Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution and Analysis
Kingfisher Airlines Managing Multiple Stakeholders 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 consisting of; gathering details, processing information and interaction services. Significant business sections of the business include; books, regulars, consultancy and circulation. The company has a huge item portfolio and its major items consist of books, periodicals, online media, exhibits, research study reports and so on. Kingfisher Airlines Managing Multiple Stakeholders Case Study Analysis has actually become a specialized details service provider and a big detailed Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
CMP has invested its 60 years journey smoothly, being a successful publishing home, nevertheless, the changing macro market trends and forces bring particular difficulties to the publishing industry in basic and Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution in specific. These factors include;
• Entrance of the new publishing companies in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
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 capabilities of the company could be made use of to strive for the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution has specific strengths that can be utilized to minimize the hazards, get rid of the weak point and avail the opportunities. Strengths of CMP are given as follows;
• The long term experience of Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution in the publishing market i.e. 60 years allows the business to provide high quality items at a lower cost using its prior experiences.
• The technical resources and capabilities generated by its successful journey provide a competitive advantage to CMP.
• Huge product portfolioof CMP helps it to diversify its threat and offer high worth to its consumers.
• Strong financial position enables the company to think about a number of advancement opportunities without any worry of raising fund externally.
Along with the strengths, the company has particular weaknesses which could increase restraints for the business in executing its development program. The weak points of Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution are offered as follows;
• Despite of being a science and innovation publishing firm, the business still has traditional ways ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It ought to propose certain growth plans to avoid its dependence over the Chinese markets to accomplish long term development.
Although, the development of the publishing industry is decreasing since 2008, affecting Kingfisher Airlines Managing Multiple Stakeholders Case Study Help also, but the development could be restored by availing certain chances presented in the market. The marketplace opportunities for CMP consist of;
• The business could also introduce Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP might consider a development program through the growth towards foreign markets in order to minimize its dependence over Chinese markets by utilizing its huge financial resources.
The altering macro trends in the market and increasing competitors in the publishing industry has actually positioned particular dangers to Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution including;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries might result in declining market share of Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution due to the consumer shift towards digital libraries.
• The existence of large number of competitors in the publishing industry increase the risk for CMP to lose its competitive position in the market, as competitors can acquire a strong consumer base by using specific methods like aggressive promotion, quality products, and so on
• Entryway of new publishing firms in the industry along with existence of high competitors increases the risk of losing the customer base.
The business has a quite competitive monetary performance. Due to absence of information, the financial ratios of CMP could not be determined. Nevertheless, the total monetary performance of the company might be examined by utilizing the graphs given in the case Appendices. It could be analyzed from the Appendix III that the annual overall earnings of CMP throughout the period 2000-2012 are growing at a high development rate, revealing that the annual need of the products of Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution is growing and the business is quite efficient in drawing in a a great deal of consumers at a possible rate.
Together with it, the 2nd graph which shows the annual growth in the Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution total assets, shows that the business is rather effective in including value to its possessions through its earnings. The development in properties shows that the total worth of the firm is also increasing with increasing the total earnings. (Unidentified, 2013).
Another financial analysis of the business using the provided data could be the analysis concerning the distribution of overall revenues of the business. Major part of the earnings of CMP comes from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company could move towards other company segments with a potential development to achieve its future development objective.
PESTEL analysis might be performed to discover the different external forces impacting the performance of the company and the current trends in the external environment of the business. A quick PESTEL analysis of the business is offered as follows; (Alanzi, 2018).
As the publishing sector could have a considerable effect on the frame of mind of the people about the communist ideology of the federal government, for that reason, the publishing sector is extremely supervised and guided by the Publicity Department of the Communist Party of China. For that reason, it could be said that the total political forces affecting Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution business are high. The federal government policies concerning the publishing sector are also increasing with the passage of time.
Financial forces impacting the publishing sector in general and the Kingfisher Airlines Managing Multiple Stakeholders Case Study Analysis in specific includesthe costs of paper, the income level of consumers, the inflation rate, and the general GDP growth of the country. All these forces combine effect the demand for the publishing market. Together with it, the financial policies connected to the import of books affect the overall service at CPM. Nevertheless, China's financial conditions are rather favorable for CMP with high GDP development and customer earnings level.
Social and Demographical.
The customer preferences are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP should focus on digital publishing to satisfy the changing customer preferences.
Technological forces affecting the CMP include the technological improvement in the reading strategies etc. Enhancement of science and innovation in addition to the increase of digital publishing could decrease the demand for the CMP items, if specific actions would not be taken soon.
Environmental forces affecting Kingfisher Airlines Managing Multiple Stakeholders Case Study Help consists of the concerns 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 utilized while publishing should not be harmful for the environment.
Legal policies 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.
Market Analysis (Porter's Five Forces Model).
Porter's Five Forces Model might be used to analyze the appearance of the publishing industry China. A quick analysis of the Porter's Five Forces is offered as follows;.
Risk of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Industry is moderate. The potential development in the industry tends to attract new entrants to the publishing industry. The existence of extreme competitors and the requirement of substantial capital tends to demotivate new entrants to go into in the market.
Danger of Alternative.
Threat of Alternative is high for the Chinese Publishing Industry. The alternative items for the published files is the files provided in the digital libraries on certain sites. The altering consumer choices towards digital learning increase the risk of substitution for the industry.
Competitive competition in the publishing market is high. The existence of a great deal of customers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Along with it, new entrants are also entering into the marketplace increasing the competition for CMP.
Bargaining Power of Provider.
The major providers of the Kingfisher Airlines Managing Multiple Stakeholders Case Study Solution include the providers of the paper for releasing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the general bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Haggling power of buyer in the publishing market is high. Due to the presence of a a great deal of publishers in the Chinese market and the market saturation, the buyers requires high quality documents at competitive costs.
CMP runs in an extremely competitive market with the existence of a great deal of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of Kingfisher Airlines Managing Multiple Stakeholders Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis one of the close rivals of CMP. Established in the very same duration, CIP publishes comparable type of books. For a large time period, CIP held the biggest market share, and still ranks third and second in various market sections, with a significant focus on educational publications. CIP acts as a risk for CMP as it could wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and might wean the market share of Kingfisher Airlines Managing Multiple Stakeholders Case Study Analysis easily in the current market circumstance.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was also established in the same duration as CMP and CIP. It ranks 6th in the state-owned publishers in regards to service scale. It is likewise among the popular gamers in the publishing market with a yearly overall revenues of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Minimizing dependence over the Chinese markets.
• Increasing variety of Clients
• Growth opportunities.
• Preventing the effect of market saturation in the Chinese publishing industry.
• Use of possible resources in growth.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
• Sustaining customer base.
• Approaching new markets.
• Easy to present using existing abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio provides high worth to clients.
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core organisation sectors to the new one can lead the company to lose demand of its items in the market.
As the preferences are moving towards digital publishing and the business require an instant service to avoid the decreasing market growth. The business might also consider the expansion program after the success of its digital publishing program.
In order to present digital publishing in its item portfolio, the business needs to first gathers the data associated with the customer need, the possible markets, the government guidelines and the data connected to the rivals provided in the market. After that, the company should choose one potential segment for its initial offering. It ought to collect research that how it could differentiate its digital publishing from the existing competitors' items. The steps above the company ought to go for the preliminary offering. The company should go for the other markets if the initial offering shows a success. In this method the company would be able to execute its digital publishing program.
Although, the development of the publishing market is declining since 2008, showing a hazard to the company's long term presence, but the situation can be controlled by thinking about an advancement plan 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 danger of failure for entrance in the brand-new markets.