Oberoi Hotel Case Study Solution and Analysis
Intro
Oberoi Hotel Case Study Solution is the biggest publishing company with a greatest market share in the China's book retail market. CMP has become a specialized details service provider and a large detailed Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Vital Problems
CMP has actually spent its 60 years journey efficiently, being an effective publishing home, however, the altering macro market trends and forces bring certain challenges to the publishing market in general and Oberoi Hotel Case Study Analysis in particular. These elements include;
• Entrance of the brand-new publishing firms in the industry.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Improvement of science and technology.
The change of the macro markets have raised a number of concerns to the management at CPM that what could be the future of CMP in this situation? Do the long valuable experience, technical resources and the abilities of the company could be utilized 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
Oberoi Hotel Case Study Help has certain strengths that can be made use of to reduce the hazards, overcome the weak point and get the chances. Strengths of CMP are offered as follows;
• The long term experience of Oberoi Hotel Case Study Analysis in the publishing market i.e. 60 years allows the business to offer high quality products at a lower expense utilizing its previous experiences.
• The technical resources and abilities created by its successful journey provide a competitive benefit to CMP.
• Vast product portfolioof CMP assists it to diversify its risk and offer high worth to its clients.
• Strong monetary position allows the company to think about several advancement chances without any fear of raising fund externally.
Weak points
Together with the strengths, the business has particular weak points which could increase constraints for the business in implementing its advancement program. The weaknesses of Oberoi Hotel Case Study Analysis are provided as follows;
• Despite of being a science and technology publishing firm, the company still has conventional ways ofpublishing which are not suitable with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It must propose particular growth strategies to prevent its reliance over the Chinese markets to accomplish long term growth.
Opportunities
The growth of the publishing industry is decreasing since 2008, affecting Oberoi Hotel Case Study Analysis as well, but the development might be restored by availing particular chances presented in the market. The marketplace chances for CMP include;
• The business might likewise present Digital Publishing by utilizing its long term technical experience and a strong consumer recognition in the market.
• CMP could consider a development program through the expansion towards foreign markets in order to reduce its reliance over Chinese markets by utilizing its large financial resources.
Hazards
The changing macro trends in the market and increasing competition in the publishing market has presented certain threats to Oberoi Hotel Case Study Solution consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could result in decreasing market share of Oberoi Hotel Case Study Analysis due to the consumer shift towards digital libraries.
• The existence of a great deal of competitors in the publishing industry increase the hazard for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by utilizing specific strategies like aggressive promo, quality items, and so on
• Entrance of brand-new publishing companies in the industry together with existence of high competitors increases the hazard of losing the consumer base.
Monetary Analysis.
Due to lack of information, the financial ratios of CMP might not be determined. It could be analyzed from the Appendix III that the yearly total revenues of Oberoi Hotel Case Study Help throughout the period 2000-2012 are growing at a high growth rate, revealing that the yearly need of the products of CMP is growing and the business is quite efficient in bring in a big number of customers at a potential cost.
Along with it, the second graph which reveals the yearly development in the Oberoi Hotel Case Study Help total assets, reveals that the business is rather efficient in including worth to its assets through its profits. The development in properties shows that the total worth of the firm is likewise increasing with increasing the overall incomes. (Unidentified, 2013).
Another financial analysis of the business utilizing the given data could be the analysis concerning the distribution of overall earnings of the business. Major part of the earnings of CMP comes from the sales of its published books i.e. 64% as shown in the Case Appendix V. The company might move towards other service sections with a possible growth to attain its future development goal.
PESTEL Analysis
PESTEL analysis could be conducted to find out the various external forces affecting the efficiency of the business and the recent trends 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 could have a significant influence on the frame of mind of the people about the communist ideology of the government, for that reason, the publishing sector is extremely monitored and assisted by the Publicity Department of the Communist Celebration of China. It might be said that the overall political forces affecting CMP business are high. The federal government policies regarding the publishing sector are also increasing with the passage of time.
