Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution and Analysis
Standard Integrated Government Tax Administration System Sigtas In Afghanistan 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 provider and a big detailed Science and Technology publishing company through the combination of print media, audio-visual media and the network media.
Although, Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Analysis has actually spent its 60 years journey efficiently, being an effective publishing house, however, the altering macro market patterns and forces bring particular challenges to the publishing market in general and CMP in specific. These factors include;
• Entryway of the brand-new publishing companies in the industry.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and innovation.
The change of the macro markets have raised a number of 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 company could be made use of to pursue the future development unceasingly? How could the business sustain its long term competitive position in future?
Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution has particular strengths that can be used to decrease the risks, overcome the weakness and get the chances. Strengths of CMP are provided as follows;
• The long term experience of Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Help in the publishing market i.e. 60 years allows the business to supply high quality items at a lower cost utilizing its previous experiences.
• The technical resources and capabilities produced by its effective journey provide a competitive benefit to CMP.
• Vast product portfolioof CMP helps it to diversify its threat and offer high worth to its consumers.
• Strong monetary position enables the company to think about numerous development opportunities without any worry of raising fund externally.
In addition to the strengths, the company has certain weak points which might increase restraints for the company in executing its advancement program. The weak points of Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Analysis are offered as follows;
• Despite of being a science and innovation publishing company, the company still has conventional ways ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It must propose specific growth strategies to prevent its reliance over the Chinese markets to attain long term growth.
Although, the development of the publishing market is declining because 2008, affecting Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution too, but the growth might be restored by availing specific chances presented in the market. The market opportunities for CMP consist of;
• The company could likewise present Digital Publishing by utilizing its long term technical experience and a strong customer acknowledgment in the market.
• CMP might consider an advancement program through the expansion towards foreign markets in order to decrease its dependence over Chinese markets by using its vast funds.
The altering macro trends in the market and increasing competition in the publishing market has posed particular threats to Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Analysis consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might lead to declining market share of Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Help due to the consumer shift towards virtual libraries.
• The existence of large number of rivals in the publishing industry increase the risk for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by utilizing specific methods like aggressive promotion, quality products, and so on
• Entrance of new publishing firms in the industry together with existence of high competitors increases the threat of losing the client base.
The business has a rather competitive financial performance. Due to absence of information, the monetary ratios of CMP could not be calculated. The general financial efficiency of the company might be examined by using the charts given in the case Appendices. It might be examined from the Appendix III that the yearly 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 Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution is growing and the company is rather efficient in attracting a large number of clients at a possible rate.
In addition to it, the 2nd graph which reveals the yearly growth in the Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution total properties, shows that the company is rather effective in adding value to its assets through its earnings. The development in assets reveals that the total worth of the firm is likewise increasing with increasing the overall profits. (Unknown, 2013).
Another monetary analysis of the business utilizing the provided data could be the analysis concerning the distribution of total profits of the business. Major part of the incomes of CMP comes from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company could move towards other organisation segments with a possible development to accomplish its future advancement objective.
PESTEL analysis might be carried out to learn the various external forces affecting the efficiency of the business and the recent patterns in the external environment of the company. A quick PESTEL analysis of the company is given as follows; (Alanzi, 2018).
As the publishing sector could have a substantial effect on the frame of mind of the people about the communist ideology of the federal government, therefore, the publishing sector is highly monitored and guided by the Publicity Department of the Communist Party of China. It could be said that the total political forces affecting CMP organisation are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Economic forces affecting the publishing sector in basic and the Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution in specific includesthe costs of paper, the earnings level of consumers, the inflation rate, and the overall GDP growth of the nation. All these forces integrate effect the need for the publishing market. In addition to it, the economic policies connected to the import of books affect the total company at CPM. However, China's economic conditions are rather favorable for CMP with high GDP growth and consumer income level.
Social and Demographical.
Social and demographical forces consist of the population development, the consumer's preferences towards checking out informative products and so on. China has the highest population in the world with a high population growth, revealing the increasing number of consumers of the Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution. The customer preferences are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP must focus on digital publishing to fulfill the changing customer preferences.
Technological forces impacting the CMP consist of the technological improvement in the reading techniques etc. Improvement of science and technology along with the rise of digital publishing could lower the demand for the CMP products, if particular actions would not be taken soon.
Environmental forces affecting Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution includes the issues of ecological 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 used while publishing ought to not be damaging for the environment.
Legal policies for the publishing sector at whole are high. The legal policies relating to 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 regulation prohibits direct participation of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's Five Forces Design).
Porter's Five Forces Model might be used to analyze the appearance of the publishing industry China. A brief analysis of the Porter's 5 Forces is provided as follows;.
Threat of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Industry is moderate. The potential development in the industry tends to draw in new entrants to the publishing market. The existence of intense competitors and the requirement of huge capital tends to demotivate new entrants to go into in the market.
Threat of Alternative.
Danger of Substitution is high for the Chinese Publishing Market. The replacement products for the published documents is the documents provided in the virtual libraries on particular sites. The altering customer preferences towards digital learning increase the threat of substitution for the market.
Competitive rivalry in the publishing industry is high. The existence of a great deal of consumers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive competition for CMP. Along with it, brand-new entrants are likewise participating in the market increasing the competitors for CMP.
Bargaining Power of Provider.
The significant providers of the Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Help consist of the providers of the paper for releasing documents. As CMP is the largest publisher in the Chinese Publishing Market, therefore the overall bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Negotiating power of buyer in the publishing industry is high. Due to the existence of a large number of publishers in the Chinese market and the market saturation, the purchasers needs high quality files at competitive prices.
CMP runs in an extremely competitive industry with the presence 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 rivals of Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis one of the close rivals of CMP. Established in the same period, CIP publishes similar kind of books. For a large time period, CIP held the largest market share, and still ranks 2nd and 3rd in different market sections, with a significant focus on instructional publications. CIP functions as a danger for CMP as it could wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the market share of Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Analysis easily in the existing market situation.
Posts and telecommunication Press (PTP).
It was likewise founded in the very same period as Standard Integrated Government Tax Administration System Sigtas In Afghanistan Case Study Solution and CIP. It is also one of the popular players in the publishing industry with a yearly total earnings of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Decreasing reliance over the Chinese markets.
• Increasing variety of Consumers
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
• Usage of possible resources in expansion.
• Danger 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 abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio offers high value to customers.
• 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 need of its items in the market.
With the deep analysis of the external and internal environment of the business in addition to the market analysis and the competitor analysis, Alternative 2 is suggested to CMP to attain its future development. As the choices are moving towards digital publishing and the business require an instant option to prevent the declining industry growth. Therefore, intro of digital publishing might show to be an instant solution with low amount of danger for the business. The business might also think about the expansion program after the success of its digital publishing program.
In order to introduce digital publishing in its product portfolio, the business should initially gathers the data related to the consumer need, the potential markets, the government guidelines and the data related to the rivals presented in the market. If the initial offering proves a success, the company must go for the other markets. In this method the company would be able to execute its digital publishing program.
Although, the growth of the publishing industry is decreasing considering that 2008, showing a danger to the business's long term presence, but the circumstance can be managed by considering a development plan in the future. The company might think about introducing digital publishingin its existing market to execute its advancement program at immediate basis and to avoid the danger of failure for entrance in the brand-new markets.