Thought Leader Interview Elliot Eisner 2 Case Study Solution and Analysis
Introduction
Thought Leader Interview Elliot Eisner 2 Case Study Help is the biggest publishing company with a highest market share in the China's book retail market. CMP has become a specialized info supplier and a large detailed Science and Innovation publishing business through the integration of print media, audio-visual media and the network media.
Vital Concerns
Although, Thought Leader Interview Elliot Eisner 2 Case Study Analysis has invested its 60 years journey efficiently, being a successful publishing home, however, the altering macro market patterns and forces bring certain obstacles to the publishing market in basic and CMP in specific. These factors include;
• Entrance of the new publishing companies in the industry.
• Decreasing development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and technology.
The improvement of the macro markets have raised a number of questions 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 abilities of the company could be used to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Thought Leader Interview Elliot Eisner 2 Case Study Analysis has certain strengths that can be made use of to minimize the hazards, overcome the weak point and avail the chances. Strengths of CMP are offered as follows;
• The long term experience of Thought Leader Interview Elliot Eisner 2 Case Study Solution in the publishing industry i.e. 60 years permits the business to supply high quality items at a lower cost utilizing its prior experiences.
• The technical resources and capabilities produced by its successful journey offer a competitive benefit to CMP.
• Large product portfolioof CMP assists it to diversify its risk and supply high worth to its clients.
• Strong financial position permits the company to think about several advancement opportunities without any worry of raising fund externally.
Weak points
Along with the strengths, the company has specific weaknesses which could increase restrictions for the company in executing its advancement program. The weak points of Thought Leader Interview Elliot Eisner 2 Case Study Help are provided as follows;
• Despite of being a science and innovation publishing firm, the company still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its development. It must propose specific growth plans to avoid its dependence over the Chinese markets to attain long term growth.
Opportunities
The growth of the publishing market is decreasing because 2008, affecting Thought Leader Interview Elliot Eisner 2 Case Study Help as well, however the growth could be revived by availing particular opportunities provided in the market. The market opportunities for CMP consist of;
• The business might also introduce Digital Publishing by utilizing its long term technical experience and a strong client recognition in the market.
• CMP could think about a development program through the growth towards foreign markets in order to lower its reliance over Chinese markets by using its huge financial resources.
Risks
The changing macro trends in the market and increasing competitors in the publishing market has postured certain risks to Thought Leader Interview Elliot Eisner 2 Case Study Analysis consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might cause decreasing market share of Thought Leader Interview Elliot Eisner 2 Case Study Solution due to the customer shift towards virtual libraries.
• The existence of a great deal of rivals in the publishing industry increase the danger for CMP to lose its competitive position in the market, as competitors can acquire a strong customer base by using specific strategies like aggressive promotion, quality products, and so on
• Entryway of new publishing companies in the market along with existence of high competition increases the threat of losing the customer base.
Monetary Analysis.
The company has a quite competitive financial efficiency. Due to absence of information, the monetary ratios of CMP could not be calculated. Nevertheless, the general monetary performance of the company could be analyzed by using the charts given up the case Appendices. It could be evaluated from the Appendix III that the annual overall incomes of CMP throughout the period 2000-2012 are growing at a high development rate, revealing that the annual need of the products of Thought Leader Interview Elliot Eisner 2 Case Study Analysis is growing and the business is quite effective in drawing in a large number of consumers at a potential rate.
In addition to it, the second chart which reveals the yearly growth in the Thought Leader Interview Elliot Eisner 2 Case Study Help total possessions, shows that the company is quite effective in including worth to its possessions through its profits. The growth in assets reveals that the overall worth of the firm is also increasing with increasing the total incomes. (Unknown, 2013).
Another monetary analysis of the company using the offered information might be the analysis relating to the circulation of total profits of the company. Major part of the revenues of CMP originates from the sales of its released books i.e. 64% as displayed in the Case Appendix V. The company might move towards other company sectors with a possible growth to achieve its future advancement objective.
PESTEL Analysis
PESTEL analysis might be conducted to learn the numerous external forces impacting the efficiency of the business and the recent trends in the external environment of the company. A quick PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a considerable impact on the state of mind of individuals about the communist ideology of the federal government, therefore, the publishing sector is extremely monitored and directed by the Publicity Department of the Communist Celebration of China. It might be stated that the overall political forces affecting CMP service are high. The federal government policies regarding the publishing sector are also increasing with the passage of time.
Economical.
Financial forces impacting the publishing sector in general and the Thought Leader Interview Elliot Eisner 2 Case Study Analysis in specific includesthe prices of paper, the earnings level of consumers, the inflation rate, and the general GDP growth of the nation. All these forces integrate impact the demand for the publishing market. Together with it, the economic policies associated with the import of books impact the total organisation at CPM. Nevertheless, China's financial conditions are quite favorable for CMP with high GDP development and customer earnings level.
