The Ultimate Fighting Championship And Cultural Viability 2 Case Study Solution and Analysis
Introduction
The Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis is the largest publishing company with a highest market share in the China's book retail market. CMP offers a number of services including; gathering info, processing details and interaction services. Significant service sections of the company consist of; books, periodicals, consultancy and distribution. The company has a large item portfolio and its significant items include books, regulars, online media, exhibitions, research study reports and so on. The Ultimate Fighting Championship And Cultural Viability 2 Case Study Solution has ended up being a specialized info service provider and a large comprehensive Science and Technology publishing business through the combination of print media, audio-visual media and the network media.
Important Issues
Although, The Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis has spent its 60 years journey efficiently, being a successful publishing home, however, the changing macro market trends and forces bring particular obstacles to the publishing industry in general and CMP in specific. These elements include;
• Entrance of the new publishing firms in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing techniques
• Enhancement of science and technology.
The change of the macro markets have raised a number of concerns 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 abilities of the company could be utilized 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 Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis has specific strengths that can be used to lower the dangers, get rid of the weakness and get the chances. Strengths of CMP are provided as follows;
• The long term experience of The Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis in the publishing industry i.e. 60 years allows the business to supply high quality items at a lower expense utilizing its prior experiences.
• The technical resources and capabilities produced by its successful journey offer a competitive benefit to CMP.
• Large item portfolioof CMP assists it to diversify its danger and offer high worth to its consumers.
• Strong monetary position enables the company to consider a number of development opportunities without any fear of raising fund externally.
Weak points
In addition to the strengths, the business has specific weaknesses which could increase constraints for the business in implementing its advancement program. The weaknesses of The Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis are provided as follows;
• Despite of being a science and innovation publishing firm, the company still has standard methods ofpublishing which are not suitable with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It should propose particular expansion plans to avoid its reliance over the Chinese markets to attain long term growth.
Opportunities
The growth of the publishing market is decreasing given that 2008, affecting The Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis as well, however the development could be restored by availing certain chances provided in the market. The market chances for CMP include;
• The company could also present Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP might consider a development program through the expansion towards foreign markets in order to reduce its reliance over Chinese markets by utilizing its large funds.
Dangers
The changing macro patterns in the market and increasing competitors in the publishing industry has actually positioned certain hazards to The Ultimate Fighting Championship And Cultural Viability 2 Case Study Help including;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might result in declining market share of The Ultimate Fighting Championship And Cultural Viability 2 Case Study Solution due to the consumer shift towards digital libraries.
• The presence of large number of rivals in the publishing market increase the danger for CMP to lose its competitive position in the market, as rivals can get a strong customer base by using certain strategies like aggressive promotion, quality products, etc.
• Entryway of new publishing firms in the market in addition to existence of high competition increases the threat of losing the customer base.
Monetary Analysis.
The business has a rather competitive monetary efficiency. Due to lack of data, the monetary ratios of CMP might not be computed. The overall financial efficiency of the business might be analyzed by utilizing the graphs given in the case Appendices. It might be examined from the Appendix III that the annual total profits of CMP throughout the duration 2000-2012 are growing at a high development rate, showing that the yearly demand of the products of The Ultimate Fighting Championship And Cultural Viability 2 Case Study Solution is growing and the business is rather effective in drawing in a a great deal of consumers at a potential cost.
Along with it, the 2nd chart which reveals the annual development in the The Ultimate Fighting Championship And Cultural Viability 2 Case Study Help overall possessions, shows that the company is quite efficient in adding worth to its properties through its revenues. The development in properties reveals that the total worth of the firm is likewise increasing with increasing the overall revenues. (Unidentified, 2013).
Another financial analysis of the business utilizing the given information might be the analysis regarding the circulation of total profits of the company. Huge part of the profits of CMP comes from the sales of its published books i.e. 64% as shown in the Case Appendix V. The company might move towards other organisation sectors with a potential growth to attain its future advancement objective.
PESTEL Analysis
PESTEL analysis might be conducted to learn the numerous external forces affecting the efficiency of the business and the recent patterns in the external environment of the company. A brief PESTEL analysis of the company is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a significant influence on the state of mind of the people 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. For that reason, it might be said that the total political forces affecting The Ultimate Fighting Championship And Cultural Viability 2 Case Study Help company are high. The government policies concerning the publishing sector are also increasing with the passage of time.
