What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Solution and Analysis
Intro
What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help is the largest publishing company with a highest market share in the China's book retail market. CMP offers a number of services consisting of; gathering info, processing information and communication services. Major company sectors of the business consist of; books, periodicals, consultancy and distribution. The business has a huge item portfolio and its significant products consist of books, periodicals, online media, exhibits, research study reports etc. What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help has actually become a specialized info service provider and a big thorough Science and Innovation publishing business through the integration of print media, audio-visual media and the network media.
Crucial Issues
CMP has invested its 60 years journey efficiently, being a successful publishing home, however, the changing macro market trends and forces bring particular challenges to the publishing market in general and What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help in particular. These factors include;
• Entrance of the brand-new publishing companies in the market.
• Declining development of the publishing market.
• Market saturation.
• Introduction of digital publishing techniques
• Improvement 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 capabilities of the company could be made use of to pursue the future development unceasingly? How could the business sustain its long term competitive position in future?
Situational Analysis
Internal Analysis
SWOT Analysis
Strengths
What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help has certain strengths that can be made use of to decrease the hazards, get rid of the weakness and obtain the opportunities. Strengths of CMP are offered as follows;
• The long term experience of What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help in the publishing market i.e. 60 years enables the business to supply high quality items at a lower expense using its previous experiences.
• The technical resources and abilities generated by its successful journey offer a competitive advantage to CMP.
• Large product portfolioof CMP assists it to diversify its risk and offer high worth to its clients.
• Strong financial position allows the business to think about a number of advancement chances without any fear of raising fund externally.
Weaknesses
Along with the strengths, the business has certain weaknesses which could increase constraints for the company in implementing its development program. The weaknesses of What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Solution are offered as follows;
• Despite of being a science and technology publishing company, the company still has standard methods ofpublishing which are not suitable with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It ought to propose particular expansion plans to avoid its reliance over the Chinese markets to achieve long term growth.
Opportunities
Although, the growth of the publishing industry is decreasing since 2008, impacting What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help as well, but the development could be restored by availing specific chances provided in the market. The marketplace opportunities for CMP include;
• The business could also introduce Digital Publishing by using its long term technical experience and a strong customer acknowledgment in the market.
• CMP might consider an advancement program through the growth towards foreign markets in order to decrease its dependence over Chinese markets by using its large financial resources.
Threats
The altering macro trends in the market and increasing competitors in the publishing market has actually postured particular hazards to What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. digital libraries might lead to declining market share of What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Analysis due to the consumer shift towards virtual libraries.
• The presence of a great deal of competitors in the publishing market increase the hazard for CMP to lose its competitive position in the market, as competitors can gain a strong customer base by using specific strategies like aggressive promotion, quality products, etc.
• Entrance of new publishing firms in the industry together with presence of high competitors increases the risk of losing the customer base.
Financial Analysis.
Due to absence of information, the monetary ratios of CMP could not be computed. It could be analyzed from the Appendix III that the yearly overall incomes of What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Solution during the period 2000-2012 are growing at a high development rate, revealing that the annual demand of the items of CMP is growing and the company is rather effective in bring in a big number of consumers at a prospective rate.
Together with it, the second graph which reveals the annual development in the What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help total possessions, reveals that the business is quite effective in adding worth to its assets through its revenues. The growth in properties reveals that the overall value of the firm is likewise increasing with increasing the overall profits. (Unknown, 2013).
Another monetary analysis of the business utilizing the provided data could be the analysis relating to the distribution of total revenues of the company. Huge part of the revenues 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 organisation sections with a possible development to accomplish its future advancement goal.
PESTEL Analysis
PESTEL analysis might be carried out to learn the various external forces affecting the efficiency of the company and the current patterns in the external environment of the company. A brief PESTEL analysis of the company is provided as follows; (Alanzi, 2018).
Political.
As the publishing sector could have a significant effect on the mindset of individuals about the communist ideology of the government, therefore, the publishing sector is extremely supervised and assisted by the Publicity Department of the Communist Party of China. Therefore, it might be said that the overall political forces impacting What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Solution business are high. The government policies regarding the publishing sector are also increasing with the passage of time.
Affordable.
