Taj Hotels Resorts And Palaces Case Study Solution and Analysis
Introduction
Taj Hotels Resorts And Palaces Case Study Help is the biggest publishing company with a greatest market share in the China's book retail market. CMP offers a variety of services including; gathering info, processing information and interaction services. Major service sections of the company include; books, periodicals, consultancy and circulation. The business has a vast product portfolio and its major products include books, regulars, online media, exhibits, research reports etc. Taj Hotels Resorts And Palaces Case Study Analysis has become a specialized details provider and a big comprehensive Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Crucial Issues
Although, Taj Hotels Resorts And Palaces Case Study Analysis has spent its 60 years journey efficiently, being a successful publishing home, however, the altering macro market patterns and forces bring specific challenges to the publishing industry in basic and CMP in particular. These aspects consist of;
• Entryway of the brand-new publishing firms in the industry.
• Decreasing growth of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Enhancement of science and technology.
The change of the macro markets have raised numerous concerns to the management at CPM that what could be the future of CMP in this scenario? Do the long important experience, technical resources and the abilities of the business could be used to strive for the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Taj Hotels Resorts And Palaces Case Study Analysis has certain strengths that can be made use of to reduce the threats, get rid of the weak point and avail the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Taj Hotels Resorts And Palaces Case Study Analysis in the publishing market i.e. 60 years enables the company to supply high quality products at a lower cost utilizing its prior experiences.
• The technical resources and abilities produced by its effective journey supply a competitive benefit to CMP.
• Large item portfolioof CMP assists it to diversify its risk and offer high worth to its customers.
• Strong monetary position enables the company to think about several development chances without any fear of raising fund externally.
Weaknesses
Together with the strengths, the company has specific weak points which could increase restrictions for the business in implementing its development program. The weaknesses of Taj Hotels Resorts And Palaces Case Study Analysis are offered as follows;
• Despite of being a science and innovation publishing firm, the business still has standard ways ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose specific growth strategies to prevent its reliance over the Chinese markets to achieve long term growth.
Opportunities
The development of the publishing market is decreasing because 2008, impacting Taj Hotels Resorts And Palaces Case Study Help as well, however the growth could be restored by availing certain chances presented in the market. The marketplace chances for CMP include;
• The business could also present Digital Publishing by using its long term technical experience and a strong client recognition in the market.
• CMP could consider a development program through the growth towards foreign markets in order to lower its reliance over Chinese markets by utilizing its large funds.
Dangers
The changing macro patterns in the market and increasing competition in the publishing industry has posed certain threats to Taj Hotels Resorts And Palaces Case Study Solution consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might cause declining market share of Taj Hotels Resorts And Palaces Case Study Analysis due to the consumer shift towards digital libraries.
• The existence of large number of rivals in the publishing industry increase the threat for CMP to lose its competitive position in the market, as rivals can gain a strong consumer base by utilizing specific strategies like aggressive promotion, quality products, etc.
• Entryway of brand-new publishing companies in the industry together with existence of high competitors increases the threat of losing the consumer base.
Financial Analysis.
The business has a rather competitive monetary efficiency. Due to lack of information, the monetary ratios of CMP could not be determined. The overall monetary efficiency of the business could be evaluated by utilizing the charts offered in the case Appendices. It could be analyzed from the Appendix III that the annual overall incomes of CMP throughout the duration 2000-2012 are growing at a high growth rate, showing that the yearly demand of the products of Taj Hotels Resorts And Palaces Case Study Solution is growing and the company is rather efficient in bring in a large number of customers at a possible rate.
Together with it, the second chart which reveals the yearly development in the Taj Hotels Resorts And Palaces Case Study Solution total properties, shows that the business is rather efficient in adding worth to its assets through its profits. The growth in assets reveals that the overall value of the firm is likewise increasing with increasing the overall profits. (Unknown, 2013).
Another financial analysis of the business utilizing the provided data could be the analysis concerning the distribution of total revenues of the company. Huge 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 might move towards other company sectors with a prospective development to achieve its future advancement objective.
