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Harbor City Health Spa Case Study Solution and Analysis


Introduction

Harbor City Health Spa Case Study Help is the biggest publishing company with a highest market share in the China's book retail market. CMP offers a number of services including; collecting details, processing details and communication services. Significant service sectors of the company include; books, periodicals, consultancy and distribution. The company has a large product portfolio and its major products consist of books, periodicals, online media, exhibits, research reports and so on. Harbor City Health Spa Case Study Help has actually ended up being a specialized info service provider and a big thorough Science and Technology publishing business through the integration of print media, audio-visual media and the network media.

Critical Problems

CMP has actually invested its 60 years journey efficiently, being an effective publishing home, however, the changing macro market trends and forces bring particular difficulties to the publishing industry in general and Harbor City Health Spa Case Study Help in specific. These elements include;

• Entrance of the brand-new publishing firms in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Improvement of science and technology.
Executive Summary
The change of the macro markets have raised several concerns to the management at CPM that what could be the future of CMP in this circumstance? Do the long valuable experience, technical resources and the capabilities of the business could be used to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


Harbor City Health Spa Case Study Analysis has certain strengths that can be used to minimize the dangers, conquer the weakness and avail the opportunities. Strengths of CMP are given as follows;

• The long term experience of Harbor City Health Spa Case Study Solution in the publishing market i.e. 60 years allows the business to supply high quality products at a lower cost using its previous experiences.
• The technical resources and capabilities created by its effective journey supply a competitive benefit to CMP.
• Huge product portfolioof CMP assists it to diversify its threat and provide high worth to its clients.
• Strong monetary position enables the company to think about numerous development opportunities without any worry of raising fund externally.

Weaknesses

Along with the strengths, the company has specific weaknesses which might increase restrictions for the business in executing its development program. The weak points of Harbor City Health Spa Case Study Help are given as follows;

• Despite of being a science and technology publishing firm, the business still has conventional ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It must propose specific expansion strategies to prevent its reliance over the Chinese markets to accomplish long term development.
Porter's 5 Forces Analysis
Opportunities

The development of the publishing market is decreasing because 2008, impacting Harbor City Health Spa Case Study Solution as well, however the growth might be revived by availing certain opportunities provided in the market. The market chances for CMP consist of;

• The business could likewise present Digital Publishing by using its long term technical experience and a strong customer recognition in the market.
• CMP could think about an advancement program through the expansion towards foreign markets in order to minimize its dependence over Chinese markets by using its large funds.

Threats

The changing macro patterns in the market and increasing competitors in the publishing industry has posed specific dangers to Harbor City Health Spa Case Study Help consisting of;( Gurel, 2017).

• Introduction of digital publishing i.e. digital libraries might cause declining market share of Harbor City Health Spa Case Study Analysis due to the consumer shift towards virtual libraries.
• The existence of large number of rivals in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can acquire a strong consumer base by utilizing specific techniques like aggressive promo, quality items, and so on
• Entrance of brand-new publishing companies in the market together with existence of high competition increases the risk of losing the client base.

Monetary Analysis.
Swot Analysis
Due to lack of information, the monetary ratios of CMP might not be computed. It might be evaluated from the Appendix III that the yearly overall revenues of Harbor City Health Spa Case Study Help during the duration 2000-2012 are growing at a high growth rate, showing that the annual demand of the products of CMP is growing and the company is quite effective in drawing in a large number of clients at a possible price.

In addition to it, the second chart which reveals the yearly development in the Harbor City Health Spa Case Study Analysis total possessions, shows that the company is rather efficient in including worth to its properties through its earnings. The development in possessions reveals that the total value of the firm is also increasing with increasing the overall incomes. (Unknown, 2013).

Another monetary analysis of the company using the given data might be the analysis regarding the circulation of overall revenues of the business. Major 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 company might move towards other company segments with a prospective growth to attain its future development goal.

PESTEL Analysis

PESTEL analysis might be carried out to discover the different external forces impacting the performance of the business and the current trends in the external environment of the company. A brief PESTEL analysis of the business is offered as follows; (Alanzi, 2018).

Political.

As the publishing sector could have a considerable impact on the frame 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 Celebration of China. Therefore, it might be said that the general political forces affecting Harbor City Health Spa Case Study Solution business are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.

Cost-effective.

