La Nacion analysis

As technology developed and internet became the hub of information, La Nacion quickly utilized this resource by creating its online edition. Its website provides “valueadded services developed with database technology and takes advantage of the tools that the interactive medium provides.” Its site is also applauded for its graphically rich style, user-friendly navigation and layout without compromising the quality of its content. In 1999, La Nacion claimed title as the Best Overall Non-U.S. Newspaper Online Service.

SWOT Analysis

Weaknesses

La Nacion’s print and online editions are all only published in Spanish. While La Nacion serves the South American market, if it published its articles, particularly on its website, it could attract a much wider audience. Having English translations on its website will draw foreign readers interested in the South American market. The Buenos Aires Herald is the only major newspaper with English editions. Since such foreign language newspapers are uncommon, if La Nacion could be the first major national newspaper to include this feature on its website, it could broaden not only its national market reach, but also have a global presence.

All articles on its website, including the archives are free, thus accessible by anyone. While this strategy can benefit the newspaper in terms of readership, it would be much profitable for the newspaper if it charged at least the archived materials for access. While it is important to maintain and increase its readership, it is also essential to grow as a company in terms of profit and revenue.

Strengths

La Nacion’s biggest strength is its devotion to only speaking the truth, and its reputation for openly condemning any corruption, both private and public. This dedication to its journalistic style and argumentative prose clearly differentiates La Nacion from its competitors and contributes to its recognition and image. It has also resulted in numerous cases of journalists being attacked and threatened. Nonetheless, La Nacion continues to remain true to its doctrine. Furthermore, La Nacion is distinguished by its rich, 138-years of history, which is deeply intertwined with Argentina’s complex history. Starting from its political relationships, fight for freedom, and tolerance of ideas, La Nacion has been deemed one of the most influential papers.

La Nacion is currently the only newspaper in Argentina that uses the broadsheet format. This fact further distinguishes La Nacion from its competitors. La Nacion also has an advantage from famous columnists and writers of the Spanish-speaking world appearing regularly in its columns. This can promote further consumer loyalty and appeal towards a larger mass.

Threats

La Nacion only has a couple of immediate rival newspapers in Argentina, since it is the second largest newspaper in the country after Clarin. In terms of South America, La Nacion is the sixth largest. However, it is not even included in the Global Top 100 Newspapers list, while Clarin is ranked 29th and the Buenos Aires Herald is at 66. This shows that while La Nacion is nationally prominent, it has very little global presence. A significant threat to La Nacion is that in several years time, currently smaller newspapers such as the Buenos Aires Herald and Pagina 12 may grow to overshadow La Nacion globally and nationally as the newspaper industry grows and literacy rates increase.

La Nacion should also be concerned about its target group. There are many benefits and advantages to catering to a higher socioeconomic class with a conservative outlook, including higher subscriber retention rates during times of economic setbacks and its resources to draw in more expensive advertisements. However, limiting its target audience to that particular sector may hinder the publication from expanding its readership and as a company, since the lower and the middle classes are significantly greater in size than the higher class. La Nacion should accommodate some parts of its publications to serve a more general crowd to increase its readership, without losing its conservative voice. Such improvements will not only increase La Nacion’s circulation, but also heighten its global presence.

Opportunities

The biggest opportunity La Nacion can seize is global market share. Nationally, it may be a little more difficult since La Nacion has such a distinctive journalistic and editorial voice that caters to a specific community. However, La Nacion has a much better chance and means to expand internationally for several reasons. First, it is easy for La Nacion to broaden its audience through its website. If the newspaper invests in foreign language editions, even just English, it could easily tap into the international community. Since La Nacion had previously been awarded the Best Non-US Newspaper Online Service Website award by the Financial Times, its site has already gained some recognition internationally. La Nacion could also reach out to foreign readers by publishing interesting news and editorials about world events from the Argentine perspective. Even more, La Nacion could position itself as the newspaper for emerging markets. It should provide more coverage on a more variety of emerging markets, not just South American countries.

El Tiempo

El Tiempo is Colombia’s largest national daily newspaper. It was founded in 1911 by Alfonso Villegas Restrepo, and later bought by Eduardo Santos Montejo, who transformed the newspaper business into a media company, Casa Editorial El Tiempo.

Most smaller dailies in Colombia have limited circulation outside their regional distribution. Hence, El Tiempo basically monopolizes the Colombian newspaper industry as the only daily publication that circulates nationally.

The Santos family, member of Colombia’s exclusive, political elite, owns and runs El Tiempo. Even so, El Tiempo upholds its conservative roots while still carrying a centrist outlook and aiming towards a wider audience. Consequently, El Tiempo has a higher circulation than La Nacion, and is ranked 16th among the list of Global Top 100 Newspapers. It is also the second largest newspaper in Latin America, and the third largest in South America.

