Overview Of The Business Case Writing Process Case Study Solution and Analysis
Overview Of The Business Case Writing Process Case Study Help is the largest publishing company with a highest market share in the China's book retail market. CMP has ended up being a specialized information company and a big detailed Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Although, Overview Of The Business Case Writing Process Case Study Solution has actually spent its 60 years journey efficiently, being an effective publishing house, nevertheless, the changing macro market patterns and forces bring specific challenges to the publishing industry in basic and CMP in particular. These factors include;
• Entryway of the brand-new publishing firms in the market.
• Decreasing growth of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
The transformation 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 circumstance? Do the long valuable experience, technical resources and the capabilities of the business could be utilized to strive for the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Overview Of The Business Case Writing Process Case Study Analysis has particular strengths that can be utilized to minimize the risks, get rid of the weakness and obtain the chances. Strengths of CMP are given as follows;
• The long term experience of Overview Of The Business Case Writing Process Case Study Analysis in the publishing market i.e. 60 years permits the company to supply high quality items at a lower expense using its previous experiences.
• The technical resources and abilities generated by its effective journey offer a competitive advantage to CMP.
• Large item portfolioof CMP helps it to diversify its risk and offer high value to its consumers.
• Strong financial position permits the business to think about numerous advancement opportunities without any fear of raising fund externally.
Along with the strengths, the business has particular weaknesses which might increase restrictions for the company in implementing its advancement program. The weaknesses of Overview Of The Business Case Writing Process Case Study Solution are given as follows;
• Despite of being a science and technology publishing company, the company still has conventional ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It must propose specific expansion plans to prevent its dependence over the Chinese markets to accomplish long term growth.
Although, the growth of the publishing market is decreasing considering that 2008, impacting Overview Of The Business Case Writing Process Case Study Analysis as well, but the development could be revived by availing specific chances provided in the market. The marketplace opportunities for CMP include;
• The company could likewise introduce Digital Publishing by utilizing its long term technical experience and a strong consumer recognition in the market.
• CMP could consider an advancement program through the expansion towards foreign markets in order to lower its reliance over Chinese markets by using its vast funds.
The altering macro trends in the market and increasing competitors in the publishing industry has positioned particular threats to Overview Of The Business Case Writing Process Case Study Analysis including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could result in decreasing market share of Overview Of The Business Case Writing Process Case Study Help due to the customer shift towards virtual libraries.
• The presence of a great deal of rivals in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can gain a strong consumer base by using specific techniques like aggressive promotion, quality products, etc.
• Entrance of new publishing companies in the industry together with existence of high competition increases the risk of losing the customer base.
Due to lack of information, the financial ratios of CMP could not be determined. It might be evaluated from the Appendix III that the annual total incomes of Overview Of The Business Case Writing Process Case Study Analysis throughout the period 2000-2012 are growing at a high growth rate, revealing that the annual demand of the products of CMP is growing and the business is rather efficient in attracting a large number of clients at a possible cost.
In addition to it, the second graph which shows the annual development in the Overview Of The Business Case Writing Process Case Study Help overall properties, reveals that the business is quite efficient in including worth to its possessions through its earnings. The growth in properties reveals that the total worth of the firm is likewise increasing with increasing the total profits. (Unknown, 2013).
Another monetary analysis of the company utilizing the offered information might be the analysis regarding the circulation of overall incomes of the business. Major part of the revenues of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The business could move towards other business sectors with a potential growth to achieve its future advancement objective.
PESTEL analysis might be performed to find out the numerous external forces affecting the efficiency of the company and the recent patterns in the external environment of the company. A brief PESTEL analysis of the business is offered as follows; (Alanzi, 2018).
As the publishing sector might have a considerable influence on the state of mind of the people about the communist ideology of the government, for that reason, the publishing sector is highly monitored and guided by the Publicity Department of the Communist Party of China. It could be said that the total political forces impacting CMP company are high. The government policies concerning the publishing sector are also increasing with the passage of time.
