West Ham United Football Clubs Olympic Stadium Move Case Study Solution and Analysis
Introduction
West Ham United Football Clubs Olympic Stadium Move Case Study Analysis is the biggest publishing company with a highest market share in the China's book retail market. CMP has actually become a specialized details service provider and a large comprehensive Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Vital Problems
Although, West Ham United Football Clubs Olympic Stadium Move Case Study Solution has invested its 60 years journey efficiently, being an effective publishing home, however, the changing macro market trends and forces bring certain challenges to the publishing industry in basic and CMP in specific. These factors consist of;
• Entryway of the brand-new publishing companies in the market.
• Decreasing growth of the publishing market.
• Market saturation.
• Introduction of digital publishing methods
• Enhancement of science and innovation.
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 scenario? Do the long important experience, technical resources and the abilities of the company could be made use of 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
West Ham United Football Clubs Olympic Stadium Move Case Study Solution has particular strengths that can be made use of to minimize the hazards, get rid of the weakness and obtain the chances. Strengths of CMP are provided as follows;
• The long term experience of West Ham United Football Clubs Olympic Stadium Move Case Study Help in the publishing market i.e. 60 years allows the company to offer high quality products at a lower expense using its prior experiences.
• The technical resources and abilities created by its effective journey offer a competitive benefit to CMP.
• Huge item portfolioof CMP assists it to diversify its threat and provide high worth to its customers.
• Strong financial position allows the company to think about a number of advancement opportunities with no fear of raising fund externally.
Weaknesses
In addition to the strengths, the company has specific weaknesses which could increase constraints for the company in implementing its development program. The weaknesses of West Ham United Football Clubs Olympic Stadium Move Case Study Analysis are offered as follows;
• Despite of being a science and innovation publishing firm, the business 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 needs to propose specific expansion strategies to prevent its reliance over the Chinese markets to achieve long term development.
Opportunities
The growth of the publishing industry is declining given that 2008, affecting West Ham United Football Clubs Olympic Stadium Move Case Study Solution as well, however the growth might be restored by availing specific chances provided in the market. The marketplace chances for CMP consist of;
• The business might likewise present Digital Publishing by using its long term technical experience and a strong consumer acknowledgment in the market.
• CMP might think about an advancement program through the expansion towards foreign markets in order to reduce its reliance over Chinese markets by using its vast financial resources.
Risks
The altering macro trends in the market and increasing competition in the publishing market has postured particular hazards to West Ham United Football Clubs Olympic Stadium Move Case Study Analysis consisting of;( Gurel, 2017).
• Intro of digital publishing i.e. digital libraries might cause declining market share of West Ham United Football Clubs Olympic Stadium Move Case Study Solution due to the customer shift towards digital libraries.
• The existence of a great deal of rivals in the publishing market increase the risk for CMP to lose its competitive position in the market, as rivals can gain a strong customer base by using specific strategies like aggressive promo, quality items, etc.
• Entryway of brand-new publishing firms in the industry along with existence of high competition increases the risk of losing the consumer base.
Monetary Analysis.
Due to lack of data, the financial ratios of CMP might not be calculated. It could be examined from the Appendix III that the annual total revenues of West Ham United Football Clubs Olympic Stadium Move Case Study Solution during the period 2000-2012 are growing at a high development rate, showing that the yearly demand of the products of CMP is growing and the company is quite effective in bring in a big number of clients at a potential cost.
Along with it, the second graph which reveals the annual growth in the West Ham United Football Clubs Olympic Stadium Move Case Study Analysis total possessions, reveals that the business is quite efficient in adding worth to its possessions through its earnings. The development in properties reveals that the total worth of the firm is also increasing with increasing the total incomes. (Unidentified, 2013).
Another financial analysis of the company using the offered information might be the analysis concerning the distribution of overall incomes of the company. Major part of the earnings of CMP comes from the sales of its published books i.e. 64% as shown in the Case Appendix V. The company could move towards other business sectors with a potential development to accomplish its future advancement goal.
PESTEL Analysis
PESTEL analysis might be conducted to discover the different external forces impacting the performance of the business and the recent trends in the external environment of the company. A short PESTEL analysis of the company is offered as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a considerable effect on the state of mind of individuals about the communist ideology of the federal government, therefore, the publishing sector is highly supervised and assisted by the Promotion Department of the Communist Celebration of China. Therefore, it might be said that the total political forces affecting West Ham United Football Clubs Olympic Stadium Move Case Study Solution company are high. The federal government policies regarding the publishing sector are likewise increasing with the passage of time.
