| deepak_bista |
Posted
on 11-Oct-03 09:55 PM
I am just coming out from Coffee with Raju Shrestha and other Nepalese as I have to crack the Chinia maha market.
This is my finding of the changing business environment in my spiritual country Chin. I propose the likely competitive response within the Chinese publishing industry following China's membership of the WTO. This is an industry that has received little scholarly attention to date. The Chinese publishing industry has enjoyed rapid growth and high levels of profitability in the last two decades. This potential of the industry is huge. However, Chinese publishers do not appear to be well placed currently to take government intervention, outdated organisational structures, poor levels of creativity, and inefficiency.
China's entry into the WTO and subsequent deregulation should benefit the publishing industry in several ways. The emerging business environment will force domestic publishers to reform operations and to achieve cost savings. foreign entrants will bring more competition, increased capital, advanced management systems, new concepts of publishing and a much needed global perspective. Furthermore, new and more efficient distribution channels will be developed.
If the Chinese authorities introduce the appropriate policies, in particular eliminating restrictions on the entry of foreign firms, there will be a much higher level of competition in the industry. This will increase the demand for higher quality human resources (Iam an international expert in this field as well), trigger mergers and aquistitions, and rationalise the industry structure.
Faced with this new environment, Chinese publishers must adopt new strategies. My finding for the first time ever suggest that a wide range of strategies is being considered. All seek to improve sustainable competitive adavantage through strengthening internal capabilities and external networks. Similarly, the perceived weaknesses of the foreign entrants, and domestic publishers, highlight the attraction of joint ventures enable foreign publishers to complement their competitive advantages with those of Chinese publishers. For foreign publishers, understanding the Chinese market, culture, and policies are believed to be critical for their success (Iam going to open 35 Nepalese Restaurants under Bhrikut Tarai Brand). Whether they can better achievethis through alliances or outright acquisitions remains to be seen.
My delightful findings suggets that Chinese publishers have done little to prepare themselves for competition against new entrants, although it is recognised that some existing firms will be eliminated. They view the new types of domestic competitors and existing publishers with strong brand reputations as more important and immediate threats than international publishers.
My findings reported here would benefit Ashutosh Tiwari types for further research. In particular, a study of the perceptions of international publishers with regard to the Chinese market could provide valuable insights and possible corroborations of the research results reported here to tease the brains out of Ashubhaya.
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