Symantec Corporation Convertible Notes With Call Spread Case Study Solution and Analysis
Intro
Symantec Corporation Convertible Notes With Call Spread Case Study Help is the largest publishing business with a greatest market share in the China's book retail market. CMP has ended up being a specialized details company and a big thorough Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.
Vital Issues
Although, Symantec Corporation Convertible Notes With Call Spread Case Study Solution has actually invested its 60 years journey smoothly, being a successful publishing house, however, the changing macro market trends and forces bring specific difficulties to the publishing market in basic and CMP in particular. These elements consist of;
• Entryway 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 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 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 business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Symantec Corporation Convertible Notes With Call Spread Case Study Solution has particular strengths that can be used to decrease the dangers, get rid of the weakness and avail the opportunities. Strengths of CMP are given as follows;
• The long term experience of Symantec Corporation Convertible Notes With Call Spread Case Study Solution in the publishing market i.e. 60 years permits the business to provide high quality products at a lower expense utilizing its prior experiences.
• The technical resources and abilities produced by its effective journey supply a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its danger and offer high value to its consumers.
• Strong financial position allows the business to think about a number of advancement chances with no fear of raising fund externally.
Weaknesses
In addition to the strengths, the company has particular weaknesses which might increase restraints for the business in implementing its development program. The weak points of Symantec Corporation Convertible Notes With Call Spread Case Study Solution are given as follows;
• Despite of being a science and technology publishing firm, 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 particular growth plans to prevent its reliance over the Chinese markets to attain long term growth.
Opportunities
The growth of the publishing industry is declining given that 2008, impacting Symantec Corporation Convertible Notes With Call Spread Case Study Help as well, but the development might be revived by availing specific chances provided in the market. The marketplace opportunities for CMP include;
• The business might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment in the market.
• CMP might consider a development program through the growth towards foreign markets in order to minimize its reliance over Chinese markets by utilizing its large funds.
Threats
The changing macro patterns in the market and increasing competition in the publishing market has positioned specific risks to Symantec Corporation Convertible Notes With Call Spread Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries could result in decreasing market share of Symantec Corporation Convertible Notes With Call Spread Case Study Help due to the consumer shift towards virtual libraries.
• The existence of a great deal of competitors in the publishing market increase the hazard for CMP to lose its competitive position in the market, as rivals can get a strong customer base by using particular techniques like aggressive promo, quality products, etc.
• Entryway of new publishing firms in the industry together with presence of high competition increases the threat of losing the customer base.
Financial Analysis.
The company has a quite competitive monetary performance. Due to absence of data, the financial ratios of CMP could not be calculated. The general financial performance of the company could be examined by utilizing the graphs given in the case Appendices. It might be evaluated from the Appendix III that the yearly overall incomes of CMP during the duration 2000-2012 are growing at a high growth rate, revealing that the yearly need of the items of Symantec Corporation Convertible Notes With Call Spread Case Study Help is growing and the company is rather effective in drawing in a a great deal of customers at a possible cost.
In addition to it, the second chart which reveals the annual development in the Symantec Corporation Convertible Notes With Call Spread Case Study Help total properties, shows that the company is rather efficient in including value to its properties through its earnings. The growth in assets shows that the total value of the firm is likewise increasing with increasing the overall profits. (Unknown, 2013).
Another financial analysis of the business utilizing the given information could be the analysis relating to the circulation of total incomes of the business. Huge 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 business might move towards other organisation segments with a prospective development to attain its future development objective.
PESTEL Analysis
PESTEL analysis could be carried out to find out the numerous external forces impacting the performance of the company and the current trends in the external environment of the company. A brief PESTEL analysis of the business is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a significant impact on the frame of mind of the people about the communist ideology of the government, for that reason, the publishing sector is highly supervised and guided by the Publicity Department of the Communist Party of China. It might be said that the overall political forces affecting CMP company are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Affordable.
Economic forces affecting the publishing sector in basic and the CMP in specific includesthe costs of paper, the earnings level of customers, the inflation rate, and the total GDP growth of the country. All these forces integrate impact the demand for the publishing market.
Social and Demographical.
The consumer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP should focus on digital publishing to meet the changing consumer choices.
Technological.
Technological forces affecting the CMP consist of the technological development in the reading strategies etc. Enhancement of science and innovation in addition to the rise of digital publishing could decrease the demand for the CMP products, if certain actions would not be taken soon.
Environmental.
Ecological forces affecting Symantec Corporation Convertible Notes With Call Spread Case Study Help includes the issues of ecological communities over the usage of paper in publishing books. The paper used in the books while publishing is needed to be disposable and the ink utilized while publishing should not be harmful for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be approved initially by the Government to be entered in the publishing market.
Market Analysis (Porter's 5 Forces Design).
Porter's Five Forces Design might be utilized to analyze the beauty of the publishing market China. A brief analysis of the Porter's 5 Forces is given as follows;.
Threat of New Entrants.
Hazards of new entrants in the Chinese Publishing Market is moderate. The potential development in the market tends to draw in brand-new entrants to the publishing market. However, the presence of intense competition and the requirement of substantial capital tends to demotivate brand-new entrants to enter in the marketplace.
Danger of Alternative.
Danger of Replacement is high for the Chinese Publishing Market. The substitute items for the published documents is the documents presented in the virtual libraries on particular websites. The altering customer preferences towards digital knowing increase the hazard of replacement for the market.
Competitive Rivalry.
Competitive rivalry in the publishing market is high. The existence of a great deal of consumers 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 likewise entering into the market increasing the competitors for CMP.
Bargaining Power of Supplier.
The major providers of the Symantec Corporation Convertible Notes With Call Spread Case Study Solution include the suppliers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the general bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Haggling power of buyer 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 needs high quality documents at competitive prices.
Rivals Analysis.
CMP operates in an extremely competitive industry with the presence of large number of competitors. However, the company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Symantec Corporation Convertible Notes With Call Spread Case Study Help include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a threat 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 easily in the present market situation.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise established in the exact same period as CMP and CIP. It ranks 6th in the state-owned publishers in terms of organisation scale. It is likewise among the popular players in the publishing market with an annual overall revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Reducing reliance over the Chinese markets.
• Increasing variety of Customers
• Development opportunities.
• Preventing the impact of market saturation in the Chinese publishing industry.
Cons
• Use of prospective resources in expansion.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce using present capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio offers 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 sections to the new one can lead the business to lose demand of its items in the market.
Suggestions
As the preferences are moving towards digital publishing and the business need an immediate service to avoid the declining market development. The company might also think about the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its item portfolio, the business must first gathers the data associated with the customer demand, the prospective markets, the government regulations and the data connected to the competitors provided in the market. After that, the company should decide one possible section for its preliminary offering. It should gather research study that how it could separate its digital publishing from the existing rivals' products. After all the actions above the company should choose the initial offering. The business needs to go for the other markets if the initial offering proves a success. In this method the company would be able to implement its digital publishing program.
Conclusion
The development of the publishing market is declining since 2008, revealing a danger to the business's long term existence, but the circumstance can be managed by thinking about a development strategy in the future. The business might consider presenting digital publishingin its existing market to implement its advancement program at immediate basis and to prevent the risk of failure for entrance in the new markets.
