The Man In The Mirror A Case Study Solution and Analysis
Intro
The Man In The Mirror A Case Study Solution is the largest publishing company with a highest market share in the China's book retail market. CMP supplies a number of services including; gathering info, processing info and communication services. Significant service sections of the company consist of; books, periodicals, consultancy and circulation. The company has a vast item portfolio and its significant items include books, regulars, online media, exhibits, research reports etc. The Man In The Mirror A Case Study Help has ended up being a specialized details service provider and a big extensive Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Important Problems
Although, The Man In The Mirror A Case Study Solution has spent its 60 years journey efficiently, being a successful publishing house, however, the changing macro market trends and forces bring particular difficulties to the publishing market in basic and CMP in particular. These elements consist of;
• Entrance of the brand-new publishing firms in the industry.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Improvement of science and technology.
The change of the macro markets have raised several 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 capabilities of the company could be utilized 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
The Man In The Mirror A Case Study Help has certain strengths that can be utilized to decrease the threats, get rid of the weakness and obtain the opportunities. Strengths of CMP are provided as follows;
• The long term experience of The Man In The Mirror A Case Study Solution in the publishing industry i.e. 60 years allows the company to provide high quality items at a lower expense utilizing its prior experiences.
• The technical resources and abilities generated by its effective journey offer a competitive advantage to CMP.
• Vast item portfolioof CMP helps it to diversify its risk and supply high value to its customers.
• Strong monetary position enables the company to think about a number of advancement opportunities without any worry of raising fund externally.
Weaknesses
Along with the strengths, the company has particular weaknesses which might increase restrictions for the business in executing its development program. The weak points of The Man In The Mirror A Case Study Solution are given as follows;
• Despite of being a science and technology publishing firm, the business still has conventional methods ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It must propose specific expansion strategies to avoid its reliance over the Chinese markets to attain long term development.
Opportunities
The growth of the publishing market is decreasing given that 2008, affecting The Man In The Mirror A Case Study Solution as well, however the development could be restored by availing particular chances provided in the market. The marketplace chances for CMP consist of;
• The company might also introduce 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 minimize its reliance over Chinese markets by using its large funds.
Hazards
The altering macro patterns in the market and increasing competition in the publishing market has actually postured certain dangers to The Man In The Mirror A Case Study Help consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might lead to declining market share of The Man In The Mirror A Case Study Analysis due to the customer shift towards virtual libraries.
• The presence of large number of competitors in the publishing industry increase the risk for CMP to lose its competitive position in the market, as competitors can get a strong customer base by using certain strategies like aggressive promotion, quality items, etc.
• Entrance of brand-new publishing companies in the industry in addition to existence of high competitors increases the threat of losing the consumer base.
Financial Analysis.
Due to lack of data, the financial ratios of CMP might not be calculated. It could be analyzed from the Appendix III that the yearly overall earnings of The Man In The Mirror A Case Study Solution during the period 2000-2012 are growing at a high development rate, revealing that the yearly need of the items of CMP is growing and the business is quite effective in attracting a large number of consumers at a potential rate.
In addition to it, the second graph which shows the annual development in the The Man In The Mirror A Case Study Solution total assets, shows that the company is quite efficient in including value to its possessions through its incomes. The growth in possessions shows that the overall value of the firm is likewise increasing with increasing the overall earnings. (Unidentified, 2013).
Another monetary analysis of the company utilizing the given information could be the analysis concerning the circulation of overall revenues of the business. Huge part of the earnings of CMP comes from the sales of its released books i.e. 64% as shown in the Case Appendix V. The business could move towards other organisation sectors with a potential growth to attain its future development objective.
PESTEL Analysis
PESTEL analysis might be performed to learn the different external forces affecting the efficiency of the company and the current patterns in the external environment of the company. A brief PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a significant impact on the mindset of individuals about the communist ideology of the federal government, therefore, the publishing sector is extremely monitored and assisted by the Publicity Department of the Communist Party of China. It could be said that the overall political forces affecting CMP service are high. The government policies relating to the publishing sector are also increasing with the passage of time.
Cost-effective.
Financial forces affecting the publishing sector in basic and the The Man In The Mirror A Case Study Help in particular includesthe costs of paper, the income level of customers, the inflation rate, and the total GDP growth of the country. All these forces integrate impact the need for the publishing market. Along with it, the economic policies connected to the import of books impact the total company at CPM. However, China's economic conditions are quite beneficial for CMP with high GDP development and consumer income level.
