Founded in 1983 by a group of street performers, Cirque du Soleil has been in constant evolution since its creation. The company enjoys excellent international recognition and is reputed to have reinvented circus arts. The company was founded by Guy Laliberte, Gilles Saint-Croix and Daniel Gauthier with a differentiated offering in the circus industry blending street circus with opera, dance, theatre, live music, excellent choreography and amazing pyrotechnics. It gave people a whole new experience taking them a parallel universe stimulating their emotions.
The experience of a Cirque du Soleil show is considered to be as one of the most awaited and valued entertainment experience by people all around the world.
Goal The goal of Cirque du Soleil is to maintain their position as the market leader through constant innovation and also to expand their market by winning millions of hearts through sheer magic of their performance, by creating the imagination, provoking the senses and capturing the emotions of people around the world. Competitive Advantage * Brand Image:
Changing the traditional circus by a complete new flavor helped Cirque du Soleil to incorporate into public’s mind. They were the first who eliminated the use of animals in the circus. In addition, they innovated different styles of art that no one used before. * Rare Technical skills: Cirque du Soleil had all potential people including the management with full of creativity and experiences. Guy Laliberete had creative ideas to take the organization to a new height. He came up with the idea of Bttersea Project and Montreal Mega Complex which were important to fight back the growing competition.
Unlike other circus firms, Cirque du soleil arrange a dramatic synthesis of all form of circus emulating in a concept or story-line. * Unique Organizational Culture: .The core motive of the firm is innovation and creativity reflected in every decision including not going public offering IPO and being independent. The employees are empowered to share their views and the management maintains a friendly environment in order to facilitate the overall process in the organizational hierarchy.
Their decentralized working system made them adept to intensify and empower employees abroad to initiate creativity which motivates them and reduces turnover. Valuable Rare Inimitable Non-substitutable (VRIN) Framework: Resources| Valuable| Rare| Inimitable| Non- substitutable| Brand| * | * | * | * | Awards | * | X| X| * | Experience| * | X| * | * | Technical Skills | * | * | * | * | Organizational Culture | * | * | * | * | HR | * | X| X| X| Liaison with the governmentZ| * | * | * | * | Infrastructure| * | * | X| * | Custom Made Costumes | * | X| X| X| Competitive positioning: Differentiator
Cirque du Soleil charges premium prices and justifies it by providing high quality and unique features. They made themselves unique by diverging away from the usual industry trend. Market Scope: Broad Cirque du Soleil can be categorized as “broad” from market scope point of view, as it has many market segments with a broad coverage ensuring operation in 90 cities worldwide and no market specialization as there is no language barrier to their entertainment. Differentiated/ Niche| Cirque du Soleil Differentiated/ Broad| Cost/ Niche| Cost/ Broad| DIFFERENTIATION NICHE BROAD COST LEADERSHIP
X-Factors These are the POP’s of the firm which included all the daily activities required to be performed efficiently in order to deliver the value to the customers. These include dance, drama, choreography, acrobatics and all other activities required for the execution of their performances. Strategies By analyzing the goal and competitive advantages of Cirque du Soleil, we decided to divide the strategies into two paths, one which would lead them to maintain and improve artistic brilliance and the other which would help them commercialize and expand by reaching more people. Build a TQM team The core purpose of the team would be to come up with innovative strategies. Cirque du Soleil should create a TQM (total quality management) team which would consists members from all concerned departments and will ensure that the overall quality of performance and management is at its best. * Diversification Using the Cirque du Soleil theme and reputation, they can go for hotels and resorts, which would attract more people. As a strong liaison with the government already exists, which could be manipulated further in the future, eliminating regulatory embargoes.
Thereby using finances from financial institutions, Cirque du Soleil can fulfill their unfinished dream of building the Mega Complex to enthrall people with the a world of unique experience all through. * Introduction of a TV show Cirque du Soleil should go for a reality television show where they would create different tasks for the participants and the winners will be recruited as performers. This show will not only ensure highly talented recruits from all over the world but will also ensure coverage benefits. Worldwide Expansion of business. Cirque du Soleil should now target other countries of the world, rather than just focusing on simply in North America. The step now to take should be to move with a broad vision and get hold of untapped markets internationally. A few of the countries to see as profitable and opportunity based are U. K, Dubai, Malaysia and Hong Kong. * Going for Sponsorship deals The management should use the brand image to attract sponsors that would increase their revenue. * Training center of Cirque du soleil:
At the point of saturation, the firm could use their brand image and expertise to effectively and efficiently establish a circus training center attracting interested students from all over the world and continuing to create innovative minds that would sustain the soul of the Cirque du Soleil for years. Conclusion Cirque du Soleil revitalized the circus and created a revolution in the entertainment industry. Not only did Cirque du Soleil reinvent the product, it also redesigned the entire value proposition according to the value chain theory of Michael Porter.
The Cirque du Soleil business is successful because it lets the creative people run the show. The owners and top management of the company should keep on guiding it with an invisible hand, making sure that business policies do not interfere with the creative process; it is at its very core, a group of street performers led by a team of creative and production personnel, not a predetermined budget, that defines the content, style, and material requirements for each project.
Cite this Cirque Du Soleil Review
Cirque Du Soleil Review. (2016, Oct 27). Retrieved from https://graduateway.com/cirque-du-soleil-review/