Hdfc Life Insurance Building A Service Brand Case Study Solution and Analysis
Intro
Hdfc Life Insurance Building A Service Brand Case Study Analysis is the largest publishing business with a highest market share in the China's book retail market. CMP has become a specialized info company and a big extensive Science and Technology publishing business through the combination of print media, audio-visual media and the network media.
Crucial Problems
CMP has actually invested its 60 years journey efficiently, being an effective publishing home, nevertheless, the changing macro market patterns and forces bring particular difficulties to the publishing market in basic and Hdfc Life Insurance Building A Service Brand Case Study Analysis in specific. These factors consist of;
• Entrance of the new publishing companies in the market.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Improvement of science and technology.
The change of the macro markets have raised numerous 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 abilities of the company could be utilized to strive for the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Hdfc Life Insurance Building A Service Brand Case Study Solution has specific strengths that can be used to minimize the dangers, overcome the weakness and get the opportunities. Strengths of CMP are offered as follows;
• The long term experience of Hdfc Life Insurance Building A Service Brand Case Study Help in the publishing market 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 effective journey offer a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its risk and offer high value to its clients.
• Strong monetary position permits the business to think about numerous advancement chances without any fear of raising fund externally.
Weak points
Together with the strengths, the business has specific weak points which might increase constraints for the business in executing its development program. The weak points of Hdfc Life Insurance Building A Service Brand Case Study Help are given as follows;
• Despite of being a science and technology publishing firm, the business still has conventional methods ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It should propose certain growth plans to prevent its dependence over the Chinese markets to accomplish long term development.
Opportunities
Although, the growth of the publishing market is decreasing considering that 2008, affecting Hdfc Life Insurance Building A Service Brand Case Study Analysis too, however the growth could be restored by availing certain chances presented in the market. The marketplace chances for CMP consist of;
• The company might also present Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP could think about an advancement program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its huge financial resources.
Dangers
The altering macro trends in the market and increasing competition in the publishing market has actually presented certain risks to Hdfc Life Insurance Building A Service Brand Case Study Solution including;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries might cause decreasing market share of Hdfc Life Insurance Building A Service Brand Case Study Analysis due to the customer shift towards virtual libraries.
• The existence of a great deal of rivals in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can get a strong customer base by utilizing particular methods like aggressive promotion, quality items, etc.
• Entrance of brand-new publishing companies in the market together with existence of high competition increases the threat of losing the customer base.
Financial Analysis.
The business has a rather competitive monetary performance. Due to absence of information, the monetary ratios of CMP could not be determined. Nevertheless, the overall financial performance of the business could be analyzed by using the graphs given in the case Appendices. It could be examined from the Appendix III that the annual total incomes of CMP throughout the duration 2000-2012 are growing at a high development rate, revealing that the yearly need of the products of Hdfc Life Insurance Building A Service Brand Case Study Help is growing and the company is quite efficient in attracting a a great deal of clients at a potential rate.
In addition to it, the second graph which reveals the annual development in the Hdfc Life Insurance Building A Service Brand Case Study Analysis total possessions, shows that the company is quite effective in including value to its possessions through its revenues. The development in possessions shows that the total worth of the firm is also increasing with increasing the total incomes. (Unknown, 2013).
Another financial analysis of the company utilizing the provided data could be the analysis concerning the distribution of overall revenues of the company. Huge part of the incomes of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company might move towards other business sections with a prospective development to attain its future advancement objective.
PESTEL Analysis
PESTEL analysis might be carried out to discover the various external forces impacting the performance of the business and the recent patterns in the external environment of the company. A brief PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial effect on the frame of mind of individuals about the communist ideology of the government, therefore, the publishing sector is highly monitored and directed by the Promotion Department of the Communist Celebration of China. For that reason, it could be stated that the total political forces impacting Hdfc Life Insurance Building A Service Brand Case Study Solution service are high. The federal government policies regarding the publishing sector are also increasing with the passage of time.
Affordable.
Economic forces affecting the publishing sector in basic and the CMP in specific includesthe rates of paper, the income level of consumers, the inflation rate, and the general GDP development of the nation. All these forces integrate impact the demand for the publishing market.
Social and Demographical.
The customer preferences are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP should focus on digital publishing to fulfill the altering customer preferences.
Technological.
Technological forces impacting the CMP include the technological development in the reading strategies and so on. Enhancement of science and innovation in addition to the rise of digital publishing could decrease the need for the CMP products, if specific actions would not be taken soon.
Environmental.
Environmental forces impacting Hdfc Life Insurance Building A Service Brand Case Study Help consists of the concerns of ecological communities over the usage 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 harmful for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be authorized initially by the Government to be gone into in the publishing market.
Industry Analysis (Porter's Five Forces Design).
Porter's 5 Forces Model might be utilized to evaluate the attractiveness of the publishing market China. A short analysis of the Porter's 5 Forces is given as follows;.
Danger of New Entrants.
Threats of brand-new entrants in the Chinese Publishing Market is moderate. The prospective development in the market tends to bring in brand-new entrants to the publishing industry. The existence of intense competition and the requirement of substantial capital tends to demotivate new entrants to enter in the market.
Hazard of Replacement.
Hazard of Replacement is high for the Chinese Publishing Industry. The alternative products for the released documents is the documents provided in the virtual libraries on particular websites. The changing customer preferences towards digital knowing increase the hazard of substitution for the industry.
Competitive Rivalry.
Competitive competition in the publishing industry is high. The existence of a great deal of consumers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive competition for CMP. Together with it, brand-new entrants are likewise entering into the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The major suppliers of the Hdfc Life Insurance Building A Service Brand Case Study Analysis include the providers of the paper for releasing files. As CMP is the largest publisher in the Chinese Publishing Market, therefore the overall bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Negotiating power of buyer 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 costs.
Rivals Analysis.
CMP runs in an extremely competitive industry with the existence of large number of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Significant competitors of Hdfc Life Insurance Building A Service Brand Case Study Solution include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis among the close competitors of CMP. Established in the exact same period, CIP publishes comparable type of books. For a large period, CIP held the biggest market share, and still ranks second and third in various market sectors, with a major focus on academic publications. CIP functions 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 marketplace share of Hdfc Life Insurance Building A Service Brand Case Study Help easily in the present market situation.
Posts and telecommunication Press (PTP).
It was also founded in the same period as Hdfc Life Insurance Building A Service Brand Case Study Help and CIP. It is likewise one of the prominent players in the publishing industry with a yearly overall revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Reducing reliance over the Chinese markets.
• Increasing variety of Customers
• Development chances.
• Preventing the impact of market saturation in the Chinese publishing market.
Cons
• Use of prospective resources in expansion.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present utilizing existing capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio provides high value to customers.
Cons
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core business segments to the new one can lead the company to lose demand of its items in the market.
Suggestions
With the deep analysis of the external and internal environment of the business in addition to the market analysis and the competitor analysis, Alternative 2 is advised to CMP to achieve its future advancement. As the preferences are shifting towards digital publishing and the business need an instant service to prevent the declining market growth. For that reason, intro of digital publishing could prove to be an instant service with low quantity of danger for the company. The company might also consider the expansion program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its item portfolio, the business ought to initially collects the information related to the consumer need, the possible markets, the federal government policies and the information related to the competitors presented in the market. If the preliminary offering shows a success, the company ought 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 market is declining because 2008, revealing a danger to the company's long term existence, but the circumstance can be controlled by considering an advancement strategy in the future. The company could consider presenting digital publishingin its existing market to implement its development program at instant basis and to avoid the threat of failure for entryway in the new markets.
