Qualcomm Incorporated 2011 Update Case Study Solution and Analysis
Qualcomm Incorporated 2011 Update Case Study Solution is the biggest publishing company with a highest market share in the China's book retail market. CMP has become a specialized details provider and a large extensive Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.
Although, Qualcomm Incorporated 2011 Update Case Study Solution has invested its 60 years journey efficiently, being a successful publishing home, nevertheless, the altering macro market trends and forces bring specific difficulties to the publishing industry in basic and CMP in specific. These factors consist of;
• Entrance of the brand-new publishing firms in the market.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Improvement of science and innovation.
The transformation 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 important experience, technical resources and the abilities of the company could be made use of to pursue the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Qualcomm Incorporated 2011 Update Case Study Analysis has specific strengths that can be utilized to minimize the risks, get rid of the weak point and get the opportunities. Strengths of CMP are given as follows;
• The long term experience of Qualcomm Incorporated 2011 Update Case Study Analysis in the publishing market i.e. 60 years allows the company to offer high quality items at a lower expense utilizing its previous experiences.
• The technical resources and capabilities generated by its effective journey provide a competitive benefit to CMP.
• Large product portfolioof CMP assists it to diversify its risk and provide high value to its customers.
• Strong financial position permits the business to think about a number of development opportunities with no worry of raising fund externally.
Together with the strengths, the business has specific weak points which might increase restrictions for the business in implementing its development program. The weak points of Qualcomm Incorporated 2011 Update Case Study Help are offered as follows;
• Despite of being a science and technology publishing firm, the company still has traditional methods ofpublishing which are not suitable with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It must propose specific expansion plans to prevent its reliance over the Chinese markets to attain long term growth.
The development of the publishing market is declining given that 2008, affecting Qualcomm Incorporated 2011 Update Case Study Analysis as well, however the growth might be revived by availing certain opportunities provided in the market. The market chances for CMP include;
• The company might likewise present Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP could think about a development program through the growth towards foreign markets in order to lower its reliance over Chinese markets by utilizing its vast funds.
The altering macro trends in the market and increasing competitors in the publishing market has postured particular risks to Qualcomm Incorporated 2011 Update Case Study Solution consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could lead to declining market share of Qualcomm Incorporated 2011 Update Case Study Analysis due to the customer shift towards virtual libraries.
• The existence of a great deal of competitors in the publishing industry increase the hazard for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by utilizing certain strategies like aggressive promotion, quality products, and so on
• Entrance of brand-new publishing firms in the industry along with presence of high competition increases the threat of losing the consumer base.
Due to lack of data, the monetary ratios of CMP could not be calculated. It could be analyzed from the Appendix III that the annual overall profits of Qualcomm Incorporated 2011 Update Case Study Solution during the period 2000-2012 are growing at a high growth rate, revealing that the annual demand of the items of CMP is growing and the company is rather effective in bring in a large number of consumers at a prospective rate.
In addition to it, the second chart which shows the yearly development in the Qualcomm Incorporated 2011 Update Case Study Analysis total properties, reveals that the company is quite efficient in including worth to its properties through its profits. The development in possessions reveals that the total value of the company is also increasing with increasing the total earnings. (Unknown, 2013).
Another monetary analysis of the business utilizing the offered information might be the analysis relating to the distribution of total incomes of the business. Huge part of the incomes of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The business might move towards other business sections with a prospective growth to attain its future development goal.
PESTEL analysis might be conducted to discover the different external forces affecting the efficiency of the business and the recent patterns in the external environment of the company. A quick PESTEL analysis of the business is given as follows; (Alanzi, 2018).
As the publishing sector might have a significant impact on the mindset of the people about the communist ideology of the government, therefore, the publishing sector is extremely supervised and assisted by the Publicity Department of the Communist Party of China. It could be said that the general political forces impacting CMP service are high. The federal government policies relating to the publishing sector are likewise increasing with the passage of time.
Economic forces affecting the publishing sector in basic and the Qualcomm Incorporated 2011 Update Case Study Solution in specific includesthe costs of paper, the earnings level of consumers, the inflation rate, and the general GDP development of the nation. All these forces combine impact the need for the publishing market. In addition to it, the financial policies associated with the import of books affect the total company at CPM. China's financial conditions are rather beneficial for CMP with high GDP development and customer income level.
Social and Demographical.
The consumer choices are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP must focus on digital publishing to meet the altering consumer choices.
Technological forces affecting the CMP include the technological development in the reading methods etc. Improvement of science and innovation along with the increase of digital publishing might minimize the need for the CMP products, if specific actions would not be taken soon.
Environmental forces impacting Qualcomm Incorporated 2011 Update Case Study Help includes the concerns of environmental communities 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 ought to not be harmful for the environment.
Legal policies for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be approved initially by the Federal government to be entered in the publishing market.
Industry Analysis (Porter's 5 Forces Design).
Porter's 5 Forces Model could be utilized to analyze the attractiveness of the publishing market China. A quick analysis of the Porter's Five Forces is provided as follows;.
Hazard of New Entrants.
Risks of brand-new entrants in the Chinese Publishing Market is moderate. The potential growth in the market tends to attract brand-new entrants to the publishing industry. However, the presence of extreme competitors and the requirement of substantial capital tends to demotivate brand-new entrants to enter in the marketplace.
Danger of Substitution.
Danger of Alternative is high for the Chinese Publishing Industry. The replacement items for the published files is the files provided in the digital libraries on specific websites. The changing consumer choices towards digital knowing increase the danger of replacement for the market.
Competitive competition in the publishing industry is high. The existence of a great deal 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, brand-new entrants are also entering into the market increasing the competition for CMP.
Bargaining Power of Supplier.
The major suppliers of the Qualcomm Incorporated 2011 Update Case Study Analysis consist of the providers of the paper for publishing files. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the overall bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Negotiating power of purchaser 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 buyers requires high quality documents at competitive rates.
CMP operates in a highly competitive industry with the presence of large number of competitors. Nevertheless, the business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Qualcomm Incorporated 2011 Update Case Study Solution 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 current market situation.
Posts and telecommunication Press (PTP).
It was likewise established in the same duration as Qualcomm Incorporated 2011 Update Case Study Help and CIP. It is also one of the popular gamers in the publishing market with a yearly total incomes of RMB 550 million in 2010.
Alternative-1: Broaden towards New Markets
• Minimizing dependence over the Chinese markets.
• Increasing variety of Clients
• Development opportunities.
• Preventing the impact of market saturation in the Chinese publishing market.
• Usage of prospective resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce utilizing existing abilities.
• Low danger 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 organisation sections to the new one can lead the business to lose demand of its products in the market.
As the preferences are moving towards digital publishing and the business require an instant option to avoid the declining market development. The company could likewise consider the growth program after the success of its digital publishing program.
In order to present digital publishing in its product portfolio, the company must initially collects the information connected to the consumer need, the potential markets, the federal government regulations and the information associated with the rivals presented in the market. After that, the business must decide one prospective segment for its initial offering. It needs to gather research that how it might differentiate its digital publishing from the existing rivals' products. The steps above the business should go for the initial offering. The business needs to go for the other markets if the preliminary offering proves a success. In this way the business would be able to execute its digital publishing program.
Although, the growth of the publishing industry is decreasing considering that 2008, showing a hazard to the business's long term presence, but the circumstance can be managed by considering an advancement plan in the future. The company might consider presenting digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the danger of failure for entryway in the brand-new markets.