Financial forces impacting the publishing sector in general and the CMP in particular includesthe costs of paper, the earnings level of consumers, the inflation rate, and the total GDP growth of the country. All these forces combine impact the need for the publishing market.

Social and Demographical.

Social and demographical forces include the population growth, the customer's choices towards checking out helpful materials etc. China has the highest population on the planet with a high population development, showing the increasing variety of consumers of the Harbor City Health Spa Case Study Help. However, the customer preferences are shifting towards digital publishing rather than the standard was of publishing. In this regard, CMP ought to focus on digital publishing to meet the changing customer choices.

Technological.

Technological forces impacting the CMP consist of the technological development in the reading strategies and so on. Enhancement of science and innovation in addition to the increase of digital publishing could lower the need for the CMP products, if specific actions would not be taken soon.

Environmental.
Vrio Analysis
Ecological forces affecting Harbor City Health Spa Case Study Help includes the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper utilized in the books while publishing is needed to be non reusable and the ink used while publishing needs to not be hazardous for the environment.

Legal.

Legal guidelines for the publishing sector at whole are high. The legal policies regarding the publishing sector is controlled by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be approved first by the Federal government to be gone into in the publishing market. The regulation forbids direct participation of foreign entities and people in the publishing sector.

Industry Analysis (Porter's 5 Forces Design).

Porter's 5 Forces Model might be used to evaluate the beauty of the publishing market China. A short analysis of the Porter's Five Forces is provided as follows;.

Hazard of New Entrants.

Threats of new entrants in the Chinese Publishing Market is moderate. The potential development in the industry tends to bring in brand-new entrants to the publishing market. The presence of extreme competitors and the requirement of substantial capital tends to demotivate brand-new entrants to enter in the market.

Threat of Substitution.

Hazard of Replacement is high for the Chinese Publishing Market. The substitute items for the published documents is the files provided in the digital libraries on certain websites. The changing customer choices towards digital learning increase the danger of substitution for the industry.

Competitive Rivalry.

Competitive competition in the publishing industry is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Along with it, new entrants are also entering into the marketplace increasing the competitors for CMP.

Bargaining Power of Provider.

The major providers of the Harbor City Health Spa Case Study Solution consist of the suppliers of the paper for releasing documents. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the overall bargaining power of supplier for CMP is low.

Bargaining Power of Purchaser.

Bargaining power of purchaser in the publishing market 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 costs.

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 rivals of Harbor City Health Spa Case Study Analysis include;.

• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).

Chemical Market Press (CIP).

CIP acts as a threat for CMP as it might wean its market share due to its long term competitive background. CIP is focused on digital publishing and might wean the market share of CMP easily in the existing market situation.

Posts and telecommunication Press (PTP).

Another close rival of CMP is PTP. It was likewise established in the same duration as CMP and CIP. It ranks 6th in the state-owned publishers in regards to company scale. It is likewise among the popular players in the publishing industry with an annual total profits of RMB 550 million in 2010.

Alternatives

Alternative-1: Broaden towards New Markets

Pros

• Decreasing reliance over the Chinese markets.
• Increasing number of Consumers
• Development chances.
• Avoiding the effect of market saturation in the Chinese publishing market.

Cons
Recommendations
• Use of prospective resources in growth.
• Risk of failure in new markets.
• Time consuming.

Alernative-2: Introduce Digital Publishing

Pros

• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present using current abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio offers high worth to consumers.

Cons

• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core service segments to the brand-new one can lead the business to lose demand of its products in the market.

Recommendations

With the deep analysis of the external and internal environment of the business together with the industry analysis and the rival analysis, Alternative 2 is advised to CMP to accomplish its future development. As the preferences are shifting towards digital publishing and the company require an immediate option to avoid the declining market development. Intro of digital publishing could prove to be an instant option with low amount of risk for the company. However, the business could 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 must first gathers the information related to the customer demand, the prospective markets, the government policies and the information related to the competitors presented in the market. If the preliminary offering proves a success, the company needs to go for the other markets. In this method the business would be able to implement its digital publishing program.

Conclusion

Although, the development of the publishing market is decreasing since 2008, showing a hazard to the business's long term existence, but the situation can be managed by thinking about an advancement plan in the future. The company could consider presenting digital publishingin its existing market to implement its advancement program at immediate basis and to prevent the risk of failure for entrance in the new markets.

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