Social and Demographical.
Social and demographical forces consist of the population growth, the customer's choices towards checking out helpful products and so on. China has the highest population in the world with a high population development, showing the increasing number of consumers of the Thought Leader Interview Elliot Eisner 2 Case Study Analysis. Nevertheless, the consumer choices are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP ought to focus on digital publishing to meet the changing customer preferences.
Technological.
Technological forces impacting the CMP consist of the technological advancement in the reading strategies and so on. Enhancement of science and innovation in addition to the rise of digital publishing might lower the need for the CMP products, if certain actions would not be taken soon.
Environmental.
Ecological forces affecting Thought Leader Interview Elliot Eisner 2 Case Study Analysis includes the issues of ecological neighborhoods over the usage of paper in publishing books. The paper used in the books while publishing is needed to be non reusable and the ink utilized while publishing ought to not be hazardous for the environment.
Legal.
Legal guidelines for the publishing sector at whole are high. The legal regulations relating to the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 needs the publishers to be authorized first by the Government to be entered in the publishing market. The regulation forbids direct participation of foreign entities and people in the publishing sector.
Industry Analysis (Porter's Five Forces Design).
Porter's Five Forces Design might be used to examine the beauty of the publishing market China. A brief analysis of the Porter's 5 Forces is given as follows;.
Risk of New Entrants.
Threats of new entrants in the Chinese Publishing Industry is moderate. The prospective development in the industry tends to attract brand-new entrants to the publishing industry. The existence of extreme competition and the requirement of big capital tends to demotivate new entrants to enter in the market.
Hazard of Alternative.
Risk of Alternative is high for the Chinese Publishing Market. The alternative items for the published files is the files presented in the digital libraries on specific sites. The changing consumer choices towards digital learning increase the threat of substitution for the industry.
Competitive Competition.
Competitive competition in the publishing industry is high. The presence of large number of customers in the Chinese Publishing Market like CIP, PTP and so on tends to produce high competitive rivalry for CMP. In addition to it, brand-new entrants are also participating in the marketplace increasing the competition for CMP.
Bargaining Power of Supplier.
The major suppliers of the Thought Leader Interview Elliot Eisner 2 Case Study Solution consist of the suppliers of the paper for releasing 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 industry 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 documents at competitive prices.
Rivals Analysis.
CMP runs in a highly competitive industry with the existence of large number of rivals. The company has a competitive position in the market with the highest market share in the Chinese publishing market. Significant rivals of Thought Leader Interview Elliot Eisner 2 Case Study Analysis consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis one of the close competitors of CMP. Founded in the very same duration, CIP releases comparable type of books. For a big time period, CIP held the largest market share, and still ranks 3rd and second in numerous market sectors, with a significant concentrate on academic publications. CIP serves as a risk 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 Thought Leader Interview Elliot Eisner 2 Case Study Solution quickly in the present market circumstance.
Posts and telecommunication Press (PTP).
It was likewise founded in the same period as Thought Leader Interview Elliot Eisner 2 Case Study Help and CIP. It is also one of the popular gamers in the publishing industry with an annual overall revenues of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Lowering dependence over the Chinese markets.
• Increasing number of Clients
• Development opportunities.
• Preventing the impact of market saturation in the Chinese publishing market.
Cons
• Use of prospective 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 danger of Failure.
• Low requirement for funds.
• Increased product portfolio provides high worth to consumers.
Cons
• Competitors in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core organisation sections to the new one can lead the business to lose demand of its items in the market.
Recommendations
With the deep analysis of the external and internal environment of the company together with the market analysis and the competitor analysis, Alternative 2 is advised to CMP to achieve its future development. As the preferences are shifting towards digital publishing and the business need an instant solution to prevent the declining industry development. Introduction of digital publishing could show to be an instant service with low quantity of danger for the business. The business could likewise consider the expansion program after the success of its digital publishing program.
Implementation
In order to introduce digital publishing in its item portfolio, the company should first collects the information related to the consumer demand, the possible markets, the federal government policies and the data related to the competitors provided in the market. If the preliminary offering shows a success, the company must go for the other markets. In this method the business would be able to implement its digital publishing program.
Conclusion
Although, the growth of the publishing industry is declining given that 2008, revealing a threat to the business's long term presence, but the situation can be controlled by considering an advancement strategy in the future. The company might think about presenting digital publishingin its existing market to implement its advancement program at instant basis and to prevent the danger of failure for entrance in the new markets.
