Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution and Analysis
Introduction
Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution is the largest publishing business with a greatest market share in the China's book retail market. CMP has actually ended up being a specialized details provider and a big thorough Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Important Concerns
CMP has spent its 60 years journey smoothly, being an effective publishing house, nevertheless, the altering macro market patterns and forces bring specific obstacles to the publishing market in basic and Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution in specific. These aspects include;
• Entrance of the brand-new publishing firms in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and innovation.
The improvement of the macro markets have raised a number of 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 abilities of the business could be made use of to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Real Blue Viagra And Intellectual Property Rights Law In China Case Study Analysis has particular strengths that can be made use of to decrease the risks, conquer the weakness and avail the opportunities. Strengths of CMP are given as follows;
• The long term experience of Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution in the publishing industry i.e. 60 years allows the business to provide high quality items at a lower expense utilizing its previous experiences.
• The technical resources and capabilities generated by its effective journey offer a competitive benefit to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and supply high value to its clients.
• Strong monetary position allows the business to think about numerous development opportunities with no fear of raising fund externally.
Weaknesses
Along with the strengths, the company has certain weaknesses which might increase restraints for the company in implementing its development program. The weaknesses of Real Blue Viagra And Intellectual Property Rights Law In China Case Study Help are provided as follows;
• Despite of being a science and innovation publishing company, the business still has standard ways ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose specific expansion strategies to prevent its dependence over the Chinese markets to attain long term growth.
Opportunities
The growth of the publishing industry is decreasing since 2008, impacting Real Blue Viagra And Intellectual Property Rights Law In China Case Study Analysis as well, but the development could be restored by availing particular chances presented in the market. The marketplace chances for CMP consist of;
• The business might likewise introduce Digital Publishing by using its long term technical experience and a strong customer recognition in the market.
• CMP could think about an advancement program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its vast financial resources.
Risks
The changing macro patterns in the market and increasing competition in the publishing market has positioned particular dangers to Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries could lead to decreasing market share of Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution due to the consumer shift towards digital libraries.
• The existence of a great deal of competitors in the publishing industry increase the danger for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by utilizing certain techniques like aggressive promotion, quality items, and so on
• Entryway of new publishing firms in the market together with existence of high competition increases the threat of losing the consumer base.
Financial Analysis.
The company has a quite competitive monetary performance. Due to lack of information, the financial ratios of CMP could not be computed. Nevertheless, the general financial performance of the business could be evaluated by utilizing the graphs given up the case Appendices. It might be analyzed from the Appendix III that the annual overall revenues of CMP throughout the duration 2000-2012 are growing at a high development rate, showing that the yearly demand of the products of Real Blue Viagra And Intellectual Property Rights Law In China Case Study Analysis is growing and the company is rather efficient in attracting a large number of customers at a possible rate.
Together with it, the 2nd graph which shows the yearly growth in the Real Blue Viagra And Intellectual Property Rights Law In China Case Study Analysis total assets, shows that the business is quite effective in including value to its properties through its profits. The development in possessions shows that the overall value of the firm is likewise increasing with increasing the overall profits. (Unidentified, 2013).
Another financial analysis of the company utilizing the provided information could be the analysis regarding the distribution of overall revenues of the business. Huge part of the profits 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 organisation sections with a potential development to accomplish its future development goal.
PESTEL Analysis
PESTEL analysis might be performed to find out the different external forces impacting the performance of the business and the current patterns in the external environment of the business. A quick PESTEL analysis of the business is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant impact on the state of mind of the people about the communist ideology of the government, therefore, the publishing sector is highly supervised and directed by the Publicity Department of the Communist Party of China. It might be stated that the overall political forces affecting CMP organisation are high. The government policies regarding the publishing sector are also increasing with the passage of time.
Cost-effective.
Financial forces affecting the publishing sector in general and the Real Blue Viagra And Intellectual Property Rights Law In China Case Study Solution in particular includesthe prices of paper, the earnings level of consumers, the inflation rate, and the general GDP development of the nation. All these forces integrate effect the demand for the publishing market. In addition to it, the economic policies associated with the import of books affect the overall organisation at CPM. Nevertheless, China's financial conditions are quite favorable for CMP with high GDP development and consumer income level.
Social and Demographical.
Social and demographical forces consist of the population development, the consumer's preferences towards checking out informative materials and so on. China has the greatest population in the world with a high population development, showing the increasing variety of customers of the Real Blue Viagra And Intellectual Property Rights Law In China Case Study Analysis. The customer preferences are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to concentrate on digital publishing to meet the altering customer choices.
Technological.
Technological forces impacting the CMP consist of the technological improvement in the reading techniques etc. Enhancement of science and technology along with the rise of digital publishing could minimize the need for the CMP products, if specific actions would not be taken soon.
Environmental.
Ecological forces affecting Real Blue Viagra And Intellectual Property Rights Law In China Case Study Analysis includes the issues 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 needs to not be damaging for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be authorized first by the Federal government to be gone into in the publishing market.
Market Analysis (Porter's Five Forces Design).
Porter's Five Forces Design might be utilized to analyze the attractiveness of the publishing industry China. A brief analysis of the Porter's 5 Forces is offered as follows;.
Risk of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Market is moderate. The prospective development in the market tends to draw in new entrants to the publishing industry. Nevertheless, the existence of extreme competition and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the marketplace.
Danger of Replacement.
Threat of Substitution is high for the Chinese Publishing Industry. The alternative items for the released files is the documents presented in the virtual libraries on particular sites. The altering consumer preferences towards digital knowing increase the danger of replacement for the market.
Competitive Competition.
Competitive rivalry in the publishing industry is high. The presence of a great deal of consumers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, new entrants are also entering into the marketplace increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant suppliers of the Real Blue Viagra And Intellectual Property Rights Law In China 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 supplier for CMP is low.
Bargaining Power of Buyer.
Bargaining power of buyer in the publishing market is high. Due to the existence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers needs high quality documents at competitive prices.
Competitors Analysis.
CMP runs in a highly competitive market with the presence of large number of rivals. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Significant rivals of Real Blue Viagra And Intellectual Property Rights Law In China Case Study Help include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a threat for CMP as it might 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 existing market scenario.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was also established in the very same duration as CMP and CIP. It ranks sixth in the state-owned publishers in regards to business scale. It is also among the prominent gamers in the publishing market with a yearly total earnings of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering reliance over the Chinese markets.
• Increasing number of Customers
• Growth chances.
• Preventing the impact of market saturation in the Chinese publishing industry.
Cons
• Use of potential resources in growth.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present utilizing current capabilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio provides high value to clients.
Cons
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core service sections to the brand-new one can lead the company to lose need of its products in the market.
Recommendations
As the preferences are shifting towards digital publishing and the company need an immediate service to avoid the decreasing market development. The company could likewise consider the growth program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its product portfolio, the company must initially gathers the data related to the customer demand, the possible markets, the government regulations and the information related to the rivals provided in the market. If the initial offering shows a success, the company needs to go for the other markets. In this method the company would be able to implement its digital publishing program.
Conclusion
The development of the publishing industry is decreasing considering that 2008, showing a danger to the business's long term presence, however the situation can be controlled by thinking about a development strategy in the future. The company might think about 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.
