The Long And Short Of Apollo Group Case Study Solution and Analysis
The Long And Short Of Apollo Group Case Study Solution is the biggest publishing business with a greatest market share in the China's book retail market. CMP offers a number of services including; collecting info, processing info and interaction services. Significant business segments of the company include; books, regulars, consultancy and distribution. The company has a huge item portfolio and its significant products include books, regulars, online media, exhibitions, research study reports and so on. The Long And Short Of Apollo Group Case Study Analysis has ended up being a specialized info service provider and a large comprehensive Science and Innovation publishing company through the combination of print media, audio-visual media and the network media.
CMP has actually spent its 60 years journey smoothly, being an effective publishing house, however, the changing macro market patterns and forces bring specific difficulties to the publishing industry in basic and The Long And Short Of Apollo Group Case Study Analysis in particular. These factors include;
• Entryway of the brand-new publishing companies in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and technology.
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 scenario? Do the long valuable experience, technical resources and the capabilities of the company could be utilized to strive for the future advancement unceasingly? How could the company sustain its long term competitive position in future?
The Long And Short Of Apollo Group Case Study Solution has certain strengths that can be used to decrease the threats, conquer the weakness and obtain the opportunities. Strengths of CMP are provided as follows;
• The long term experience of The Long And Short Of Apollo Group Case Study Analysis in the publishing industry i.e. 60 years permits the company to offer high quality products at a lower cost using its prior experiences.
• The technical resources and capabilities created by its successful journey supply a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its threat and provide high worth to its clients.
• Strong financial position permits the business to think about numerous advancement opportunities without any worry of raising fund externally.
In addition to the strengths, the company has specific weaknesses which might increase constraints for the company in executing its advancement program. The weaknesses of The Long And Short Of Apollo Group Case Study Solution are offered as follows;
• Despite of being a science and technology publishing company, the business still has conventional ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It should propose specific growth plans to avoid its reliance over the Chinese markets to achieve long term development.
Although, the development of the publishing industry is declining because 2008, affecting The Long And Short Of Apollo Group Case Study Solution as well, however the development might be revived by availing particular opportunities presented in the market. The marketplace opportunities for CMP consist of;
• The company could likewise introduce Digital Publishing by utilizing its long term technical experience and a strong consumer acknowledgment in the market.
• CMP might think about a development program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by using its vast financial resources.
The changing macro patterns in the market and increasing competitors in the publishing industry has actually postured specific hazards to The Long And Short Of Apollo Group Case Study Analysis consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might lead to declining market share of The Long And Short Of Apollo Group Case Study Solution due to the customer shift towards digital libraries.
• The presence 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 acquire a strong customer base by using particular techniques like aggressive promo, quality items, and so on
• Entryway of brand-new publishing companies in the industry along with existence of high competitors increases the risk of losing the consumer base.
Due to absence of information, the financial ratios of CMP might not be computed. It could be evaluated from the Appendix III that the yearly overall profits of The Long And Short Of Apollo Group Case Study Analysis during the period 2000-2012 are growing at a high growth rate, revealing that the yearly demand of the items of CMP is growing and the business is rather efficient in bring in a big number of consumers at a potential rate.
Along with it, the second graph which shows the annual growth in the The Long And Short Of Apollo Group Case Study Analysis total assets, shows that the business is rather efficient in adding worth to its possessions through its profits. The development in properties reveals that the total worth of the company is also increasing with increasing the total profits. (Unidentified, 2013).
Another monetary analysis of the business using the given data could be the analysis regarding the circulation of overall profits of the business. Major part of the profits of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The company could move towards other business sections with a possible growth to attain its future development objective.
PESTEL analysis could be carried out to discover the various external forces affecting the performance of the company and the current patterns in the external environment of the company. A brief PESTEL analysis of the business is given as follows; (Alanzi, 2018).
As the publishing sector could have a considerable impact on the state of mind of individuals about the communist ideology of the government, therefore, the publishing sector is extremely monitored and directed by the Publicity Department of the Communist Party of China. It could be stated that the total political forces affecting CMP service are high. The government policies concerning the publishing sector are likewise increasing with the passage of time.
