Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution and Analysis
Introduction
Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help is the biggest publishing company with a highest market share in the China's book retail market. CMP has actually become a specialized info service provider and a big extensive Science and Technology publishing company through the integration of print media, audio-visual media and the network media.
Vital Issues
Although, Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help has actually spent its 60 years journey efficiently, being a successful publishing home, however, the changing macro market trends and forces bring specific difficulties to the publishing industry in general and CMP in specific. These elements include;
• Entryway of the new publishing firms in the industry.
• Declining growth of the publishing market.
• Market saturation.
• Intro of digital publishing methods
• Enhancement of science and technology.
The improvement of the macro markets have raised several concerns to the management at CPM that what could be the future of CMP in this situation? Do the long important experience, technical resources and the abilities of the company could be used 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
Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution has specific strengths that can be used to minimize the threats, get rid of the weak point and get the opportunities. Strengths of CMP are given as follows;
• The long term experience of Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Analysis in the publishing market i.e. 60 years permits the business to supply high quality items at a lower expense using its prior experiences.
• The technical resources and capabilities produced by its successful journey offer a competitive advantage to CMP.
• Huge item portfolioof CMP helps it to diversify its threat and offer high worth to its consumers.
• Strong financial position enables the company to consider a number of development chances without any worry of raising fund externally.
Weak points
In addition to the strengths, the business has particular weak points which could increase constraints for the business in implementing its advancement program. The weak points of Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help are provided as follows;
• Despite of being a science and technology publishing company, the business still has traditional methods ofpublishing which are not compatible with the growing technological shift.
• CMP extremely relies over the Chinese markets for its growth. It should propose specific growth plans to prevent its reliance over the Chinese markets to attain long term growth.
Opportunities
Although, the growth of the publishing market is decreasing considering that 2008, affecting Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution too, but the growth could be revived by availing certain opportunities presented in the market. The marketplace chances for CMP consist of;
• The business could also introduce Digital Publishing by using its long term technical experience and a strong customer recognition in the market.
• CMP could think about an advancement program through the growth towards foreign markets in order to minimize its reliance over Chinese markets by using its huge funds.
Risks
The changing macro trends in the market and increasing competition in the publishing market has presented particular dangers to Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Analysis consisting of;( Gurel, 2017).
• Introduction of digital publishing i.e. virtual libraries might result in decreasing market share of Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help due to the customer shift towards digital libraries.
• The presence of a great deal of rivals in the publishing market increase the danger for CMP to lose its competitive position in the market, as rivals can gain a strong consumer base by using specific techniques like aggressive promo, quality products, etc.
• Entryway of new publishing firms in the industry together with existence of high competition increases the threat of losing the customer base.
Monetary Analysis.
Due to absence of data, the monetary ratios of CMP might not be determined. It could be examined from the Appendix III that the annual overall revenues of Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help throughout the period 2000-2012 are growing at a high development rate, showing that the yearly need of the products of CMP is growing and the business is rather effective in drawing in a large number of clients at a potential price.
Together with it, the second graph which shows the annual development in the Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution total properties, reveals that the business is quite efficient in including worth to its assets through its incomes. The growth in possessions reveals that the overall worth of the firm is also increasing with increasing the total profits. (Unknown, 2013).
Another monetary analysis of the business using the offered information could be the analysis relating to the distribution of total incomes of the business. Major part of the revenues of CMP comes from the sales of its published books i.e. 64% as displayed in the Case Appendix V. The company could move towards other service segments with a possible development to attain its future advancement objective.
PESTEL Analysis
PESTEL analysis could be performed to find out the various external forces affecting 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 might have a considerable effect on the state of mind of individuals about the communist ideology of the government, therefore, the publishing sector is highly monitored and directed by the Publicity Department of the Communist Celebration of China. Therefore, it could be said that the general political forces impacting Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help company are high. The federal government policies relating to the publishing sector are also increasing with the passage of time.
Affordable.
Economic forces impacting the publishing sector in general and the Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution in particular includesthe costs of paper, the income level of consumers, the inflation rate, and the general GDP development of the nation. All these forces integrate effect the need for the publishing market. Together with it, the financial policies related to the import of books affect the overall business at CPM. China's financial conditions are rather favorable for CMP with high GDP development and consumer earnings level.
Social and Demographical.
Social and demographical forces consist of the population growth, the consumer's choices towards reading useful materials etc. China has the greatest population worldwide with a high population growth, revealing the increasing variety of customers of the Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution. The consumer preferences are moving towards digital publishing rather than the standard was of publishing. In this regard, CMP should focus on digital publishing to satisfy the altering consumer choices.
Technological.
