Uber Technologies Case Study Solution and Analysis
Uber Technologies Case Study Analysis is the biggest publishing company with a greatest market share in the China's book retail market. CMP has become a specialized details company and a big detailed Science and Innovation publishing business through the combination of print media, audio-visual media and the network media.
CMP has spent its 60 years journey smoothly, being an effective publishing house, however, the changing macro market trends and forces bring particular challenges to the publishing industry in basic and Uber Technologies Case Study Analysis in specific. These elements include;
• Entryway of the new publishing companies in the market.
• Decreasing development of the publishing market.
• Market saturation.
• Intro of digital publishing strategies
• Enhancement of science and innovation.
The transformation 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 business could be used to strive for the future development unceasingly? How could the company sustain its long term competitive position in future?
Uber Technologies Case Study Analysis has certain strengths that can be made use of to decrease the threats, get rid of the weakness and get the chances. Strengths of CMP are provided as follows;
• The long term experience of Uber Technologies Case Study Analysis in the publishing industry i.e. 60 years permits the company to provide high quality products at a lower cost utilizing its prior experiences.
• The technical resources and abilities produced by its successful journey provide a competitive benefit to CMP.
• Vast product portfolioof CMP assists it to diversify its risk and provide high worth to its customers.
• Strong financial position allows the company to consider a number of advancement chances with no fear of raising fund externally.
In addition to the strengths, the company has particular weak points which might increase constraints for the business in implementing its advancement program. The weaknesses of Uber Technologies Case Study Help are given as follows;
• Despite of being a science and innovation publishing company, the company still has standard ways ofpublishing which are not compatible with the growing technological shift.
• CMP highly relies over the Chinese markets for its growth. It needs to propose certain expansion plans to avoid its dependence over the Chinese markets to accomplish long term development.
Although, the development of the publishing market is decreasing since 2008, affecting Uber Technologies Case Study Help as well, but the development could be restored by availing certain chances provided in the market. The market opportunities for CMP include;
• The business could likewise present Digital Publishing by using its long term technical experience and a strong client recognition in the market.
• CMP could consider an advancement program through the growth towards foreign markets in order to decrease its dependence over Chinese markets by using its huge funds.
The changing macro patterns in the market and increasing competitors in the publishing industry has presented particular risks to Uber Technologies Case Study Solution including;( Gurel, 2017).
• Intro of digital publishing i.e. virtual libraries might cause decreasing market share of Uber Technologies Case Study Help due to the customer shift towards digital libraries.
• The presence of large number of competitors in the publishing industry increase the danger for CMP to lose its competitive position in the market, as rivals can acquire a strong customer base by utilizing specific methods like aggressive promotion, quality products, and so on
• Entryway of brand-new publishing companies in the industry together with existence of high competitors increases the risk of losing the consumer base.
Due to lack of information, the financial ratios of CMP could not be computed. It might be evaluated from the Appendix III that the yearly total incomes of Uber Technologies Case Study Help throughout the duration 2000-2012 are growing at a high development rate, revealing that the yearly need of the products of CMP is growing and the company is quite effective in drawing in a large number of consumers at a potential price.
Along with it, the second chart which shows the yearly growth in the Uber Technologies Case Study Help overall possessions, reveals that the company is quite efficient in adding value to its possessions through its earnings. The growth in possessions shows that the total worth of the firm is also increasing with increasing the overall incomes. (Unknown, 2013).
Another monetary analysis of the business using the offered data might be the analysis relating to the circulation of overall revenues of the business. Huge part of the earnings of CMP comes from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The business might move towards other business sectors with a possible development to achieve its future advancement objective.
PESTEL analysis might be performed to find out the numerous external forces affecting the performance of the business and the recent patterns in the external environment of the company. A short PESTEL analysis of the company is given as follows; (Alanzi, 2018).
As the publishing sector could have a substantial influence on the frame of mind of individuals about the communist ideology of the government, for that reason, the publishing sector is extremely monitored and directed by the Promotion Department of the Communist Celebration of China. It could 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.
Financial forces affecting the publishing sector in basic and the CMP in particular includesthe costs of paper, the earnings level of customers, the inflation rate, and the total GDP growth of the nation. All these forces integrate impact the need for the publishing market.