Financial forces impacting the publishing sector in general and the The Long And Short Of Apollo Group Case Study Solution in specific includesthe rates of paper, the income level of customers, the inflation rate, and the general GDP growth of the country. All these forces integrate effect the demand for the publishing market. Together with it, the economic policies associated with the import of books impact the overall service at CPM. China's financial conditions are rather favorable for CMP with high GDP growth and customer income level.
Social and Demographical.
Social and demographical forces include the population development, the customer's choices towards reading informative materials and so on. China has the greatest population on the planet with a high population development, showing the increasing variety of customers of the The Long And Short Of Apollo Group Case Study Analysis. The consumer choices are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP should concentrate on digital publishing to satisfy the changing customer preferences.
Technological forces affecting the CMP consist of the technological development in the reading methods and so on. Improvement of science and technology along with the rise of digital publishing could decrease the demand for the CMP items, if certain actions would not be taken soon.
Ecological forces affecting The Long And Short Of Apollo Group Case Study Solution consists of the concerns of environmental communities over the use of paper in publishing books. The paper used in the books while publishing is required to be disposable and the ink used while publishing ought to not be damaging for the environment.
Legal regulations for the publishing sector at whole are high. The legal regulations concerning the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be authorized first by the Government to be gone into in the publishing market. The ordinance forbids direct involvement of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's 5 Forces Model).
Porter's Five Forces Model could be used to analyze the attractiveness of the publishing market China. A short analysis of the Porter's 5 Forces is provided as follows;.
Danger of New Entrants.
Dangers of new entrants in the Chinese Publishing Market is moderate. The prospective growth in the industry tends to draw in brand-new entrants to the publishing industry. Nevertheless, the presence of intense competition and the requirement of huge capital tends to demotivate brand-new entrants to enter in the market.
Risk of Alternative.
Danger of Alternative is high for the Chinese Publishing Market. The substitute products for the released documents is the files provided in the digital libraries on particular sites. The changing consumer choices towards digital learning increase the risk of replacement for the market.
Competitive competition in the publishing market is high. The existence of a great deal of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive competition for CMP. In addition to it, brand-new entrants are likewise participating in the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The major providers of the The Long And Short Of Apollo Group Case Study Solution consist of the providers of the paper for publishing files. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the overall bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Bargaining 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 market saturation, the buyers needs high quality documents at competitive rates.
CMP runs in an extremely competitive industry with the presence of a great deal of rivals. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of The Long And Short Of Apollo Group Case Study Help include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a risk 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 easily in the existing market situation.
Posts and telecommunication Press (PTP).
It was likewise founded in the same period as The Long And Short Of Apollo Group Case Study Analysis and CIP. It is likewise one of the popular gamers in the publishing industry with a yearly overall profits of RMB 550 million in 2010.
Alternative-1: Broaden towards New Markets
• Minimizing dependence over the Chinese markets.
• Increasing number of Consumers
• Growth chances.
• Preventing the impact of market saturation in the Chinese publishing market.
• Usage of possible resources in growth.
• Threat of failure in brand-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 customers.
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core service segments to the brand-new one can lead the company to lose demand of its products in the market.
With the deep analysis of the external and internal environment of the company together with the market analysis and the rival analysis, Alternative 2 is advised to CMP to attain its future advancement. As the choices are moving towards digital publishing and the business need an immediate solution to avoid the decreasing market development. For that reason, introduction of digital publishing might show to be an immediate option with low quantity of risk for the company. The business could likewise consider the growth program after the success of its digital publishing program.
In order to present digital publishing in its item portfolio, the business needs to first gathers the information related to the consumer demand, the prospective markets, the federal government regulations and the data related to the rivals provided in the market. If the preliminary offering shows a success, the company ought to go for the other markets. In this way the company would be able to execute its digital publishing program.
The development of the publishing market is decreasing given that 2008, revealing a threat to the company's long term existence, however the circumstance can be controlled by thinking about a development strategy 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 entryway in the brand-new markets.