Technological forces impacting the CMP include the technological improvement in the reading methods etc. Improvement of science and technology along with the rise of digital publishing might lower the demand for the CMP products, if particular actions would not be taken quickly.
Environmental.
Environmental forces impacting Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Help consists of the issues of ecological communities over the usage of paper in publishing books. The paper utilized in the books while publishing is needed to be disposable and the ink utilized while publishing must not be harmful for the environment.
Legal.
Legal policies for the publishing sector at whole are high. The legal policies regarding the publishing sector is managed by the General Administration of Press and Publication. Publishing Regulation 1997 requires the publishers to be approved initially by the Government to be entered in the publishing market. The ordinance forbids direct participation of foreign entities and individuals in the publishing sector.
Industry Analysis (Porter's Five Forces Design).
Porter's 5 Forces Model might be used to evaluate the attractiveness of the publishing market China. A short analysis of the Porter's 5 Forces is given as follows;.
Threat of New Entrants.
Hazards of brand-new entrants in the Chinese Publishing Market is moderate. The possible growth in the industry tends to draw in brand-new entrants to the publishing market. Nevertheless, the existence of extreme competition and the requirement of substantial capital tends to demotivate new entrants to go into in the marketplace.
Hazard of Alternative.
Threat of Replacement is high for the Chinese Publishing Industry. The replacement products for the released files is the documents presented in the virtual libraries on particular sites. The altering customer preferences towards digital learning increase the danger of alternative for the industry.
Competitive Competition.
Competitive competition in the publishing market is high. The presence of a great deal of consumers in the Chinese Publishing Industry like CIP, PTP and so on tends to produce high competitive rivalry for CMP. In addition to it, new entrants are also entering into the market increasing the competitors for CMP.
Bargaining Power of Supplier.
The significant providers of the Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Analysis include the providers of the paper for releasing files. As CMP is the biggest publisher in the Chinese Publishing Market, therefore the general bargaining power of supplier for CMP is low.
Bargaining Power of Purchaser.
Bargaining 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 requires high quality documents at competitive costs.
Competitors Analysis.
CMP runs in an extremely competitive industry with the presence of a great deal of competitors. Nevertheless, the business has a competitive position in the market with the highest market share in the Chinese publishing market. Major rivals of Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution consist of;.
• Chemical Industry Press (CIP).
• Posts and telecommunication Press (PTP).
Chemical Industry Press (CIP).
CIPis one of the close rivals of CMP. Established in the exact same period, CIP releases similar kind of books. For a large period, CIP held the largest market share, and still ranks third and second in different market segments, with a significant concentrate on educational publications. CIP functions as a threat for CMP as it might wean its market share due to its long term competitive background. CIP is concentrated on digital publishing and could wean the marketplace share of Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Solution easily in the present market circumstance.
Posts and telecommunication Press (PTP).
It was also founded in the very same period as Zopa The Power Of Peer To Peer Lending Spanish Version Case Study Analysis and CIP. It is also one of the popular players in the publishing market with an annual total profits of RMB 550 million in 2010.
Alternatives
Alternative-1: Broaden towards New Markets
Pros
• Minimizing reliance over the Chinese markets.
• Increasing number of Customers
• Growth chances.
• Preventing the impact of market saturation in the Chinese publishing industry.
Cons
• Usage of potential resources in growth.
• Risk of failure in new markets.
• Time consuming.
Alernative-2: Present Digital Publishing
Pros
• Sustaining customer base.
• Approaching new markets.
• Easy to present utilizing present abilities.
• Low risk of Failure.
• Low requirement for funds.
• Increased product portfolio offers high value to clients.
Cons
• Competitors in the market by CIP, who has prior focus on the digital publishing.
• Shift of focus from the core company segments to the brand-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 business in addition to the industry analysis and the competitor analysis, Alternative 2 is suggested to CMP to attain its future advancement. As the preferences are shifting towards digital publishing and the business require an immediate option to avoid the decreasing market growth. Intro of digital publishing might show to be an instant option with low quantity of threat for the business. Nevertheless, the business could also think about the growth program after the success of its digital publishing program.
Execution
In order to introduce digital publishing in its product portfolio, the company needs to initially gathers the information related to the customer demand, the prospective markets, the government policies and the information related to the competitors provided in the market. If the initial offering shows a success, the company should go for the other markets. In this way the company would be able to implement its digital publishing program.
Conclusion
Although, the development of the publishing industry is declining considering that 2008, revealing a threat to the business's long term existence, however the scenario can be managed by considering a development strategy in the future. The company might consider presenting digital publishingin its existing market to execute its advancement program at instant basis and to prevent the risk of failure for entryway in the brand-new markets.
