Harvard Case - Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships
"Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships" Harvard business case study is written by Ramon Casadesus-Masanell, Maxime Aucoin. It deals with the challenges in the field of Strategy. The case study is 21 page(s) long and it was first published on : Jun 2, 2009
At Fern Fort University, we recommend Cirque du Soleil pursue a multi-pronged strategy to address its challenges and ensure long-term sustainability. This strategy will focus on reinventing its core business model, expanding into new markets, and building strategic alliances to leverage its unique brand and core competencies.
2. Background
Cirque du Soleil, a Canadian entertainment company, revolutionized the circus industry with its artistic and innovative performances. However, the company faces several challenges:
- Declining ticket sales: Competition from other entertainment options and rising production costs have impacted revenue.
- Aging audience: The traditional circus audience is aging, and attracting a younger demographic is crucial for future growth.
- Founder's departure: The absence of Guy Lalibert', the visionary founder, has created a leadership vacuum and uncertainty about the company's future direction.
3. Analysis of the Case Study
SWOT Analysis:
Strengths:
- Strong Brand: Cirque du Soleil is globally recognized for its unique artistic vision and innovative performances.
- Core Competencies: The company possesses exceptional talent in acrobatics, music, and stage design.
- Global Reach: Cirque du Soleil has established a presence in numerous countries, showcasing its international appeal.
- Diversification: The company has expanded beyond traditional circus performances, offering a range of entertainment experiences.
Weaknesses:
- High Production Costs: The elaborate shows require significant investments in talent, costumes, and technology.
- Dependence on Ticket Sales: Revenue is heavily reliant on ticket sales, making the company susceptible to market fluctuations.
- Leadership Transition: The departure of Guy Lalibert' has created a leadership vacuum and uncertainty about the company's future direction.
- Limited Digital Presence: Cirque du Soleil has yet to fully leverage digital platforms for marketing and audience engagement.
Opportunities:
- Emerging Markets: Expanding into new markets, particularly in Asia and Latin America, offers significant growth potential.
- Digital Transformation: Utilizing digital platforms for marketing, ticketing, and creating immersive experiences can attract a younger audience.
- Strategic Alliances: Partnering with other entertainment companies, technology providers, and brands can create new revenue streams and enhance the Cirque du Soleil experience.
- Corporate Social Responsibility: Emphasizing sustainability and ethical practices can resonate with a socially conscious audience.
Threats:
- Economic Downturn: Global economic instability could negatively impact ticket sales and investment opportunities.
- Competition: The entertainment industry is highly competitive, with numerous players vying for audience attention.
- Technological Disruption: New technologies and entertainment formats could disrupt the traditional circus model.
- Talent Acquisition: Attracting and retaining top-tier talent is crucial, but competition for skilled performers is intense.
Porter's Five Forces Analysis:
- Threat of New Entrants: The high cost of production and the need for specialized talent create a barrier to entry, limiting the threat of new entrants.
- Bargaining Power of Buyers: Consumers have a range of entertainment options, giving them bargaining power, especially in mature markets.
- Bargaining Power of Suppliers: Cirque du Soleil relies on a diverse range of suppliers, including artists, costume designers, and technology providers, which can influence bargaining power.
- Threat of Substitutes: The entertainment industry offers numerous substitutes, including movies, concerts, and theme parks, posing a significant threat.
- Rivalry Among Existing Competitors: Competition is intense, particularly from established entertainment companies and emerging digital platforms.
Value Chain Analysis:
Cirque du Soleil's value chain includes:
- Inbound Logistics: Sourcing talent, costumes, and equipment.
- Operations: Producing and staging shows, including rehearsals and technical production.
- Outbound Logistics: Transporting shows and equipment to different venues.
- Marketing and Sales: Promoting shows and selling tickets.
- Service: Providing an exceptional customer experience at the shows.
Business Model Innovation:
- Digital Content Creation: Develop digital content, such as behind-the-scenes documentaries and interactive experiences, to engage a wider audience and generate new revenue streams.
- Subscription Model: Offer subscription packages for access to online content, exclusive events, and discounts on tickets.
- Experiential Marketing: Create immersive experiences beyond traditional performances, such as theme park attractions or interactive installations.
- Corporate Events: Leverage Cirque du Soleil's unique brand and talent for corporate events and brand activations.
4. Recommendations
1. Reinvent the Core Business Model:
- Digital Transformation: Embrace digital platforms for marketing, ticketing, and creating immersive experiences. Develop a robust online presence and utilize social media to engage with fans.
- Content Creation: Produce digital content, including short films, documentaries, and interactive experiences, to reach a wider audience and generate new revenue streams.
- Subscription Model: Offer subscription packages for access to online content, exclusive events, and discounts on tickets.
- Experiential Marketing: Create immersive experiences beyond traditional performances, such as theme park attractions or interactive installations.
2. Expand into New Markets:
- Emerging Markets: Focus on expanding into emerging markets, particularly in Asia and Latin America, where demand for entertainment is growing.
- Market Segmentation: Identify specific target audiences in each market and tailor shows and marketing campaigns accordingly.
