The Patent War Apple Vs Samsung Case Study Solution and Analysis
Intro
The Patent War Apple Vs Samsung Case Study Help is the largest publishing business with a highest market share in the China's book retail market. CMP has actually become a specialized info service provider and a large thorough Science and Innovation publishing company through the integration of print media, audio-visual media and the network media.
Vital Concerns
Although, The Patent War Apple Vs Samsung Case Study Analysis has actually spent its 60 years journey smoothly, being a successful publishing house, however, the changing macro market patterns and forces bring certain obstacles to the publishing industry in basic and CMP in specific. These aspects include;
• Entryway of the new publishing firms in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and technology.
The improvement 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 important experience, technical resources and the capabilities of the company could be used to pursue the future advancement unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
The Patent War Apple Vs Samsung Case Study Analysis has certain strengths that can be utilized to decrease the dangers, get rid of the weak point and avail the chances. Strengths of CMP are offered as follows;
• The long term experience of The Patent War Apple Vs Samsung Case Study Analysis in the publishing industry i.e. 60 years enables the company to offer high quality items at a lower cost utilizing its previous experiences.
• The technical resources and abilities generated by its successful journey provide a competitive advantage to CMP.
• Large item portfolioof CMP helps it to diversify its threat and offer high worth to its consumers.
• Strong financial position enables the business to consider several development chances without any fear of raising fund externally.
Weak points
Together with the strengths, the company has certain weak points which could increase restrictions for the business in executing its advancement program. The weaknesses of The Patent War Apple Vs Samsung Case Study Solution are offered as follows;
• Despite of being a science and technology publishing company, the company still has standard methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It needs to propose particular expansion strategies to avoid its dependence over the Chinese markets to achieve long term development.
Opportunities
Although, the development of the publishing industry is decreasing since 2008, impacting The Patent War Apple Vs Samsung Case Study Analysis as well, but the development could be restored by availing certain chances presented in the market. The marketplace chances for CMP consist of;
• The company might likewise present Digital Publishing by utilizing its long term technical experience and a strong consumer acknowledgment in the market.
• CMP might consider a development program through the growth towards foreign markets in order to lower its dependence over Chinese markets by utilizing its huge funds.
Threats
The altering macro trends in the market and increasing competition in the publishing market has presented particular risks to The Patent War Apple Vs Samsung Case Study Analysis consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries might lead to declining market share of The Patent War Apple Vs Samsung Case Study Analysis due to the customer shift towards virtual libraries.
• The existence of a great deal of rivals in the publishing market increase the threat for CMP to lose its competitive position in the market, as rivals can get a strong consumer base by using particular methods like aggressive promo, quality items, etc.
• Entryway of brand-new publishing firms in the market in addition to presence of high competitors increases the risk of losing the customer base.
Financial Analysis.
The company has a rather competitive monetary efficiency. Due to absence of data, the financial ratios of CMP could not be computed. Nevertheless, the overall monetary efficiency of the business might be evaluated by using the charts given in the case Appendices. It could be examined from the Appendix III that the annual total revenues of CMP throughout the duration 2000-2012 are growing at a high growth rate, revealing that the yearly need of the items of The Patent War Apple Vs Samsung Case Study Analysis is growing and the company is rather effective in bring in a large number of consumers at a potential cost.
Together with it, the second chart which reveals the yearly growth in the The Patent War Apple Vs Samsung Case Study Help overall properties, reveals that the business is quite effective in adding worth to its properties through its profits. The development in assets shows that the overall value of the firm is also increasing with increasing the overall revenues. (Unidentified, 2013).
Another financial analysis of the company using the given data might be the analysis regarding the distribution of total revenues of the business. Huge part of the revenues of CMP comes from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The business might move towards other service segments with a possible development to achieve its future development objective.