PESTEL Analysis
PESTEL analysis could be conducted to find out the numerous external forces affecting the performance of the company and the recent trends in the external environment of the business. A brief PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial impact on the frame of mind of the people about the communist ideology of the federal government, therefore, the publishing sector is highly monitored and directed by the Promotion Department of the Communist Party of China. Therefore, it could be said that the general political forces affecting Taj Hotels Resorts And Palaces Case Study Help company are high. The federal government policies concerning the publishing sector are also increasing with the passage of time.
Economical.
Economic forces affecting the publishing sector in basic and the CMP in particular includesthe costs of paper, the earnings level of customers, the inflation rate, and the total GDP growth of the country. All these forces combine effect the need 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 altering consumer choices.
Technological.
Technological forces affecting the CMP consist of the technological advancement in the reading strategies and so on. Improvement of science and technology along with the increase of digital publishing might reduce the demand for the CMP products, if particular actions would not be taken soon.
Environmental.
Ecological forces affecting Taj Hotels Resorts And Palaces 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 needed to be disposable and the ink utilized while publishing needs to not be damaging for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be authorized first by the Federal government to be gone into in the publishing market.
Industry Analysis (Porter's 5 Forces Model).
Porter's 5 Forces Model could be used to evaluate the attractiveness of the publishing market China. A quick analysis of the Porter's Five Forces is provided as follows;.
Hazard of New Entrants.
Threats of brand-new entrants in the Chinese Publishing Market is moderate. The possible development in the market tends to bring in brand-new entrants to the publishing industry. However, the presence of intense competition and the requirement of big capital tends to demotivate brand-new entrants to go into in the market.
Hazard of Alternative.
Risk of Alternative is high for the Chinese Publishing Industry. The alternative products for the published files is the documents provided in the virtual libraries on particular websites. The changing consumer preferences towards digital knowing increase the risk of substitution for the market.
Competitive Rivalry.
Competitive rivalry in the publishing industry is high. The presence of a great deal of customers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Along with it, brand-new entrants are likewise entering into the market increasing the competition for CMP.
Bargaining Power of Provider.
The significant suppliers of the Taj Hotels Resorts And Palaces Case Study Help consist of the providers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the general bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Haggling power of buyer in the publishing market is high. Due to the presence of a large number of publishers in the Chinese market and the market saturation, the buyers needs high quality documents at competitive costs.
Rivals Analysis.
CMP operates in a highly competitive market with the existence of large number of rivals. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Taj Hotels Resorts And Palaces Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a hazard for CMP as it could wean its market share due to its long term competitive background. CIP is focused on digital publishing and might wean the market share of CMP quickly in the present market scenario.
Posts and telecommunication Press (PTP).
It was likewise established in the exact same duration as Taj Hotels Resorts And Palaces Case Study Help and CIP. It is also one of the prominent players in the publishing market with an annual total incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Minimizing dependence over the Chinese markets.
• Increasing variety of Customers
• Growth opportunities.
• Preventing the effect of market saturation in the Chinese publishing industry.
Cons
• Use of possible resources in growth.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to present using existing capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased item portfolio supplies high worth to consumers.
Cons
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core company sectors to the brand-new one can lead the business to lose demand of its products in the market.
Suggestions
As the choices are shifting towards digital publishing and the company require an immediate service to avoid the decreasing industry growth. The company might also consider the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its item portfolio, the company needs to initially gathers the data related to the consumer need, the prospective markets, the federal government regulations and the data related to the rivals provided in the market. If the initial offering proves a success, the business must go for the other markets. In this way the business would be able to execute its digital publishing program.
Conclusion
The growth of the publishing market is decreasing because 2008, showing a risk to the company's long term presence, however the situation can be controlled by considering a development plan in the future. The company could think about presenting digital publishingin its existing market to execute its advancement program at instant basis and to avoid the threat of failure for entrance in the brand-new markets.
