Organizational Change And Management Case Study Solution and Analysis
Introduction
Organizational Change And Management Case Study Solution is the biggest publishing company with a greatest market share in the China's book retail market. CMP has actually become a specialized details service provider and a large comprehensive Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.
Important Concerns
CMP has actually spent its 60 years journey smoothly, being an effective publishing house, nevertheless, the changing macro market patterns and forces bring specific obstacles to the publishing market in general and Organizational Change And Management Case Study Help in particular. These elements consist of;
• Entrance of the brand-new publishing companies in the market.
• Declining growth of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Improvement of science and technology.
The change 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 valuable experience, technical resources and the capabilities of the company could be used 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
Organizational Change And Management Case Study Help has specific strengths that can be used to lower the risks, overcome the weakness and obtain the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Organizational Change And Management Case Study Help in the publishing industry i.e. 60 years enables the company to offer high quality items at a lower expense using its previous experiences.
• The technical resources and capabilities produced by its effective journey provide a competitive benefit to CMP.
• Huge product portfolioof CMP assists it to diversify its threat and provide high value to its clients.
• Strong financial position permits the company to consider a number of advancement chances without any worry of raising fund externally.
Weaknesses
Together with the strengths, the company has particular weaknesses which could increase restrictions for the business in implementing its development program. The weaknesses of Organizational Change And Management Case Study Help are offered as follows;
• Despite of being a science and technology publishing firm, the business still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It must propose particular expansion plans to prevent its dependence over the Chinese markets to achieve long term development.
Opportunities
The growth of the publishing market is declining since 2008, affecting Organizational Change And Management Case Study Help as well, but the development could be revived by availing particular opportunities provided in the market. The marketplace opportunities for CMP include;
• The business might also introduce Digital Publishing by utilizing its long term technical experience and a strong customer acknowledgment in the market.
• CMP could think about an advancement program through the expansion towards foreign markets in order to decrease its dependence over Chinese markets by using its vast funds.
Threats
The changing macro patterns in the market and increasing competitors in the publishing industry has positioned certain risks to Organizational Change And Management Case Study Analysis consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could result in declining market share of Organizational Change And Management Case Study Analysis due to the consumer 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 gain a strong consumer base by utilizing particular techniques like aggressive promotion, quality products, etc.
• Entryway of new publishing companies in the industry in addition to existence of high competitors increases the risk of losing the customer base.
Financial Analysis.
The business has a quite competitive financial efficiency. Due to lack of information, the financial ratios of CMP could not be computed. Nevertheless, the total financial efficiency of the company could be analyzed by using the charts given up the case Appendices. It could be analyzed from the Appendix III that the annual total incomes of CMP throughout the period 2000-2012 are growing at a high development rate, showing that the annual demand of the products of Organizational Change And Management Case Study Help is growing and the company is rather effective in bring in a large number of clients at a potential rate.
Together with it, the 2nd graph which shows the annual growth in the Organizational Change And Management Case Study Analysis overall properties, shows that the business is rather efficient in including worth to its possessions through its revenues. The development in properties shows that the total worth of the firm is likewise increasing with increasing the total earnings. (Unidentified, 2013).
Another financial analysis of the company utilizing the given data could be the analysis relating to the circulation of total revenues of the company. Huge 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 business could move towards other organisation segments with a possible development to achieve its future advancement goal.
PESTEL Analysis
PESTEL analysis might be carried out to learn the numerous external forces affecting the performance of the business and the current 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 considerable effect on the state of mind of the people about the communist ideology of the federal government, for that reason, the publishing sector is extremely supervised and guided by the Promotion Department of the Communist Party of China. It might be said that the general political forces affecting CMP organisation are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Cost-effective.
Financial forces impacting the publishing sector in general and the CMP in particular includesthe rates of paper, the income level of customers, the inflation rate, and the overall GDP development of the nation. All these forces combine impact the demand for the publishing market.
Social and Demographical.
