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One Fine Stay Case Study Solution and Analysis


Introduction

One Fine Stay Case Study Analysis is the largest publishing business with a highest market share in the China's book retail market. CMP has ended up being a specialized details service provider and a large thorough Science and Technology publishing business through the integration of print media, audio-visual media and the network media.

Important Issues

CMP has invested its 60 years journey efficiently, being a successful publishing home, nevertheless, the changing macro market trends and forces bring specific obstacles to the publishing industry in basic and One Fine Stay Case Study Analysis in particular. These aspects consist of;

• Entryway of the new publishing companies in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and technology.
Executive Summary
The improvement of the macro markets have raised several 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 utilized to pursue the future advancement unceasingly? How could the business sustain its long term competitive position in future?

Situational Analysis
Internal Analysis
SWOT Analysis
Strengths


One Fine Stay Case Study Help has certain strengths that can be utilized to minimize the hazards, get rid of the weakness and avail the chances. Strengths of CMP are provided as follows;

• The long term experience of One Fine Stay Case Study Solution in the publishing market i.e. 60 years permits the business to provide high quality items at a lower cost utilizing its prior experiences.
• The technical resources and capabilities generated by its effective journey provide a competitive benefit to CMP.
• Vast product portfolioof CMP helps it to diversify its risk and provide high worth to its customers.
• Strong monetary position enables the company to think about numerous advancement opportunities with no worry of raising fund externally.

Weak points

In addition to the strengths, the business has certain weaknesses which might increase restraints for the business in executing its advancement program. The weaknesses of One Fine Stay Case Study Analysis are offered as follows;

• Despite of being a science and technology publishing firm, the business still has traditional 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 specific growth plans to prevent its reliance over the Chinese markets to achieve long term development.
Porter's 5 Forces Analysis
Opportunities

The growth of the publishing industry is decreasing since 2008, affecting One Fine Stay Case Study Analysis as well, but the growth could be revived by availing specific opportunities presented in the market. The marketplace chances for CMP include;

• The company might likewise present Digital Publishing by using its long term technical experience and a strong customer recognition in the market.
• CMP might consider an advancement program through the expansion towards foreign markets in order to reduce its reliance over Chinese markets by using its large financial resources.

Dangers

The changing macro patterns in the market and increasing competition in the publishing industry has presented certain threats to One Fine Stay Case Study Analysis including;( Gurel, 2017).

• Introduction of digital publishing i.e. digital libraries might cause decreasing market share of One Fine Stay Case Study Analysis due to the customer shift towards digital libraries.
• The presence of large number of competitors in the publishing market increase the threat for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by using particular methods like aggressive promotion, quality products, and so on
• Entryway of brand-new publishing companies in the market along with presence of high competition increases the risk of losing the client base.

Monetary Analysis.
Swot Analysis
The company has a rather competitive financial performance. Due to absence of data, the monetary ratios of CMP might not be computed. Nevertheless, the overall financial efficiency of the business might be evaluated by using the graphs given up the case Appendices. It might be evaluated from the Appendix III that the yearly total profits of CMP during the period 2000-2012 are growing at a high development rate, revealing that the annual need of the products of One Fine Stay Case Study Analysis is growing and the company is quite effective in attracting a a great deal of clients at a prospective price.

In addition to it, the second chart which reveals the yearly growth in the One Fine Stay Case Study Solution overall possessions, shows that the company is quite effective in adding value to its possessions through its profits. The growth in properties reveals that the total value of the company is likewise increasing with increasing the total revenues. (Unknown, 2013).

Another monetary analysis of the business using the provided data could be the analysis relating to the distribution of overall profits of the company. Major part of the revenues of CMP originates from the sales of its released books i.e. 64% as shown in the Case Appendix V. The company might move towards other organisation segments with a possible development to achieve its future development goal.

PESTEL Analysis

PESTEL analysis could be performed to find out the various external forces affecting the efficiency of the business and the current patterns in the external environment of the business. A quick PESTEL analysis of the business is offered 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 federal government, therefore, the publishing sector is extremely supervised and assisted by the Promotion Department of the Communist Celebration of China. For that reason, it could be stated that the overall political forces affecting One Fine Stay Case Study Solution organisation are high. The government policies relating to the publishing sector are also increasing with the passage of time.

Affordable.