- Local Partnerships: Collaborate with local artists, businesses, and government agencies to build relationships and enhance cultural relevance.
3. Build Strategic Alliances:
- Technology Partners: Partner with technology companies to develop innovative entertainment experiences and leverage data analytics for audience insights.
- Entertainment Companies: Collaborate with other entertainment companies to cross-promote events and reach a wider audience.
- Brand Partnerships: Partner with brands that align with Cirque du Soleil's values and target audience to create co-branded experiences and generate revenue.
4. Enhance Corporate Social Responsibility:
- Sustainability Initiatives: Implement sustainable practices throughout the organization, from sourcing materials to reducing waste.
- Community Engagement: Engage with local communities and support social causes that align with Cirque du Soleil's values.
- Ethical Practices: Maintain ethical standards in all business operations, ensuring fair treatment of employees and suppliers.
5. Basis of Recommendations
These recommendations are based on a comprehensive analysis of Cirque du Soleil's strengths, weaknesses, opportunities, and threats. They consider the company's core competencies, external customer needs, competitive landscape, and potential for growth. The recommendations are also aligned with industry trends and the evolving needs of the entertainment industry.
Key Assumptions:
- Cirque du Soleil can successfully adapt its business model to embrace digital platforms and create engaging content.
- The company can successfully enter new markets and build relationships with local partners.
- Strategic alliances with technology companies, entertainment companies, and brands will be mutually beneficial.
- Consumers will respond positively to Cirque du Soleil's efforts to enhance its corporate social responsibility.
6. Conclusion
Cirque du Soleil faces significant challenges, but it also has the potential to thrive in the evolving entertainment landscape. By embracing innovation, expanding into new markets, and building strategic alliances, the company can secure its future and continue to delight audiences worldwide.
7. Discussion
Alternatives:
- Mergers and acquisitions: Cirque du Soleil could consider acquiring or merging with other entertainment companies to expand its reach and diversify its offerings.
- Cost reduction: The company could focus on reducing production costs by streamlining operations and negotiating better deals with suppliers.
- Focus on core business: Cirque du Soleil could focus on its core circus business and prioritize its existing markets.
Risks:
- Digital transformation: The company may face challenges in adapting its business model to the digital world and attracting a younger audience.
- Market expansion: Entering new markets can be costly and challenging, and the company may face difficulties in navigating cultural differences and regulatory requirements.
- Strategic alliances: Partnering with other companies can be complex and may lead to conflicts of interest or loss of control over the brand.
Key Assumptions:
- The entertainment industry will continue to evolve, and digital platforms will play an increasingly important role.
- Consumers will continue to seek out unique and immersive entertainment experiences.
- Cirque du Soleil can maintain its brand identity and core values while adapting to changing market conditions.
8. Next Steps
Timeline:
- Year 1: Implement digital transformation strategy, launch online content platform, and explore strategic alliances.
- Year 2: Expand into new markets, focusing on Asia and Latin America.
- Year 3: Develop new immersive experiences and strengthen corporate social responsibility initiatives.
Key Milestones:
- Launch a new website and social media platforms.
- Develop and release a series of digital content.
- Secure partnerships with technology companies and entertainment companies.
- Open new venues in emerging markets.
- Implement sustainable practices throughout the organization.
By taking these steps, Cirque du Soleil can navigate the challenges of the entertainment industry and emerge as a stronger and more sustainable organization.
Hire an expert to write custom solution for HBR Strategy case study - Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships
- Cirque Du Soleil
- Cirque Du Soleil China Wakeup Call Day Reckoning
- Information Technology Cirque Du Soleil Looking Back Moving Forward
- Circulr Creating Sustainable Value Empty Jar
- Louis Vuitton Moet Hennessy Search Synergies Global Luxury Industry
- Cavinkare Private Limited Challenges Sustaining Growth Expanding Business
- Supreme Case Coolness
- Preserve Growing Sustainable Consumer Goods Company
- Deckss Romanian Joint Venture
- Ei Du Pont De Nemours Co
- Explo Leisure Products
- Taking Plunge New Luxury Ventures
Case Description
The case describes the history and business model of Cirque du Soleil (CdS). The case allows for a rich discussion and analysis of Cirque du Soleil's business model with an emphasis on how it interacts with that of MGM Mirage. Le Cirque and MGM's business models complement one another: MGM makes important capital investments in theaters tailored to CdS's shows that are located in the middle of MGM casinos, CdS acts as a magnet for traffic for an exclusive clientele that spends large amounts of money at the casino. CdS's partnership with MGM has been tremendously profitable. This raises the question of why hold up and opportunism have not destroyed competitive advantage for both entities: What features in CdS and MGM Mirage's business models have resulted in such a successful partnership? The case is set at a juncture where Daniel Lamarre (CdS's CEO) is looking for new opportunities for growth. Lamarre is pondering the likelihood of success of Cirque's first resident show in Asia at Tokyo Disney Resort, its entry in the Macao market, and a new partnership with two subsidiaries of Dubai World, the sovereign wealth fund of the Emirate. The question is: Can Le Cirque find a new model of complementary relationships that will be as profitable as its relationship with MGM Mirage?
