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Maple Leaf Simply Fresh B Case Analysis

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Maple Leaf Simply Fresh B Case Study Solution and Analysis


Introduction

Maple Leaf Simply Fresh B Case Study Help is the largest publishing business with a highest market share in the China's book retail market. CMP has ended up being a specialized information provider and a big extensive Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.

Critical Concerns

CMP has actually invested its 60 years journey efficiently, being a successful publishing house, however, the altering macro market trends and forces bring certain challenges to the publishing market in general and Maple Leaf Simply Fresh B Case Study Analysis in specific. These aspects consist of;

• Entryway of the brand-new publishing firms in the market.
• Declining growth of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Improvement of science and innovation.
Executive Summary
The transformation 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 important experience, technical resources and the capabilities 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


Maple Leaf Simply Fresh B Case Study Solution has certain strengths that can be made use of to reduce the hazards, conquer the weakness and avail the chances. Strengths of CMP are provided as follows;

• The long term experience of Maple Leaf Simply Fresh B Case Study Solution in the publishing market i.e. 60 years allows the business to offer high quality items at a lower expense using its previous experiences.
• The technical resources and abilities generated by its successful journey offer a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its risk and offer high value to its consumers.
• Strong monetary position permits the business to consider numerous advancement chances without any fear of raising fund externally.

Weaknesses

Together with the strengths, the company has certain weak points which might increase restraints for the business in executing its development program. The weaknesses of Maple Leaf Simply Fresh B Case Study Help are given as follows;

• Despite of being a science and innovation publishing company, the business still has conventional ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It needs to propose certain growth strategies to avoid its reliance over the Chinese markets to attain long term development.
Porter's 5 Forces Analysis
Opportunities

Although, the development of the publishing market is declining considering that 2008, affecting Maple Leaf Simply Fresh B Case Study Solution also, but the growth might be restored by availing specific chances provided in the market. The market chances for CMP include;

• The business could likewise present Digital Publishing by using its long term technical experience and a strong consumer recognition in the market.
• CMP could think about an advancement program through the expansion towards foreign markets in order to minimize its dependence over Chinese markets by utilizing its huge funds.

Threats

The altering macro patterns in the market and increasing competition in the publishing market has positioned certain risks to Maple Leaf Simply Fresh B Case Study Help including;( Gurel, 2017).

• Intro of digital publishing i.e. virtual libraries could result in declining market share of Maple Leaf Simply Fresh B Case Study Analysis due to the customer shift towards virtual libraries.
• The presence of large number of rivals in the publishing industry increase the threat for CMP to lose its competitive position in the market, as competitors can gain a strong consumer base by utilizing specific strategies like aggressive promotion, quality items, etc.
• Entryway of brand-new publishing companies in the industry together with presence of high competitors increases the threat of losing the customer base.

Financial Analysis.
Swot Analysis
The company has a rather competitive monetary performance. Due to lack of data, the monetary ratios of CMP might not be calculated. Nevertheless, the overall financial efficiency of the business could be analyzed by utilizing the charts given in the case Appendices. It could be analyzed from the Appendix III that the annual overall revenues of CMP throughout the period 2000-2012 are growing at a high development rate, revealing that the annual demand of the items of Maple Leaf Simply Fresh B Case Study Solution is growing and the company is rather efficient in drawing in a a great deal of consumers at a potential price.

Together with it, the 2nd chart which shows the annual growth in the Maple Leaf Simply Fresh B Case Study Analysis overall possessions, reveals that the company is rather effective in adding value to its assets through its revenues. The growth in possessions shows that the total worth of the firm is also increasing with increasing the overall incomes. (Unknown, 2013).

Another financial analysis of the company using the given information might be the analysis regarding the circulation of total profits of the company. Major 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 could move towards other company sectors with a potential growth to attain its future advancement objective.

PESTEL Analysis

PESTEL analysis might be performed to find out the different external forces affecting the performance of the company and the current patterns in the external environment of the company. A quick PESTEL analysis of the business is provided as follows; (Alanzi, 2018).

Political.

As the publishing sector might have a significant effect on the mindset of individuals about the communist ideology of the government, for that reason, the publishing sector is extremely monitored and guided by the Publicity Department of the Communist Party of China. It could be said that the overall political forces affecting CMP organisation are high. The government policies relating to the publishing sector are also increasing with the passage of time.

Affordable.

