Non Traditional Female Entrepreneur A Case Study Solution and Analysis
Non Traditional Female Entrepreneur A Case Study Analysis is the largest publishing business with a greatest market share in the China's book retail market. CMP has become a specialized details supplier and a big comprehensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Although, Non Traditional Female Entrepreneur A Case Study Analysis has spent its 60 years journey efficiently, being an effective publishing house, however, the changing macro market trends and forces bring specific obstacles to the publishing market in general and CMP in specific. These elements consist of;
• Entryway of the brand-new publishing companies in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Enhancement of science and innovation.
The transformation of the macro markets have raised a number of questions 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 business could be made use of to pursue the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Non Traditional Female Entrepreneur A Case Study Analysis has specific strengths that can be utilized to reduce the risks, overcome the weakness and get the opportunities. Strengths of CMP are offered as follows;
• The long term experience of Non Traditional Female Entrepreneur A Case Study Solution in the publishing industry i.e. 60 years enables the business to offer high quality products at a lower expense utilizing its prior experiences.
• The technical resources and abilities created by its successful journey supply a competitive benefit to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and supply high value to its clients.
• Strong monetary position permits the business to think about a number of development opportunities without any worry of raising fund externally.
Along with the strengths, the business has particular weak points which might increase constraints for the business in executing its development program. The weak points of Non Traditional Female Entrepreneur A Case Study Help are offered as follows;
• Despite of being a science and innovation publishing firm, the company still has standard ways ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose particular growth plans to prevent its reliance over the Chinese markets to attain long term development.
The growth of the publishing market is decreasing given that 2008, impacting Non Traditional Female Entrepreneur A Case Study Solution as well, however the development might be restored by availing certain chances provided in the market. The marketplace chances for CMP consist of;
• The business might likewise present Digital Publishing by using its long term technical experience and a strong customer acknowledgment in the market.
• CMP might think about an advancement program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by using its huge financial resources.
The altering macro patterns in the market and increasing competitors in the publishing industry has actually positioned certain threats to Non Traditional Female Entrepreneur A Case Study Solution including;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might result in decreasing market share of Non Traditional Female Entrepreneur A Case Study Analysis due to the customer shift towards digital libraries.
• The existence of a great deal of rivals in the publishing market increase the risk for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by utilizing certain strategies like aggressive promotion, quality items, and so on
• Entrance of new publishing companies in the market together with presence of high competitors increases the risk of losing the client base.
Due to absence of data, the financial ratios of CMP could not be computed. It might be examined from the Appendix III that the annual overall earnings of Non Traditional Female Entrepreneur A Case Study Solution throughout the period 2000-2012 are growing at a high growth rate, showing that the annual demand of the items of CMP is growing and the business is rather effective in bring in a large number of consumers at a prospective cost.
Together with it, the second graph which reveals the yearly growth in the Non Traditional Female Entrepreneur A Case Study Help total properties, reveals that the business is rather efficient in adding value to its properties through its incomes. The development in assets shows that the total worth of the firm is also increasing with increasing the overall revenues. (Unidentified, 2013).
Another financial analysis of the company using the offered information might be the analysis regarding the circulation of overall profits of the business. Huge part of the incomes of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company could move towards other business segments with a potential development to accomplish its future advancement objective.
PESTEL analysis could be performed to learn the various external forces affecting the efficiency of the company and the current patterns in the external environment of the company. A brief PESTEL analysis of the business is provided as follows; (Alanzi, 2018).
As the publishing sector could have a considerable influence on the state of mind of individuals about the communist ideology of the government, therefore, the publishing sector is extremely supervised and directed by the Promotion Department of the Communist Party of China. Therefore, it might be said that the general political forces affecting Non Traditional Female Entrepreneur A Case Study Analysis business are high. The federal government policies concerning the publishing sector are also increasing with the passage of time.
Financial 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 general GDP growth of the country. All these forces combine impact the need for the publishing market.
Social and Demographical.
The customer preferences are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP must focus on digital publishing to satisfy the altering consumer preferences.
Technological forces affecting the CMP include the technological development in the reading methods and so on. Improvement of science and innovation together with the rise of digital publishing might minimize the need for the CMP items, if certain actions would not be taken soon.
Ecological forces impacting Non Traditional Female Entrepreneur A Case Study Analysis consists of the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is required to be non reusable and the ink utilized while publishing ought to not be hazardous for the environment.
Legal policies for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be approved first by the Government to be gone into in the publishing market.
Industry Analysis (Porter's 5 Forces Model).
Porter's Five Forces Model could be utilized to analyze the beauty of the publishing industry China. A short analysis of the Porter's 5 Forces is offered as follows;.
Danger of New Entrants.
Threats of brand-new entrants in the Chinese Publishing Market is moderate. The possible growth in the market tends to attract new entrants to the publishing industry. Nevertheless, the presence of extreme competitors and the requirement of huge capital tends to demotivate new entrants to go into in the market.
Hazard of Replacement.
Threat of Alternative is high for the Chinese Publishing Market. The alternative products for the published files is the documents provided in the digital libraries on particular websites. The altering consumer choices towards digital knowing increase the risk of alternative for the market.
Competitive competition in the publishing industry is high. The presence of a great deal of customers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive competition for CMP. Together with it, brand-new entrants are likewise participating in the marketplace increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant suppliers of the Non Traditional Female Entrepreneur A Case Study Solution include the providers of the paper for releasing files. As CMP is the largest publisher in the Chinese Publishing Market, therefore the overall bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Haggling power of purchaser in the publishing market 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.
CMP runs in an extremely competitive industry with the existence of large number of competitors. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Non Traditional Female Entrepreneur A Case Study Solution include;.
• Chemical Industry 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 might wean the market share of CMP quickly in the current market scenario.
Posts and telecommunication Press (PTP).
It was likewise established in the same period as Non Traditional Female Entrepreneur A Case Study Solution and CIP. It is also one of the popular gamers in the publishing market with an annual total profits of RMB 550 million in 2010.
Alternative-1: Broaden towards New Markets
• Decreasing reliance over the Chinese markets.
• Increasing variety of Consumers
• Development opportunities.
• Preventing the effect of market saturation in the Chinese publishing market.
• Usage of possible resources in growth.
• Risk of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
• Sustaining consumer base.
• Approaching new markets.
• Easy to introduce utilizing current abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio offers high value to clients.
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core service segments to the new one can lead the company to lose need of its items in the market.
With the deep analysis of the internal and external environment of the business in addition to the industry analysis and the rival analysis, Alternative 2 is suggested to CMP to achieve its future advancement. As the choices are moving towards digital publishing and the business require an immediate solution to prevent the decreasing industry development. Introduction of digital publishing might show to be an instant solution with low quantity of threat for the business. 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 business ought to first gathers the data associated with the customer need, the potential markets, the federal government policies and the data related to the competitors presented in the market. After that, the business must decide one possible segment for its preliminary offering. It should gather research that how it might separate its digital publishing from the existing rivals' items. The actions above the business need to go for the preliminary offering. If the initial offering proves a success, the company ought to opt for the other markets. In this method the business would be able to implement its digital publishing program.
Although, the development of the publishing market is declining because 2008, showing a hazard to the business's long term existence, however the circumstance can be controlled by considering a development strategy in the future. The company might consider presenting digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the threat of failure for entryway in the new markets.