Teamlease Putting India To Work Il Legally Case Study Solution and Analysis
Introduction
Teamlease Putting India To Work Il Legally Case Study Help is the biggest publishing company with a greatest market share in the China's book retail market. CMP has ended up being a specialized details service provider and a big comprehensive Science and Technology publishing business through the combination of print media, audio-visual media and the network media.
Important Concerns
CMP has invested its 60 years journey efficiently, being a successful publishing house, however, the altering macro market patterns and forces bring particular challenges to the publishing industry in basic and Teamlease Putting India To Work Il Legally Case Study Analysis in specific. These elements consist of;
• Entrance of the brand-new publishing companies in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Improvement of science and technology.
The change 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 valuable experience, technical resources and the abilities of the company could be made use of 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
Teamlease Putting India To Work Il Legally Case Study Help has particular strengths that can be utilized to reduce the dangers, get rid of the weakness and get the opportunities. Strengths of CMP are given as follows;
• The long term experience of Teamlease Putting India To Work Il Legally Case Study Help in the publishing industry i.e. 60 years enables the business to supply high quality products at a lower expense utilizing its prior experiences.
• The technical resources and abilities created by its effective journey supply a competitive advantage to CMP.
• Vast item portfolioof CMP helps it to diversify its danger and offer high value to its consumers.
• Strong financial position permits the business to think about several advancement opportunities with no fear of raising fund externally.
Weaknesses
Together with the strengths, the company has certain weaknesses which could increase restrictions for the company in executing its development program. The weak points of Teamlease Putting India To Work Il Legally Case Study Help are offered as follows;
• Despite of being a science and technology publishing company, the company still has traditional ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It must propose particular growth strategies to avoid its dependence over the Chinese markets to achieve long term development.
Opportunities
The development of the publishing industry is decreasing considering that 2008, impacting Teamlease Putting India To Work Il Legally Case Study Solution as well, but the growth could be restored by availing certain chances provided in the market. The market chances for CMP consist of;
• The company might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP could think about a development program through the expansion towards foreign markets in order to decrease its dependence over Chinese markets by using its vast funds.
Threats
The changing macro patterns in the market and increasing competitors in the publishing market has positioned specific risks to Teamlease Putting India To Work Il Legally Case Study Analysis consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries could lead to declining market share of Teamlease Putting India To Work Il Legally Case Study Solution due to the consumer shift towards digital libraries.
• The presence of large number of competitors in the publishing market increase the danger for CMP to lose its competitive position in the market, as competitors can gain a strong consumer base by using particular strategies like aggressive promo, quality items, and so on
• Entrance of new publishing companies in the industry together with presence of high competition increases the risk of losing the customer base.
Financial Analysis.
Due to lack of data, the financial ratios of CMP could not be computed. It might be examined from the Appendix III that the yearly total earnings of Teamlease Putting India To Work Il Legally Case Study Help during the duration 2000-2012 are growing at a high development rate, revealing that the yearly need of the products of CMP is growing and the business is rather effective in drawing in a big number of customers at a prospective price.
Together with it, the 2nd graph which reveals the annual growth in the Teamlease Putting India To Work Il Legally Case Study Help total properties, shows that the business is rather effective in adding value to its properties through its incomes. The development in assets shows that the total value of the company is likewise increasing with increasing the overall revenues. (Unknown, 2013).
Another financial analysis of the company utilizing the provided data might be the analysis concerning the circulation of total revenues of the company. Major part of the revenues of CMP comes from the sales of its published books i.e. 64% as shown in the Case Appendix V. The business might move towards other business sectors with a potential growth to accomplish its future development objective.
PESTEL Analysis
PESTEL analysis could be conducted to learn the various external forces impacting the efficiency of the company and the recent trends in the external environment of the business. A short PESTEL analysis of the business is given as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a significant effect on the state of mind of the people about the communist ideology of the federal government, for that reason, the publishing sector is extremely supervised and assisted by the Promotion Department of the Communist Party of China. Therefore, it might be said that the total political forces affecting Teamlease Putting India To Work Il Legally Case Study Analysis business are high. The federal government policies relating to the publishing sector are also increasing with the passage of time.