Affordable.
Financial forces impacting the publishing sector in general and the CMP in specific includesthe costs of paper, the earnings level of customers, the inflation rate, and the general GDP development of the nation. All these forces integrate impact the need for the publishing market.
Social and Demographical.
Social and demographical forces include the population development, the consumer's choices towards checking out helpful products and so on. China has the highest population on the planet with a high population development, revealing the increasing number of consumers of the The Ultimate Fighting Championship And Cultural Viability 2 Case Study Analysis. The consumer choices are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP should focus on digital publishing to satisfy the changing consumer preferences.
Technological.
Technological forces affecting the CMP include the technological development in the reading techniques etc. Improvement of science and innovation along with the increase of digital publishing could minimize the need for the CMP items, if particular actions would not be taken soon.
Environmental.
Environmental forces impacting The Ultimate Fighting Championship And Cultural Viability 2 Case Study Help includes the issues of ecological neighborhoods over the usage of paper in publishing books. The paper utilized in the books while publishing is needed to be non reusable and the ink utilized while publishing should 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 authorized first by the Federal government to be entered in the publishing market.
Market Analysis (Porter's Five Forces Model).
Porter's 5 Forces Design might be used to evaluate the attractiveness of the publishing industry China. A quick analysis of the Porter's Five Forces is offered as follows;.
Danger of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The potential growth in the market tends to attract new entrants to the publishing industry. The presence of intense competitors and the requirement of substantial capital tends to demotivate new entrants to go into in the market.
Risk of Alternative.
Threat of Replacement is high for the Chinese Publishing Industry. The replacement items for the published documents is the files presented in the virtual libraries on specific sites. The altering customer choices towards digital knowing increase the threat of substitution for the industry.
Competitive Rivalry.
Competitive rivalry in the publishing market is high. The existence of a great deal of consumers in the Chinese Publishing Market like CIP, PTP etc. tends to produce high competitive rivalry for CMP. Along with it, brand-new entrants are also entering into the marketplace increasing the competition for CMP.
Bargaining Power of Provider.
The major providers of the The Ultimate Fighting Championship And Cultural Viability 2 Case Study Help consist of the providers of the paper for releasing files. As CMP is the largest publisher in the Chinese Publishing Market, therefore the overall bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Haggling power of buyer in the publishing market 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 documents at competitive costs.
Competitors Analysis.
CMP operates in an extremely competitive industry with the presence of large number of rivals. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of The Ultimate Fighting Championship And Cultural Viability 2 Case Study Solution include;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis among the close competitors of CMP. Established in the very same period, CIP publishes comparable kind of books. For a large period, CIP held the biggest market share, and still ranks third and 2nd in different market segments, with a significant concentrate on educational publications. 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 The Ultimate Fighting Championship And Cultural Viability 2 Case Study Help easily in the present market circumstance.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise founded in the exact same duration as CMP and CIP. It ranks 6th in the state-owned publishers in regards to company scale. It is likewise one of the popular players in the publishing industry with a yearly overall revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Lowering reliance over the Chinese markets.
• Increasing variety of Clients
• Growth opportunities.
• Preventing the effect of market saturation in the Chinese publishing industry.
Cons
• Use of possible resources in expansion.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to present utilizing current abilities.
• Low danger of Failure.
• Low requirement for funds.
• Increased product portfolio supplies high worth to customers.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core company sectors to the brand-new one can lead the business to lose demand of its products in the market.
Suggestions
As the choices are moving towards digital publishing and the business require an immediate solution to avoid the decreasing market development. The business might also consider the expansion program after the success of its digital publishing program.
Execution
In order to present digital publishing in its item portfolio, the company must initially collects the data related to the consumer need, the prospective markets, the government policies and the information associated with the rivals presented in the market. After that, the business needs to choose one potential sector for its preliminary offering. It needs to collect research study that how it could separate its digital publishing from the existing competitors' items. The steps above the business should go for the initial offering. If the initial offering proves a success, the company needs to choose the other markets. In this method the business would have the ability to implement its digital publishing program.
Conclusion
Although, the development of the publishing market is decreasing because 2008, revealing a threat to the business's long term existence, but the circumstance can be controlled by considering a development plan in the future. The business might think about presenting digital publishingin its existing market to execute its advancement program at immediate basis and to prevent the risk of failure for entrance in the new markets.
