General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution and Analysis
Introduction
General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution 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; gathering info, processing info and communication services. Significant organisation sections of the business include; books, regulars, consultancy and distribution. The business has a huge item portfolio and its significant items include books, regulars, online media, exhibits, research reports and so on. General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution has actually become a specialized information provider and a big comprehensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Critical Issues
Although, General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution has invested its 60 years journey efficiently, being a successful publishing house, however, the changing macro market patterns and forces bring particular difficulties to the publishing market in general and CMP in specific. These aspects consist of;
• Entrance of the new publishing companies in the market.
• Decreasing growth of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and innovation.
The transformation of the macro markets have raised a number of concerns 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 utilized to pursue the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help has particular strengths that can be made use of to decrease the risks, overcome the weak point and get the opportunities. Strengths of CMP are provided as follows;
• The long term experience of General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution in the publishing market i.e. 60 years permits the company to provide high quality products at a lower expense using its previous experiences.
• The technical resources and capabilities created by its effective journey supply a competitive advantage to CMP.
• Vast item portfolioof CMP assists it to diversify its threat and provide high worth to its consumers.
• Strong financial position permits the company to think about a number of development opportunities without any fear of raising fund externally.
Weak points
Along with the strengths, the business has particular weak points which might increase constraints for the business in executing its development program. The weak points of General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help are provided as follows;
• Despite of being a science and technology publishing firm, the business still has traditional ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It should propose certain growth plans to prevent its dependence over the Chinese markets to attain long term development.
Opportunities
The development of the publishing market is declining given that 2008, impacting General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help as well, but the development might be revived by availing certain chances presented in the market. The marketplace opportunities for CMP consist of;
• The company might likewise present Digital Publishing by utilizing its long term technical experience and a strong customer recognition in the market.
• CMP could think about a development program through the expansion towards foreign markets in order to minimize its dependence over Chinese markets by using its huge funds.
Threats
The changing macro patterns in the market and increasing competitors in the publishing market has posed particular dangers to General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries might lead to declining market share of General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Analysis due to the consumer shift towards virtual libraries.
• The existence of a great deal 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 consumer base by utilizing particular techniques like aggressive promo, quality products, and so on
• Entryway of brand-new publishing firms in the industry together with presence of high competitors increases the danger of losing the customer base.
Financial Analysis.
Due to lack of information, the monetary ratios of CMP could not be computed. It could be examined from the Appendix III that the annual overall earnings of General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Analysis throughout the duration 2000-2012 are growing at a high growth rate, revealing that the yearly need of the products of CMP is growing and the company is quite effective in bring in a large number of consumers at a prospective price.
In addition to it, the second chart which shows the annual development in the General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help total possessions, shows that the company is quite effective in including value to its possessions through its earnings. The growth in possessions shows that the total value of the company is likewise increasing with increasing the overall profits. (Unknown, 2013).
Another monetary analysis of the business using the provided data could be the analysis relating to the distribution of total incomes of the business. Huge part of the profits of CMP originates from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The business could move towards other service sections with a possible growth to attain its future advancement objective.
PESTEL Analysis
PESTEL analysis might be performed to discover the numerous 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 business is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant impact on the mindset of individuals about the communist ideology of the federal government, therefore, the publishing sector is highly monitored and directed by the Promotion Department of the Communist Party of China. It might be stated that the overall political forces impacting CMP business are high. The 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 General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help in particular includesthe rates of paper, the earnings level of consumers, the inflation rate, and the total GDP growth of the country. All these forces integrate impact the need for the publishing market. Together with it, the economic policies related to the import of books impact the general business at CPM. Nevertheless, China's economic conditions are rather beneficial for CMP with high GDP growth and consumer earnings level.
Social and Demographical.
Social and demographical forces consist of the population growth, the consumer's choices towards reading useful products etc. China has the greatest population in the world with a high population development, revealing the increasing number of customers of the General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution. The consumer preferences are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to concentrate on digital publishing to fulfill the changing consumer preferences.
Technological.
Technological forces affecting the CMP include the technological advancement in the reading techniques and so on. Enhancement of science and technology together with the rise of digital publishing might decrease the demand for the CMP items, if specific actions would not be taken quickly.
Environmental.
Environmental forces impacting General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution consists of the issues of ecological communities over the usage of paper in publishing books. The paper used in the books while publishing is needed to be non reusable and the ink used while publishing needs to not be harmful for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be approved first by the Government to be gone into in the publishing market.
Industry Analysis (Porter's Five Forces Design).
Porter's 5 Forces Model could be utilized to evaluate the attractiveness of the publishing industry China. A short analysis of the Porter's Five Forces is given as follows;.
Threat of New Entrants.
Risks of brand-new entrants in the Chinese Publishing Market is moderate. The possible development in the industry tends to bring in new entrants to the publishing industry. The presence of intense competitors and the requirement of substantial capital tends to demotivate new entrants to go into in the market.
Hazard of Replacement.
Hazard of Alternative is high for the Chinese Publishing Industry. The substitute products for the released documents is the files provided in the digital libraries on specific sites. The altering customer choices towards digital learning increase the hazard of replacement for the market.
Competitive Rivalry.
Competitive competition in the publishing market is high. The presence of large number of customers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Together with it, brand-new entrants are also participating in the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The significant suppliers of the General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Analysis include the providers of the paper for publishing documents. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the overall bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of buyer in the publishing market is high. Due to the presence of a large number of publishers in the Chinese market and the marketplace saturation, the purchasers requires high quality files at competitive rates.
Competitors Analysis.
CMP operates in an extremely competitive industry with the existence of a great deal of rivals. However, the business has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Solution include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIP acts as a threat for CMP as it could 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 present market circumstance.
Posts and telecommunication Press (PTP).
It was also founded in the exact same duration as General Micro Electronics Incorporated Semiconductor Assembly Process 3 Case Study Help and CIP. It is also one of the popular gamers in the publishing industry with an annual total revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Decreasing reliance over the Chinese markets.
• Increasing number of Clients
• Development opportunities.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Usage of potential resources in expansion.
• Danger of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce utilizing current capabilities.
• Low risk 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 company sections to the new one can lead the company to lose need of its items in the market.
Recommendations
As the choices are shifting towards digital publishing and the business need an immediate solution to prevent the declining industry development. The business could likewise think about the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its product portfolio, the company must initially gathers the information related to the consumer demand, the potential markets, the federal government policies and the data related to the competitors presented in the market. If the initial offering shows a success, the company needs to go for the other markets. In this way the company would be able to implement its digital publishing program.
Conclusion
The growth of the publishing industry is decreasing since 2008, showing a danger to the business's long term existence, but the situation can be controlled by considering an advancement strategy in the future. The company could consider presenting digital publishingin its existing market to implement its advancement program at instant basis and to avoid the threat of failure for entrance in the new markets.
