This document analyzes the book publishing industry through various frameworks including PEST analysis, Porter's Five Forces, value chain analysis, SWOT analysis, strategic group mapping and international strategy grid. It compares key companies Amazon and Barnes & Noble and assesses their strategic options. Recommendations include decreasing Nook prices, maintaining physical stores while finding new revenue sources, penetrating the Chinese and Indian markets, developing the online store globally, and focusing on books.

1. Evgenii, Roelof & Sjoerd

2. Content

3. Mission
&
Vision

4. Comparative Company Profile

5. PEST analysis
• E-commerce
safety
• Internet
Taxation
• Government
Investments in
ICT
• Books Content
Regulations
• Negative
economic
downturn
• Economic
Growth in
China & India
• Currency
Fluctuations
• Online & Social
Networking
• Ethical & Religious
Issues
• Social
Magnification and
Centralization
• Declining Number
of Visitors
• Three
Dimensional
Books Tech
• Virtual Libraries
Boom
• E-book wars
• Book search
robotics

6. Porter’s Five Forces Analysis
HIGH
SUBSTITUTE
PRODUCTS
MODERATE
POTENTIAL
ENTRANTS
MODERATE
HIGH
BUYERS
HIGH
MODERATE
SUPPLIERS
HIGH
HIGH
INDUSTRY
RIVALRY
HIGH

7. Market Life Cycle

8. Value Chain

9. Value Chain

10. Current Corporate Strategy

11. Marketing Strategy

13. CM
a o
n d
v e
a l
s
Reed
Elsevier
Thompson
Reuters
McGrawHill
Education
Retail
Promotion
Developing
Paper
books
Personal in
store
service
eBooks
All book
lovers
eReaders
Stores
Brand
Stores
Webshop
Music
Movies
Games
Rent, HR, logistics Digital technology
Webshop
Promotion
Sales
(Advertising)

14. SWOT

15. Confrontation Matrix
Growth
Compe
Acquisi
Aging
Global
Retail
Books
Stores
++
+
o
++
o
--
--
Service
++
++
o
++
o
+
+
Integra
++
++
+
o
o
++
o
Experie
++
o
+
o
++
+
Scale
++
o
+
+
++
Fixed
--
o
+
o
+
Inflexi
--
+
+
+
+
Prices
--
+
o
o
--
Losses
--
o
--
o
-
Investo
--
o
--
o
-
Tablet
Crisis
Online

16. Core Problem

17. Amazon
Strategic Choice
Barnes & Nobles

18. FAS Amazon
FAS
A Market Pen.
B Product Dev.
C Market Dev.
D Service Dev.
Feasibility
✔Skills Present
✔VC
✔Pest
✔VC
Acceptability
✔Shareholder
Value
✔High Cost
✔SWOT
✔higher costs
Suitability
✔PEST
✔Competition
✔risky though
✔Pest
A. Penetrate China
B. Product Development: Include contact lenses and
eyewear into the product range
C. Market Development: Conquer India
D. Greener packaging and delivery

19. FAS B&N
FAS
Do Nothing
A Market Pen.
B Market Dev.
Feasibility
✗Declining
Market
✔VC
✔Pest
Acceptability
✗Decreased
value
✔High Cost
✔SWOT
Suitability
✗PEST
✔Competition
✔Competition
A. Market Penetration: China & India
B. Further develop its online market, BN.com

20. International strategy
Amazon
Amazon
Barns &
Barns &
Noble
Noble
HIGH
HIGH
Coordination of
Coordination of
Activities
Activities
LOW
LOW
Geographically
Geographically
Dispersed
Dispersed
Configuration of
Configuration of
Activities
Activities
Geographically
Geographically
Concentrated
Concentrated

21. Strategic Recommendations
Decrease price of Nook
Keep stores as USP, find new sources of income
Penetrate Chinese, Indian markets
Continue developing online webshop, make it global
Keep focus on books

22. CM
a o
n d
v e
a l
s
Reed
Elsevier
Thompson
Reuters
McGrawHill
Education
Retail
Promotion
Developing
Paper
books
Personal in
store service
eBooks
eReaders
Stores
Brand
Stores
Webshop
Music
Movies
Games
Rent, HR, logistics Digital technology
Webshop
Promotion
Sales
All book
lovers in
the US
(Advertising)

23. CM
a o
n d
v e
a l
S
+5
Chinese
publishers
Indian
publishers
Opening up
new markets
Paper
books
Personal in
store service
eBooks
eReaders
Chinese &
Indian stores
Brand
Music
Movies
Games
Rent, HR, logistics Digital technology
Webshop
Promotion
Chinese &
Indian stores
Webshop
Sales
Lottery tickets
All book
lovers in
the US,
China and
India.
Advertising
Bookclubs