El Tiempo leads in readership and influence in Colombia. It is published in six regional editions, predominantly focusing on Bogotá. One of El Tiempo’s distinguishing strategies that La Nacion could follow is the special sections in every Sunday publications. El Tiempo prints a weekly selection of Spanish-translated articles from The New York Times. This characteristic contributes to El Tiempo’s worldwide recognition from its connection to one of America’s top newspapers.

In terms of weaknesses and threats, El Tiempo faces multiple challenges to protect and retain its journalists. El Tiempo is renowned for its outright criticisms and denouncement drug trafficking and crimes in Colombia, and fights for democracy and liberty. Many of its reporters and journalists have been threatened, attacked, or killed for their critical stories. Also, its support for freedom and democracy has evoked violent responses from those being attacked. In 1952, its buildings were burned down, and one of the owners, Hernando Santos’s son was kidnapped.

Global Competitiveness Report

Competitive Advantages

A number of historical, politico-legal, social, economic, and cultural factors of Argentina help La Nacion gain and lose competitive advantage. First, Argentina is a historically rich and complex country. Consequently, La Nacion’s 138-years of history are also similarly wealthy. La Nacion was somewhat already distinguished since its founding by President Bartolome Mitre. With government officials running the newspaper, La Nacion built credibility not only in Argentina, but in various Spanish-speaking countries, especially because of its journalistic style. With Argentina’s volatile and eventful history, La Nacion has also suffered through and endured much changes and adversity. Thus, the newspaper has to its advantage the experience and knack for molding to changing environment, without losing its core beliefs and style of voice. Also, because La Nacion has been operating since long before, it was able to get renowned writers and columnists in the Spanish literary and journalistic world to write for its papers. This works in favor of the newspaper because those writers help bring in loyal readers and retain them.

In terms of politico-legal advantages, while La Nacion has clashed heavily with the Argentine government, it does not stand in line with any political party. It is independent from public institutions and agencies, and strives to only serve the people and commit to its goal of providing the most accurate information and sharing its opinions and views with the public without any pressure.

La Nacion holds competitive advantage in regards to sociocultural factors for several reasons. First, Argentina is slowly improving socially and culturally since its economic recession in 2002. Education levels have been increasing in Argentina. Higher educational levels allow people to earn higher income. This works in for favor for La Nacion since it targets the higher socioeconomic class. Furthermore, with increased standard of living, consumers are also more likely to purchase print newspapers, which can further bring in profit. La Nacion also has competitive advantage in terms of its voice for the interest of the people and the community. Compared to its competitors, La Nacion confidently speaks its opinion, praising or critical, which in turn also speaks for the Argentinians. Moreover, La Nacion is dedicated “ethical and social principles” and “the development of human beings in freedom, respect for life, education, social justice…protection of the environment…”. To contribute to following its doctrine, La Nacion created the La Nacion Foundation in 1998. This foundation’s primary goal is to “promote volunteer work as a cultural phenomenon in our society…We intend to contribute our ability to communicate, inform and educate to accomplish this goal.” Through this foundation, La Nacion created the Inclusive Community Award to communicate social inclusion initiative and show ways to resolve the exclusion and to achieve social integration.

Furthermore, cleverly utilizing its rich graphics, quality content, and easy-to-use interface, La Nacion can appeal to the younger generation more familiar with new technology. Consequently, the company launched La Nacion Mobile, which sends information services through the mobile phone to its registered users. La Nacion also has an advantage when it comes to sports, particularly soccer. Since soccer is one of the biggest sports in South America, being the second largest information provider in Argentina gives it a lead in the sports community. Because sports is an international interest and leisure, La Nacion should use this cultural environment to its advantage and find ways to exploit this asset.

Argentina’s economy has been rising since its economic crises. Foreigners have increasingly started to invest in Argentina’s economy, and the number of expats and tourists in Argentina has also risen. La Nacion’s competitive advantage lies in its support and defense of free market economy, for which it can build upon as the economy improves. La Nacion can also gain support from other countries that also promote free market economy. Furthermore, since La Nacion mostly caters to the elite class, with an improving economy, it may be more likely that its consumers will purchase more newspapers and be willing to pay a higher price.

Competitive Disadvantages

La Nacion also falls behind its competitors in several dimensions. Since its founding, La Nacion has numerous times clashed with government ideologies and policies. Between 1870 and 1901, La Nacion was forced to close business five times for going against the government’s principles and position at that time. Hence, with such politically charged history, La Nacion may face challenges in appealing to all audiences. In comparison, El Tiempo has also endured a volatile history. Because El Tiempo has maintained its commitment to democracy and freedom during its almost 100 years of operation since it was instituted, it was also ordered to close down under the dictatorship of Rojas Pinilla.

Politico-legal factors heavily influence La Nacion’s competitiveness. Argentina’s government plays a significant role in the news world. It suppresses and controls media, censoring certain information and press material. Although Argentina does not have government institutions for the sole purpose of censorship, political pressures from government officials and interest groups are prevalent.

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