Thought Leader Interview President Jimmy Carter 2 Case Study Solution and Analysis
Introduction
Thought Leader Interview President Jimmy Carter 2 Case Study Solution is the biggest publishing business with a highest market share in the China's book retail market. CMP has actually ended up being a specialized details service provider and a large extensive Science and Innovation publishing business through the integration of print media, audio-visual media and the network media.
Critical Concerns
Although, Thought Leader Interview President Jimmy Carter 2 Case Study Solution has actually invested its 60 years journey smoothly, being a successful publishing house, nevertheless, the altering macro market trends and forces bring certain challenges to the publishing market in general and CMP in specific. These factors consist of;
• Entryway of the new publishing companies in the industry.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing strategies
• Enhancement of science and innovation.
The improvement of the macro markets have raised several questions 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 company sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
Thought Leader Interview President Jimmy Carter 2 Case Study Solution has specific strengths that can be made use of to minimize the dangers, conquer the weak point and get the opportunities. Strengths of CMP are provided as follows;
• The long term experience of Thought Leader Interview President Jimmy Carter 2 Case Study Solution in the publishing industry i.e. 60 years allows the business to offer high quality items at a lower expense using its prior experiences.
• The technical resources and capabilities generated by its effective journey offer a competitive benefit to CMP.
• Large product portfolioof CMP assists it to diversify its danger and provide high value to its customers.
• Strong monetary position permits the company to consider several advancement chances with no fear of raising fund externally.
Weaknesses
Together with the strengths, the business has particular weak points which might increase restrictions for the business in implementing its development program. The weaknesses of Thought Leader Interview President Jimmy Carter 2 Case Study Help are given as follows;
• Despite of being a science and technology publishing company, the company still has traditional ways ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It must propose certain expansion plans to prevent its reliance over the Chinese markets to achieve long term development.
Opportunities
The development of the publishing market is decreasing since 2008, impacting Thought Leader Interview President Jimmy Carter 2 Case Study Analysis as well, however the growth might be revived by availing particular opportunities presented in the market. The market opportunities for CMP consist of;
• The company could also present Digital Publishing by using its long term technical experience and a strong client acknowledgment in the market.
• CMP might consider a development program through the expansion towards foreign markets in order to reduce its dependence over Chinese markets by utilizing its huge financial resources.
Dangers
The altering macro trends in the market and increasing competition in the publishing industry has posed specific threats to Thought Leader Interview President Jimmy Carter 2 Case Study Solution consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might result in decreasing market share of Thought Leader Interview President Jimmy Carter 2 Case Study Solution due to the consumer shift towards virtual libraries.
• The presence of a great deal of competitors in the publishing industry increase the threat for CMP to lose its competitive position in the market, as competitors can get a strong customer base by utilizing particular strategies like aggressive promotion, quality products, etc.
• Entrance of new publishing firms in the market in addition to existence of high competitors increases the threat of losing the customer base.
Financial Analysis.
Due to absence of data, the monetary ratios of CMP might not be calculated. It could be examined from the Appendix III that the yearly total profits of Thought Leader Interview President Jimmy Carter 2 Case Study Help throughout the period 2000-2012 are growing at a high growth rate, showing that the yearly need of the products of CMP is growing and the company is quite efficient in drawing in a big number of customers at a possible cost.
Together with it, the 2nd chart which shows the annual growth in the Thought Leader Interview President Jimmy Carter 2 Case Study Help overall possessions, reveals that the business is rather efficient in including value to its assets through its revenues. The growth in possessions shows that the overall worth of the firm is also increasing with increasing the total earnings. (Unknown, 2013).
Another financial analysis of the business using the offered information might be the analysis concerning the distribution of overall incomes of the company. Huge 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 could move towards other company sectors with a prospective development to accomplish its future advancement objective.
