The Tata Nano The Peoples Car B 2 Case Study Solution and Analysis
Introduction
The Tata Nano The Peoples Car B 2 Case Study Analysis is the biggest publishing company with a greatest market share in the China's book retail market. CMP provides a number of services including; gathering details, processing info and communication services. Significant business sectors of the business consist of; books, periodicals, consultancy and circulation. The company has a large product portfolio and its major items consist of books, periodicals, online media, exhibitions, research reports etc. The Tata Nano The Peoples Car B 2 Case Study Help has actually become a specialized info service provider and a big comprehensive Science and Innovation publishing company through the combination of print media, audio-visual media and the network media.
Critical Issues
CMP has actually invested its 60 years journey smoothly, being a successful publishing house, nevertheless, the changing macro market trends and forces bring specific obstacles to the publishing market in basic and The Tata Nano The Peoples Car B 2 Case Study Help in particular. These aspects include;
• Entrance of the new publishing firms in the market.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Improvement 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 circumstance? Do the long valuable experience, technical resources and the capabilities of the company could be utilized to pursue the future development unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
The Tata Nano The Peoples Car B 2 Case Study Analysis has particular strengths that can be made use of to lower the threats, get rid of the weak point and obtain the chances. Strengths of CMP are offered as follows;
• The long term experience of The Tata Nano The Peoples Car B 2 Case Study Help in the publishing market i.e. 60 years permits the business to offer high quality products at a lower cost utilizing its prior experiences.
• The technical resources and capabilities generated by its effective journey provide a competitive benefit to CMP.
• Vast product portfolioof CMP assists it to diversify its risk and supply high value to its clients.
• Strong financial position permits the business to think about numerous advancement opportunities without any worry of raising fund externally.
Weaknesses
Along with the strengths, the company has specific weak points which might increase restrictions for the business in executing its advancement program. The weaknesses of The Tata Nano The Peoples Car B 2 Case Study Solution are provided as follows;
• Despite of being a science and technology publishing company, the business still has standard methods ofpublishing which are not suitable with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It should propose specific expansion plans to prevent its reliance over the Chinese markets to accomplish long term growth.
Opportunities
Although, the development of the publishing industry is declining considering that 2008, affecting The Tata Nano The Peoples Car B 2 Case Study Help also, but the growth could be restored by availing particular chances provided in the market. The market opportunities for CMP consist of;
• The business could likewise introduce Digital Publishing by using its long term technical experience and a strong consumer recognition in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to reduce its reliance over Chinese markets by utilizing its huge funds.
Risks
The altering macro trends in the market and increasing competition in the publishing market has posed particular hazards to The Tata Nano The Peoples Car B 2 Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might result in decreasing market share of The Tata Nano The Peoples Car B 2 Case Study Solution due to the customer shift towards digital libraries.
• The presence of large number of rivals in the publishing market increase the hazard for CMP to lose its competitive position in the market, as competitors can acquire a strong consumer base by utilizing certain methods like aggressive promo, quality products, etc.
• Entrance of new publishing firms in the industry along with existence of high competitors increases the threat of losing the consumer base.
Monetary Analysis.
Due to lack of information, the monetary ratios of CMP might not be computed. It could be evaluated from the Appendix III that the annual overall profits of The Tata Nano The Peoples Car B 2 Case Study Help during the period 2000-2012 are growing at a high development rate, revealing that the annual demand of the products of CMP is growing and the business is quite effective in drawing in a large number of clients at a potential rate.
Along with it, the second graph which reveals the annual development in the The Tata Nano The Peoples Car B 2 Case Study Analysis total possessions, reveals that the company is quite efficient in including worth to its assets through its profits. The growth in possessions reveals that the total worth of the company is also increasing with increasing the overall profits. (Unknown, 2013).
Another monetary analysis of the company using the offered information could be the analysis concerning the circulation of total revenues of the business. Major part of the profits of CMP originates from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The business could move towards other company sectors with a possible development to achieve its future development objective.
