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Lululemon Athleticas Product Employee And Public Relations Issues Case Analysis

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Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution and Analysis


Introduction

Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help is the largest publishing company with a greatest market share in the China's book retail market. CMP has actually ended up being a specialized information service provider and a large detailed Science and Innovation publishing company through the combination of print media, audio-visual media and the network media.

Critical Issues

CMP has actually invested its 60 years journey smoothly, being an effective publishing home, however, the changing macro market trends and forces bring specific challenges to the publishing industry in general and Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis in specific. These aspects include;

• Entrance of the new publishing companies in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Improvement of science and technology.
Executive Summary
The transformation of the macro markets have raised numerous 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 made use of to pursue the future advancement unceasingly? How could the company sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis has specific strengths that can be utilized to decrease the threats, overcome the weak point and obtain the opportunities. Strengths of CMP are given as follows;

• The long term experience of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis in the publishing industry i.e. 60 years permits the company to supply high quality products at a lower expense using its previous experiences.
• The technical resources and capabilities produced by its effective journey offer a competitive advantage to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and offer high value to its consumers.
• Strong financial position allows the company to think about a number of development chances without any worry of raising fund externally.

Weak points

Along with the strengths, the company has particular weak points which might increase restrictions for the business in implementing its development program. The weak points of Lululemon Athleticas Product Employee And Public Relations Issues 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 compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose certain growth plans to avoid its reliance over the Chinese markets to accomplish long term growth.
Porter's 5 Forces Analysis
Opportunities

The development of the publishing market is declining considering that 2008, impacting Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis as well, but the development could be restored by availing specific chances provided in the market. The market opportunities for CMP include;

• The business could likewise present Digital Publishing by utilizing its long term technical experience and a strong consumer acknowledgment in the market.
• CMP might consider a development program through the growth towards foreign markets in order to reduce its reliance over Chinese markets by utilizing its vast funds.

Hazards

The altering macro patterns in the market and increasing competition in the publishing industry has actually positioned certain dangers to Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution consisting of;( Gurel, 2017).

• Introduction of digital publishing i.e. virtual libraries might result in decreasing market share of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution due to the consumer shift towards digital libraries.
• The existence of large number of rivals in the publishing industry increase the risk for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by using specific strategies like aggressive promotion, quality items, and so on
• Entryway of new publishing firms in the industry together with existence of high competition increases the danger of losing the client base.

Monetary Analysis.
Swot Analysis
The company has a quite competitive financial efficiency. Due to absence of information, the financial ratios of CMP could not be computed. The overall financial efficiency of the business could be examined by utilizing the graphs offered in the case Appendices. It might be examined from the Appendix III that the annual total profits of CMP throughout the period 2000-2012 are growing at a high development rate, showing that the annual demand of the products of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis is growing and the business is rather efficient in attracting a a great deal of consumers at a potential rate.

Along with it, the 2nd graph which reveals the annual growth in the Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help total assets, shows that the company is quite efficient in including value to its possessions through its incomes. The growth in assets reveals that the total worth of the firm is also increasing with increasing the total profits. (Unknown, 2013).

Another monetary analysis of the business utilizing the provided information might be the analysis concerning the distribution of total incomes of the business. Huge part of the incomes of CMP originates from the sales of its published books i.e. 64% as shown in the Case Appendix V. The company could move towards other organisation sectors with a prospective development to achieve its future advancement goal.

PESTEL Analysis

PESTEL analysis could be conducted to learn the numerous external forces affecting the performance of the company and the current trends in the external environment of the business. A quick PESTEL analysis of the company is provided as follows; (Alanzi, 2018).

Political.

As the publishing sector might have a considerable influence on the mindset of individuals about the communist ideology of the government, for that reason, the publishing sector is extremely supervised and guided by the Publicity Department of the Communist Celebration of China. For that reason, it could be stated that the total political forces impacting Lululemon Athleticas Product Employee And Public Relations Issues Case Study Help company are high. The government policies concerning the publishing sector are also increasing with the passage of time.

Economical.

