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Ockham Technologies B Building The Board Case Analysis

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Ockham Technologies B Building The Board Case Study Solution and Analysis


Introduction

Ockham Technologies B Building The Board Case Study Help is the biggest publishing company with a highest market share in the China's book retail market. CMP has become a specialized info service provider and a large extensive Science and Technology publishing company through the integration of print media, audio-visual media and the network media.

Crucial Concerns

CMP has spent its 60 years journey smoothly, being a successful publishing home, nevertheless, the altering macro market trends and forces bring particular obstacles to the publishing market in general and Ockham Technologies B Building The Board Case Study Analysis in specific. These elements consist of;

• Entryway of the new publishing companies in the market.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Improvement of science and innovation.
Executive Summary
The change of the macro markets have raised numerous concerns 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 company could be used to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


Ockham Technologies B Building The Board Case Study Solution has specific strengths that can be made use of to lower the hazards, conquer the weak point and avail the opportunities. Strengths of CMP are given as follows;

• The long term experience of Ockham Technologies B Building The Board Case Study Help in the publishing industry i.e. 60 years allows the business to offer high quality products at a lower expense using its previous experiences.
• The technical resources and abilities created by its successful journey supply a competitive benefit to CMP.
• Vast item portfolioof CMP helps it to diversify its threat and offer high worth to its customers.
• Strong monetary position permits the business to consider a number of development opportunities with no worry of raising fund externally.

Weaknesses

In addition to the strengths, the company has particular weak points which could increase constraints for the company in implementing its development program. The weaknesses of Ockham Technologies B Building The Board Case Study Analysis are given 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 highly relies over the Chinese markets for its growth. It should propose particular growth strategies to avoid its dependence over the Chinese markets to accomplish long term development.
Porter's 5 Forces Analysis
Opportunities

The growth of the publishing industry is declining given that 2008, affecting Ockham Technologies B Building The Board Case Study Help as well, however the development might be revived by availing particular chances presented in the market. The market opportunities for CMP consist of;

• The company might also introduce 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 reliance over Chinese markets by utilizing its vast funds.

Threats

The altering macro trends in the market and increasing competition in the publishing market has posed certain dangers to Ockham Technologies B Building The Board Case Study Solution including;( Gurel, 2017).

• Introduction of digital publishing i.e. virtual libraries could cause declining market share of Ockham Technologies B Building The Board Case Study Analysis due to the customer shift towards virtual libraries.
• The presence of large number of rivals in the publishing industry increase the hazard for CMP to lose its competitive position in the market, as competitors can acquire a strong customer base by using certain strategies like aggressive promotion, quality products, etc.
• Entryway of brand-new publishing companies in the market along with presence of high competitors increases the hazard of losing the customer base.

Financial Analysis.
Swot Analysis
Due to lack of data, the monetary ratios of CMP could not be calculated. It might be examined from the Appendix III that the annual total profits of Ockham Technologies B Building The Board Case Study Solution throughout the period 2000-2012 are growing at a high development rate, revealing that the annual need of the items of CMP is growing and the business is quite efficient in drawing in a big number of clients at a possible price.

In addition to it, the second chart which shows the annual development in the Ockham Technologies B Building The Board Case Study Help total assets, shows that the company is rather efficient in including value to its possessions through its profits. The growth in assets reveals that the overall value of the firm is also increasing with increasing the overall profits. (Unknown, 2013).

Another financial analysis of the company using the offered information might be the analysis concerning the circulation of overall profits of the business. Huge part of the earnings of CMP originates from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The company could move towards other business sectors with a potential development to attain its future advancement objective.

PESTEL Analysis

PESTEL analysis could be performed to find out the different external forces impacting the efficiency of the company and the recent trends in the external environment of the company. A brief PESTEL analysis of the company is given as follows; (Alanzi, 2018).

Political.

As the publishing sector could have a substantial impact on the mindset of individuals about the communist ideology of the federal government, for that reason, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Celebration of China. It might be stated that the total political forces impacting CMP company are high. The government policies relating to the publishing sector are also increasing with the passage of time.

Economical.

Financial forces affecting the publishing sector in general and the CMP in specific includesthe prices of paper, the earnings level of customers, the inflation rate, and the overall GDP development of the country. All these forces combine impact the demand for the publishing market.

