Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Solution and Analysis
Intro
Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Help is the largest publishing company with a highest market share in the China's book retail market. CMP has actually become a specialized information provider and a big comprehensive Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
Important Issues
CMP has invested its 60 years journey smoothly, being an effective publishing home, nevertheless, the altering macro market trends and forces bring particular difficulties to the publishing market in basic and Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Help in specific. These elements include;
• Entrance of the brand-new publishing firms in the market.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and innovation.
The transformation of the macro markets have raised several questions 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 abilities of the business could be utilized to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Solution has specific strengths that can be made use of to decrease the dangers, overcome the weakness and avail the opportunities. Strengths of CMP are given as follows;
• The long term experience of Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Help in the publishing market i.e. 60 years allows the business to supply high quality products at a lower expense using its prior experiences.
• The technical resources and abilities generated by its successful journey provide a competitive benefit to CMP.
• Huge item portfolioof CMP helps it to diversify its danger and offer high worth to its consumers.
• Strong monetary position permits the business to consider several advancement opportunities with no worry of raising fund externally.
Weak points
Along with the strengths, the company has specific weaknesses which could increase restraints for the company in executing its advancement program. The weak points of Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Help are offered as follows;
• Despite of being a science and innovation publishing company, the business still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It must propose certain growth strategies to prevent its reliance over the Chinese markets to attain long term growth.
Opportunities
Although, the development of the publishing industry is declining because 2008, impacting Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Analysis as well, but the growth might be revived by availing particular opportunities provided in the market. The marketplace chances for CMP include;
• The company might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong consumer acknowledgment in the market.
• CMP might think about an advancement program through the growth towards foreign markets in order to minimize its dependence over Chinese markets by utilizing its large funds.
Dangers
The altering macro patterns in the market and increasing competitors in the publishing market has actually posed specific risks to Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might cause decreasing market share of Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Solution due to the consumer shift towards digital libraries.
• The presence of a great deal of rivals in the publishing industry increase the hazard for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by utilizing particular strategies like aggressive promo, quality items, etc.
• Entryway of new publishing companies in the market in addition to presence of high competitors increases the risk of losing the customer base.
Financial Analysis.
The business has a rather competitive monetary efficiency. Due to lack of data, the monetary ratios of CMP might not be determined. The overall financial efficiency of the business could be evaluated by using the charts given in the case Appendices. It might be analyzed from the Appendix III that the annual 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 Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Analysis is growing and the company is quite efficient in attracting a large number of customers at a potential rate.
Along with it, the second graph which reveals the annual development in the Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Solution total assets, shows that the company is rather effective in including value to its properties through its incomes. The growth in possessions reveals that the total value of the firm is likewise increasing with increasing the overall earnings. (Unidentified, 2013).
Another financial analysis of the business using the provided data could be the analysis concerning the distribution of overall incomes of the business. Huge part of the incomes of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The company might move towards other business segments with a possible development to accomplish its future development goal.
PESTEL Analysis
PESTEL analysis could be conducted to find out the various external forces impacting the efficiency of the company and the recent patterns in the external environment of the company. A brief PESTEL analysis of the company 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 extremely monitored and directed by the Promotion Department of the Communist Celebration of China. Therefore, it might be stated that the total political forces impacting Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Analysis organisation are high. The government policies relating to 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 rates of paper, the income level of consumers, the inflation rate, and the overall GDP development of the country. All these forces integrate effect the demand for the publishing market.
Social and Demographical.
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 meet the changing consumer preferences.
Technological.
Technological forces impacting the CMP include the technological development in the reading methods and so on. Improvement of science and technology together with the increase of digital publishing might minimize the need for the CMP items, if certain actions would not be taken quickly.
Environmental.
Environmental forces impacting Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Solution includes the issues of ecological communities over the use of paper in publishing books. The paper utilized in the books while publishing is needed to be non reusable and the ink used while publishing should not be hazardous for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. The legal guidelines regarding the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be approved initially by the Government to be entered in the publishing market. The regulation prohibits direct participation of foreign entities and people in the publishing sector.
Market Analysis (Porter's Five Forces Model).
Porter's 5 Forces Model could be utilized to evaluate the attractiveness of the publishing industry China. A short analysis of the Porter's Five Forces is offered as follows;.
Threat of New Entrants.
Hazards of new entrants in the Chinese Publishing Industry is moderate. The prospective development in the market tends to attract brand-new entrants to the publishing industry. The existence of intense competitors and the requirement of huge capital tends to demotivate new entrants to go into in the market.
Hazard of Substitution.
Hazard of Substitution is high for the Chinese Publishing Industry. The replacement products for the released files is the documents provided in the virtual libraries on particular websites. The changing customer choices towards digital learning increase the hazard of alternative for the industry.
Competitive Competition.
Competitive competition in the publishing industry is high. The existence of large number of customers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Together with it, brand-new entrants are likewise participating in the market increasing the competition for CMP.
Bargaining Power of Provider.
The significant providers of the Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Help include the suppliers of the paper for releasing documents. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the total 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 a great deal of publishers in the Chinese market and the market saturation, the purchasers requires high quality files at competitive costs.
Rivals Analysis.
CMP runs in a highly competitive market with the presence of a great deal of rivals. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Telenors Dilemma The 2g Spectrum Scam In India 2 Case Study Solution include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts 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 CMP quickly in the current market situation.
Posts and telecommunication Press (PTP).
Another close competitor of CMP is PTP. It was likewise established in the very same duration as CMP and CIP. It ranks sixth in the state-owned publishers in regards to business scale. It is also among 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
• Reducing reliance over the Chinese markets.
• Increasing number of Clients
• Development opportunities.
• Avoiding the effect of market saturation in the Chinese publishing industry.
Cons
• Usage of prospective resources in expansion.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to present using current abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio supplies high worth to customers.
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 new one can lead the business to lose need of its items in the market.
Recommendations
As the preferences are moving towards digital publishing and the company need an immediate service to avoid the declining industry growth. 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 product portfolio, the company should initially collects the information connected to the customer need, the potential markets, the government regulations and the data connected to the rivals presented in the market. After that, the business ought to decide one possible section for its initial offering. It ought to collect research study that how it might differentiate its digital publishing from the existing competitors' items. After all the actions above the company must go for the preliminary offering. If the preliminary offering proves a success, the company ought to opt for the other markets. In this way the company would have the ability to implement its digital publishing program.
Conclusion
Although, the development of the publishing industry is declining given that 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 company could consider introducing digital publishingin its existing market to execute its development program at immediate basis and to prevent the danger of failure for entrance in the brand-new markets.
