Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution and Analysis
Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis is the largest publishing company with a highest market share in the China's book retail market. CMP supplies a variety of services including; gathering details, processing info and communication services. Major company segments of the company consist of; books, regulars, consultancy and circulation. The business has a vast item portfolio and its major items consist of books, periodicals, online media, exhibits, research study reports and so on. Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help has actually become a specialized information provider and a large comprehensive Science and Technology publishing company through the combination of print media, audio-visual media and the network media.
CMP has invested its 60 years journey smoothly, being an effective publishing house, however, the altering macro market trends and forces bring certain difficulties to the publishing market in general and Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help in specific. These factors consist of;
• Entrance of the new publishing firms in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and innovation.
The improvement of the macro markets have raised numerous concerns to the management at CPM that what could be the future of CMP in this circumstance? Do the long important experience, technical resources and the abilities of the business could be utilized to pursue the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help has certain strengths that can be utilized to reduce the threats, get rid of the weakness and obtain the chances. Strengths of CMP are provided as follows;
• The long term experience of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution in the publishing market i.e. 60 years enables the company to offer high quality products at a lower cost using its prior experiences.
• The technical resources and abilities produced by its successful journey provide a competitive benefit to CMP.
• Vast item portfolioof CMP helps it to diversify its danger and provide high worth to its clients.
• Strong financial position enables the business to think about several development opportunities without any worry of raising fund externally.
Together with the strengths, the business has particular weaknesses which could increase restraints for the business in executing its advancement program. The weak points of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis are provided as follows;
• Despite of being a science and innovation publishing firm, the company still has standard ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It should propose particular expansion plans to avoid its reliance over the Chinese markets to accomplish long term growth.
Although, the development of the publishing industry is decreasing because 2008, impacting Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution also, but the development might be restored by availing certain chances presented in the market. The marketplace chances for CMP include;
• The company might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong customer recognition in the market.
• CMP might think about a development program through the growth towards foreign markets in order to reduce its dependence over Chinese markets by using its large funds.
The altering macro trends in the market and increasing competitors in the publishing market has actually posed specific risks to Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries could cause decreasing market share of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis due to the consumer shift towards digital libraries.
• The presence of large number of competitors in the publishing industry increase the danger for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by utilizing particular methods like aggressive promo, quality items, and so on
• Entrance of brand-new publishing firms in the market along with presence of high competition increases the threat of losing the customer base.
The company has a rather competitive monetary performance. Due to lack of information, the financial ratios of CMP could not be determined. The general financial efficiency of the business might be examined by using the charts given in the case Appendices. It might be analyzed from the Appendix III that the yearly overall earnings of CMP throughout the period 2000-2012 are growing at a high development rate, showing that the yearly need of the products of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help is growing and the company is quite effective in drawing in a a great deal of customers at a potential rate.
In addition to it, the second chart which shows the yearly development in the Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help overall properties, shows that the business is quite efficient in including value to its possessions through its earnings. The development in assets reveals that the overall value of the firm is likewise increasing with increasing the overall earnings. (Unknown, 2013).
Another financial analysis of the business utilizing the provided information might be the analysis relating to the circulation of total earnings of the business. Huge part of the earnings of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The business might move towards other company sectors with a prospective development to achieve its future advancement goal.
PESTEL analysis might be performed to discover the numerous external forces affecting the efficiency of the company and the current trends in the external environment of the company. A short PESTEL analysis of the company is given as follows; (Alanzi, 2018).
As the publishing sector might have a significant effect on the mindset of individuals about the communist ideology of the federal government, therefore, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Celebration of China. It might be stated that the overall political forces affecting CMP organisation are high. The federal government policies relating to the publishing sector are also increasing with the passage of time.
Economic forces impacting the publishing sector in general and the CMP in specific includesthe rates of paper, the income level of consumers, the inflation rate, and the general GDP development of the country. All these forces combine effect the need for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP should focus on digital publishing to satisfy the changing customer choices.
Technological forces affecting the CMP include the technological advancement in the reading methods etc. Improvement of science and innovation in addition to the rise of digital publishing might reduce the demand for the CMP items, if particular actions would not be taken soon.
Ecological forces affecting Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis 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 non reusable and the ink utilized while publishing must not be harmful for the environment.
Legal policies for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be authorized initially by the Federal government to be gone into in the publishing market.
Industry Analysis (Porter's Five Forces Model).
Porter's Five Forces Design might be utilized to evaluate the attractiveness of the publishing market China. A brief analysis of the Porter's Five Forces is offered as follows;.
Danger of New Entrants.
Risks of brand-new entrants in the Chinese Publishing Market is moderate. The prospective growth in the industry tends to bring in brand-new entrants to the publishing industry. The presence of intense competitors and the requirement of big capital tends to demotivate brand-new entrants to enter in the market.
Risk of Substitution.
Danger of Substitution is high for the Chinese Publishing Industry. The substitute products for the released documents is the documents presented in the digital libraries on certain websites. The altering consumer preferences towards digital knowing increase the threat of alternative for the market.
Competitive competition in the publishing market is high. The presence of a great deal of consumers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, brand-new entrants are likewise entering into the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The significant suppliers of the Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help consist of the suppliers of the paper for publishing 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 Purchaser.
Negotiating power of buyer in the publishing market is high. Due to the presence of a large number of publishers in the Chinese market and the market saturation, the buyers needs high quality documents at competitive prices.
CMP operates 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 greatest market share in the Chinese publishing market. Significant competitors of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIP acts as a danger 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 current market scenario.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was also established in the exact same duration as CMP and CIP. It ranks sixth in the state-owned publishers in regards to service scale. It is also one of the prominent players in the publishing industry with a yearly overall earnings of RMB 550 million in 2010.
Alternative-1: Broaden towards New Markets
• Decreasing dependence over the Chinese markets.
• Increasing number of Consumers
• Growth opportunities.
• Preventing the impact of market saturation in the Chinese publishing industry.
• Usage of potential resources in growth.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
• Sustaining customer base.
• Approaching new markets.
• Easy to present utilizing existing abilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio offers high value to clients.
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core organisation sectors to the brand-new one can lead the business to lose demand of its products in the market.
As the preferences are moving towards digital publishing and the company require an immediate service to avoid the declining industry development. The business might also consider the growth program after the success of its digital publishing program.
In order to introduce digital publishing in its product portfolio, the business ought to first collects the data related to the consumer demand, the potential markets, the federal government regulations and the data related to the competitors provided in the market. If the initial offering proves a success, the business needs to go for the other markets. In this method the business would be able to implement its digital publishing program.
The growth of the publishing industry is declining given that 2008, revealing a threat to the company's long term presence, however the scenario can be managed by considering a development plan in the future. The company might think about introducing digital publishingin its existing market to execute its development program at instant basis and to avoid the risk of failure for entrance in the brand-new markets.