Social and Demographical.

The consumer preferences are moving towards digital publishing rather than the standard was of publishing. In this regard, CMP must focus on digital publishing to meet the altering customer choices.

Technological.

Technological forces affecting the CMP include the technological advancement in the reading techniques and so on. Improvement of science and technology in addition to the rise of digital publishing could lower the need for the CMP products, if certain actions would not be taken soon.

Environmental.
Vrio Analysis
Environmental forces impacting Ockham Technologies B Building The Board Case Study Analysis 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 utilized while publishing should not be hazardous for the environment.

Legal.

Legal guidelines for the publishing sector at whole are high. Publishing Ordinance 1997 needs the publishers to be authorized first by the Federal government to be entered in the publishing market.

Industry Analysis (Porter's 5 Forces Design).

Porter's Five Forces Model could be utilized to evaluate the appearance of the publishing market China. A quick analysis of the Porter's 5 Forces is provided as follows;.

Hazard of New Entrants.

Threats of brand-new entrants in the Chinese Publishing Industry is moderate. The prospective development in the market tends to attract new entrants to the publishing market. Nevertheless, the existence of extreme competitors and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the marketplace.

Hazard of Replacement.

Risk of Alternative is high for the Chinese Publishing Industry. The alternative items for the published files is the documents provided in the digital libraries on specific sites. The changing consumer choices towards digital knowing increase the danger of alternative for the market.

Competitive Rivalry.

Competitive competition in the publishing industry is high. The existence of a great deal of customers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Along with it, brand-new entrants are also entering into the market increasing the competitors for CMP.

Bargaining Power of Supplier.

The major providers of the Ockham Technologies B Building The Board Case Study Help consist of the suppliers of the paper for publishing documents. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the total bargaining power of provider for CMP is low.

Bargaining Power of Purchaser.

Negotiating power of buyer in the publishing industry is high. Due to the existence of a large number of publishers in the Chinese market and the market saturation, the buyers requires high quality documents at competitive rates.

Rivals Analysis.

CMP operates in a highly competitive industry with the existence of a great deal of rivals. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Significant competitors of Ockham Technologies B Building The Board Case Study Help include;.

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

Chemical Market Press (CIP).

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 CMP quickly in the existing market scenario.

Posts and telecommunication Press (PTP).

It was likewise established in the same duration as Ockham Technologies B Building The Board Case Study Help and CIP. It is likewise one of the prominent gamers in the publishing industry with a yearly total revenues of RMB 550 million in 2010.

Alternatives

Alternative-1: Expand towards New Markets

Pros

• Lowering dependence over the Chinese markets.
• Increasing number of Consumers
• Growth opportunities.
• Preventing the effect of market saturation in the Chinese publishing market.

Cons
Recommendations
• Use of potential resources in expansion.
• Danger of failure in new markets.
• Time consuming.

Alernative-2: Introduce Digital Publishing

Pros

• Sustaining consumer base.
• Approaching new markets.
• Easy to introduce utilizing existing capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio provides 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 business sectors to the new one can lead the company to lose need of its products in the market.

Recommendations

With the deep analysis of the internal and external environment of the business together with the market analysis and the competitor analysis, Alternative 2 is suggested to CMP to accomplish its future development. As the preferences are moving towards digital publishing and the business need an instant solution to avoid the declining industry development. Therefore, introduction of digital publishing could show to be an instant service with low amount of danger for the business. The company might likewise think about the growth program after the success of its digital publishing program.

Application

In order to introduce digital publishing in its item portfolio, the business must first collects the data associated with the customer demand, the prospective markets, the government policies and the data connected to the competitors provided in the market. After that, the company should decide one prospective sector for its initial offering. It ought to collect research that how it might differentiate its digital publishing from the existing rivals' items. The steps above the company must go for the initial offering. The company needs to go for the other markets if the preliminary offering proves a success. In this way the company would be able to implement its digital publishing program.

Conclusion

The growth of the publishing industry is declining given that 2008, showing a danger to the company's long term existence, but the circumstance can be controlled by considering a development strategy in the future. The company could consider introducing digital publishingin its existing market to execute its development program at immediate basis and to avoid the threat of failure for entryway in the brand-new markets.

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