Positioning The Tata Nano B Case Study Solution and Analysis
Positioning The Tata Nano B Case Study Analysis is the biggest publishing business with a greatest market share in the China's book retail market. CMP offers a number of services including; gathering info, processing information and communication services. Significant service sections of the business include; books, periodicals, consultancy and circulation. The company has a large item portfolio and its significant items consist of books, regulars, online media, exhibitions, research reports and so on. Positioning The Tata Nano B Case Study Solution has actually become a specialized info company and a large comprehensive Science and Technology publishing company through the combination of print media, audio-visual media and the network media.
CMP has invested its 60 years journey smoothly, being a successful publishing house, nevertheless, the changing macro market patterns and forces bring particular challenges to the publishing industry in general and Positioning The Tata Nano B Case Study Help in particular. These factors include;
• Entryway of the brand-new publishing companies in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement 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 circumstance? Do the long important experience, technical resources and the capabilities of the company could be used to pursue the future development unceasingly? How could the company sustain its long term competitive position in future?
Positioning The Tata Nano B Case Study Analysis has specific strengths that can be utilized to minimize the dangers, get rid of the weakness and get the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Positioning The Tata Nano B Case Study Solution in the publishing industry i.e. 60 years allows the business to provide high quality products at a lower cost using its prior experiences.
• The technical resources and capabilities generated 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 customers.
• Strong financial position enables the company to think about a number of development chances with no worry of raising fund externally.
Together with the strengths, the business has particular weaknesses which could increase constraints for the company in executing its development program. The weak points of Positioning The Tata Nano B Case Study Solution are given as follows;
• Despite of being a science and innovation publishing firm, the business 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 strategies to prevent its reliance over the Chinese markets to accomplish long term development.
The development of the publishing market is decreasing given that 2008, impacting Positioning The Tata Nano B Case Study Analysis as well, but the growth might be restored by availing particular chances provided in the market. The marketplace chances for CMP consist of;
• The business could also present Digital Publishing by utilizing its long term technical experience and a strong consumer acknowledgment in the market.
• CMP might think about a development program through the expansion towards foreign markets in order to minimize its reliance over Chinese markets by using its large financial resources.
The changing macro patterns in the market and increasing competitors in the publishing industry has postured specific risks to Positioning The Tata Nano B Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries could cause declining market share of Positioning The Tata Nano B Case Study Solution due to the consumer shift towards virtual libraries.
• The presence of a great deal of competitors in the publishing market increase the danger for CMP to lose its competitive position in the market, as competitors can acquire a strong consumer base by using specific strategies like aggressive promo, quality products, etc.
• Entrance of new publishing firms in the market in addition to existence of high competition increases the risk of losing the consumer base.
Due to absence of information, the financial ratios of CMP might not be computed. It could be evaluated from the Appendix III that the yearly overall incomes of Positioning The Tata Nano B Case Study Solution throughout the duration 2000-2012 are growing at a high development rate, showing that the annual need of the products of CMP is growing and the company is quite efficient in attracting a big number of consumers at a potential cost.
Together with it, the 2nd chart which shows the annual development in the Positioning The Tata Nano B Case Study Solution total possessions, reveals that the business is rather efficient in including value to its possessions through its earnings. The growth in properties reveals that the total worth of the company is likewise increasing with increasing the overall incomes. (Unidentified, 2013).
Another monetary analysis of the company using the offered data could be the analysis concerning the distribution of total earnings of the company. Huge part of the profits of CMP comes from the sales of its published books i.e. 64% as shown in the Case Appendix V. The business might move towards other service sections with a prospective development to attain its future development objective.
PESTEL analysis could be performed to learn the numerous external forces affecting the performance of the company and the current trends in the external environment of the business. A short PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
As the publishing sector might have a significant influence on the mindset of individuals about the communist ideology of the federal government, therefore, the publishing sector is extremely supervised and directed by the Promotion Department of the Communist Celebration of China. It could be said that the general political forces affecting CMP business are high. The government policies relating to the publishing sector are likewise increasing with the passage of time.