Financial forces affecting the publishing sector in general and the Overview Of The Business Case Writing Process Case Study Analysis in particular includesthe prices of paper, the earnings level of customers, the inflation rate, and the total GDP growth of the nation. All these forces combine effect the demand for the publishing market. In addition to it, the economic policies related to the import of books impact the general company at CPM. China's economic conditions are quite favorable for CMP with high GDP growth and customer earnings level.
Social and Demographical.
Social and demographical forces include the population development, the customer's choices towards reading informative materials and so on. China has the highest population worldwide with a high population development, showing the increasing number of customers of the Overview Of The Business Case Writing Process Case Study Solution. The consumer choices are moving towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to focus on digital publishing to satisfy the changing customer choices.
Technological forces affecting the CMP include the technological advancement in the reading strategies etc. Improvement of science and innovation along with the rise of digital publishing might reduce the need for the CMP products, if particular actions would not be taken quickly.
Ecological forces affecting Overview Of The Business Case Writing Process Case Study Help consists of the concerns of environmental communities over the usage of paper in publishing books. The paper used in the books while publishing is needed to be non reusable and the ink used while publishing needs to not be damaging for the environment.
Legal policies 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 Ordinance 1997 needs the publishers to be authorized first by the Federal government to be entered in the publishing market. The ordinance prohibits direct participation of foreign entities and people in the publishing sector.
Market Analysis (Porter's Five Forces Design).
Porter's 5 Forces Model might be utilized to evaluate the beauty of the publishing industry China. A brief analysis of the Porter's 5 Forces is provided as follows;.
Hazard of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The possible growth in the industry tends to bring in brand-new entrants to the publishing market. The presence of intense competitors and the requirement of substantial capital tends to demotivate new entrants to enter in the market.
Risk of Alternative.
Danger of Replacement is high for the Chinese Publishing Industry. The alternative items for the published files is the files provided in the digital libraries on particular websites. The altering customer choices towards digital knowing increase the hazard of substitution for the market.
Competitive rivalry in the publishing market is high. The presence of large number of consumers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Along with it, new entrants are also participating in the marketplace increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant suppliers of the Overview Of The Business Case Writing Process Case Study Analysis include the suppliers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the general bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Negotiating power of buyer in the publishing market is high. Due to the existence of a large number of publishers in the Chinese market and the market saturation, the purchasers requires high quality documents at competitive costs.
CMP runs in an extremely competitive market with the presence of large number of competitors. However, the business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Overview Of The Business Case Writing Process Case Study Help consist of;.
• Chemical Industry 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 might wean the market share of CMP easily in the current market circumstance.
Posts and telecommunication Press (PTP).
It was likewise founded in the same period as Overview Of The Business Case Writing Process Case Study Help and CIP. It is likewise one of the prominent players in the publishing market with a yearly overall revenues of RMB 550 million in 2010.
Alternative-1: Broaden towards New Markets
• Reducing reliance over the Chinese markets.
• Increasing number of Customers
• Growth opportunities.
• Avoiding the impact of market saturation in the Chinese publishing industry.
• Use of possible resources in growth.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce using existing abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio offers high worth to clients.
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core company segments to the new one can lead the company to lose need of its products in the market.
As the choices are shifting towards digital publishing and the business need an instant option to avoid the declining market growth. The business might also think about the growth program after the success of its digital publishing program.
In order to introduce digital publishing in its item portfolio, the company ought to initially collects the data related to the consumer need, the potential markets, the federal government regulations and the information related to the competitors presented in the market. If the preliminary offering shows a success, the business must go for the other markets. In this way the company would be able to execute its digital publishing program.
Although, the growth of the publishing market is decreasing since 2008, revealing a risk to the company's long term existence, but the circumstance can be controlled by considering a development plan in the future. The business might consider introducing digital publishingin its existing market to implement its development program at immediate basis and to prevent the risk of failure for entryway in the brand-new markets.