Surveymonkey In 2014 3 Case Study Solution and Analysis
Intro
Surveymonkey In 2014 3 Case Study Solution is the biggest publishing company with a highest market share in the China's book retail market. CMP has become a specialized information provider and a big detailed Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Important Issues
CMP has actually invested its 60 years journey efficiently, being a successful publishing home, nevertheless, the changing macro market trends and forces bring certain obstacles to the publishing industry in general and Surveymonkey In 2014 3 Case Study Solution in specific. These elements consist of;
• Entrance of the brand-new publishing firms in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and innovation.
The improvement of the macro markets have raised a number of 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 utilized to pursue the future development unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Surveymonkey In 2014 3 Case Study Solution has certain strengths that can be utilized to minimize the risks, overcome the weakness and obtain the opportunities. Strengths of CMP are given as follows;
• The long term experience of Surveymonkey In 2014 3 Case Study Solution in the publishing market i.e. 60 years permits the company to provide high quality items at a lower expense utilizing its prior experiences.
• The technical resources and abilities created by its successful journey offer a competitive benefit to CMP.
• Large item portfolioof CMP assists it to diversify its risk and supply high value to its clients.
• Strong monetary position enables the company to consider a number of advancement opportunities with no worry of raising fund externally.
Weak points
Along with the strengths, the company has certain weaknesses which might increase restraints for the business in implementing its advancement program. The weak points of Surveymonkey In 2014 3 Case Study Analysis are provided as follows;
• Despite of being a science and technology publishing company, the business still has conventional methods ofpublishing which are not suitable with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It needs to propose certain expansion plans to prevent its dependence over the Chinese markets to accomplish long term growth.
Opportunities
The growth of the publishing industry is decreasing considering that 2008, impacting Surveymonkey In 2014 3 Case Study Analysis as well, but the development might be revived by availing certain chances provided in the market. The market chances for CMP consist of;
• The business might likewise introduce Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to reduce its reliance over Chinese markets by using its vast financial resources.
Hazards
The altering macro patterns in the market and increasing competition in the publishing market has postured specific threats to Surveymonkey In 2014 3 Case Study Analysis including;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries could lead to declining market share of Surveymonkey In 2014 3 Case Study Help due to the consumer shift towards virtual libraries.
• The presence of a great deal of rivals in the publishing market increase the risk for CMP to lose its competitive position in the market, as rivals can acquire a strong consumer base by using specific techniques like aggressive promo, quality products, etc.
• Entryway of brand-new publishing companies in the market in addition to existence of high competition increases the hazard of losing the customer base.
Monetary Analysis.
The company has a rather competitive financial performance. Due to absence of information, the financial ratios of CMP could not be computed. However, the overall financial performance of the company could be analyzed by utilizing the charts given up the case Appendices. It might be evaluated from the Appendix III that the annual overall revenues of CMP during the period 2000-2012 are growing at a high development rate, revealing that the yearly demand of the products of Surveymonkey In 2014 3 Case Study Help is growing and the business is quite efficient in drawing in a large number of consumers at a prospective rate.
Together with it, the 2nd chart which shows the annual development in the Surveymonkey In 2014 3 Case Study Analysis total assets, reveals that the company is rather efficient in adding worth to its possessions through its incomes. The growth in possessions shows that the total value of the firm is likewise increasing with increasing the total earnings. (Unknown, 2013).
Another monetary analysis of the company utilizing the provided data might be the analysis regarding the circulation of total profits of the company. Huge part of the incomes of CMP originates from the sales of its released books i.e. 64% as shown in the Case Appendix V. The company might move towards other service sectors with a prospective growth to accomplish its future development goal.
PESTEL Analysis
PESTEL analysis might be carried out to discover the different external forces affecting the performance of the company and the current patterns in the external environment of the business. A brief PESTEL analysis of the business is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a considerable effect on the frame of mind of individuals about the communist ideology of the government, for that reason, the publishing sector is highly supervised and assisted by the Promotion Department of the Communist Party of China. It could be stated that the general political forces affecting CMP organisation are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Economical.
