Competitive Advantages of Cirque du Soleil
Cirque du Soleil is a leading global live entertainment producer that began its operations in 1984. According to the information in the video clip, the company has been enjoying a competitive in the market in which it operates. Although there are many other companies which offer similar services, there is enough evidence to prove that, indeed, Cirque du Soleil has been outshining its competitors in the industry.
The company is quite competitive because it is diverse and multicultural. Unlike its competitors, the company has a diverse staff that comprises of 1,300 artists from over 40 countries across the world. The company is successful because it applies a participatory decision-making model. Before implementing any idea, the management has to seek the opinion of these workers. Through this, the company manages to meet the needs of all its clients regardless of their cultural diversities (O’Brien & Siampos, 2021). Besides, the company has been distinguishing itself as accost-leader. It differs from other companies which charge high rates to the clients who seek to attend their shows. This happens because the company operates on a low budget. It hires low-cost performers who are economical and easy to sustain. The low pricing policies advantages the company because it enables it to attract and retain a large pool of loyal clients. World over, clients are conscious of low prices which appear to be affordable. High costs are not suitable for business because it discourages potential clients. It is viewed as exorbitant and unnecessarily expensive. Moreover, the company has been using a blue ocean strategy that, in many ways, differ from its competitors. It does not rely on the use of animals in its shows. The company uses the performers to thrill its clientele (Théberge, Fleet & Turgeon-Pelchat, 2019). This makes it to appear innovative and creative. Initially, many clients were used to watching animal circus shows. These shows were appealing to the market in the past. So, for the modern-day companies to succeed, they must be as creative and innovative as possible-something that the management of Cirque du Soleil has excelled in.
Cirque du Soleil has become successful because of the efforts that it has been making over the years to become better and better each day. The success of the company is attributed to its management. The company has a centralized management system that plays a critical role in the management of its operations. The leaders make central decisions which are applied in the management of the company’s human, financial, and other resources. Better still; the company has been investing in quality service-delivery. It offers high-quality services which can satisfy the needs of the clients by guaranteeing a value for every coin spent on the shows. Lastly, the company has proven to be flexible and dynamic. It is always adapting to the latest trends in the social, economic, political, environmental, legal, and technological aspects of business (Courchesne, Ravanas & Pulido, 2019). For instance, a part from appreciating, tolerating, and accommodating all cultures, the company embraces the usage of modern technologies. Currently, it uses latest technologies like digital soundboards, programmed keyboards that play a critical role in producing exceptional cinematography qualities. Technology and diversity are latest trends which have to be embraced so as to sufficiently serve the global clientele.
Management Approach
It is, therefore, evident that Cirque du Soleil still has chances of exceling and even achieving more than it has ever done in its 38-year-long history. However, for the company to continue outshining its rivals, it needs to be consistent with its management approach, innovative ideas, quality products, diversity, and adaptability (Becker, 2018). All these can be of great contribution in as far as the future prosperity of the company is concerned.
References
Becker, H. (2018). CIRQUE DU SOLEIL-KA IN LAS VEGAS: SUSTAINABILITY OF A
BLUE OCEAN. Journal of International Management Studies, 18(2).
Courchesne, A., Ravanas, P., & Pulido, C. (2019). Using Technology to Optimize Customer
Relationship Management: The Case of Cirque du Soleil. International Journal of Arts Management, 21(2).
O’Brien, J., & Siampo, A. (2021). Group role play case: Designing a multiple sting, digitally
focussed, marketing communications campaign plan for Cirque du Soleil’s next London show. Journal of Applied Learning and Teaching, 4(1).
Théberge, J., Fleet, R., & Turgeon-Pelchat, C. (2019). Contribution of an arts-based approach in
collaboration with Cirque du Monde, by Cirque du Soleil to the mobilization and understanding of research results in a rural community. International Journal of Integrated Care (IJIC), 19.
The case scenario presents, a brief, but insightful analysis of the intrigues that surround the internationalization of organizations in reference to Cirque du Soleil. As clearly-explained in the discussion, internationalization is a good, but challenging idea. It is true that the internationalization of an organization can bring massive benefits including the expansion of market coverage, clients, revenues, and profitability. By going global, the companies like Cirque du Soleil have had to enjoy such benefits.
Nonetheless, as illustrated in the discussion, internationalization is not a simple undertaking as it brings a myriad of challenges to the organizations. It is true that internationalization can bring a problem of change management. Whenever an organization goes global, it should be ready to capture new market that has totally different social, economic, political, environmental, technological, and legal climate. Such changes can negatively impact on the stability and prosperity of an organization as it can bring unwarranted cultural conflicts which can end up compromising the quality of productivity (Leslie & Rantisi, 2019). The end result is that the performance of the organization might deteriorate particularly if it has to contend with the realities of poor management, loss of creativity, and declining skills. In this regard, for the companies like Cirque du Soleil that want to go global to accomplish their mission, they have to strategize well how to manage their operations in the international market 9Read, 2018). They should adopt all the strategies which can make the organization viable, strategically-position it, and make it as competitive as possible.
