Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Solution and Analysis
Intro
Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Analysis is the largest publishing company with a greatest market share in the China's book retail market. CMP has ended up being a specialized info supplier and a big comprehensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Critical Concerns
CMP has actually spent its 60 years journey smoothly, being an effective publishing home, nevertheless, the changing macro market patterns and forces bring specific challenges to the publishing industry in general and Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Solution in specific. These factors consist of;
• Entrance of the brand-new publishing companies in the market.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Enhancement of science and innovation.
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 scenario? Do the long valuable experience, technical resources and the capabilities of the business could be made use of to strive for the future development unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Solution has specific strengths that can be used to reduce the risks, overcome the weak point and avail the chances. Strengths of CMP are provided as follows;
• The long term experience of Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Analysis in the publishing industry i.e. 60 years enables the business to offer high quality products at a lower expense utilizing its prior experiences.
• The technical resources and abilities produced by its successful journey offer a competitive advantage to CMP.
• Vast item portfolioof CMP assists it to diversify its threat and provide high worth to its clients.
• Strong monetary position permits the business to think about several advancement opportunities with no fear of raising fund externally.
Weaknesses
Together with the strengths, the company has certain weak points which might increase constraints for the business in implementing its development program. The weak points of Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Analysis are offered as follows;
• Despite of being a science and technology publishing company, the business still has traditional methods ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It should propose specific growth plans to prevent its dependence over the Chinese markets to achieve long term growth.
Opportunities
Although, the growth of the publishing industry is decreasing because 2008, impacting Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Solution as well, but the growth might be revived by availing certain chances provided in the market. The marketplace opportunities for CMP consist of;
• The business might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP could consider a development program through the growth towards foreign markets in order to minimize its reliance over Chinese markets by utilizing its large funds.
Dangers
The altering macro patterns in the market and increasing competition in the publishing industry has positioned certain risks to Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Analysis including;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries could cause declining market share of Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Help due to the customer shift towards virtual libraries.
• The existence of a great deal of competitors in the publishing industry increase the threat for CMP to lose its competitive position in the market, as competitors can get a strong customer base by using certain techniques like aggressive promotion, quality products, and so on
• Entrance of brand-new publishing companies in the industry in addition to existence of high competitors increases the risk of losing the consumer base.
Monetary Analysis.
Due to absence of information, the monetary ratios of CMP could not be computed. It might be evaluated from the Appendix III that the annual overall incomes of Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Help throughout the period 2000-2012 are growing at a high development rate, showing that the annual need of the items of CMP is growing and the company is rather efficient in drawing in a large number of clients at a potential rate.
In addition to it, the 2nd chart which reveals the annual development in the Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Analysis total properties, reveals that the company is rather efficient in adding worth to its properties through its incomes. The growth in properties shows that the overall value of the company is also increasing with increasing the overall earnings. (Unknown, 2013).
Another financial analysis of the company using the given information could be the analysis concerning the circulation of total incomes of the business. Huge part of the incomes of CMP comes from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The business might move towards other company sections with a potential growth to accomplish its future development objective.
PESTEL Analysis
PESTEL analysis might be carried out to find out the different external forces impacting the performance of the business and the current patterns in the external environment of the business. A brief PESTEL analysis of the business is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant influence on the state of mind of individuals about the communist ideology of the government, therefore, the publishing sector is extremely supervised and directed by the Promotion Department of the Communist Party of China. It could be said that the total political forces affecting CMP organisation are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Economical.
Financial forces impacting the publishing sector in basic and the CMP in particular includesthe costs of paper, the earnings level of customers, the inflation rate, and the overall GDP development of the country. All these forces integrate effect the demand for the publishing market.
Social and Demographical.
The consumer preferences are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP must focus on digital publishing to meet the changing consumer choices.
Technological.
Technological forces affecting the CMP consist of the technological advancement in the reading strategies etc. Enhancement of science and technology along with the rise of digital publishing might lower the demand for the CMP items, if specific actions would not be taken quickly.
Environmental.
Ecological forces impacting Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Solution includes the issues of ecological neighborhoods 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 ought to not be hazardous for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be authorized initially by the Federal government to be entered in the publishing market.
Industry Analysis (Porter's Five Forces Design).
Porter's Five Forces Model might be utilized to examine the attractiveness of the publishing industry China. A quick analysis of the Porter's 5 Forces is given as follows;.
Hazard of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The potential growth in the industry tends to draw in brand-new entrants to the publishing industry. Nevertheless, the existence of intense competition and the requirement of substantial capital tends to demotivate new entrants to enter in the marketplace.
Danger of Substitution.
Risk of Replacement is high for the Chinese Publishing Industry. The substitute products for the released files is the files presented in the virtual libraries on certain sites. The altering consumer choices towards digital knowing increase the hazard of substitution for the market.
Competitive Rivalry.
Competitive competition in the publishing market is high. The presence of a great deal of consumers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Along with it, new entrants are also participating in the market increasing the competitors for CMP.
Bargaining Power of Provider.
The major providers of the Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Analysis consist of the suppliers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the total bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Bargaining power of purchaser in the publishing market is high. Due to the existence of a a great deal of publishers in the Chinese market and the market saturation, the buyers requires high quality documents at competitive prices.
Competitors Analysis.
CMP operates in an extremely 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. Significant competitors of Global Brand Management Best Practices And Learnings From Efforts To Build The Business Over There Case Study Help consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry 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 easily in the current market circumstance.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was likewise founded in the exact same period as CMP and CIP. It ranks sixth in the state-owned publishers in regards to business scale. It is likewise among the popular gamers in the publishing industry with an annual overall revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Lowering reliance over the Chinese markets.
• Increasing number of Clients
• Growth chances.
• Avoiding the effect of market saturation in the Chinese publishing market.
Cons
• Use of prospective resources in growth.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce utilizing existing capabilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased item portfolio provides 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 organisation segments to the new one can lead the company to lose demand of its items in the market.
Recommendations
As the preferences are moving towards digital publishing and the company need an immediate option to prevent the declining industry development. The business might also think about the growth program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its product portfolio, the company ought to first collects the data associated with the consumer demand, the prospective markets, the government policies and the data related to the rivals presented in the market. After that, the business needs to decide one possible section for its initial offering. It ought to gather research study that how it might differentiate its digital publishing from the existing rivals' products. After all the actions above the business must choose the initial offering. The company needs to go for the other markets if the initial offering shows a success. In this method the business would have the ability to execute its digital publishing program.
Conclusion
Although, the development of the publishing market is declining considering that 2008, revealing a threat to the business's long term existence, however the scenario can be controlled by thinking about a development strategy in the future. The company might consider introducing digital publishingin its existing market to implement its advancement program at immediate basis and to avoid the threat of failure for entryway in the new markets.