Economic forces impacting the publishing sector in basic and the Surveymonkey In 2014 3 Case Study Help in specific includesthe prices of paper, the income level of consumers, the inflation rate, and the total GDP growth of the country. All these forces integrate impact the demand for the publishing market. Together with it, the economic policies connected to the import of books impact the total company at CPM. However, China's economic conditions are rather favorable for CMP with high GDP development and customer earnings level.
Social and Demographical.
Social and demographical forces include the population development, the consumer's choices towards checking out useful products and so on. China has the highest population in the world with a high population development, showing the increasing variety of customers of the Surveymonkey In 2014 3 Case Study Solution. The consumer preferences are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP should concentrate on digital publishing to fulfill the changing customer preferences.
Technological.
Technological forces impacting the CMP include the technological development in the reading strategies etc. Enhancement of science and technology along with the increase of digital publishing could lower the need for the CMP products, if certain actions would not be taken soon.
Environmental.
Ecological forces impacting Surveymonkey In 2014 3 Case Study Help includes the concerns of environmental neighborhoods over the use of paper in publishing books. The paper used in the books while publishing is needed to be non reusable and the ink utilized while publishing ought to not be harmful for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. Publishing Regulation 1997 requires the publishers to be approved initially by the Federal government to be entered in the publishing market.
Industry Analysis (Porter's Five Forces Design).
Porter's Five Forces Design might be utilized to evaluate the appearance of the publishing market China. A short analysis of the Porter's 5 Forces is provided as follows;.
Risk of New Entrants.
Risks of brand-new entrants in the Chinese Publishing Market is moderate. The possible development in the industry tends to draw in new entrants to the publishing industry. However, the existence of extreme competitors and the requirement of huge capital tends to demotivate new entrants to enter in the marketplace.
Danger of Alternative.
Risk of Alternative is high for the Chinese Publishing Market. The replacement items for the released documents is the files presented in the digital libraries on specific sites. The changing consumer preferences towards digital knowing increase the risk of substitution for the industry.
Competitive Rivalry.
Competitive rivalry in the publishing industry is high. The existence of a great deal of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Together with it, new entrants are also entering into the market increasing the competition for CMP.
Bargaining Power of Provider.
The significant suppliers of the Surveymonkey In 2014 3 Case Study Solution include the providers of the paper for releasing documents. 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 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 requires high quality documents at competitive costs.
Rivals Analysis.
CMP operates in an extremely competitive industry with the presence of a great deal of competitors. Nevertheless, the company has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of Surveymonkey In 2014 3 Case Study Analysis include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis one of the close rivals of CMP. Founded in the exact same duration, CIP publishes comparable kind of books. For a large time period, CIP held the biggest market share, and still ranks 3rd and 2nd in various market segments, with a major concentrate on educational publications. CIP serves 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 could wean the market share of Surveymonkey In 2014 3 Case Study Solution easily in the present market circumstance.
Posts and telecommunication Press (PTP).
It was likewise established in the same period as Surveymonkey In 2014 3 Case Study Solution and CIP. It is likewise one of the popular players in the publishing industry with an annual overall profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Minimizing reliance over the Chinese markets.
• Increasing variety of Clients
• Development chances.
• Preventing the impact of market saturation in the Chinese publishing industry.
Cons
• Use of prospective resources in expansion.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present using current capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio offers high value to customers.
Cons
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core business segments to the new one can lead the business to lose demand of its products in the market.
Recommendations
With the deep analysis of the external and internal environment of the business along with the market analysis and the competitor analysis, Alternative 2 is recommended to CMP to attain its future development. As the choices are shifting towards digital publishing and the business need an instant solution to avoid the declining industry development. Therefore, introduction of digital publishing might prove to be an instant service with low quantity of risk for the business. Nevertheless, the business could also think about the expansion program after the success of its digital publishing program.
Implementation
In order to present digital publishing in its product portfolio, the business ought to first gathers the information related to the customer demand, the prospective markets, the federal government regulations and the data related to the competitors presented in the market. If the initial offering proves a success, the company ought 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 because 2008, showing a danger to the company's long term existence, however the situation can be managed by considering an advancement plan in the future. The business might consider introducing digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the risk of failure for entryway in the brand-new markets.
