The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Solution and Analysis
The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Analysis 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 comprehensive Science and Technology publishing business through the integration of print media, audio-visual media and the network media.
Although, The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help has invested its 60 years journey efficiently, being an effective publishing home, nevertheless, the altering macro market trends and forces bring certain obstacles to the publishing industry in general and CMP in particular. These factors consist of;
• Entryway of the brand-new publishing companies in the market.
• Declining 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 numerous 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 company could be made use of to pursue the future development unceasingly? How could the business sustain its long term competitive position in future?
The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help has certain strengths that can be made use of to lower the threats, conquer the weakness and avail the opportunities. Strengths of CMP are provided as follows;
• The long term experience of The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help in the publishing industry i.e. 60 years allows the business to provide high quality items at a lower expense utilizing its previous experiences.
• The technical resources and capabilities produced by its effective journey supply a competitive advantage to CMP.
• Large product portfolioof CMP assists it to diversify its danger and provide high worth to its clients.
• Strong monetary position enables the company to think about a number of development chances without any fear of raising fund externally.
Along with the strengths, the company has certain weaknesses which might increase constraints for the business in implementing its development program. The weak points of The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help are provided as follows;
• Despite of being a science and innovation publishing company, 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 growth. It must propose certain expansion strategies to avoid its dependence over the Chinese markets to accomplish long term growth.
Although, the development of the publishing market is declining because 2008, impacting The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help also, but the growth might be restored by availing particular chances provided in the market. The market opportunities for CMP include;
• The company could also present Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment in the market.
• CMP could consider an advancement program through the expansion towards foreign markets in order to decrease its dependence over Chinese markets by utilizing its vast funds.
The changing macro trends in the market and increasing competitors in the publishing industry has postured particular threats to The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might cause decreasing market share of The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help due to the customer shift towards virtual libraries.
• The existence of large number of competitors in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can get a strong customer base by utilizing certain techniques like aggressive promotion, quality products, and so on
• Entrance of new publishing firms in the market in addition to presence of high competition increases the threat of losing the client base.
Due to lack of data, the financial ratios of CMP might not be computed. It might be examined from the Appendix III that the annual total revenues of The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Analysis during the duration 2000-2012 are growing at a high development rate, showing that the annual need of the items of CMP is growing and the company is quite efficient in attracting a big number of clients at a prospective rate.
In addition to it, the second graph which shows the yearly development in the The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Solution total assets, shows that the company is quite effective in including worth to its possessions through its earnings. The development in assets reveals that the overall value of the company is also increasing with increasing the overall earnings. (Unknown, 2013).
Another monetary analysis of the business using the given data might be the analysis concerning the distribution of overall revenues of the business. Major part of the revenues 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 sections with a prospective development to achieve its future development goal.
PESTEL analysis could be conducted to discover the different external forces impacting the performance of the business and the current patterns in the external environment of the company. A quick PESTEL analysis of the company is given as follows; (Alanzi, 2018).
As the publishing sector might have a considerable influence 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 guided by the Promotion Department of the Communist Party of China. Therefore, it might be stated that the total political forces affecting The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Solution organisation are high. The federal government policies relating to the publishing sector are likewise increasing with the passage of time.
Economic forces impacting the publishing sector in general and the The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Analysis in specific includesthe rates of paper, the earnings level of consumers, the inflation rate, and the overall GDP development of the nation. All these forces integrate impact the demand for the publishing market. Together with it, the economic policies related to the import of books affect the overall company at CPM. China's financial conditions are rather favorable for CMP with high GDP growth and customer earnings level.
Social and Demographical.
Social and demographical forces consist of the population development, the customer's choices towards checking out useful products etc. China has the highest population on the planet with a high population growth, showing the increasing number of consumers of the The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help. The consumer preferences are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP should focus on digital publishing to meet the altering consumer preferences.
Technological forces affecting the CMP consist of the technological improvement in the reading techniques and so on. Enhancement of science and innovation along with the increase of digital publishing could minimize the need for the CMP products, if particular actions would not be taken quickly.
Environmental forces affecting The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Analysis consists of the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is required to be non reusable and the ink used while publishing ought to not be damaging for the environment.
Legal guidelines for the publishing sector at whole are high. The legal regulations regarding the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 needs the publishers to be approved initially by the Federal government to be entered in the publishing market. The ordinance forbids direct participation of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's 5 Forces Design).
Porter's Five Forces Design might be utilized to examine the appearance of the publishing market China. A brief analysis of the Porter's 5 Forces is provided as follows;.
Threat of New Entrants.
Hazards of new entrants in the Chinese Publishing Industry is moderate. The possible development in the market tends to attract brand-new entrants to the publishing industry. The presence of extreme competition and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the market.
Hazard of Substitution.
Risk of Replacement is high for the Chinese Publishing Market. The alternative products for the released files is the documents presented in the virtual libraries on specific sites. The changing customer preferences towards digital knowing increase the threat of substitution for the market.
Competitive rivalry in the publishing market is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Along with it, new entrants are also participating in the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The significant suppliers of the The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Help include the providers of the paper for publishing 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 Purchaser.
Haggling power of purchaser in the publishing industry is high. Due to the existence of a large number of publishers in the Chinese market and the marketplace saturation, the purchasers requires high quality files at competitive prices.
CMP runs in a highly competitive industry with the presence of large number of competitors. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Major competitors of The Cambodian National Hivaids Program Successful Scale Up Through Innovation Case Study Analysis include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a hazard for CMP as it might 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 current market circumstance.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was also founded in the same period as CMP and CIP. It ranks 6th in the state-owned publishers in terms of service scale. It is also among the prominent gamers in the publishing market with an annual total profits of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Lowering dependence over the Chinese markets.
• Increasing variety of Customers
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing market.
• Use of potential resources in growth.
• Danger of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
• Sustaining customer base.
• Approaching new markets.
• Easy to present using existing capabilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased item portfolio offers high value to consumers.
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core business sections to the brand-new one can lead the business to lose need of its products in the market.
With the deep analysis of the external and internal environment of the business together with the market analysis and the rival analysis, Alternative 2 is suggested to CMP to accomplish its future development. As the preferences are shifting towards digital publishing and the company require an immediate solution to prevent the declining market development. For that reason, intro of digital publishing might prove to be an instant solution with low quantity of threat for the company. The company could likewise consider the expansion program after the success of its digital publishing program.
In order to introduce digital publishing in its item portfolio, the business must initially gathers the data related to the consumer need, the possible markets, the government regulations and the information related to the competitors presented in the market. If the preliminary offering proves a success, the business needs to go for the other markets. In this way the business would be able to implement its digital publishing program.
Although, the development of the publishing market is declining given that 2008, showing a hazard to the business's long term existence, however the circumstance can be controlled by thinking about a development strategy in the future. The company might consider presenting digital publishingin its existing market to execute its advancement program at instant basis and to avoid the risk of failure for entryway in the new markets.