Economic forces impacting the publishing sector in general and the One Fine Stay Case Study Analysis in particular includesthe rates of paper, the earnings level of consumers, the inflation rate, and the total GDP development of the nation. All these forces integrate effect the demand for the publishing market. Together with it, the financial policies associated with the import of books affect the general organisation at CPM. China's financial conditions are rather favorable for CMP with high GDP growth and consumer income level.

Social and Demographical.

Social and demographical forces include the population development, the consumer's choices towards checking out helpful products etc. China has the highest population on the planet with a high population development, revealing the increasing variety of consumers of the One Fine Stay Case Study Analysis. However, the consumer preferences are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to concentrate on digital publishing to fulfill the altering customer preferences.

Technological.

Technological forces impacting the CMP include the technological advancement in the reading techniques etc. Improvement of science and innovation along with the rise of digital publishing could reduce the demand for the CMP products, if certain actions would not be taken soon.

Environmental.
Vrio Analysis
Ecological forces impacting One Fine Stay Case Study Help includes the concerns of environmental communities 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 Regulation 1997 needs the publishers to be approved initially by the Government to be entered in the publishing market.

Market Analysis (Porter's Five Forces Design).

Porter's Five Forces Model might be used to examine the beauty of the publishing market China. A brief analysis of the Porter's 5 Forces is given as follows;.

Threat of New Entrants.

Threats of brand-new entrants in the Chinese Publishing Industry is moderate. The prospective growth in the market tends to attract brand-new entrants to the publishing industry. Nevertheless, the existence of intense competitors and the requirement of huge capital tends to demotivate new entrants to enter in the marketplace.

Risk of Substitution.

Threat of Substitution is high for the Chinese Publishing Market. The alternative products for the published files is the documents provided in the virtual libraries on certain websites. The altering consumer choices towards digital knowing increase the risk of alternative for the market.

Competitive Competition.

Competitive rivalry in the publishing industry is high. The existence of large number of customers in the Chinese Publishing Industry 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 competition for CMP.

Bargaining Power of Provider.

The major suppliers of the One Fine Stay Case Study Analysis include the suppliers of the paper for releasing documents. 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.

Haggling power of buyer 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 needs high quality documents at competitive prices.

Competitors Analysis.

CMP operates in an extremely competitive industry with the presence of large number of rivals. However, the business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of One Fine Stay Case Study Analysis include;.

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

Chemical Market Press (CIP).

CIP acts as a risk for CMP as it might 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 present market circumstance.

Posts and telecommunication Press (PTP).

It was likewise established in the same duration as One Fine Stay Case Study Help and CIP. It is likewise one of the popular players in the publishing industry with a yearly overall profits of RMB 550 million in 2010.

Alternatives

Alternative-1: Broaden towards New Markets

Pros

• Reducing reliance over the Chinese markets.
• Increasing number of Clients
• Growth opportunities.
• Avoiding the impact of market saturation in the Chinese publishing market.

Cons
Recommendations
• Use of prospective resources in growth.
• Threat of failure in new markets.
• Time consuming.

Alernative-2: Present Digital Publishing

Pros

• Sustaining customer base.
• Approaching new markets.
• Easy to present utilizing present abilities.
• Low risk 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 business sectors to the brand-new one can lead the company to lose need of its items in the market.

Recommendations

With the deep analysis of the external and internal environment of the business in addition to the industry analysis and the competitor analysis, Alternative 2 is recommended to CMP to accomplish its future advancement. As the choices are shifting towards digital publishing and the company require an immediate service to avoid the decreasing market growth. Introduction of digital publishing could prove to be an immediate service with low quantity of risk for the business. The company could likewise think about the expansion program after the success of its digital publishing program.

Implementation

In order to introduce digital publishing in its item portfolio, the business needs to first gathers the data related to the customer need, the possible markets, the federal government policies and the information related to the competitors provided in the market. After that, the company needs to choose one potential section for its preliminary offering. It needs to collect research study that how it might separate its digital publishing from the existing rivals' products. After all the steps above the company must choose the initial offering. If the preliminary offering proves a success, the business must go for the other markets. In this method the company would be able to implement its digital publishing program.

Conclusion

Although, the growth of the publishing market is declining given that 2008, showing a threat to the company's long term presence, however the scenario can be managed by considering a development strategy in the future. The company could think about introducing digital publishingin its existing market to implement its development program at instant basis and to avoid the risk of failure for entrance in the brand-new markets.

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