Singapore A Concise Profile 2014 Case Study Solution and Analysis
Introduction
Singapore A Concise Profile 2014 Case Study Solution is the largest publishing company with a highest market share in the China's book retail market. CMP provides a variety of services consisting of; collecting information, processing information and communication services. Major business sections of the business consist of; books, regulars, consultancy and distribution. The business has a huge item portfolio and its significant items include books, regulars, online media, exhibitions, research reports etc. Singapore A Concise Profile 2014 Case Study Help has actually ended up being a specialized information company and a large extensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Crucial Problems
Although, Singapore A Concise Profile 2014 Case Study Analysis has actually invested its 60 years journey efficiently, being a successful publishing home, nevertheless, the changing macro market trends and forces bring particular challenges to the publishing industry in basic and CMP in particular. These aspects include;
• Entryway of the new publishing firms in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
The transformation of the macro markets have raised numerous concerns to the management at CPM that what could be the future of CMP in this circumstance? Do the long valuable experience, technical resources and the abilities of the business could be utilized to strive for the future development unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Singapore A Concise Profile 2014 Case Study Solution has specific strengths that can be used to minimize the risks, overcome the weak point and get the opportunities. Strengths of CMP are offered as follows;
• The long term experience of Singapore A Concise Profile 2014 Case Study Analysis in the publishing industry i.e. 60 years enables the business to supply high quality products at a lower expense using its prior experiences.
• The technical resources and abilities generated by its effective journey provide a competitive advantage to CMP.
• Vast product portfolioof CMP assists it to diversify its danger and provide high value to its consumers.
• Strong financial position allows the company to consider a number of advancement opportunities without any fear of raising fund externally.
Weak points
Together with the strengths, the business has specific weaknesses which could increase constraints for the business in executing its development program. The weak points of Singapore A Concise Profile 2014 Case Study Help are provided as follows;
• Despite of being a science and technology publishing company, the company still has conventional methods ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It should propose certain expansion plans to prevent its dependence over the Chinese markets to achieve long term development.
Opportunities
Although, the growth of the publishing industry is declining because 2008, impacting Singapore A Concise Profile 2014 Case Study Analysis also, but the development could be restored by availing certain opportunities provided in the market. The marketplace chances for CMP include;
• The business could also introduce Digital Publishing by utilizing its long term technical experience and a strong consumer recognition in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to minimize its reliance over Chinese markets by using its large funds.
Risks
The altering macro trends in the market and increasing competitors in the publishing industry has postured specific risks to Singapore A Concise Profile 2014 Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries could cause decreasing market share of Singapore A Concise Profile 2014 Case Study Solution due to the customer shift towards digital libraries.
• The existence of a great deal of rivals in the publishing industry increase the risk for CMP to lose its competitive position in the market, as competitors can acquire a strong customer base by utilizing certain methods like aggressive promotion, quality items, etc.
• Entryway of new publishing companies in the industry together with presence of high competitors increases the danger of losing the customer base.
Monetary Analysis.
The business has a quite competitive financial efficiency. Due to absence of data, the monetary ratios of CMP could not be calculated. The total financial performance of the company could be evaluated by using the charts provided in the case Appendices. It could be evaluated from the Appendix III that the annual total profits of CMP throughout the duration 2000-2012 are growing at a high growth rate, revealing that the annual demand of the products of Singapore A Concise Profile 2014 Case Study Analysis is growing and the business is quite effective in bring in a a great deal of clients at a possible price.
Together with it, the 2nd chart which reveals the yearly development in the Singapore A Concise Profile 2014 Case Study Solution overall properties, reveals that the business is quite efficient in adding worth to its possessions through its incomes. The development in assets shows that the total value of the firm is also increasing with increasing the overall earnings. (Unidentified, 2013).
Another monetary analysis of the business utilizing the given data could be the analysis relating to the circulation of overall earnings of the company. Huge part of the profits of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company might move towards other service sectors with a potential growth to attain its future advancement objective.