Social and demographical forces include the population growth, the consumer's preferences towards checking out informative products and so on. China has the highest population in the world with a high population development, revealing the increasing number of customers of the Organizational Change And Management Case Study Analysis. The consumer choices are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP must focus on digital publishing to satisfy the altering customer preferences.
Technological.
Technological forces affecting the CMP consist of the technological improvement in the reading techniques and so on. Enhancement of science and innovation together with the increase of digital publishing might reduce the need for the CMP items, if specific actions would not be taken quickly.
Environmental.
Environmental forces affecting Organizational Change And Management Case Study Help includes 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 must not be hazardous for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. The legal policies relating to the publishing sector is managed by the General Administration of Press and Publication. Publishing Regulation 1997 needs the publishers to be approved first by the Government to be entered in the publishing market. The ordinance prohibits direct involvement of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's 5 Forces Design).
Porter's Five Forces Design might be used to evaluate the attractiveness of the publishing market China. A short analysis of the Porter's Five Forces is given as follows;.
Threat of New Entrants.
Dangers of new entrants in the Chinese Publishing Industry is moderate. The possible growth in the industry tends to attract new entrants to the publishing industry. However, the presence of intense competition and the requirement of huge capital tends to demotivate new entrants to go into in the marketplace.
Hazard of Substitution.
Risk of Replacement is high for the Chinese Publishing Market. The substitute products for the released documents is the files provided in the virtual libraries on specific sites. The changing customer choices towards digital learning increase the risk of substitution for the industry.
Competitive Competition.
Competitive competition in the publishing market is high. The presence of large number of consumers in the Chinese Publishing Market like CIP, PTP and so on 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 providers of the Organizational Change And Management Case Study Analysis consist of the providers of the paper for publishing 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 industry is high. Due to the presence of a large number of publishers in the Chinese market and the marketplace saturation, the buyers needs high quality files at competitive rates.
Rivals Analysis.
CMP operates in a highly competitive market with the existence of large number of rivals. The business has a competitive position in the market with the highest market share in the Chinese publishing market. Major rivals of Organizational Change And Management Case Study Help include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis one of the close rivals of CMP. Founded in the exact same duration, CIP releases comparable type of books. For a big period, CIP held the biggest market share, and still ranks second and third in numerous market sectors, with a major focus on academic publications. CIP functions as a hazard for CMP as it might wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and might wean the market share of Organizational Change And Management Case Study Solution quickly in the present market circumstance.
Posts and telecommunication Press (PTP).
It was likewise established in the same period as Organizational Change And Management Case Study Help and CIP. It is also one of the popular players in the publishing market with a yearly total profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Minimizing dependence over the Chinese markets.
• Increasing number of Clients
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
Cons
• Use of prospective resources in growth.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to present utilizing current abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high value to consumers.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core service sectors to the new one can lead the business to lose demand of its items in the market.
Recommendations
With the deep analysis of the external and internal environment of the business in addition to the market analysis and the rival analysis, Alternative 2 is suggested to CMP to attain its future advancement. As the preferences are shifting towards digital publishing and the company need an immediate service to prevent the decreasing market growth. For that reason, intro of digital publishing might show to be an instant service with low quantity of risk for the company. However, the business could also consider the expansion program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its product portfolio, the company must initially gathers the information associated with the customer demand, the possible markets, the government policies and the data connected to the rivals provided in the market. After that, the company must decide one prospective sector for its initial offering. It ought to gather research that how it might distinguish its digital publishing from the existing rivals' products. After all the actions above the company need to choose the preliminary offering. If the initial offering proves a success, the business should opt for the other markets. In this way the business would have the ability to implement its digital publishing program.
Conclusion
Although, the growth of the publishing industry is declining given that 2008, showing a threat to the company's long term presence, however the scenario can be managed by considering an advancement plan in the future. The business could consider presenting digital publishingin its existing market to execute its development program at immediate basis and to avoid the threat of failure for entrance in the brand-new markets.