🎓 Struggling with term papers, essays, or Harvard case studies? Look no further! Fern Fort University offers top-quality, custom-written solutions tailored to your needs. Boost your grades and save time with expertly crafted content. Order now and experience academic excellence! 🌟📚 #MBA #HarvardCaseStudies #CustomEssays #AcademicSuccess #StudySmart Write my custom case study solution for Harvard HBR case - Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships
Hire an expert to write custom solution for HBR Strategy case study - Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships
Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships FAQ
What are the qualifications of the writers handling the "Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships" case study?
Our writers hold advanced degrees in their respective fields, including MBAs and PhDs from top universities. They have extensive experience in writing and analyzing complex case studies such as " Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships ", ensuring high-quality, academically rigorous solutions.
How do you ensure confidentiality and security in handling client information?
We prioritize confidentiality by using secure data encryption, access controls, and strict privacy policies. Apart from an email, we don't collect any information from the client. So there is almost zero risk of breach at our end. Our financial transactions are done by Paypal on their website so all your information is very secure.
What is Fern Fort Univeristy's process for quality control and proofreading in case study solutions?
The Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships case study solution undergoes a rigorous quality control process, including multiple rounds of proofreading and editing by experts. We ensure that the content is accurate, well-structured, and free from errors before delivery.
Where can I find free case studies solution for Harvard HBR Strategy Case Studies?
At Fern Fort University provides free case studies solutions for a variety of Harvard HBR case studies. The free solutions are written to build "Wikipedia of case studies on internet". Custom solution services are written based on specific requirements. If free solution helps you with your task then feel free to donate a cup of coffee.
I’m looking for Harvard Business Case Studies Solution for Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships. Where can I get it?
You can find the case study solution of the HBR case study "Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships" at Fern Fort University.
Can I Buy Case Study Solution for Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships & Seek Case Study Help at Fern Fort University?
Yes, you can order your custom case study solution for the Harvard business case - "Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships" at Fern Fort University. You can get a comprehensive solution tailored to your requirements.
Can I hire someone only to analyze my Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships solution? I have written it, and I want an expert to go through it.
🎓 Struggling with term papers, essays, or Harvard case studies? Look no further! Fern Fort University offers top-quality, custom-written solutions tailored to your needs. Boost your grades and save time with expertly crafted content. Order now and experience academic excellence! 🌟📚 #MBA #HarvardCaseStudies #CustomEssays #AcademicSuccess #StudySmart Pay an expert to write my HBR study solution for the case study - Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships
Where can I find a case analysis for Harvard Business School or HBR Cases?
You can find the case study solution of the HBR case study "Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships" at Fern Fort University.
Which are some of the all-time best Harvard Review Case Studies?
Some of our all time favorite case studies are -
Can I Pay Someone To Solve My Case Study - "Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships"?
Yes, you can pay experts at Fern Fort University to write a custom case study solution that meets all your professional and academic needs.
Do I have to upload case material for the case study Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships to buy a custom case study solution?
We recommend to upload your case study because Harvard HBR case studies are updated regularly. So for custom solutions it helps to refer to the same document. The uploading of specific case materials for Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships ensures that the custom solution is aligned precisely with your needs. This helps our experts to deliver the most accurate, latest, and relevant solution.
What is a Case Research Method? How can it be applied to the Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships case study?
The Case Research Method involves in-depth analysis of a situation, identifying key issues, and proposing strategic solutions. For "Cirque du Soleil--The High-Wire Act of Building Sustainable Partnerships" case study, this method would be applied by examining the case’s context, challenges, and opportunities to provide a robust solution that aligns with academic rigor.
"I’m Seeking Help with Case Studies,” How can Fern Fort University help me with my case study assignments?
Fern Fort University offers comprehensive case study solutions, including writing, analysis, and consulting services. Whether you need help with strategy formulation, problem-solving, or academic compliance, their experts are equipped to assist with your assignments.
Achieve academic excellence with Fern Fort University! 🌟 We offer custom essays, term papers, and Harvard HBR business case studies solutions crafted by top-tier experts. Experience tailored solutions, uncompromised quality, and timely delivery. Elevate your academic performance with our trusted and confidential services. Visit Fern Fort University today! #AcademicSuccess #CustomEssays #MBA #CaseStudies
How do you handle tight deadlines for case study solutions?
We are adept at managing tight deadlines by allocating sufficient resources and prioritizing urgent projects. Our team works efficiently without compromising quality, ensuring that even last-minute requests are delivered on time
What if I need revisions or edits after receiving the case study solution?
We offer free revisions to ensure complete client satisfaction. If any adjustments are needed, our team will work closely with you to refine the solution until it meets your expectations.
How do you ensure that the case study solution is plagiarism-free?
All our case study solutions are crafted from scratch and thoroughly checked using advanced plagiarism detection software. We guarantee 100% originality in every solution delivered
How do you handle references and citations in the case study solutions?
We follow strict academic standards for references and citations, ensuring that all sources are properly credited according to the required citation style (APA, MLA, Chicago, etc.).