PESTEL Analysis
PESTEL analysis might be carried out to discover the numerous external forces affecting the performance of the business and the current trends in the external environment of the company. A brief PESTEL analysis of the business is given as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a substantial influence on the state of mind 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 might be stated that the total political forces impacting CMP organisation are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Affordable.
Financial forces impacting the publishing sector in basic and the Singapore A Concise Profile 2014 Case Study Solution in specific includesthe rates of paper, the income level of consumers, the inflation rate, and the total GDP development of the nation. All these forces integrate effect the demand for the publishing market. Together with it, the economic policies related to the import of books impact the total business at CPM. Nevertheless, China's financial conditions are rather favorable for CMP with high GDP growth and customer income level.
Social and Demographical.
The consumer preferences are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP ought to focus on digital publishing to satisfy the altering customer choices.
Technological.
Technological forces impacting the CMP include the technological advancement in the reading methods etc. Enhancement of science and innovation in addition to the increase of digital publishing might reduce the demand for the CMP items, if particular actions would not be taken quickly.
Environmental.
Ecological forces impacting Singapore A Concise Profile 2014 Case Study Help consists of the issues of environmental neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is required to be disposable and the ink utilized while publishing must not be hazardous for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be approved initially by the Federal government to be gone into in the publishing market.
Industry Analysis (Porter's Five Forces Model).
Porter's 5 Forces Design might be utilized to evaluate the appearance of the publishing industry China. A brief analysis of the Porter's Five Forces is offered as follows;.
Hazard of New Entrants.
Risks of brand-new entrants in the Chinese Publishing Market is moderate. The potential growth in the industry tends to draw in new entrants to the publishing industry. However, the existence of intense competitors and the requirement of huge capital tends to demotivate brand-new entrants to enter in the market.
Risk of Substitution.
Risk of Substitution is high for the Chinese Publishing Market. The substitute products for the released documents is the documents provided in the digital libraries on particular sites. The altering customer preferences towards digital knowing increase the risk of replacement for the industry.
Competitive Competition.
Competitive competition in the publishing market is high. The presence of large number of consumers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive competition for CMP. In addition to it, new entrants are likewise entering into the market increasing the competition for CMP.
Bargaining Power of Provider.
The major suppliers of the Singapore A Concise Profile 2014 Case Study Analysis include the providers of the paper for publishing files. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the overall bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Haggling power of purchaser in the publishing market 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 costs.
Rivals Analysis.
CMP runs in a highly competitive market with the presence of a great deal of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of Singapore A Concise Profile 2014 Case Study Help consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIP acts as a risk 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 quickly in the existing market circumstance.
Posts and telecommunication Press (PTP).
It was likewise founded in the very same period as Singapore A Concise Profile 2014 Case Study Analysis and CIP. It is also one of the prominent gamers in the publishing industry with an annual total revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Lowering dependence over the Chinese markets.
• Increasing variety of Clients
• Development chances.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Usage of possible resources in expansion.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to present using existing abilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio provides high value to customers.
Cons
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core company sectors to the brand-new one can lead the company to lose need of its products in the market.
Recommendations
With the deep analysis of the external and internal environment of the company together with the market analysis and the competitor analysis, Alternative 2 is recommended to CMP to achieve its future advancement. As the preferences are moving towards digital publishing and the business need an immediate option to avoid the decreasing industry growth. Therefore, introduction of digital publishing could show to be an immediate service with low quantity of danger for the business. The company could likewise consider the expansion program after the success of its digital publishing program.
Execution
In order to present digital publishing in its item portfolio, the company should first collects the information related to the customer need, the prospective markets, the federal government policies and the data related to the rivals provided in the market. If the initial offering shows a success, the company ought to go for the other markets. In this method the company would be able to execute its digital publishing program.
Conclusion
Although, the growth of the publishing industry is declining considering that 2008, revealing a risk to the business's long term presence, but the circumstance can be controlled by thinking about an advancement strategy in the future. The company might consider presenting digital publishingin its existing market to implement its development program at immediate basis and to avoid the danger of failure for entryway in the brand-new markets.
