience of Fiserv Takes On The E Billing Market Case Study Help in the publishing market i.e. 60 years permits the business to offer high quality products at a lower cost using its previous experiences.
• The technical resources and capabilities generated by its effective journey supply a competitive advantage to CMP.
• Huge product portfolioof CMP helps it to diversify its danger and supply high worth to its clients.
• Strong monetary position enables the business to consider several advancement opportunities with no fear of raising fund externally.
Weak points
In addition to the strengths, the business has specific weaknesses which might increase restrictions for the company in executing its development program. The weak points of Fiserv Takes On The E Billing Market Case Study Solution are provided as follows;
• Despite of being a science and innovation publishing firm, the business still has traditional 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 specific expansion strategies to prevent its reliance over the Chinese markets to achieve long term development.
Opportunities
Although, the growth of the publishing market is declining since 2008, affecting Fiserv Takes On The E Billing Market Case Study Help as well, but the growth might be revived by availing certain opportunities presented in the market. The marketplace chances for CMP include;
• The business might likewise present Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP might think about an advancement program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its huge funds.
Dangers
The changing macro trends in the market and increasing competition in the publishing market has postured particular hazards to Fiserv Takes On The E Billing Market Case Study Solution including;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries might cause declining market share of Fiserv Takes On The E Billing Market Case Study Help due to the consumer shift towards digital libraries.
• The presence of large number of rivals in the publishing market increase the hazard for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by using certain methods like aggressive promo, quality items, and so on
• Entrance of new publishing firms in the industry in addition to presence of high competition increases the threat of losing the client base.
Financial Analysis.
Due to absence of data, the financial ratios of CMP might not be calculated. It might be analyzed from the Appendix III that the yearly total incomes of Fiserv Takes On The E Billing Market Case Study Help during the duration 2000-2012 are growing at a high development rate, showing that the yearly need of the products of CMP is growing and the company is rather effective in bring in a big number of clients at a possible price.
In addition to it, the 2nd graph which shows the annual development in the Fiserv Takes On The E Billing Market Case Study Solution total possessions, shows that the company is rather effective in adding worth to its possessions through its revenues. The growth in possessions reveals that the overall worth of the firm is also increasing with increasing the overall revenues. (Unknown, 2013).
Another financial analysis of the company using the given information might be the analysis relating to the circulation of total earnings of the business. 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 company might move towards other business sections with a possible development to achieve its future advancement objective.
PESTEL Analysis
PESTEL analysis could be conducted to discover the numerous external forces affecting the efficiency of the business and the current patterns in the external environment of the company. A brief PESTEL analysis of the business 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, therefore, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Celebration of China. For that reason, it could be said that the total political forces impacting Fiserv Takes On The E Billing Market Case Study Solution organisation are high. The federal 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 Fiserv Takes On The E Billing Market Case Study Solution in particular includesthe costs of paper, the income level of consumers, the inflation rate, and the total GDP development of the country. All these forces combine impact the demand for the publishing market. Along with it, the financial policies connected to the import of books impact the overall business at CPM. China's economic conditions are rather favorable for CMP with high GDP growth and customer earnings level.
Social and Demographical.
Social and demographical forces include the population growth, the consumer's choices towards checking out informative products and so on. China has the greatest population on the planet with a high population growth, showing the increasing number of customers of the Fiserv Takes On The E Billing Market Case Study Help. The consumer preferences are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP should concentrate on digital publishing to meet the changing customer choices.
Technological.
Technological forces affecting the CMP consist of the technological development in the reading techniques and so on. Improvement of science and innovation together with the rise of digital publishing might decrease the demand for the CMP products, if certain actions would not be taken soon.
Environmental.
Environmental forces affecting Fiserv Takes On The E Billing Market Case Study Help includes the concerns of ecological communities over the use of paper in publishing books. The paper used in the books while publishing is needed to be disposable and the ink used while publishing must not be damaging for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. The legal regulations concerning the publishing sector is controlled by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be approved initially by the Federal government to be entered in the publishing market. The regulation prohibits direct involvement of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's Five Forces Design).
Porter's 5 Forces Model could be utilized to analyze the attractiveness of the publishing industry China. A quick analysis of the Porter's Five Forces is given as follows;.
Hazard of New Entrants.
Threats of brand-new entrants in the Chinese Publishing Industry is moderate. The possible development in the industry tends to draw in brand-new entrants to the publishing market. The presence of intense competitors and the requirement of huge capital tends to demotivate brand-new entrants to go into in the market.
Threat of Substitution.
Hazard of Substitution is high for the Chinese Publishing Market. The replacement products for the released files is the documents provided in the digital libraries on certain websites. The changing consumer choices towards digital learning increase the threat of alternative for the industry.
Competitive Competition.
Competitive rivalry in the publishing industry 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. In addition to it, brand-new entrants are likewise entering into the marketplace increasing the competitors for CMP.
Bargaining Power of Supplier.
The major providers of the Fiserv Takes On The E Billing Market Case Study Analysis include the suppliers of the paper for publishing documents. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the general bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Bargaining 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 market saturation, the buyers requires high quality files at competitive prices.
Rivals Analysis.
CMP operates in a highly competitive industry with the existence of a great deal of rivals. However, the company has a competitive position in the market with the highest market share in the Chinese publishing market. Major rivals of Fiserv Takes On The E Billing Market Case Study Analysis 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 could wean the market share of CMP quickly in the current market scenario.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was likewise established in the same duration as CMP and CIP. It ranks sixth in the state-owned publishers in regards to business scale. It is also one of the popular players in the publishing market with a yearly total revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering reliance over the Chinese markets.
• Increasing variety of Consumers
• Development chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
Cons
• Usage of potential resources in expansion.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to present using existing capabilities.
• 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 concentrate on the digital publishing.
• Shift of focus from the core service sectors to the new one can lead the business to lose need of its items in the market.
Suggestions
As the preferences are moving towards digital publishing and the company need an immediate service to avoid the declining industry growth. The business might also consider the expansion program after the success of its digital publishing program.
Application
In order to present digital publishing in its product portfolio, the company ought to first collects the data related to the customer need, the possible markets, the federal government regulations and the information related to the competitors provided in the market. If the preliminary offering proves a success, the business should go for the other markets. In this way the business would be able to execute its digital publishing program.
Conclusion
Although, the development of the publishing market is declining considering that 2008, revealing a threat to the company's long term presence, however the situation can be controlled by thinking about a development strategy in the future. The business might consider introducing digital publishingin its existing market to implement its development program at immediate basis and to prevent the danger of failure for entryway in the brand-new markets.