Financial forces impacting the publishing sector in basic and the CMP in particular includesthe prices of paper, the earnings level of customers, the inflation rate, and the general GDP development of the nation. All these forces combine effect the demand for the publishing market.

Social and Demographical.

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

Technological.

Technological forces affecting the CMP consist of the technological development in the reading strategies etc. Improvement of science and innovation together with the rise of digital publishing might decrease the need for the CMP products, if specific actions would not be taken quickly.

Environmental.
Vrio Analysis
Ecological forces impacting Maple Leaf Simply Fresh B Case Study Help consists of the issues of ecological neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is required to be disposable and the ink used while publishing ought to not be harmful for the environment.

Legal.

Legal guidelines for the publishing sector at whole are high. The legal policies concerning the publishing sector is controlled by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be authorized initially by the Government to be entered in the publishing market. The regulation prohibits direct involvement of foreign entities and people in the publishing sector.

Market Analysis (Porter's 5 Forces Design).

Porter's Five Forces Design might be utilized to evaluate the appearance of the publishing market China. A brief analysis of the Porter's 5 Forces is offered as follows;.

Risk of New Entrants.

Risks of brand-new entrants in the Chinese Publishing Industry is moderate. The potential growth in the market tends to attract brand-new entrants to the publishing market. Nevertheless, the existence of intense competitors and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the marketplace.

Hazard of Alternative.

Hazard of Replacement is high for the Chinese Publishing Industry. The substitute products for the released files is the files provided in the virtual libraries on certain websites. The changing customer preferences towards digital knowing increase the hazard 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 Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Along with it, brand-new entrants are likewise participating in the marketplace increasing the competition for CMP.

Bargaining Power of Provider.

The significant suppliers of the Maple Leaf Simply Fresh B Case Study Solution consist of the providers of the paper for publishing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the total bargaining power of supplier for CMP is low.

Bargaining Power of Buyer.

Haggling 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 market saturation, the purchasers requires high quality documents at competitive prices.

Rivals Analysis.

CMP operates in a highly competitive market with the existence of a great deal of competitors. Nevertheless, the business has a competitive position in the market with the highest market share in the Chinese publishing market. Major rivals of Maple Leaf Simply Fresh B Case Study Help include;.

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

Chemical Market Press (CIP).

CIPis among the close rivals of CMP. Established in the exact same period, CIP publishes similar type of books. For a large period, CIP held the largest market share, and still ranks third and 2nd in different market sectors, with a major focus on academic publications. CIP serves as a threat 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 Maple Leaf Simply Fresh B Case Study Help quickly in the present market situation.

Posts and telecommunication Press (PTP).

Another close competitor of CMP is PTP. It was likewise established in the very same duration as CMP and CIP. It ranks sixth in the state-owned publishers in regards to service scale. It is also among the prominent players in the publishing industry with a yearly overall profits of RMB 550 million in 2010.

Alternatives

Alternative-1: Broaden towards New Markets

Pros

• Minimizing dependence over the Chinese markets.
• Increasing variety of Customers
• Growth chances.
• Preventing the effect of market saturation in the Chinese publishing industry.

Cons
Recommendations
• Usage of possible resources in growth.
• Risk of failure in brand-new markets.
• Time consuming.

Alernative-2: Introduce Digital Publishing

Pros

• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present using existing abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio supplies high worth to customers.

Cons

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

Suggestions

With the deep analysis of the external and internal environment of the business together with the industry analysis and the rival analysis, Alternative 2 is recommended to CMP to achieve its future advancement. As the choices are shifting towards digital publishing and the company need an immediate solution to avoid the decreasing market growth. Intro of digital publishing could show to be an instant solution with low quantity of danger for the business. The company could likewise think about the expansion program after the success of its digital publishing program.

Execution

In order to introduce digital publishing in its product portfolio, the company should initially gathers the data related to the consumer need, the potential markets, the government regulations and the data connected to the rivals provided in the market. After that, the company must choose one potential sector for its preliminary offering. It should collect research that how it could distinguish its digital publishing from the existing rivals' products. After all the actions above the company need to go for the preliminary offering. If the initial offering shows a success, the business ought to opt for the other markets. In this way the business would be able to execute its digital publishing program.

Conclusion

Although, the development of the publishing industry is decreasing given that 2008, showing a danger to the company's long term presence, but the situation can be controlled by considering an advancement strategy in the future. The business might consider presenting digital publishingin its existing market to implement its advancement program at instant basis and to avoid the risk of failure for entrance in the brand-new markets.

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