PESTEL Analysis
PESTEL analysis could be carried out to find out the numerous external forces impacting the performance of the business and the recent trends in the external environment of the business. A brief PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial effect on the frame of mind of the people about the communist ideology of the federal government, therefore, the publishing sector is extremely monitored and assisted by the Promotion Department of the Communist Celebration of China. For that reason, it might be said that the general political forces impacting The Tata Nano The Peoples Car B 2 Case Study Solution service are high. The federal government policies relating to the publishing sector are likewise increasing with the passage of time.
Economical.
Financial forces impacting the publishing sector in basic and the CMP in particular includesthe rates of paper, the earnings level of consumers, the inflation rate, and the total GDP growth of the country. All these forces integrate impact the need for the publishing market.
Social and Demographical.
The consumer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP must focus on digital publishing to satisfy the changing customer choices.
Technological.
Technological forces affecting the CMP consist of the technological development in the reading strategies and so on. Improvement of science and innovation together with the rise of digital publishing might reduce the need for the CMP items, if specific actions would not be taken quickly.
Environmental.
Environmental forces impacting The Tata Nano The Peoples Car B 2 Case Study Help includes the concerns of environmental communities over the use of paper in publishing books. The paper used in the books while publishing is needed to be disposable and the ink utilized while publishing ought to not be hazardous for the environment.
Legal.
Legal policies for the publishing sector at whole are high. Publishing Ordinance 1997 requires the publishers to be approved initially by the Federal government to be gone into in the publishing market.
Market Analysis (Porter's 5 Forces Model).
Porter's Five Forces Design might be utilized to evaluate the attractiveness of the publishing market China. A brief analysis of the Porter's Five Forces is given as follows;.
Danger of New Entrants.
Dangers of new entrants in the Chinese Publishing Market is moderate. The prospective development in the industry tends to bring in brand-new entrants to the publishing market. The existence of intense competitors and the requirement of substantial capital tends to demotivate new entrants to go into in the market.
Risk of Replacement.
Threat of Replacement is high for the Chinese Publishing Industry. The replacement items for the published documents is the files provided in the digital libraries on particular sites. The altering consumer choices towards digital knowing increase the risk of replacement for the industry.
Competitive Rivalry.
Competitive competition in the publishing market is high. The presence of large number of customers in the Chinese Publishing Industry like CIP, PTP and so on 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 major providers of the The Tata Nano The Peoples Car B 2 Case Study Help include the suppliers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, therefore the total bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Haggling power of purchaser 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 purchasers requires high quality documents at competitive prices.
Competitors Analysis.
CMP runs in an extremely competitive market with the presence 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 competitors of The Tata Nano The Peoples Car B 2 Case Study Analysis include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry 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 could wean the market share of CMP easily in the existing market scenario.
Posts and telecommunication Press (PTP).
It was also founded in the same period as The Tata Nano The Peoples Car B 2 Case Study Analysis and CIP. It is likewise one of the prominent players in the publishing market with a yearly overall earnings of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Decreasing dependence over the Chinese markets.
• Increasing number of Clients
• Growth chances.
• Avoiding the impact of market saturation in the Chinese publishing industry.
Cons
• Usage of potential resources in expansion.
• Threat of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to present using existing abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio offers high worth to consumers.
Cons
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core service sectors to the new one can lead the business to lose need of its products in the market.
Recommendations
With the deep analysis of the internal and external environment of the company along with the industry analysis and the competitor 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 instant solution to avoid the declining industry growth. Therefore, intro of digital publishing could prove to be an immediate solution with low quantity of risk for the business. The business could also think about the expansion program after the success of its digital publishing program.
Implementation
In order to present digital publishing in its item portfolio, the business must first collects the data related to the consumer need, the possible markets, the government guidelines and the information related to the rivals presented in the market. If the initial offering proves a success, the business needs to go for the other markets. In this method the business would be able to implement its digital publishing program.
Conclusion
The development of the publishing industry is decreasing since 2008, showing a threat to the business's long term existence, however the scenario can be controlled by considering an advancement plan 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 danger of failure for entrance in the new markets.
