Kosmos Energy And Ghana B Case Study Solution and Analysis
Kosmos Energy And Ghana B 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; collecting details, processing info and interaction services. Significant company segments of the business include; books, periodicals, consultancy and circulation. The business has a large item portfolio and its major items consist of books, regulars, online media, exhibitions, research reports etc. Kosmos Energy And Ghana B Case Study Solution has actually become a specialized information supplier and a big comprehensive Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Although, Kosmos Energy And Ghana B Case Study Help has actually spent its 60 years journey smoothly, being an effective publishing house, however, the altering macro market trends and forces bring specific difficulties to the publishing market in basic and CMP in specific. These aspects include;
• Entryway of the brand-new publishing firms in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Improvement of science and technology.
The transformation of the macro markets have raised several concerns 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 used to strive for the future development unceasingly? How could the business sustain its long term competitive position in future?
Kosmos Energy And Ghana B Case Study Help has certain strengths that can be used to decrease the risks, conquer the weakness and obtain the opportunities. Strengths of CMP are offered as follows;
• The long term experience of Kosmos Energy And Ghana B Case Study Help in the publishing market i.e. 60 years permits the business to supply high quality items at a lower cost utilizing its prior experiences.
• The technical resources and abilities generated by its successful journey provide a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its threat and supply high worth to its clients.
• Strong financial position enables the business to consider a number of development opportunities without any worry of raising fund externally.
Together with the strengths, the business has specific weak points which could increase restrictions for the business in implementing its advancement program. The weak points of Kosmos Energy And Ghana B Case Study Help are offered as follows;
• Despite of being a science and technology publishing firm, the business still has conventional methods ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose particular growth strategies to prevent its reliance over the Chinese markets to attain long term growth.
The growth of the publishing industry is decreasing given that 2008, affecting Kosmos Energy And Ghana B Case Study Help as well, however the growth might be restored by availing specific chances provided in the market. The marketplace chances for CMP consist of;
• The company might likewise present Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP could consider a development program through the growth towards foreign markets in order to lower its reliance over Chinese markets by using its huge financial resources.
The altering macro trends in the market and increasing competitors in the publishing market has posed particular threats to Kosmos Energy And Ghana B Case Study Help consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might result in declining market share of Kosmos Energy And Ghana B Case Study Solution due to the consumer shift towards digital libraries.
• The presence of large number of competitors in the publishing market increase the danger for CMP to lose its competitive position in the market, as rivals can get a strong customer base by using particular techniques like aggressive promotion, quality products, and so on
• Entrance of brand-new publishing firms in the industry together with existence of high competitors increases the hazard of losing the client base.
The business has a rather competitive monetary efficiency. Due to absence of information, the monetary ratios of CMP might not be determined. Nevertheless, the overall monetary performance of the business might be analyzed by using the charts given in the case Appendices. It might be analyzed from the Appendix III that the annual total profits of CMP during the period 2000-2012 are growing at a high development rate, revealing that the yearly need of the items of Kosmos Energy And Ghana B Case Study Solution is growing and the company is rather effective in attracting a a great deal of clients at a possible cost.
Together with it, the 2nd graph which shows the yearly growth in the Kosmos Energy And Ghana B Case Study Solution overall assets, reveals that the company is quite effective in including value to its possessions through its incomes. The development in assets reveals that the overall worth of the firm is also increasing with increasing the overall profits. (Unidentified, 2013).
Another financial analysis of the business utilizing the offered data might be the analysis relating to the distribution of overall incomes of the business. Major part of the revenues of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The business could move towards other business sections with a possible development to accomplish its future advancement objective.
PESTEL analysis could be carried out to find out the numerous external forces impacting the efficiency of the company and the current patterns in the external environment of the business. A brief PESTEL analysis of the company is provided as follows; (Alanzi, 2018).
As the publishing sector might have a substantial impact on the state of mind of the people about the communist ideology of the government, therefore, the publishing sector is extremely supervised and assisted by the Promotion Department of the Communist Celebration of China. Therefore, it could be stated that the general political forces impacting Kosmos Energy And Ghana B Case Study Analysis service are high. The government policies relating to the publishing sector are likewise increasing with the passage of time.
Financial forces impacting the publishing sector in general and the Kosmos Energy And Ghana B Case Study Help in specific includesthe rates of paper, the earnings level of customers, the inflation rate, and the general GDP growth of the nation. All these forces combine impact the need for the publishing market. Together with it, the economic policies associated with the import of books impact the total service at CPM. China's financial conditions are rather beneficial for CMP with high GDP development and consumer income level.
Social and Demographical.
The customer preferences are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP must focus on digital publishing to satisfy the altering customer preferences.
Technological forces impacting the CMP consist of the technological improvement in the reading techniques and so on. Improvement of science and innovation together with the increase of digital publishing might reduce the demand for the CMP items, if particular actions would not be taken soon.
Environmental forces impacting Kosmos Energy And Ghana B 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 utilized while publishing ought to not be hazardous for the environment.
Legal guidelines for the publishing sector at whole are high. Publishing Regulation 1997 requires the publishers to be approved first by the Federal government to be gone into in the publishing market.
Market Analysis (Porter's Five Forces Model).
Porter's Five Forces Design could be used to examine the attractiveness of the publishing market China. A quick analysis of the Porter's 5 Forces is given as follows;.
Threat of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The prospective development in the market tends to attract new entrants to the publishing market. However, the presence of extreme competition and the requirement of huge capital tends to demotivate new entrants to go into in the marketplace.
Risk of Replacement.
Threat of Substitution is high for the Chinese Publishing Industry. The alternative items for the published files is the documents presented in the virtual libraries on certain sites. The changing consumer preferences towards digital learning increase the threat of alternative for the industry.
Competitive competition in the publishing industry is high. The existence of large number of consumers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. In addition to it, new entrants are likewise entering into the marketplace increasing the competitors for CMP.
Bargaining Power of Provider.
The significant providers of the Kosmos Energy And Ghana B Case Study Solution include the providers of the paper for releasing files. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the general bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Negotiating power of purchaser in the publishing industry is high. Due to the presence of a large number of publishers in the Chinese market and the marketplace saturation, the purchasers needs high quality files at competitive prices.
CMP runs in an extremely competitive industry 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 Kosmos Energy And Ghana B Case Study Solution include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a hazard 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 present market scenario.
Posts and telecommunication Press (PTP).
It was also founded in the very same duration as Kosmos Energy And Ghana B Case Study Help and CIP. It is also one of the prominent gamers in the publishing market with an annual total incomes of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Lowering dependence over the Chinese markets.
• Increasing variety of Customers
• Development opportunities.
• Preventing the impact of market saturation in the Chinese publishing industry.
• Use of potential resources in expansion.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce using current abilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased item portfolio provides high value to clients.
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core service sections to the new one can lead the business to lose demand of its products in the market.
As the choices are shifting towards digital publishing and the business require an instant service to avoid the declining market growth. The business could also consider the growth program after the success of its digital publishing program.
In order to introduce digital publishing in its product portfolio, the company needs to first gathers the information related to the customer demand, the potential markets, the government guidelines and the data related to the competitors provided in the market. If the initial offering proves a success, the company should go for the other markets. In this method the company would be able to implement its digital publishing program.
The growth of the publishing industry is declining because 2008, showing a threat to the company's long term existence, however the scenario can be managed by thinking about a development strategy in the future. The business could think about introducing digital publishingin its existing market to execute its development program at instant basis and to prevent the danger of failure for entrance in the new markets.