PESTEL Analysis
PESTEL analysis could be carried out to find out the various external forces impacting the performance of the company and the current trends in the external environment of the business. A short PESTEL analysis of the company is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a substantial influence on the state of mind of individuals about the communist ideology of the government, for that reason, the publishing sector is highly supervised and directed by the Promotion Department of the Communist Celebration of China. It might be stated that the total political forces affecting CMP organisation are high. The government policies concerning the publishing sector are also increasing with the passage of time.
Economical.
Financial forces affecting the publishing sector in basic and the CMP in specific includesthe prices of paper, the income level of customers, the inflation rate, and the overall GDP growth of the nation. All these forces combine effect the need for the publishing market.
Social and Demographical.
The consumer choices are shifting towards digital publishing rather than the conventional was of publishing. In this regard, CMP needs to focus on digital publishing to fulfill the altering customer preferences.
Technological.
Technological forces impacting the CMP consist of the technological advancement in the reading techniques etc. Enhancement of science and innovation in addition to the rise of digital publishing could lower the demand for the CMP products, if particular actions would not be taken soon.
Environmental.
Environmental forces impacting Thought Leader Interview President Jimmy Carter 2 Case Study Solution consists of the concerns of ecological communities over the use of paper in publishing books. The paper utilized in the books while publishing is required to be disposable and the ink used while publishing ought to not be harmful for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. The legal guidelines regarding the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 needs the publishers to be approved initially by the Federal government to be entered in the publishing market. The regulation forbids direct participation of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's 5 Forces Design).
Porter's 5 Forces Model might be utilized to examine the beauty of the publishing market China. A short analysis of the Porter's Five Forces is given as follows;.
Risk of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The prospective growth in the industry tends to attract new entrants to the publishing industry. The existence of intense competitors and the requirement of substantial capital tends to demotivate brand-new entrants to go into in the market.
Danger of Replacement.
Risk of Replacement is high for the Chinese Publishing Industry. The substitute items for the published documents is the documents presented in the digital libraries on specific websites. The altering consumer preferences towards digital knowing increase the threat of replacement for the market.
Competitive Competition.
Competitive competition in the publishing industry 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 competition for CMP. In addition to it, new entrants are likewise participating in the market increasing the competitors for CMP.
Bargaining Power of Provider.
The significant providers of the Thought Leader Interview President Jimmy Carter 2 Case Study Analysis consist of the suppliers of the paper for publishing files. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the general bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of purchaser in the publishing industry is high. Due to the presence of a a great deal of publishers in the Chinese market and the market saturation, the buyers needs high quality files at competitive prices.
Rivals Analysis.
CMP runs in a highly competitive industry with the existence of large number of competitors. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major competitors of Thought Leader Interview President Jimmy Carter 2 Case Study Help consist of;.
• Chemical Market Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a danger 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 quickly in the current market circumstance.
Posts and telecommunication Press (PTP).
Another close rival of CMP is PTP. It was likewise founded in the very same duration as CMP and CIP. It ranks 6th in the state-owned publishers in terms of business scale. It is also one of the popular players in the publishing industry with a yearly total incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Expand towards New Markets
Pros
• Decreasing dependence over the Chinese markets.
• Increasing variety of Clients
• Growth chances.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in growth.
• Threat of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce using existing abilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio provides high value to customers.
Cons
• Competition 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 company to lose need of its products in the market.
Recommendations
As the preferences are moving towards digital publishing and the company need an immediate service to avoid the declining market development. The business could likewise think about the expansion program after the success of its digital publishing program.
Application
In order to introduce digital publishing in its item portfolio, the company needs to first gathers the data related to the consumer need, the prospective markets, the federal government regulations and the information related to the competitors provided in the market. If the preliminary offering shows a success, the business needs to go for the other markets. In this way the business would be able to execute its digital publishing program.
Conclusion
Although, the development of the publishing market is decreasing considering that 2008, revealing a hazard to the business's long term existence, however the situation can be managed by considering an advancement plan in the future. The business might think about introducing digital publishingin its existing market to implement its advancement program at immediate basis and to avoid the risk of failure for entryway in the new markets.
