Sirius Xm Radio Canada Case Study Solution and Analysis
Introduction
Sirius Xm Radio Canada Case Study Solution is the biggest publishing company with a highest market share in the China's book retail market. CMP offers a number of services including; collecting info, processing info and interaction services. Major service sections of the business consist of; books, regulars, consultancy and distribution. The company has a large item portfolio and its major products consist of books, periodicals, online media, exhibits, research reports etc. Sirius Xm Radio Canada Case Study Analysis has ended up being a specialized details service provider and a big thorough Science and Innovation publishing business through the integration of print media, audio-visual media and the network media.
Critical Concerns
Although, Sirius Xm Radio Canada Case Study Solution has spent its 60 years journey efficiently, being an effective publishing house, however, the changing macro market patterns and forces bring particular obstacles to the publishing market in general and CMP in particular. These factors consist of;
• Entryway of the new publishing firms in the industry.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Enhancement of science and innovation.
The change of the macro markets have raised several questions to the management at CPM that what could be the future of CMP in this circumstance? Do the long important experience, technical resources and the capabilities of the company could be used 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
Sirius Xm Radio Canada Case Study Analysis has particular strengths that can be used to reduce the threats, conquer the weakness and avail the chances. Strengths of CMP are provided as follows;
• The long term experience of Sirius Xm Radio Canada Case Study Analysis in the publishing industry i.e. 60 years enables the business to provide high quality products at a lower cost using its prior experiences.
• The technical resources and abilities generated by its effective journey offer a competitive benefit to CMP.
• Vast item portfolioof CMP assists it to diversify its threat and provide high worth to its customers.
• Strong monetary position enables the company to consider numerous advancement chances without any worry of raising fund externally.
Weaknesses
Together with the strengths, the business has specific weaknesses which might increase constraints for the company in implementing its development program. The weak points of Sirius Xm Radio Canada Case Study Solution are given as follows;
• Despite of being a science and technology publishing firm, the company still has standard 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 specific expansion strategies to avoid its reliance over the Chinese markets to accomplish long term development.
Opportunities
The growth of the publishing industry is decreasing given that 2008, impacting Sirius Xm Radio Canada Case Study Help as well, but the growth might be restored by availing specific chances provided in the market. The marketplace opportunities for CMP consist of;
• The business might also present Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment 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 using its huge financial resources.
Hazards
The altering macro trends in the market and increasing competitors in the publishing industry has posed certain dangers to Sirius Xm Radio Canada Case Study Help consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries could lead to declining market share of Sirius Xm Radio Canada Case Study Help due to the customer shift towards virtual libraries.
• The existence of large number of competitors in the publishing market increase the risk for CMP to lose its competitive position in the market, as competitors can gain a strong consumer base by using specific strategies like aggressive promo, quality products, and so on
• Entryway of new publishing firms in the industry along with presence of high competition increases the risk of losing the client base.
Financial Analysis.
Due to lack of data, the financial ratios of CMP might not be determined. It might be evaluated from the Appendix III that the annual overall earnings of Sirius Xm Radio Canada Case Study Solution during the period 2000-2012 are growing at a high growth rate, showing that the yearly demand of the items of CMP is growing and the company is rather efficient in attracting a big number of clients at a prospective price.
In addition to it, the second chart which shows the yearly development in the Sirius Xm Radio Canada Case Study Solution total possessions, reveals that the company is rather efficient in including worth to its possessions through its earnings. The growth in properties reveals that the total worth of the firm is also increasing with increasing the overall earnings. (Unknown, 2013).
Another monetary analysis of the business using the offered information might be the analysis concerning the distribution of total profits 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 company could move towards other business sectors with a prospective growth to accomplish its future advancement goal.
