Securities Trading Front Middle And Back Office Case Study Solution and Analysis
Introduction
Securities Trading Front Middle And Back Office Case Study Help is the largest publishing business with a highest market share in the China's book retail market. CMP has actually become a specialized details company and a large detailed Science and Technology publishing business through the combination of print media, audio-visual media and the network media.
Important Concerns
Although, Securities Trading Front Middle And Back Office Case Study Solution has actually spent its 60 years journey efficiently, being an effective publishing home, however, the altering macro market patterns and forces bring specific challenges to the publishing market in general and CMP in specific. These factors include;
• Entryway of the brand-new publishing firms in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Enhancement of science and innovation.
The transformation of the macro markets have raised several questions to the management at CPM that what could be the future of CMP in this situation? Do the long valuable experience, technical resources and the capabilities of the business could be utilized to pursue the future advancement unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Securities Trading Front Middle And Back Office Case Study Solution has particular strengths that can be made use of to decrease the hazards, overcome the weakness and avail the chances. Strengths of CMP are offered as follows;
• The long term experience of Securities Trading Front Middle And Back Office Case Study Help in the publishing industry i.e. 60 years permits the company to offer 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 item portfolioof CMP assists it to diversify its risk and provide high value to its customers.
• Strong financial position allows the company to consider several advancement opportunities with no worry of raising fund externally.
Weaknesses
Along with the strengths, the company has particular weaknesses which might increase restraints for the company in executing its development program. The weak points of Securities Trading Front Middle And Back Office Case Study Help are offered as follows;
• Despite of being a science and innovation publishing firm, the company still has conventional ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It needs to propose certain growth strategies to avoid its dependence over the Chinese markets to accomplish long term development.
Opportunities
The growth of the publishing market is declining because 2008, affecting Securities Trading Front Middle And Back Office Case Study Solution as well, but the growth might be restored by availing particular chances provided in the market. The marketplace opportunities for CMP consist of;
• The business might also introduce Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP might think about an advancement program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by using its vast funds.
Risks
The changing macro trends in the market and increasing competitors in the publishing market has posed certain dangers to Securities Trading Front Middle And Back Office Case Study Analysis including;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries might cause decreasing market share of Securities Trading Front Middle And Back Office Case Study Analysis due to the consumer shift towards virtual libraries.
• The existence of a great deal of rivals in the publishing market increase the hazard for CMP to lose its competitive position in the market, as rivals can acquire a strong consumer base by utilizing certain strategies like aggressive promo, quality products, and so on
• Entryway of brand-new publishing firms in the market in addition to existence of high competition increases the danger of losing the customer base.
Monetary Analysis.
Due to absence of data, the financial ratios of CMP might not be calculated. It might be evaluated from the Appendix III that the annual overall incomes of Securities Trading Front Middle And Back Office Case Study Help during the duration 2000-2012 are growing at a high growth rate, showing that the yearly demand of the items of CMP is growing and the business is rather effective in attracting a large number of clients at a potential cost.
Together with it, the second graph which shows the annual growth in the Securities Trading Front Middle And Back Office Case Study Analysis total properties, reveals that the company is quite effective in including worth to its assets through its revenues. The growth in possessions shows that the total value of the company is likewise increasing with increasing the total incomes. (Unidentified, 2013).
Another monetary analysis of the company utilizing the given data could be the analysis concerning the distribution of overall profits of the business. Major part of the earnings of CMP originates from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The company could move towards other organisation segments with a potential growth to attain its future advancement objective.
PESTEL Analysis
PESTEL analysis might be conducted to learn the different external forces impacting the performance of the company and the recent patterns in the external environment of the company. A brief PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial influence on the state of mind of the people about the communist ideology of the federal government, for that reason, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Party of China. It could be said that the overall political forces impacting CMP company are high. The government policies relating to the publishing sector are also increasing with the passage of time.
Cost-effective.
Financial forces impacting the publishing sector in basic and the Securities Trading Front Middle And Back Office Case Study Analysis in specific includesthe prices of paper, the income level of customers, the inflation rate, and the overall GDP development of the nation. All these forces combine effect the need for the publishing market. Along with it, the financial policies connected to the import of books impact the general business at CPM. However, China's financial conditions are rather beneficial for CMP with high GDP development and customer earnings level.
Social and Demographical.
The consumer choices are moving towards digital publishing rather than the standard was of publishing. In this regard, CMP ought to focus on digital publishing to satisfy the changing customer choices.
Technological.
Technological forces impacting the CMP consist of the technological advancement in the reading methods etc. Improvement of science and innovation in addition to the increase of digital publishing could minimize the need for the CMP products, if particular actions would not be taken soon.
Environmental.
Ecological forces affecting Securities Trading Front Middle And Back Office Case Study Help includes the issues of environmental neighborhoods over the use of paper in publishing books. The paper used in the books while publishing is required to be disposable and the ink utilized while publishing should not be damaging for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. The legal regulations concerning the publishing sector is controlled by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be approved initially by the Federal government to be gone into in the publishing market. The regulation prohibits direct involvement of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's 5 Forces Design).
Porter's 5 Forces Design might be used to evaluate the beauty of the publishing market China. A quick analysis of the Porter's 5 Forces is offered as follows;.
Risk of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Industry is moderate. The possible development in the industry tends to bring in new entrants to the publishing market. The presence of extreme competitors and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the market.
Hazard of Substitution.
Danger of Replacement is high for the Chinese Publishing Market. The substitute products for the released files is the files presented in the digital libraries on specific websites. The changing consumer choices towards digital learning increase the threat of replacement for the market.
Competitive Competition.
Competitive rivalry in the publishing industry is high. The presence of a great deal of customers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Along with it, brand-new entrants are also participating in the marketplace increasing the competitors for CMP.
Bargaining Power of Provider.
The major providers of the Securities Trading Front Middle And Back Office Case Study Analysis include the providers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the overall bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Haggling power of buyer in the publishing market is high. Due to the existence of a large number of publishers in the Chinese market and the market saturation, the buyers requires high quality files at competitive rates.
Competitors Analysis.
CMP runs in an extremely competitive market with the existence of a great deal of rivals. However, the company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Securities Trading Front Middle And Back Office Case Study Solution consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a hazard for CMP as it could 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 quickly in the present market circumstance.
Posts and telecommunication Press (PTP).
It was likewise founded in the same period as Securities Trading Front Middle And Back Office Case Study Analysis and CIP. It is likewise one of the prominent players in the publishing industry with a yearly total incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Minimizing dependence over the Chinese markets.
• Increasing variety of Clients
• Growth chances.
• Preventing the effect of market saturation in the Chinese publishing industry.
Cons
• Use of prospective resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce using existing abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high value to consumers.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core business segments to the brand-new one can lead the company to lose demand of its products in the market.
Recommendations
As the choices are shifting towards digital publishing and the company need an instant service to avoid the declining market development. The business might likewise think about the growth program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its item portfolio, the company ought to initially gathers the information related to the consumer need, the possible markets, the government policies and the information related to the competitors provided in the market. If the initial offering shows a success, the business must go for the other markets. In this method the business would be able to execute its digital publishing program.
Conclusion
Although, the development of the publishing industry is declining given that 2008, showing a hazard to the business's long term presence, but the circumstance can be controlled by considering an advancement strategy in the future. The business might think about introducing digital publishingin its existing market to execute its development program at instant basis and to prevent the danger of failure for entrance in the brand-new markets.