Economic forces affecting the publishing sector in general and the CMP in particular includesthe rates of paper, the income level of consumers, the inflation rate, and the total GDP growth of the country. All these forces integrate impact the need for the publishing market.

Social and Demographical.

The customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP should focus on digital publishing to satisfy the altering customer preferences.

Technological.

Technological forces impacting the CMP include the technological advancement in the reading techniques and so on. Enhancement of science and innovation along with the rise of digital publishing could lower the demand for the CMP items, if specific actions would not be taken quickly.

Environmental.
Vrio Analysis
Environmental forces impacting Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis includes the concerns of environmental neighborhoods over the use of paper in publishing books. The paper utilized in the books while publishing is required to be non reusable and the ink used while publishing needs to not be harmful for the environment.

Legal.

Legal guidelines for the publishing sector at whole are high. The legal regulations relating to 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 Government to be entered in the publishing market. The ordinance forbids direct involvement of foreign entities and people in the publishing sector.

Industry Analysis (Porter's 5 Forces Model).

Porter's Five Forces Model could be used to evaluate the attractiveness of the publishing industry China. A quick analysis of the Porter's 5 Forces is given as follows;.

Hazard of New Entrants.

Threats of new entrants in the Chinese Publishing Market is moderate. The potential development in the market tends to draw in brand-new entrants to the publishing market. However, the existence of extreme competitors and the requirement of big capital tends to demotivate brand-new entrants to enter in the marketplace.

Hazard of Substitution.

Risk of Replacement is high for the Chinese Publishing Market. The alternative products for the published files is the files presented in the virtual libraries on particular sites. The changing customer preferences towards digital learning increase the risk of alternative for the industry.

Competitive Competition.

Competitive competition in the publishing market is high. The existence of a great deal of consumers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive rivalry for CMP. In addition to it, new entrants are likewise entering into the market increasing the competition for CMP.

Bargaining Power of Supplier.

The major providers of the Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis include the suppliers of the paper for publishing 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 existence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers requires high quality documents at competitive prices.

Rivals Analysis.

CMP runs in an extremely competitive market with the existence of large number of competitors. However, the company has a competitive position in the market with the greatest market share in the Chinese publishing market. Significant rivals of Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis include;.

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

Chemical Industry Press (CIP).

CIPis among the close rivals of CMP. Founded in the same period, CIP publishes similar type of books. For a large time period, CIP held the biggest market share, and still ranks 2nd and third in numerous market sections, with a significant focus on educational publications. CIP acts as a threat 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 Lululemon Athleticas Product Employee And Public Relations Issues Case Study Analysis quickly in the present market situation.

Posts and telecommunication Press (PTP).

It was also founded in the exact same duration as Lululemon Athleticas Product Employee And Public Relations Issues Case Study Solution and CIP. It is likewise one of the prominent gamers in the publishing market with an annual overall earnings of RMB 550 million in 2010.

Alternatives

Alternative-1: Broaden towards New Markets

Pros

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

Cons
Recommendations
• Usage of possible resources in growth.
• Danger of failure in new markets.
• Time consuming.

Alernative-2: Present Digital Publishing

Pros

• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present using existing capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high worth to consumers.

Cons

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

Suggestions

As the preferences are shifting towards digital publishing and the company need an immediate solution to avoid the decreasing market growth. The company could likewise think about the growth program after the success of its digital publishing program.

Implementation

In order to present digital publishing in its item portfolio, the business must first gathers the data associated with the customer demand, the possible markets, the government policies and the data related to the rivals provided in the market. After that, the company must decide one possible segment for its preliminary offering. It ought to gather research study that how it could differentiate its digital publishing from the existing rivals' items. After all the actions above the business need to go for the initial offering. If the preliminary offering shows a success, the business should go for the other markets. In this method the business would be able to implement its digital publishing program.

Conclusion

The development of the publishing industry is declining given that 2008, showing a danger to the company's long term presence, however the scenario can be controlled by considering a development plan in the future. The business might think about presenting digital publishingin its existing market to execute its advancement program at immediate basis and to avoid the threat of failure for entryway in the new markets.

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