PESTEL Analysis
PESTEL analysis might be performed to find out the different external forces affecting the performance of the company and the current trends in the external environment of the company. A short PESTEL analysis of the business is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a considerable influence on the state of mind of the people about the communist ideology of the government, for that reason, the publishing sector is extremely monitored and guided by the Promotion Department of the Communist Celebration of China. For that reason, it could be stated that the total political forces impacting Sirius Xm Radio Canada Case Study Analysis organisation are high. The federal government policies concerning the publishing sector are likewise increasing with the passage of time.
Affordable.
Financial forces affecting the publishing sector in basic and the CMP in specific includesthe rates of paper, the income level of consumers, the inflation rate, and the overall GDP development of the country. All these forces combine impact the demand for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to focus on digital publishing to meet the changing consumer choices.
Technological.
Technological forces affecting the CMP consist of the technological development in the reading methods etc. Improvement of science and technology in addition to the rise of digital publishing might reduce the demand for the CMP items, if particular actions would not be taken soon.
Environmental.
Environmental forces affecting Sirius Xm Radio Canada Case Study Solution includes the issues of environmental communities over the use of paper in publishing books. The paper used in the books while publishing is required to be disposable and the ink used while publishing needs to not be hazardous for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Ordinance 1997 needs the publishers to be authorized first by the Government to be entered in the publishing market.
Market Analysis (Porter's Five Forces Design).
Porter's Five Forces Model might be used to examine the appearance of the publishing market China. A quick analysis of the Porter's Five Forces is given as follows;.
Risk of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Industry is moderate. The possible growth in the industry tends to draw 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 enter in the market.
Hazard of Replacement.
Danger of Replacement is high for the Chinese Publishing Industry. The substitute products for the released documents is the files provided in the virtual libraries on certain websites. The altering customer choices towards digital learning increase the risk of replacement for the market.
Competitive Competition.
Competitive competition in the publishing market is high. The presence of a great deal of consumers in the Chinese Publishing Market 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 competitors for CMP.
Bargaining Power of Supplier.
The significant providers of the Sirius Xm Radio Canada Case Study Solution include the suppliers of the paper for releasing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the overall bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Bargaining power of purchaser in the publishing industry is high. Due to the presence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers needs high quality files at competitive prices.
Competitors Analysis.
CMP operates in a highly competitive market with the existence of large number of rivals. Nevertheless, the company has a competitive position in the market with the highest market share in the Chinese publishing market. Significant competitors of Sirius Xm Radio Canada Case Study Solution consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis among the close competitors of CMP. Established in the exact same duration, CIP releases comparable type of books. For a large period, CIP held the biggest market share, and still ranks third and 2nd in different market sections, with a significant concentrate on academic publications. CIP acts as a hazard for CMP as it might wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the marketplace share of Sirius Xm Radio Canada Case Study Solution quickly in the current market situation.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was likewise established in the very same period as CMP and CIP. It ranks sixth in the state-owned publishers in terms of organisation scale. It is also one of the popular players in the publishing industry with an annual total profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Decreasing reliance over the Chinese markets.
• Increasing number of Clients
• Growth chances.
• Preventing the impact of market saturation in the Chinese publishing industry.
Cons
• Use of prospective resources in expansion.
• Danger of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce using present abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio offers high value to customers.
Cons
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core business sectors to the brand-new one can lead the company to lose need of its items in the market.
Suggestions
As the choices are moving towards digital publishing and the company require an immediate solution to avoid the declining industry growth. The business might also consider the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its product portfolio, the company needs to first collects the information related to the customer demand, the possible markets, the government regulations and the information related to the rivals presented in the market. If the initial offering proves a success, the company needs to go for the other markets. In this way the business would be able to execute its digital publishing program.
Conclusion
The development of the publishing industry is decreasing considering that 2008, revealing a threat to the company's long term existence, however the circumstance can be controlled by considering a development strategy in the future. The business might consider introducing digital publishingin its existing market to implement its advancement program at immediate basis and to avoid the danger of failure for entryway in the brand-new markets.
