Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Solution and Analysis
Intro
Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Help is the largest publishing business with a greatest market share in the China's book retail market. CMP has actually become a specialized information supplier and a large detailed Science and Technology publishing business through the combination of print media, audio-visual media and the network media.
Crucial Problems
Although, Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Solution has actually spent its 60 years journey smoothly, being a successful publishing home, nevertheless, the altering macro market trends and forces bring particular difficulties to the publishing industry in general and CMP in specific. These aspects consist of;
• Entrance of the brand-new publishing companies in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
The improvement of the macro markets have raised a number of questions to the management at CPM that what could be the future of CMP in this situation? Do the long valuable experience, technical resources and the abilities of the company could be utilized to strive for the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Solution has certain strengths that can be utilized to minimize the dangers, overcome the weakness and obtain the chances. Strengths of CMP are provided as follows;
• The long term experience of Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Help in the publishing market i.e. 60 years allows the business to supply high quality products at a lower expense utilizing its prior experiences.
• The technical resources and abilities produced by its successful journey provide a competitive advantage to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and supply high value to its consumers.
• Strong monetary position enables the company to consider numerous advancement opportunities with no worry of raising fund externally.
Weaknesses
In addition to the strengths, the business has particular weaknesses which might increase restraints for the company in executing its advancement program. The weaknesses of Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis are given as follows;
• Despite of being a science and technology publishing company, the company still has standard ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It needs to propose particular expansion strategies to avoid its dependence over the Chinese markets to achieve long term growth.
Opportunities
Although, the growth of the publishing industry is decreasing considering that 2008, impacting Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Help also, however the growth might be restored by availing certain opportunities presented in the market. The marketplace opportunities for CMP include;
• The company could likewise introduce Digital Publishing by utilizing its long term technical experience and a strong customer recognition 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 utilizing its huge financial resources.
Dangers
The altering macro patterns in the market and increasing competitors in the publishing industry has presented particular risks to Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might result in decreasing market share of Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Help due to the customer shift towards virtual libraries.
• The existence of a great deal of rivals in the publishing market increase the risk for CMP to lose its competitive position in the market, as rivals can gain a strong consumer base by using certain methods like aggressive promo, quality items, etc.
• Entrance of brand-new publishing companies in the market along with presence of high competitors increases the risk of losing the consumer base.
Financial Analysis.
The company has a quite competitive financial efficiency. Due to absence of information, the financial ratios of CMP could not be computed. The overall financial efficiency of the company might be evaluated by using the graphs provided in the case Appendices. It could be examined from the Appendix III that the yearly total incomes of CMP during the period 2000-2012 are growing at a high development rate, showing that the yearly demand of the products of Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis is growing and the business is rather effective in attracting a a great deal of customers at a potential cost.
Along with it, the 2nd graph which shows the yearly development in the Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis overall possessions, shows that the business is quite effective in adding value to its properties through its incomes. The growth in assets reveals that the total worth of the company is also increasing with increasing the total earnings. (Unidentified, 2013).
Another financial analysis of the business utilizing the provided information might be the analysis relating to the distribution of total revenues of the company. Huge part of the profits of CMP originates from the sales of its published books i.e. 64% as shown in the Case Appendix V. The company could move towards other company sectors with a possible development to accomplish its future development goal.
PESTEL Analysis
PESTEL analysis might be carried out to find out the various external forces impacting the performance of the business and the current patterns in the external environment of the company. A quick PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial influence on the frame of mind of the people about the communist ideology of the government, for that reason, the publishing sector is extremely monitored and guided by the Promotion Department of the Communist Party of China. It could be said that the overall political forces affecting CMP business are high. The federal government policies relating to the publishing sector are likewise increasing with the passage of time.
Affordable.
Economic forces impacting the publishing sector in basic and the Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis in particular includesthe costs of paper, the earnings level of consumers, the inflation rate, and the overall GDP growth of the nation. All these forces integrate effect the demand for the publishing market. In addition to it, the economic policies connected to the import of books affect the total organisation at CPM. China's economic conditions are quite favorable for CMP with high GDP development and customer earnings level.
Social and Demographical.
Social and demographical forces include the population development, the consumer's preferences towards reading helpful products and so on. China has the greatest population worldwide with a high population growth, showing the increasing number of consumers of the Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis. Nevertheless, the customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP should focus on digital publishing to fulfill the altering customer choices.
Technological.
Technological forces affecting the CMP include the technological development in the reading techniques etc. Improvement of science and innovation in addition to the rise of digital publishing could lower the need for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces impacting Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis includes the issues of ecological communities over the usage of paper in publishing books. The paper utilized 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. The legal guidelines relating to the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be approved first by the Government to be gone into in the publishing market. The ordinance forbids direct participation of foreign entities and people in the publishing sector.
Industry Analysis (Porter's Five Forces Model).
Porter's 5 Forces Model could be used to examine the appearance of the publishing industry China. A quick analysis of the Porter's 5 Forces is given as follows;.
Threat of New Entrants.
Threats of new entrants in the Chinese Publishing Industry is moderate. The prospective development in the market tends to draw in new entrants to the publishing market. However, the existence of extreme competition and the requirement of huge capital tends to demotivate new entrants to enter in the marketplace.
Risk of Substitution.
Risk of Substitution is high for the Chinese Publishing Market. The substitute products for the released documents is the files presented in the virtual libraries on certain websites. The altering customer choices towards digital learning increase the danger of alternative for the industry.
Competitive Rivalry.
Competitive rivalry in the publishing industry is high. The presence of large number of consumers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Together with it, new entrants are likewise entering into the market increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant providers of the Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Analysis consist of the providers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, therefore the general bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of purchaser in the publishing market is high. Due to the existence of a large number of publishers in the Chinese market and the market saturation, the purchasers requires high quality documents at competitive rates.
Rivals Analysis.
CMP runs in a highly competitive industry with the existence of a great deal of competitors. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Getting Help To Victims Of 2008 Cyclone Nargis Americares Engages With Myanmars Military Government Case Study Help consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIP acts as a risk 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 existing market circumstance.
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 service scale. It is also among the popular players in the publishing industry with a yearly total incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Reducing dependence over the Chinese markets.
• Increasing variety of Clients
• Development chances.
• Preventing the effect 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: Introduce Digital Publishing
Pros
• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present using current capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high worth to clients.
Cons
• Competition 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 demand of its products in the market.
Recommendations
With the deep analysis of the internal and external environment of the business in addition to the industry analysis and the rival analysis, Alternative 2 is recommended to CMP to accomplish its future advancement. As the choices are shifting towards digital publishing and the company require an immediate solution to avoid the declining market development. Therefore, intro of digital publishing could show to be an immediate service with low amount of threat for the company. Nevertheless, the company might also consider the expansion program after the success of its digital publishing program.
Execution
In order to present digital publishing in its product portfolio, the company needs to first gathers the data related to the customer demand, the prospective markets, the government regulations and the data related to the rivals presented in the market. If the initial offering proves a success, the business needs to go for the other markets. In this method the business would be able to execute its digital publishing program.
Conclusion
The growth of the publishing industry is declining given that 2008, showing a hazard to the business's long term existence, however the circumstance can be controlled by considering a development plan in the future. The business could think about presenting digital publishingin its existing market to implement its advancement program at instant basis and to prevent the threat of failure for entrance in the brand-new markets.
