Strategic perspectives of Book publishing houses in Germany in light Outline

Strategic perspectives of Book publishing houses in Germany in light of the current sector structure and prospective trends - Outline Example Conclusion and Recommendations 20 References 22 Bibliography 25 1. Introduction One of the most significant and remarkable industries stimulating the economic growth is the publishing industry. In the current day context, Germany counts on more than a hundred different industries related to manufacturing, producing and service and technology sectors. Undoubtedly, these industries participating in the economic growth including the publishing industry have a great significance on the German economy. The German Publishing Industry, in a wider perspective involves several sub-divisions such as the news publishing and the book publishing sectors. Elaborating on the milieu that concentrated on the Book Publishing sector, it was witnessed to contribute a total of 9.6 billion euro to the economy in the fiscal year 2007. Therefore, the growing impact of the industry, i.e. the book publishing industry in the German economy is invariable (Magazine Dutchesland, 2008). Recognising the strengtheni ng impact and the future prospects of book publishing industry in German economy, the paper shall be aimed at the industry analysis implying various marketing approaches and models such as Porter’s Five Forces model and the value chain approach. ... For instance, the German Book Industry was recently alleged to hamper the rainforests and in turn affect the environmental balance of Asia. This evidently influenced the market growth and the industry at large affecting the production of papers from pulps. The affect was termed as strongly impulsive due to the fact that the industry in 2008 was ranked as one of the largest industries of Europe printing more than 1 billion books annually (Space Mart, 2009). Hence, it is quite evident that the book market similar to any other industry is influenced by various factors active in the macro and micro environment of the industry. These factors, henceforth, shall be discussed further in the paper with the assistance of Porter’s Five Forces and Value Chain approaches. 2.1. Porter’s Five Forces Model Figure 1: Diagram of Porter’s Five Forces Model. Source: (Smart KPIS, 2010). Relating the concept to the context of German book industry, these five influencing factors, as ca n be revealed from the above represented image, shall have a great impact on its growth trends which in turn shall also affect the major players of the book market. Moreover, the implication of the model shall be helpful in identifying the current and future trends of the industry. 2.1.1. Potential Entrants An industry in the related context attracts potential entrants due to the advantages or opportunities rendered by the industry and vice-versa. Therefore, analysing the opportunities and the challenges of the industry can provide an unambiguous outlook to identify the possibility of increase in the total numbers of potential entrants. The opportunities of the industry therefore are: It is termed to be quite successful in holding its position even