The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Solution and Analysis
Intro
The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis is the biggest publishing company with a greatest market share in the China's book retail market. CMP offers a number of services including; gathering info, processing details and communication services. Major business segments of the business consist of; books, periodicals, consultancy and distribution. The company has a vast item portfolio and its significant items consist of books, periodicals, online media, exhibitions, research reports etc. The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Help has actually become 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.
Crucial Problems
CMP has actually invested its 60 years journey smoothly, being a successful publishing home, nevertheless, the changing macro market patterns and forces bring particular challenges to the publishing industry in basic and The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis in particular. These aspects consist of;
• Entryway of the brand-new publishing firms in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
The change of the macro markets have raised numerous questions to the management at CPM that what could be the future of CMP in this circumstance? Do the long important experience, technical resources and the capabilities of the company could be used 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 Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis has particular strengths that can be utilized to lower the threats, conquer the weakness and get the chances. Strengths of CMP are given as follows;
• The long term experience of The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Help in the publishing market i.e. 60 years permits the company to offer high quality products at a lower expense using its prior experiences.
• The technical resources and capabilities created by its effective journey supply a competitive advantage to CMP.
• Vast product portfolioof CMP helps it to diversify its risk and provide high value to its customers.
• Strong financial position enables the company to consider a number of advancement opportunities without any worry of raising fund externally.
Weaknesses
Along with the strengths, the business has particular weaknesses which might increase constraints for the company in executing its development program. The weaknesses of The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis are given as follows;
• Despite of being a science and technology publishing company, the business still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its development. It needs to propose specific growth plans to prevent its reliance over the Chinese markets to attain long term growth.
Opportunities
Although, the growth of the publishing market is declining considering that 2008, affecting The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis as well, but the growth could be revived by availing specific chances presented in the market. The marketplace chances for CMP include;
• The business might likewise introduce Digital Publishing by utilizing its long term technical experience and a strong client acknowledgment in the market.
• CMP might consider an advancement program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its vast funds.
Threats
The changing macro trends in the market and increasing competition in the publishing industry has postured specific hazards to The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Solution including;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries might result in decreasing market share of The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Help due to the consumer shift towards digital libraries.
• The presence of large number of competitors in the publishing market increase the danger for CMP to lose its competitive position in the market, as competitors can get a strong consumer base by utilizing specific methods like aggressive promotion, quality items, and so on
• Entryway of new publishing companies in the industry together with existence of high competitors increases the threat of losing the client base.
Monetary Analysis.
Due to absence of information, the financial ratios of CMP could not be computed. It could be evaluated from the Appendix III that the yearly overall revenues of The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis throughout the duration 2000-2012 are growing at a high growth rate, revealing that the annual need of the items of CMP is growing and the business is quite efficient in drawing in a big number of consumers at a potential rate.
Along with it, the second chart which reveals the annual growth in the The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis total possessions, shows that the business is rather efficient in adding value to its properties through its revenues. The growth in possessions shows that the total worth of the company is likewise increasing with increasing the overall profits. (Unidentified, 2013).
Another financial analysis of the business utilizing the given information could be the analysis relating to the distribution of overall earnings of the business. Major 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 business might move towards other service sectors with a potential development to achieve its future advancement goal.
PESTEL Analysis
PESTEL analysis could be carried out to discover the numerous external forces affecting the efficiency of the company and the current trends in the external environment of the business. A quick PESTEL analysis of the company is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector might have a considerable effect on the state of mind of the people about the communist ideology of the government, therefore, the publishing sector is extremely supervised and directed by the Promotion Department of the Communist Celebration of China. For that reason, it could be stated that the overall political forces impacting The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Solution organisation are high. The government policies regarding the publishing sector are likewise increasing with the passage of time.
Cost-effective.
Financial forces affecting the publishing sector in basic and the The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Help in specific includesthe prices of paper, the income level of customers, the inflation rate, and the overall GDP growth of the country. All these forces integrate impact the demand for the publishing market. Along with it, the economic policies related to the import of books affect the general service at CPM. China's financial conditions are rather favorable for CMP with high GDP development and customer earnings level.
Social and Demographical.
The consumer preferences are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP must focus on digital publishing to meet the altering customer choices.
Technological.
Technological forces affecting the CMP include the technological improvement in the reading strategies and so on. Improvement of science and technology in addition to the rise of digital publishing could decrease the need for the CMP products, if particular actions would not be taken quickly.
Environmental.
Environmental forces impacting The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Solution consists of the concerns of ecological neighborhoods over the use of paper in publishing books. The paper utilized in the books while publishing is needed to be non reusable and the ink used 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 first by the Government to be entered in the publishing market.
Market Analysis (Porter's Five Forces Design).
Porter's 5 Forces Model might be used to examine the attractiveness of the publishing market China. A brief analysis of the Porter's 5 Forces is offered as follows;.
Risk of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The possible development in the industry tends to attract brand-new entrants to the publishing market. However, the presence of intense competition and the requirement of huge capital tends to demotivate brand-new entrants to go into in the market.
Threat of Replacement.
Risk of Alternative is high for the Chinese Publishing Market. The substitute products for the published files is the files presented in the digital libraries on specific sites. The changing customer choices towards digital learning increase the danger of substitution for the market.
Competitive Rivalry.
Competitive competition in the publishing market is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. In addition to it, new entrants are also participating in the marketplace increasing the competitors for CMP.
Bargaining Power of Supplier.
The major suppliers of the The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Analysis consist of the suppliers of the paper for publishing documents. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the total bargaining power of supplier for CMP is low.
Bargaining Power of Buyer.
Negotiating power of purchaser in the publishing market is high. Due to the existence of a a great deal of publishers in the Chinese market and the marketplace saturation, the purchasers requires high quality files at competitive costs.
Competitors Analysis.
CMP operates in a highly competitive industry with the presence of large number of competitors. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Solution consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market 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 might wean the market share of CMP easily in the existing market scenario.
Posts and telecommunication Press (PTP).
It was likewise founded in the same duration as The Wowprime Corp The Owner Of Multiple Restaurant Brands In Taiwan Case Study Help and CIP. It is also one of the prominent gamers in the publishing market 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 chances.
• Preventing the impact of market saturation in the Chinese publishing industry.
Cons
• Use of prospective 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 introduce using present abilities.
• 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 focus on the digital publishing.
• Shift of focus from the core business sectors to the brand-new one can lead the company to lose need of its items in the market.
Suggestions
As the choices are moving towards digital publishing and the business require an immediate service to prevent the declining market growth. The business could likewise consider the growth program after the success of its digital publishing program.
Application
In order to present digital publishing in its item portfolio, the business needs to initially collects the information related to the customer demand, the possible markets, the federal government guidelines and the information related to the competitors presented in the market. If the preliminary offering shows a success, the company should go for the other markets. In this method the company would be able to implement its digital publishing program.
Conclusion
The growth of the publishing market is decreasing considering that 2008, showing a threat to the company's long term presence, however the situation can be managed by thinking about an advancement strategy in the future. The business could think about introducing digital publishingin its existing market to implement its advancement program at instant basis and to prevent the risk of failure for entryway in the new markets.