PESTEL Analysis
PESTEL analysis might be conducted to find out the different external forces impacting the efficiency of the company and the recent trends in the external environment of the company. A brief PESTEL analysis of the company is given as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant effect on the mindset of individuals about the communist ideology of the government, for that reason, the publishing sector is highly monitored and guided by the Promotion Department of the Communist Celebration of China. Therefore, it might be said that the total political forces affecting The Patent War Apple Vs Samsung Case Study Help organisation are high. The federal government policies regarding the publishing sector are also increasing with the passage of time.
Cost-effective.
Economic forces impacting the publishing sector in general and the CMP in particular includesthe prices of paper, the earnings level of customers, the inflation rate, and the total GDP development of the country. All these forces integrate effect the demand for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the standard was of publishing. In this regard, CMP needs to focus on digital publishing to satisfy the changing consumer preferences.
Technological.
Technological forces impacting the CMP consist of the technological improvement in the reading techniques and so on. Enhancement of science and innovation together with the increase of digital publishing could reduce the demand for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces affecting The Patent War Apple Vs Samsung Case Study Solution consists of the issues of ecological communities over the usage of paper in publishing books. The paper utilized in the books while publishing is required to be disposable and the ink used while publishing must not be hazardous 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 gone into in the publishing market.
Industry Analysis (Porter's 5 Forces Design).
Porter's 5 Forces Model could be utilized to analyze the attractiveness of the publishing market China. A quick analysis of the Porter's Five Forces is offered as follows;.
Danger of New Entrants.
Hazards of new entrants in the Chinese Publishing Market is moderate. The potential growth in the industry tends to bring in brand-new entrants to the publishing market. However, the existence of extreme competitors and the requirement of huge capital tends to demotivate new entrants to enter in the marketplace.
Threat of Substitution.
Risk of Substitution is high for the Chinese Publishing Market. The substitute products for the published documents 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 market.
Competitive Competition.
Competitive competition in the publishing market is high. The existence of large number of customers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive competition for CMP. Along with it, new entrants are also entering into the marketplace increasing the competitors for CMP.
Bargaining Power of Provider.
The significant suppliers of the The Patent War Apple Vs Samsung Case Study Help consist of the providers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the general bargaining power of supplier 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 buyers needs high quality files at competitive rates.
Rivals Analysis.
CMP operates in an extremely competitive industry with the presence of a great deal of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Significant competitors of The Patent War Apple Vs Samsung Case Study Help include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis one of the close rivals of CMP. Founded in the very same duration, CIP publishes similar kind of books. For a large time period, CIP held the largest market share, and still ranks second and 3rd in numerous market sections, with a significant focus on educational publications. CIP functions as a risk for CMP as it might wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the market share of The Patent War Apple Vs Samsung Case Study Analysis easily in the existing market circumstance.
Posts and telecommunication Press (PTP).
It was likewise established in the very same duration as The Patent War Apple Vs Samsung Case Study Solution and CIP. It is likewise one of the prominent gamers in the publishing industry with an annual overall incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Reducing dependence over the Chinese markets.
• Increasing number of Customers
• Growth chances.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Usage of possible resources in expansion.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to introduce using current capabilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased item portfolio provides high value to customers.
Cons
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core company segments to the new one can lead the business to lose demand of its items in the market.
Suggestions
With the deep analysis of the internal and external environment of the business in addition to the industry analysis and the competitor analysis, Alternative 2 is advised to CMP to accomplish its future development. As the choices are shifting towards digital publishing and the business require an instant option to avoid the decreasing market development. Introduction of digital publishing might prove to be an instant service with low quantity of threat for the company. The business might also consider the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its item portfolio, the business ought to initially collects the information connected to the consumer need, the potential markets, the federal government regulations and the data connected to the rivals provided in the market. After that, the business must choose one potential sector for its initial offering. It needs to collect research that how it could distinguish its digital publishing from the existing competitors' items. After all the actions above the business must choose the preliminary offering. If the initial offering shows a success, the company should opt for the other markets. In this way the business would be able to implement its digital publishing program.
Conclusion
Although, the development of the publishing industry is decreasing since 2008, revealing a hazard to the business's long term presence, but the circumstance can be managed by considering an advancement 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 risk of failure for entrance in the brand-new markets.
