Barnes and Noble Going to Thesis

International Competitors

Since the reader is quite common in Australia, it is only natural that the offering is vast, leading to the conclusion that Barnes and Noble would encounter serious competition. The general perception over the American companies varies, and a generalization is not possible to achieve. However, most readers would agree to the elimination of the bans, whilst those directly involved with the industry would not. The Australian book industry is in many ways similar to the American one, in the meaning that they suffer the consequences of the same global mutations. "The Australian Book industry is like many industries currently faced with huge challenges. The effect of discounting on growth, the impact of GST on imports as well as the impact of digital media all have a profound effect on what is a very large, and predominantly Australian-based content, industry" (GS1 Australia, 2008). A study conducted by the Printing Industries Association of Australia and the Australian Publishers revealed several characteristics of the most successful book publishers and stores across Australia. These are their competitive advantages, and the characteristics Barnes and Noble would have to meet in order to succeed. They refer to: clearly defined goals, understood and sustained by employees; inspiring and enthusiastic leadership; proficient and competent teams; close relationship with customers; a niche market that attracts hard-core profitable business; high technologies and easy access to resources; strategic partnerships; implementation of quality management and the principles of the learning organization (Printing Industries Association of Australia).

4. The Economic/Geographic Environment

Australia has a total surface of 7,686,850 square kilometres, coast line of 25,760 kilometres and no land boundaries. This then means that transportation of products would only be possible by ships and airplanes. The country has limited forests, most of its natural resources being metals. This means that the raw materials for the books would not come from Australia.

Australia is the seventeenth largest economy of the globe in terms of measures gross domestic product, with an estimated GDP for 2007 of $760.8 billion and a GDP per capita of $36,300. "Australia has an enviable, strong economy with a per capita GDP on par with the four dominant West European economies. Robust business and consumer confidence and high export prices for raw materials and agricultural products are fuelling the economy, particularly in mining states. Australia's emphasis on reforms, low inflation, a housing market boom, and growing ties with China have been key factors behind the economy's 16 solid years of expansion. [...]Australia's budget has been in surplus since 2002 due to strong revenue growth" (Central Intelligence Agency, 2008). Most Australians work in services (75.2%), followed by industry (21.2%) and agriculture (3.6%). The unemployment rate is of 4.4%.

Australia has a highly developed telecommunications system, with 9.94 main telephones lines in use and 19.76 million mobile telephones. It has 9.458 million internet hosts and 15.3 million internet users, revealing as such the possibility of conducting business online. They possess 461 airports, 2,000 kilometres of waterways and 12 primary ports and terminals (Central Intelligence Agency, 2008).

References

Chettle, N., 2008, Book Industry Debates Cheap Imports, ABC News, http://www.abc.net.au/news/stories/2008/07/17/2306228.html. Ast accessed on September 25, 2008

2004, State Premiers Promote Reading Around Australia, Australian Library and Information Association, http://www.alia.org.au/publishing/incite/2004/12/state.premiers.htmllast accessed on September 25, 2008

2008, the World Factbook - Australia, Central Intelligence Agency, https://www.cia.gov/library/publications/the-world-factbook/geos/as.htmllast accessed on September 25, 2008

2008, Book Industry, GS1 Australia, http://www.gs1au.org/industry/book.asplast accessed on September 25, 2008

Barnes and Noble 2007 Annual Report, Retrieved at http://www.barnesandnobleinc.com/for_investors/annual_reports/Barnes_%26_Noble_2007_Annual_Report.pdfon September 25, 2008

Book Production in Australia, Joint Industry Study, http://www.printnet.com.au/pages/our_industry/industry_reports_sub_pages/book_production__jis.htmllast accessed on September 25, 2008