Social and Demographical.
Social and demographical forces include the population growth, the consumer's choices towards reading informative products and so on. China has the highest population on the planet with a high population growth, showing the increasing number of consumers of the Uber Technologies Case Study Solution. However, the customer choices are moving towards digital publishing rather than the conventional was of publishing. In this regard, CMP needs to focus on digital publishing to fulfill the changing consumer preferences.
Technological forces impacting the CMP consist of the technological development in the reading methods etc. Improvement of science and innovation together with the rise of digital publishing might minimize the need for the CMP products, if particular actions would not be taken soon.
Ecological forces impacting Uber Technologies Case Study Analysis includes the concerns of ecological neighborhoods over the use 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 must not be hazardous for the environment.
Legal guidelines for the publishing sector at whole are high. The legal guidelines relating to the publishing sector is managed by the General Administration of Press and Publication. Publishing Ordinance 1997 requires the publishers to be approved initially by the Government to be entered in the publishing market. The ordinance prohibits direct participation of foreign entities and individuals in the publishing sector.
Market Analysis (Porter's 5 Forces Model).
Porter's Five Forces Model could be used to examine the attractiveness of the publishing market China. A brief analysis of the Porter's Five Forces is offered as follows;.
Threat of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The potential growth in the market tends to bring in new entrants to the publishing industry. Nevertheless, the existence of extreme competition and the requirement of huge capital tends to demotivate brand-new entrants to enter in the market.
Threat of Alternative.
Danger of Substitution is high for the Chinese Publishing Industry. The substitute items for the published files is the files presented in the virtual libraries on specific websites. The altering customer preferences towards digital learning increase the danger of alternative for the industry.
Competitive competition in the publishing industry is high. The existence of large number of customers in the Chinese Publishing Industry like CIP, PTP etc. tends to produce high competitive competition for CMP. In addition to it, brand-new entrants are likewise entering into the marketplace increasing the competitors for CMP.
Bargaining Power of Provider.
The significant suppliers of the Uber Technologies Case Study Help include the providers of the paper for releasing documents. As CMP is the biggest publisher in the Chinese Publishing Market, for that reason the general bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Bargaining 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 requires high quality files at competitive rates.
CMP operates in a highly competitive market with the presence of large number of rivals. The company has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of Uber Technologies Case Study Help include;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis among the close rivals of CMP. Founded in the exact same duration, CIP releases similar type of books. For a big period, CIP held the largest market share, and still ranks 3rd and 2nd in different market sectors, with a significant focus on academic publications. CIP functions as a threat 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 marketplace share of Uber Technologies Case Study Solution easily in the current market situation.
Posts and telecommunication Press (PTP).
It was likewise established in the same period as Uber Technologies Case Study Solution and CIP. It is also one of the popular gamers in the publishing market with an annual overall profits of RMB 550 million in 2010.
Alternative-1: Expand towards New Markets
• Decreasing dependence over the Chinese markets.
• Increasing variety of Customers
• Development opportunities.
• Avoiding the impact of market saturation in the Chinese publishing market.
• Usage of prospective resources in expansion.
• Danger of failure in brand-new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
• Sustaining customer base.
• Approaching brand-new markets.
• Easy to introduce utilizing current capabilities.
• Low threat of Failure.
• Low requirement for funds.
• Increased product portfolio offers high worth to consumers.
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core organisation sections to the new one can lead the business to lose need of its products in the market.
As the preferences are moving towards digital publishing and the business need an immediate solution to prevent the declining industry growth. The company could also consider the growth program after the success of its digital publishing program.
In order to introduce digital publishing in its product portfolio, the company must initially collects the information related to the customer demand, the possible markets, the federal government guidelines and the information related to the rivals provided in the market. If the preliminary offering proves a success, the company must go for the other markets. In this method the company would be able to implement its digital publishing program.
Although, the development of the publishing industry is decreasing because 2008, showing a risk to the business's long term existence, but the circumstance can be managed by considering an advancement strategy in the future. The business might consider presenting digital publishingin its existing market to implement its development program at instant basis and to prevent the threat of failure for entryway in the new markets.