Cost
Author
Ying Hua
Description
It is said that more and more people will be used to online reading, which means the reduction of sale. Moreover, in such a bad time, it is very hard for the companies to survive. The reduction of company costs becomes a key factor to determine the destiny of a company. On the other hand, the online news and E-newspaper is able to diminish the cost dramatically. The cost of printing and publishing the newspaper vanishes in this way. In order to compete with these new forms of business, how to save the cost is the main issue for the traditional newspaper companies. Maybe the innovation of shifting the traditional published newspaper to the E-form newspaper is the trend of times.
Enablers
- More and more serious competition causes the reduction of the prices.
- The recent global “financial storm” causes all the markets depressing including the newspaper industry.
- The appearance of E-newspaper and online business will threaten the status of traditional newspaper. For the cost, the traditional newspaper has no competence compared with the other two forms.
Inhibitors
- Considering the profit, there is not much space for those newspaper companies to reduce the price. New form of business should be investigated.
- It is still too early to conclude if the online news and E-newspaper is a successful solution. They are the most motivations to make the newspaper lower the price.
Paradigms
“The Christian Science Monitor” claims that they will stop publishing the printed newspaper from April, 2009 and only publish the online version.