Economical.
Economic forces affecting 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 integrate effect the demand for the publishing market.
Social and Demographical.
Social and demographical forces consist of the population development, the customer's choices towards reading helpful materials and so on. China has the highest population worldwide with a high population development, showing the increasing variety of consumers of the Oberoi Hotel Case Study Analysis. However, the customer choices are moving towards digital publishing rather than the standard was of publishing. In this regard, CMP should concentrate on digital publishing to satisfy the changing customer choices.
Technological.
Technological forces impacting the CMP consist of the technological improvement in the reading techniques and so on. Improvement of science and technology in addition to the rise of digital publishing could lower the demand for the CMP items, if particular actions would not be taken soon.
Environmental.
Ecological forces affecting Oberoi Hotel Case Study Solution consists of the issues of environmental communities 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 damaging for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. The legal guidelines relating to the publishing sector is controlled by the General Administration of Press and Publication. Publishing Regulation 1997 needs the publishers to be authorized initially by the Government to be gone into in the publishing market. The regulation forbids direct participation of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's Five Forces Design).
Porter's 5 Forces Design could be used to evaluate the attractiveness of the publishing market China. A brief analysis of the Porter's 5 Forces is given as follows;.
Threat of New Entrants.
Hazards of new entrants in the Chinese Publishing Market is moderate. The possible development in the market tends to draw in new entrants to the publishing industry. Nevertheless, the existence of extreme competitors and the requirement of huge capital tends to demotivate brand-new entrants to enter in the marketplace.
Threat of Alternative.
Threat of Alternative is high for the Chinese Publishing Industry. The replacement items for the published files is the files provided in the digital libraries on certain websites. The altering consumer preferences towards digital knowing increase the risk of alternative for the market.
Competitive Rivalry.
Competitive rivalry in the publishing industry is high. The presence of a great deal of customers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. In addition to it, new entrants are also entering into the market increasing the competitors for CMP.
Bargaining Power of Provider.
The significant suppliers of the Oberoi Hotel Case Study Solution consist of the suppliers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the overall 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 a great deal of publishers in the Chinese market and the market saturation, the purchasers needs high quality documents at competitive prices.
Rivals Analysis.
CMP runs in a highly competitive industry with the presence of large number of competitors. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Oberoi Hotel Case Study Analysis include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis among the close competitors of CMP. Founded in the same period, CIP publishes comparable kind of books. For a big time period, CIP held the largest market share, and still ranks third and 2nd in numerous market sectors, with a significant concentrate on academic publications. 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 marketplace share of Oberoi Hotel Case Study Analysis easily in the existing market circumstance.
Posts and telecommunication Press (PTP).
It was also founded in the exact same duration as Oberoi Hotel Case Study Analysis and CIP. It is likewise one of the popular players in the publishing market with an annual overall profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Reducing dependence over the Chinese markets.
• Increasing variety of Consumers
• Growth chances.
• Avoiding the effect of market saturation in the Chinese publishing market.
Cons
• Usage of possible resources in growth.
• Risk of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce using existing capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high value to consumers.
Cons
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core organisation sections to the new one can lead the business to lose need of its products in the market.
Suggestions
As the choices are shifting towards digital publishing and the business require an immediate service to prevent the decreasing market development. The business could also consider the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its product portfolio, the business should initially collects the data related to the consumer demand, the potential markets, the government policies and the data related to the competitors provided in the market. If the preliminary offering shows a success, the company must go for the other markets. In this method the business would be able to execute its digital publishing program.
Conclusion
The development of the publishing market is decreasing considering that 2008, revealing a danger to the company's long term existence, but the circumstance can be controlled by thinking about a development strategy in the future. The company might think about presenting digital publishingin its existing market to implement its development program at instant basis and to prevent the danger of failure for entryway in the brand-new markets.
