Real Estate Assignment Case Study Solution and Analysis
Real Estate Assignment Case Study Analysis is the biggest publishing company with a greatest market share in the China's book retail market. CMP has actually become a specialized information supplier and a large detailed Science and Technology publishing business through the combination of print media, audio-visual media and the network media.
CMP has actually invested its 60 years journey efficiently, being a successful publishing home, nevertheless, the altering macro market patterns and forces bring particular difficulties to the publishing market in basic and Real Estate Assignment Case Study Solution in specific. These elements include;
• Entrance of the new publishing companies in the market.
• Decreasing growth of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Improvement of science and technology.
The change of the macro markets have raised numerous concerns 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 company could be utilized to strive for the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Real Estate Assignment Case Study Help has particular strengths that can be used to lower the risks, conquer the weakness and obtain the chances. Strengths of CMP are offered as follows;
• The long term experience of Real Estate Assignment Case Study Solution in the publishing market i.e. 60 years enables the company to provide high quality products at a lower cost utilizing its prior experiences.
• The technical resources and capabilities produced by its successful journey provide a competitive benefit to CMP.
• Huge product portfolioof CMP helps it to diversify its threat and offer high value to its clients.
• Strong monetary position allows the company to consider a number of development chances without any fear of raising fund externally.
Together with the strengths, the company has certain weak points which might increase restraints for the company in implementing its advancement program. The weak points of Real Estate Assignment Case Study Help are given as follows;
• Despite of being a science and innovation publishing firm, the company still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It ought to propose specific growth plans to prevent its reliance over the Chinese markets to attain long term growth.
The development of the publishing industry is decreasing since 2008, impacting Real Estate Assignment Case Study Solution as well, but the development might be revived by availing specific opportunities presented in the market. The market opportunities for CMP consist of;
• The business might likewise present Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment in the market.
• CMP could think about an advancement program through the growth towards foreign markets in order to decrease its dependence over Chinese markets by utilizing its huge financial resources.
The altering macro trends in the market and increasing competitors in the publishing industry has positioned certain risks to Real Estate Assignment Case Study Analysis including;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might cause declining market share of Real Estate Assignment Case Study Solution due to the consumer shift towards digital libraries.
• The presence of large number of competitors in the publishing industry increase the threat for CMP to lose its competitive position in the market, as competitors can acquire a strong customer base by using specific techniques like aggressive promo, quality items, etc.
• Entryway of brand-new publishing firms in the market together with presence of high competitors increases the risk of losing the client base.
Due to absence of data, the monetary ratios of CMP might not be calculated. It might be analyzed from the Appendix III that the yearly overall revenues of Real Estate Assignment Case Study Solution throughout the duration 2000-2012 are growing at a high growth rate, showing that the annual demand of the products of CMP is growing and the business is rather efficient in bring in a large number of clients at a possible price.
Along with it, the 2nd graph which shows the annual development in the Real Estate Assignment Case Study Solution total possessions, shows that the company is quite efficient in including value to its possessions through its revenues. The development in properties reveals that the overall worth of the firm is also increasing with increasing the total earnings. (Unidentified, 2013).
Another financial analysis of the business utilizing the provided data might be the analysis relating to the distribution of total earnings of the business. Major part of the profits of CMP originates from the sales of its published books i.e. 64% as shown in the Case Appendix V. The business might move towards other business sections with a potential development to achieve its future advancement goal.
PESTEL analysis could be carried out to find out the different external forces affecting the performance of the company and the recent trends in the external environment of the business. A short PESTEL analysis of the business is given as follows; (Alanzi, 2018).
As the publishing sector might have a substantial impact on the state of mind of individuals about the communist ideology of the government, for that reason, 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 affecting CMP organisation are high. The federal government policies concerning the publishing sector are also increasing with the passage of time.
Economic forces affecting the publishing sector in basic and the CMP in specific includesthe rates of paper, the income level of customers, the inflation rate, and the overall GDP development of the country. All these forces integrate effect the need for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP needs to focus on digital publishing to meet the altering consumer preferences.
Technological forces impacting the CMP consist of the technological advancement in the reading techniques and so on. Enhancement of science and technology together with the increase of digital publishing could reduce the need for the CMP products, if specific actions would not be taken quickly.
Ecological forces impacting Real Estate Assignment 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 needed to be disposable and the ink utilized while publishing should not be harmful for the environment.
Legal guidelines for the publishing sector at whole are high. The legal policies regarding the publishing sector is managed by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be approved initially by the Federal government to be entered in the publishing market. The ordinance forbids direct involvement of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's Five Forces Model).
Porter's Five Forces Design could be utilized to examine the attractiveness of the publishing market China. A short analysis of the Porter's 5 Forces is offered as follows;.
Danger of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Industry is moderate. The prospective growth in the industry tends to bring in brand-new entrants to the publishing market. However, the existence of extreme competitors and the requirement of huge capital tends to demotivate new entrants to enter in the market.
Risk of Substitution.
Danger of Replacement is high for the Chinese Publishing Market. The substitute products for the published files is the files provided in the virtual libraries on specific sites. The altering customer choices towards digital learning increase the hazard of alternative for the market.
Competitive competition in the publishing market is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive competition for CMP. Together with it, new entrants are likewise entering into the marketplace increasing the competition for CMP.
Bargaining Power of Provider.
The significant providers of the Real Estate Assignment Case Study Solution consist of the suppliers of the paper for publishing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the total bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Haggling power of buyer in the publishing industry is high. Due to the presence of a large number of publishers in the Chinese market and the market saturation, the buyers requires high quality files at competitive rates.
CMP operates in an extremely competitive market with the existence of large number of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Significant rivals of Real Estate Assignment Case Study Help include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis one of the close competitors of CMP. Established in the exact same duration, CIP publishes comparable kind of books. For a large period, CIP held the largest market share, and still ranks second and 3rd in various market sectors, with a significant focus on academic publications. 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 Real Estate Assignment Case Study Solution quickly in the existing market scenario.
Posts and telecommunication Press (PTP).
It was likewise established in the exact same duration as Real Estate Assignment Case Study Analysis and CIP. It is also one of the popular gamers in the publishing industry with an annual overall incomes of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Lowering reliance over the Chinese markets.
• Increasing number of Consumers
• Growth opportunities.
• Preventing the effect of market saturation in the Chinese publishing market.
• Usage of potential resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
• Sustaining consumer base.
• Approaching brand-new markets.
• Easy to present using existing capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio offers high value to clients.
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core organisation segments to the brand-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 industry analysis and the competitor analysis, Alternative 2 is advised to CMP to accomplish its future development. As the choices are moving towards digital publishing and the business require an immediate solution to avoid the declining industry growth. For that reason, introduction of digital publishing might show to be an instant option with low quantity of threat for the company. However, the company could likewise think about the expansion program after the success of its digital publishing program.
In order to introduce digital publishing in its item portfolio, the company needs to initially gathers the information related to the customer need, the prospective markets, the government guidelines and the data related to the competitors provided in the market. If the preliminary offering shows a success, the company should go for the other markets. In this way the company would be able to implement its digital publishing program.
The growth of the publishing industry is decreasing given that 2008, showing a danger to the business's long term existence, but the situation can be controlled by thinking about an advancement plan in the future. The company might think about presenting digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the danger of failure for entrance in the new markets.