Economic forces impacting the publishing sector in general and the Positioning The Tata Nano B Case Study Analysis in particular includesthe costs of paper, the income level of customers, the inflation rate, and the total GDP development of the country. All these forces combine effect the need for the publishing market. In addition to it, the economic policies related to the import of books impact the general company at CPM. Nevertheless, China's economic conditions are rather favorable for CMP with high GDP development and customer earnings level.
Social and Demographical.
The customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP must focus on digital publishing to fulfill the altering customer preferences.
Technological forces impacting the CMP include the technological advancement in the reading methods and so on. Improvement of science and innovation together with the increase of digital publishing might decrease the demand for the CMP items, if particular actions would not be taken quickly.
Environmental forces affecting Positioning The Tata Nano B Case Study Analysis consists of the issues of environmental communities over the use of paper in publishing books. The paper utilized in the books while publishing is required to be non reusable and the ink used while publishing needs to not be damaging for the environment.
Legal regulations for the publishing sector at whole are high. Publishing Ordinance 1997 needs the publishers to be authorized first by the Government to be gone into in the publishing market.
Industry Analysis (Porter's 5 Forces Model).
Porter's Five Forces Model could be used to evaluate the attractiveness of the publishing industry China. A brief analysis of the Porter's Five Forces is provided as follows;.
Hazard of New Entrants.
Hazards 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. Nevertheless, the existence of extreme competition and the requirement of big capital tends to demotivate new entrants to enter in the marketplace.
Risk of Alternative.
Threat of Alternative is high for the Chinese Publishing Market. The replacement products for the published documents is the documents provided in the digital libraries on certain websites. The changing customer preferences towards digital learning increase the hazard of alternative for the industry.
Competitive rivalry in the publishing market is high. The presence of large number of consumers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Together with it, new entrants are likewise participating in the market increasing the competition for CMP.
Bargaining Power of Provider.
The significant providers of the Positioning The Tata Nano B Case Study Solution include the providers 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 provider for CMP is low.
Bargaining Power of Purchaser.
Bargaining power of purchaser in the publishing market 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 files at competitive rates.
CMP operates in a highly competitive industry 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 Positioning The Tata Nano B Case Study Solution 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 current market circumstance.
Posts and telecommunication Press (PTP).
It was likewise founded in the same duration as Positioning The Tata Nano B Case Study Help and CIP. It is also one of the prominent gamers in the publishing market with a yearly total revenues of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Lowering dependence over the Chinese markets.
• Increasing number of Clients
• Growth opportunities.
• Preventing the impact of market saturation in the Chinese publishing market.
• Usage of prospective resources in growth.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
• Sustaining consumer base.
• Approaching new markets.
• Easy to present utilizing current capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio supplies high worth to consumers.
• 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 need of its products in the market.
With the deep analysis of the external and internal environment of the business along with the market analysis and the rival analysis, Alternative 2 is advised to CMP to accomplish its future development. As the preferences are moving towards digital publishing and the company require an immediate service to prevent the declining market growth. For that reason, introduction of digital publishing might show to be an immediate solution with low quantity of danger for the company. Nevertheless, the company might likewise think about the growth program after the success of its digital publishing program.
In order to present digital publishing in its item portfolio, the company ought to first gathers the information related to the consumer need, the prospective markets, the government policies and the data related to the competitors provided in the market. If the initial offering proves a success, the business must go for the other markets. In this method the business would be able to implement its digital publishing program.
Although, the development of the publishing market is decreasing considering that 2008, showing a threat to the company's long term existence, but the circumstance can be controlled by considering an advancement plan in the future. The company could consider introducing digital publishingin its existing market to implement its advancement program at immediate basis and to prevent the threat of failure for entryway in the brand-new markets.