Economical.
Economic forces impacting the publishing sector in general and the West Ham United Football Clubs Olympic Stadium Move Case Study Analysis in particular includesthe rates of paper, the earnings level of consumers, the inflation rate, and the general GDP growth of the country. All these forces integrate impact the need for the publishing market. Together with it, the economic policies connected to the import of books affect the general organisation at CPM. Nevertheless, China's economic conditions are quite favorable for CMP with high GDP growth and consumer earnings level.
Social and Demographical.
The consumer preferences are shifting towards digital publishing rather than the standard was of publishing. In this regard, CMP should focus on digital publishing to satisfy the changing customer preferences.
Technological.
Technological forces affecting the CMP consist of the technological improvement in the reading methods and so on. Improvement of science and innovation together with the rise of digital publishing might minimize the need for the CMP items, if certain actions would not be taken quickly.
Environmental.
Environmental forces affecting West Ham United Football Clubs Olympic Stadium Move Case Study Help includes the issues of environmental communities over the use of paper in publishing books. The paper used in the books while publishing is required to be non reusable and the ink used while publishing should 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 approved initially by the Government to be gone into in the publishing market. The regulation forbids direct involvement of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's Five Forces Model).
Porter's Five Forces Design could be utilized to examine the attractiveness of the publishing market China. A short analysis of the Porter's 5 Forces is offered as follows;.
Hazard of New Entrants.
Dangers of brand-new entrants in the Chinese Publishing Market is moderate. The prospective development in the market tends to bring in brand-new entrants to the publishing market. The presence of extreme competitors and the requirement of big capital tends to demotivate brand-new entrants to enter in the market.
Risk of Replacement.
Hazard of Alternative is high for the Chinese Publishing Industry. The replacement products for the released documents is the documents provided in the virtual libraries on certain sites. The changing customer preferences towards digital learning increase the risk of alternative for the market.
Competitive Competition.
Competitive competition in the publishing industry is high. The presence of large number of customers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. Along with it, new entrants are likewise participating in the market increasing the competition for CMP.
Bargaining Power of Provider.
The major suppliers of the West Ham United Football Clubs Olympic Stadium Move Case Study Solution include the providers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, therefore the overall bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of buyer in the publishing market is high. Due to the existence of a large number of publishers in the Chinese market and the market saturation, the buyers requires high quality files at competitive rates.
Rivals Analysis.
CMP operates in an extremely competitive industry with the presence of a great deal of competitors. The business has a competitive position in the market with the greatest market share in the Chinese publishing market. Major rivals of West Ham United Football Clubs Olympic Stadium Move Case Study Solution consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIPis one of the close competitors of CMP. Established in the same period, CIP publishes comparable type of books. For a large period, CIP held the largest market share, and still ranks second and 3rd in various market segments, with a significant concentrate on academic publications. CIP acts as a danger for CMP as it could wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and might wean the marketplace share of West Ham United Football Clubs Olympic Stadium Move Case Study Solution quickly in the current market situation.
Posts and telecommunication Press (PTP).
It was likewise founded in the same period as West Ham United Football Clubs Olympic Stadium Move Case Study Analysis and CIP. It is likewise one of the prominent gamers in the publishing market with an annual overall incomes of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Lowering dependence over the Chinese markets.
• Increasing variety of Customers
• Growth opportunities.
• Avoiding the impact 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 consumer base.
• Approaching new markets.
• Easy to present utilizing present abilities.
• Low threat 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 service segments to the brand-new one can lead the business to lose demand of its items in the market.
Recommendations
As the preferences are moving towards digital publishing and the business require an immediate option to prevent the decreasing industry growth. The business could also consider the growth program after the success of its digital publishing program.
Application
In order to introduce digital publishing in its item portfolio, the company ought to initially gathers the data related to the customer demand, the prospective markets, the federal government regulations and the data related to the competitors presented in the market. If the preliminary offering proves a success, the company ought 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 industry is decreasing given that 2008, revealing a hazard to the company's long term presence, but the situation can be managed by considering an advancement strategy in the future. The company might consider introducing digital publishingin its existing market to implement its development program at instant basis and to prevent the danger of failure for entryway in the brand-new markets.
