Qatar National Cement Case Study Solution and Analysis
Introduction
Qatar National Cement Case Study Help is the largest publishing business with a greatest market share in the China's book retail market. CMP offers a number of services consisting of; collecting information, processing info and communication services. Major company sectors of the company consist of; books, periodicals, consultancy and distribution. The company has a vast product portfolio and its significant products include books, regulars, online media, exhibits, research study reports etc. Qatar National Cement Case Study Analysis has become a specialized information provider and a big extensive Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.
Vital Concerns
Although, Qatar National Cement Case Study Analysis has actually invested its 60 years journey smoothly, being an effective publishing home, however, the altering macro market trends and forces bring particular difficulties to the publishing industry in general and CMP in particular. These factors include;
• Entryway of the new publishing companies in the industry.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Enhancement of science and technology.
The transformation of the macro markets have raised numerous questions 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 business could be utilized to strive for the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Qatar National Cement Case Study Analysis has specific strengths that can be made use of to reduce the dangers, overcome the weakness and avail the chances. Strengths of CMP are provided as follows;
• The long term experience of Qatar National Cement Case Study Analysis in the publishing market i.e. 60 years allows the business to offer high quality items at a lower expense utilizing its prior experiences.
• The technical resources and abilities produced by its effective journey supply a competitive benefit to CMP.
• Vast item portfolioof CMP helps it to diversify its risk and offer high value to its consumers.
• Strong financial position allows the business to consider numerous development opportunities with no worry of raising fund externally.
Weaknesses
In addition to the strengths, the business has certain weak points which might increase restrictions for the business in implementing its advancement program. The weaknesses of Qatar National Cement Case Study Help are given as follows;
• Despite of being a science and technology publishing company, the company still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose particular expansion strategies to avoid its reliance over the Chinese markets to achieve long term growth.
Opportunities
Although, the development of the publishing industry is decreasing given that 2008, affecting Qatar National Cement Case Study Solution as well, however the growth might be restored by availing particular opportunities provided in the market. The market opportunities for CMP include;
• The company might likewise present Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to decrease its reliance over Chinese markets by using its huge funds.
Dangers
The altering macro trends in the market and increasing competitors in the publishing industry has posed particular dangers to Qatar National Cement Case Study Analysis consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries could lead to declining market share of Qatar National Cement Case Study Solution due to the consumer shift towards digital libraries.
• The existence of large number of competitors in the publishing market increase the hazard for CMP to lose its competitive position in the market, as rivals can gain a strong consumer base by using particular methods like aggressive promotion, quality items, and so on
• Entrance of new publishing firms in the market together with presence of high competition increases the hazard of losing the consumer base.
Monetary Analysis.
Due to lack of information, the monetary ratios of CMP could not be determined. It might be examined from the Appendix III that the annual total revenues of Qatar National Cement Case Study Help during the period 2000-2012 are growing at a high development rate, showing that the yearly need of the items of CMP is growing and the company is rather effective in bring in a large number of clients at a potential price.
Together with it, the 2nd chart which shows the yearly development in the Qatar National Cement Case Study Solution overall possessions, reveals that the company is quite efficient in including value to its assets through its earnings. The development in properties reveals that the overall worth of the company is also increasing with increasing the total earnings. (Unidentified, 2013).
Another monetary analysis of the business utilizing the given data might be the analysis relating to the distribution of total incomes of the business. Major part of the earnings of CMP comes from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company might move towards other business segments with a possible development to achieve its future development objective.
PESTEL Analysis
PESTEL analysis could be performed to learn the various external forces impacting the efficiency of the company and the current patterns in the external environment of the business. A short PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a substantial influence on the mindset of individuals about the communist ideology of the government, for that reason, the publishing sector is highly monitored and assisted by the Publicity Department of the Communist Celebration of China. It could be said that the general political forces affecting CMP organisation are high. The federal government policies regarding the publishing sector are likewise increasing with the passage of time.
Affordable.
Financial forces affecting the publishing sector in general and the CMP in specific includesthe rates of paper, the earnings level of customers, the inflation rate, and the overall GDP development of the country. All these forces integrate impact the need for the publishing market.
Social and Demographical.
The customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP ought to focus on digital publishing to meet the changing consumer preferences.
Technological.
Technological forces affecting the CMP consist of the technological improvement in the reading methods and so on. Improvement of science and technology along with the rise of digital publishing might lower the need for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces affecting Qatar National Cement Case Study Analysis consists of the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper utilized in the books while publishing is required to be disposable and the ink used while publishing should not be damaging for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be authorized first by the Federal government to be entered in the publishing market.
Market Analysis (Porter's Five Forces Model).
Porter's Five Forces Design could be used to examine the beauty of the publishing industry China. A short analysis of the Porter's Five Forces is given as follows;.
Threat of New Entrants.
Risks of new entrants in the Chinese Publishing Industry is moderate. The prospective development in the industry tends to attract brand-new entrants to the publishing industry. The presence of extreme competition and the requirement of huge capital tends to demotivate new entrants to enter in the market.
Hazard of Alternative.
Risk of Alternative is high for the Chinese Publishing Market. The alternative items for the published documents is the files presented in the virtual libraries on particular websites. The altering consumer preferences towards digital knowing increase the danger of alternative for the industry.
Competitive Rivalry.
Competitive competition in the publishing industry is high. The presence of a great deal of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive competition for CMP. Along with it, new entrants are likewise participating in the marketplace increasing the competition for CMP.
Bargaining Power of Provider.
The significant suppliers of the Qatar National Cement Case Study Help include the providers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the overall bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of buyer in the publishing market is high. Due to the presence of a a great deal of publishers in the Chinese market and the market saturation, the purchasers needs high quality files at competitive prices.
Rivals Analysis.
CMP runs in a highly competitive market with the existence of large number of rivals. Nevertheless, the company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Qatar National Cement Case Study Solution consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIP acts as a danger 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 easily in the existing market circumstance.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise established in the same period as CMP and CIP. It ranks 6th in the state-owned publishers in terms of business scale. It is also among the popular gamers in the publishing industry with a yearly overall revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering dependence over the Chinese markets.
• Increasing variety of Consumers
• Development opportunities.
• Avoiding the impact of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in growth.
• Danger of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce using present capabilities.
• Low risk 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 service sectors to the brand-new one can lead the business to lose demand of its items in the market.
Recommendations
With the deep analysis of the internal and external environment of the company together with the industry analysis and the rival analysis, Alternative 2 is advised to CMP to attain its future development. As the choices are shifting towards digital publishing and the business require an immediate option to prevent the decreasing market growth. Introduction of digital publishing might prove to be an instant option with low quantity of threat for the business. However, the company might likewise think about the expansion program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its product portfolio, the business must initially gathers the information connected to the customer need, the prospective markets, the federal government regulations and the data related to the rivals provided in the market. After that, the company ought to decide one prospective sector for its preliminary offering. It should gather research that how it might separate its digital publishing from the existing competitors' items. The steps above the business must go for the initial offering. The business should go for the other markets if the initial offering proves a success. In this way the company would be able to implement its digital publishing program.
Conclusion
Although, the development of the publishing market is declining considering that 2008, revealing a hazard to the business's long term existence, but the scenario can be controlled by thinking about a development plan in the future. The business could think about introducing digital publishingin its existing market to execute its development program at immediate basis and to avoid the risk of failure for entrance in the new markets.
