Strategy management

• Main Author: Wu, Jun
• Format: text
• Language: English
• Published: Animo Repository 2000
• Subjects: Publishers and publishing > China; China Jiangsu Xinshu Pub House
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/3961
• Institution: De La Salle University

China Jiangsu Xinshu Publishing House is a state-owned publishing company. Its main products are science and technology books. Chinese publishing industry is strongly regulated by government. Every house has specified publishing coverage regulated by Bureau of News and Publishing. Foreign houses are banned in China. The house current strategy is focusing on textbook of schools, universities and other institutions. This is a big and profitable market. Nevertheless, this market is saturated because of too many houses' competition. The popular science and technology book market is huge, fast growing but currently much-neglected market because of its diversified demand and short-time product life. The booming economy and society's emphasis on education means good opportunities of popular science and technology book market. The fast growing computer-selling and internet industry in China have created a new distribution channel. We propose the house, instead of focusing on textbook market niche, transfer to a broad differentiation strategy by developing the huge popular science and technology book market. In order to be differentiated as high quality science and technology books producer, we will form alliance with some famous foreign houses by setting up joint venture, which we hold the main control. We will encourage them to bring more high quality books together with their advanced technology and equipment. By using the method of short-time performance appraisal and small batch printing, we can achieve more flexibility, faster responding and more efficiency. We will allocate more profits to attract our alliance and prevent other houses offer even higher incentives to attract our partners. By forming alliance with foreign publishing houses, we will arrange our popular science and technology books into a systemized way, so that our books can fit large number of readers from amateurs to experts. By giving further study recommendations on each books, we can help our readers to master the knowledge more effectively. Our high-quality products will enable us truly differentiate ourselves from other domestic competitors while keep our readers loyal. Our joint venture will set up three offices (with two warehouses) in three big cities (Beijing, Shanghai, and Guangzhou). We will occupy a big market share of each city (15%) and boost the selling of our own province through aggressive advertising campaign. Also we propose the house to set up a web page and sell books on the internet. By that, we can reduce selling costs and by establishing customer-information database, get more accurate information and more effective advertisements. The cost of operating and administration of the house is high because of employees' lacking incentives of saving. By partial privatization, and link the expense with employees' pockets we will achieve big reducing costs. We will conduct regular social investigation on regular basis to select topics scientifically. We will export our books through our foreign alliances, which will give us more experience of international competition for future development.