Economical.
Financial forces affecting the publishing sector in general and the Teamlease Putting India To Work Il Legally Case Study Solution in particular includesthe rates of paper, the income level of customers, the inflation rate, and the total GDP development of the country. All these forces combine effect the demand for the publishing market. Together with it, the financial policies related to the import of books affect the general company at CPM. China's financial conditions are rather favorable for CMP with high GDP development and customer income level.
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 satisfy the changing consumer choices.
Technological.
Technological forces affecting the CMP include the technological development in the reading techniques etc. Enhancement of science and technology together with the rise of digital publishing could reduce the demand for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces affecting Teamlease Putting India To Work Il Legally Case Study Help consists of 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 non reusable and the ink utilized while publishing should not be hazardous for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. Publishing Regulation 1997 requires the publishers to be approved first by the Federal government to be entered in the publishing market.
Market Analysis (Porter's 5 Forces Design).
Porter's 5 Forces Design could be utilized to evaluate the attractiveness of the publishing industry China. A brief analysis of the Porter's 5 Forces is given as follows;.
Risk of New Entrants.
Threats of new entrants in the Chinese Publishing Industry is moderate. The prospective growth in the market tends to bring in new entrants to the publishing market. The existence of extreme competitors and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the market.
Threat of Alternative.
Risk of Replacement is high for the Chinese Publishing Industry. The substitute products for the released files is the files provided in the virtual libraries on specific sites. The altering customer choices towards digital knowing increase the danger of replacement for the industry.
Competitive Competition.
Competitive rivalry in the publishing market is high. The presence of a great deal of customers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. In addition to it, new entrants are also entering into the market increasing the competitors for CMP.
Bargaining Power of Provider.
The significant providers of the Teamlease Putting India To Work Il Legally Case Study Analysis consist of the suppliers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the total bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Bargaining power of buyer in the publishing market is high. Due to the existence of a large number of publishers in the Chinese market and the marketplace saturation, the purchasers needs high quality documents at competitive prices.
Rivals Analysis.
CMP runs in an extremely competitive market with the presence of a great deal of competitors. Nevertheless, the business has a competitive position in the market with the highest market share in the Chinese publishing market. Significant competitors of Teamlease Putting India To Work Il Legally Case Study Solution consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis one of the close rivals of CMP. Founded in the very same period, CIP releases similar type of books. For a big period, CIP held the largest market share, and still ranks 3rd and 2nd in various market sectors, with a major concentrate on academic publications. CIP acts 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 might wean the market share of Teamlease Putting India To Work Il Legally Case Study Help quickly in the existing market situation.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise founded in the same period as CMP and CIP. It ranks 6th in the state-owned publishers in regards to company scale. It is likewise one of the prominent players in the publishing industry with an annual overall incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Decreasing dependence over the Chinese markets.
• Increasing variety of Clients
• Development chances.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in expansion.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce utilizing current capabilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased item portfolio provides 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 service sectors to the brand-new one can lead the company to lose demand of its items in the market.
Recommendations
As the preferences are shifting towards digital publishing and the business need an instant option to avoid the declining industry development. The company might likewise consider the expansion program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its item portfolio, the company should initially collects the information related to the customer demand, the prospective markets, the government regulations and the data related to the competitors presented in the market. If the initial offering shows a success, the business must go for the other markets. In this method the company would be able to execute its digital publishing program.
Conclusion
Although, the growth of the publishing market is declining because 2008, revealing a hazard to the business's long term presence, but the circumstance can be managed by considering a development strategy in the future. The business might think about introducing digital publishingin its existing market to implement its advancement program at instant basis and to avoid the danger of failure for entrance in the new markets.