Social and Demographical.
Social and demographical forces include the population development, the customer's choices towards reading helpful materials and so on. China has the greatest population in the world with a high population growth, revealing the increasing variety of consumers of the The Man In The Mirror A Case Study Help. However, the consumer preferences are shifting towards digital publishing rather than the standard was of publishing. In this regard, CMP ought to concentrate on digital publishing to fulfill the changing customer choices.
Technological.
Technological forces affecting the CMP consist of the technological advancement in the reading methods etc. Enhancement of science and innovation in addition to the rise of digital publishing might minimize the demand for the CMP products, if certain actions would not be taken soon.
Environmental.
Ecological forces affecting The Man In The Mirror A Case Study Help consists of the concerns of ecological neighborhoods over the usage of paper in publishing books. The paper utilized in the books while publishing is required to be non reusable and the ink utilized while publishing ought to not be harmful for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Ordinance 1997 needs the publishers to be authorized first by the Government to be entered in the publishing market.
Market Analysis (Porter's Five Forces Design).
Porter's Five Forces Model might be utilized to analyze the attractiveness of the publishing industry China. A quick analysis of the Porter's Five Forces is given as follows;.
Hazard of New Entrants.
Dangers of new entrants in the Chinese Publishing Market is moderate. The potential development in the market tends to attract brand-new entrants to the publishing industry. The existence of intense competition and the requirement of big capital tends to demotivate new entrants to go into in the market.
Threat of Substitution.
Hazard of Substitution is high for the Chinese Publishing Industry. The substitute items for the released files is the documents provided in the virtual libraries on specific sites. The changing customer choices towards digital learning increase the hazard of substitution for the industry.
Competitive Rivalry.
Competitive competition in the publishing industry is high. The presence of a great deal of consumers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive rivalry for CMP. In addition to it, new entrants are also participating in the marketplace increasing the competition for CMP.
Bargaining Power of Provider.
The significant suppliers of the The Man In The Mirror A Case Study Analysis consist of the suppliers of the paper for releasing documents. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the overall bargaining power of provider for CMP is low.
Bargaining Power of Buyer.
Bargaining power of purchaser in the publishing industry is high. Due to the presence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers needs high quality files at competitive costs.
Competitors Analysis.
CMP runs in an extremely competitive industry with the existence of large number of competitors. However, the company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of The Man In The Mirror A Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis among the close competitors of CMP. Established in the very same duration, CIP publishes similar kind of books. For a big time period, CIP held the biggest market share, and still ranks 2nd and third in different market segments, with a major concentrate on academic publications. CIP acts as a threat for CMP as it could wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the marketplace share of The Man In The Mirror A Case Study Solution quickly in the existing market circumstance.
Posts and telecommunication Press (PTP).
It was likewise founded in the same duration as The Man In The Mirror A Case Study Solution and CIP. It is also one of the prominent players in the publishing industry with an annual total revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Minimizing reliance over the Chinese markets.
• Increasing variety of Clients
• Growth opportunities.
• Avoiding the effect of market saturation in the Chinese publishing industry.
Cons
• Use of possible resources in growth.
• Risk of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to present using current abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased item portfolio offers high worth to consumers.
Cons
• Competition in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core service segments to the new one can lead the company to lose need of its products in the market.
Recommendations
With the deep analysis of the internal and external environment of the business along with the market analysis and the rival analysis, Alternative 2 is recommended to CMP to attain its future development. As the choices are moving towards digital publishing and the business require an immediate option to avoid the decreasing market growth. For that reason, introduction of digital publishing could show to be an immediate option with low amount of risk for the business. Nevertheless, the business could also consider the expansion program after the success of its digital publishing program.
Application
In order to introduce digital publishing in its item portfolio, the business needs to first collects the data related to the consumer demand, the prospective markets, the government regulations and the information related to the competitors presented in the market. If the initial offering shows a success, the company should go for the other markets. In this way the company would be able to implement its digital publishing program.
Conclusion
The development of the publishing market is declining because 2008, revealing a danger to the company's long term presence, however the circumstance can be controlled by considering a development strategy in the future. The business might consider introducing digital publishingin its existing market to execute its development program at immediate basis and to prevent the danger of failure for entryway in the brand-new markets.