Financial forces affecting the publishing sector in basic and the What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help in specific includesthe prices of paper, the income level of consumers, the inflation rate, and the general GDP development of the nation. All these forces combine effect the need for the publishing market. Along with it, the economic policies related to the import of books affect the overall business at CPM. However, China's economic conditions are quite favorable for CMP with high GDP development and consumer earnings level.
Social and Demographical.
Social and demographical forces consist of the population development, the customer's preferences towards checking out informative products and so on. China has the highest population worldwide with a high population development, showing the increasing number of consumers of the What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help. The consumer preferences are shifting towards digital publishing rather than the traditional was of publishing. In this regard, CMP must concentrate on digital publishing to fulfill the changing customer choices.
Technological.
Technological forces impacting the CMP consist of the technological development in the reading methods and so on. Enhancement of science and technology together with the increase of digital publishing might lower the demand for the CMP products, if particular actions would not be taken quickly.
Environmental.
Ecological forces affecting What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Analysis consists of the concerns of ecological neighborhoods over the use of paper in publishing books. The paper utilized in the books while publishing is required to be non reusable and the ink used while publishing must not be damaging for the environment.
Legal.
Legal regulations for the publishing sector at whole are high. Publishing Regulation 1997 requires the publishers to be approved first by the Government to be gone into in the publishing market.
Industry Analysis (Porter's 5 Forces Model).
Porter's Five Forces Design might be utilized to analyze the appearance of the publishing industry China. A brief analysis of the Porter's Five Forces is given as follows;.
Danger of New Entrants.
Threats of new entrants in the Chinese Publishing Market is moderate. The prospective growth in the industry tends to bring in brand-new entrants to the publishing industry. The existence of intense competition and the requirement of big capital tends to demotivate brand-new entrants to enter in the market.
Risk of Alternative.
Hazard of Replacement is high for the Chinese Publishing Market. The replacement products for the published files is the files presented in the digital libraries on specific websites. The changing consumer preferences towards digital learning increase the threat of substitution for the industry.
Competitive Rivalry.
Competitive rivalry in the publishing market 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 competition for CMP. Along with it, new entrants are likewise participating in the market increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant suppliers of the What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Solution include the suppliers of the paper for publishing documents. As CMP is the largest publisher in the Chinese Publishing Market, for that reason the total bargaining power of provider for CMP is low.
Bargaining Power of Purchaser.
Negotiating power of purchaser in the publishing market is high. Due to the presence of a large number of publishers in the Chinese market and the market saturation, the buyers needs high quality documents at competitive rates.
Competitors Analysis.
CMP runs in an extremely competitive market with the presence of large number of rivals. However, the business has a competitive position in the market with the highest market share in the Chinese publishing market. Significant rivals of What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Solution consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Market Press (CIP).
CIP acts as a threat for CMP as it could 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 quickly in the present market situation.
Posts and telecommunication Press (PTP).
It was also founded in the very same duration as What Makes Your Brain Happy And Why You Should Do The Opposite Case Study Help and CIP. It is also one of the popular players in the publishing industry with an annual overall earnings of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Reducing reliance over the Chinese markets.
• Increasing variety of Consumers
• Growth chances.
• Preventing the effect of market saturation in the Chinese publishing market.
Cons
• Use of potential resources in growth.
• Risk of failure in new markets.
• Time consuming.
Alernative-2: Introduce Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to introduce using present abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio provides high value to customers.
Cons
• Competition in the market by CIP, who has prior concentrate on the digital publishing.
• Shift of focus from the core company sections to the new one can lead the company to lose demand of its items in the market.
Suggestions
As the choices are moving towards digital publishing and the business require an instant service to prevent the decreasing industry development. The business could also consider the growth program after the success of its digital publishing program.
Execution
In order to present digital publishing in its item portfolio, the business needs to initially collects the information related to the customer demand, the prospective markets, the government policies and the information related to the rivals presented in the market. If the initial offering shows a success, the company must go for the other markets. In this method the company would be able to implement its digital publishing program.
Conclusion
Although, the development of the publishing industry is declining given that 2008, showing a risk to the company's long term existence, however the scenario can be managed by thinking about a development strategy in the future. The company might think about introducing digital publishingin its existing market to execute its advancement program at instant basis and to prevent the threat of failure for entrance in the new markets.
