The Product Manager 2 Case Study Solution and Analysis
Introduction
The Product Manager 2 Case Study Analysis is the largest publishing business with a highest market share in the China's book retail market. CMP supplies a variety of services consisting of; collecting information, processing info and interaction services. Major organisation sectors of the company include; books, regulars, consultancy and distribution. The business has a vast item portfolio and its major items include books, periodicals, online media, exhibits, research reports and so on. The Product Manager 2 Case Study Solution has actually ended up being a specialized information provider and a big extensive Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
Vital Issues
CMP has spent its 60 years journey smoothly, being an effective publishing house, nevertheless, the changing macro market trends and forces bring certain challenges to the publishing industry in general and The Product Manager 2 Case Study Help in particular. These factors consist of;
• Entrance of the new publishing firms in the industry.
• Declining development of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Improvement of science and technology.
The transformation 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 made use of 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 Product Manager 2 Case Study Help has certain strengths that can be utilized to decrease the hazards, conquer the weakness and obtain the opportunities. Strengths of CMP are given as follows;
• The long term experience of The Product Manager 2 Case Study Help in the publishing market i.e. 60 years permits the company to provide high quality items at a lower cost using its previous experiences.
• The technical resources and capabilities created by its effective journey supply a competitive benefit to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and provide high worth to its consumers.
• Strong monetary position allows the business to consider several advancement opportunities without any fear of raising fund externally.
Weaknesses
Along with the strengths, the company has particular weak points which might increase constraints for the business in executing its advancement program. The weak points of The Product Manager 2 Case Study Analysis are provided as follows;
• Despite of being a science and innovation 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 particular expansion strategies to prevent its reliance over the Chinese markets to achieve long term growth.
Opportunities
The development of the publishing industry is declining because 2008, impacting The Product Manager 2 Case Study Solution as well, however the development could be revived by availing particular opportunities provided in the market. The marketplace chances for CMP include;
• The company could likewise introduce Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP could consider a development program through the growth towards foreign markets in order to decrease its reliance over Chinese markets by utilizing its large financial resources.
Threats
The altering macro patterns in the market and increasing competitors in the publishing market has actually positioned particular threats to The Product Manager 2 Case Study Solution including;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries could cause declining market share of The Product Manager 2 Case Study Solution due to the customer shift towards virtual libraries.
• The presence of large number of rivals in the publishing market increase the threat for CMP to lose its competitive position in the market, as competitors can get a strong consumer base by using particular strategies like aggressive promotion, quality items, and so on
• Entrance of new publishing firms in the industry along with presence of high competition increases the danger of losing the consumer base.
Financial Analysis.
Due to lack of information, the monetary ratios of CMP might not be determined. It might be evaluated from the Appendix III that the annual total earnings of The Product Manager 2 Case Study Analysis during the duration 2000-2012 are growing at a high development rate, showing that the yearly need of the items of CMP is growing and the company is quite efficient in attracting a big number of consumers at a potential cost.
In addition to it, the 2nd graph which shows the annual growth in the The Product Manager 2 Case Study Solution overall properties, reveals that the company is quite effective in adding worth to its properties through its earnings. The growth in possessions reveals that the overall value of the firm is likewise increasing with increasing the total profits. (Unknown, 2013).
Another financial analysis of the business using the offered data could be the analysis relating to the distribution of overall earnings of the business. Huge part of the earnings of CMP originates from the sales of its released books i.e. 64% as shown in the Case Appendix V. The company might move towards other organisation segments with a possible development to achieve its future advancement objective.
PESTEL Analysis
PESTEL analysis might be carried out to discover the different external forces affecting the efficiency of the company and the recent patterns in the external environment of the business. A brief PESTEL analysis of the business is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a substantial effect on the frame of mind of individuals about the communist ideology of the government, for that reason, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Party of China. It could be said that the total political forces impacting CMP company are high. The government policies relating to the publishing sector are also increasing with the passage of time.
Cost-effective.
Financial forces impacting the publishing sector in general and the CMP in specific includesthe prices of paper, the earnings level of customers, the inflation rate, and the total GDP development of the nation. All these forces combine impact the demand for the publishing market.
Social and Demographical.
The customer choices are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP should focus on digital publishing to satisfy the changing consumer choices.
Technological.
Technological forces affecting the CMP consist of the technological development in the reading methods etc. Enhancement of science and innovation in addition to the rise of digital publishing could decrease the need for the CMP items, if specific actions would not be taken soon.
Environmental.
Ecological forces impacting The Product Manager 2 Case Study Analysis 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 damaging for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Regulation 1997 needs the publishers to be approved initially by the Government to be entered in the publishing market.
Industry Analysis (Porter's 5 Forces Design).
Porter's 5 Forces Model might be used to evaluate the appearance of the publishing industry China. A brief analysis of the Porter's 5 Forces is given as follows;.
Threat of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Market is moderate. The prospective growth in the market tends to attract brand-new entrants to the publishing market. The existence of intense competition and the requirement of huge capital tends to demotivate brand-new entrants to enter in the market.
Risk of Replacement.
Risk of Replacement is high for the Chinese Publishing Market. The substitute items for the published files is the files provided in the virtual libraries on particular websites. The altering consumer choices towards digital learning increase the risk of alternative for the market.
Competitive Rivalry.
Competitive competition in the publishing industry 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 rivalry for CMP. Along with it, brand-new entrants are likewise entering into the market increasing the competition for CMP.
Bargaining Power of Provider.
The major suppliers of the The Product Manager 2 Case Study Solution include the providers of the paper for releasing files. 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.
Bargaining power of purchaser in the publishing market is high. Due to the existence of a large number of publishers in the Chinese market and the marketplace saturation, the buyers needs high quality files at competitive rates.
Competitors Analysis.
CMP runs in a highly competitive market with the presence of large number of competitors. Nevertheless, the business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of The Product Manager 2 Case Study Solution consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a threat for CMP as it could 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 circumstance.
Posts and telecommunication Press (PTP).
It was likewise established in the very same period as The Product Manager 2 Case Study Solution and CIP. It is likewise one of the popular players in the publishing market with a yearly total revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Minimizing reliance over the Chinese markets.
• Increasing variety of Consumers
• Development chances.
• Preventing the effect of market saturation in the Chinese publishing industry.
Cons
• Usage of possible resources in growth.
• Risk of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining consumer base.
• Approaching new markets.
• Easy to introduce using present abilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio offers 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 sections to the new one can lead the company to lose demand of its products in the market.
Suggestions
As the preferences are moving towards digital publishing and the business require an immediate option to prevent the declining industry development. The business might likewise consider the expansion program after the success of its digital publishing program.
Implementation
In order to present digital publishing in its product portfolio, the company should first collects the information related to the consumer demand, the possible markets, the government guidelines and the data associated with the competitors provided in the market. After that, the company ought to choose one prospective segment for its initial offering. It must gather research that how it might separate its digital publishing from the existing competitors' items. After all the steps above the business must go for the preliminary offering. If the initial offering shows a success, the company should opt for the other markets. In this method the business would be able to implement its digital publishing program.
Conclusion
Although, the development of the publishing industry is decreasing because 2008, showing a risk to the business's long term presence, however the circumstance can be controlled by thinking about an advancement strategy in the future. The business might think about introducing digital publishingin its existing market to execute its development program at instant basis and to prevent the risk of failure for entrance in the new markets.