References
Leslie, D., & Rantisi, N. (2019). Deskilling in cultural industries: Corporatization,
standardization and the erosion of creativity at the Cirque du Soleil. Geoforum, 99, 257-266.
Read, H. (2018). Seeing the Circus Anew. TOPIA: Canadian Journal of Cultural Studies, 185-
189.
In this case, the main discussion centers on the abilities of an organization to succeed in its internationalization efforts. As demonstrated in the discussion, one key ingredient of success in the international market is adaptability. Since it decided to go global, Cirque du Soleil has been proving to be a great success. The success of the company is attributed to the fact that it is not a static, but flexible and dynamic company that is always ready to adapt to the changes in the environment in which it operates (Yoo, 2017).
Quality Service-Delivery and Low Pricing Policies
The discussion merits because adaptability matters a lot in the world today. Today, the world is globalized. For an organization to succeed, it must be ready to cope-up with the latest changes in technology, and production. For organizations to succeed, they should be ready to identify and satisfy the needs of the clients no matter how diverse they might be. This is a worthy strategy because of the need to adequately respond to the needs, tastes, and preferences of the clients (Ghazzawi, 2019). It can, therefore, be a good idea if all the organizations borrow a leaf from Cirque du Soleil that has proven to be efficient in the management of its businesses in the international market. The adaptability in the hiring of performers has been of great contribution as it enables the company fit into any cultural setting.
References
Ghazzawi, I. (2019). Cirque Du Soleil: Innovation Is More Culture Than Process. Journal of
Case Research and Inquiry, 5, 219.
Yoo, Y. (2017). Case Analysis of the performance contents using virtual reality technology.
Journal of the Korea Convergence Society, 8(5), 145-153.
The point of discussion in this case scenario is about the strategies that the management of Cirque du Soleil has been using to create a competitive edge in the market. Apart from cultural adaptability, the company has heavily invested in its human resources. Also, it has been using research as a global strategic plan to capture and seize the entertainment market.
Human resource management, as observed at Cirque du Soleil, is a brilliant strategy that can enable an organization to succeed in the global market. The company has managed to succeed because it has heavily invested in its employees (O’Brien & Siampo, 2021). The company offers the best human resource management tactics. It hires the best talent and manages them well by caring for their welfare, offering them attractive remuneration packages, recognizing, empowering, and involving them in the decision-making processes (Koustas, 2018). These are, indeed, strategies which all the other companies should embrace as they enable them to attract and retain a large pool of talented personnel that can guarantee quality service-delivery to the clients. Employees can be productive if given an opportunity to serve an employer who cares for their welfare, motivates, empowers, and offers them the best.
References
Koustas, J. (2018). Cirque Global: Quebec’s Expanding Circus Boundaries ed. by Louis Patrick
Leroux and Charles R. Batson. University of Toronto Quarterly, 87(3), 467-468.
O’Brien, J., & Siampos, A. (2021). Case teaching note: Designing a multiple sting, digitally
focussed, marketing communications campaign plan for Cirque du Soleil’s next London show. Group role play seminar activity. Journal of Applied Learning and Teaching, 4(1).
The case presents a discussion on the business model applied by Cirque du Soleil in its operations. Since the company internationalized its operations, it has decided to employ the use of business models which can strategically position and give it a competitive edge over its rivals in the market. The company relies on its core values of people, social responsibility, financial responsibility, and creativity.
Indeed, success in the international market calls for creativity, innovation, and adaptability. The strategies which the company has been adopting a desirable as they increase the chances of its growth and success in the competitive market in which it operates (Courchesne, Ravanas & Pulido, 2019). The use of effective customer relationship management, marketing, cultural tolerance, and modern technology has made it quite easy for the company to market its services, appeal to, and attract a large pool of loyal clients across the globe. Technology, for instance, has been effective in enabling the company to market its services and create a good rapport with its clients. With the usage of latest technologies like computer analytics, database software, and internet, the company has been finding it easy to manage its clients’ data in the most convenient way (Leslie & Rantisi, 2019). These are strategies that should be emulated by any other company that is interested in succeeding in the international market.
References
Koustas, J. (2018). Cirque Global: Quebec’s Expanding Circus Boundaries ed. by Louis Patrick
Leroux and Charles R. Batson. University of Toronto Quarterly, 87(3), 467-468.
Leslie, D., & Rantisi, N. (2019). Deskilling in cultural industries: Corporatization,
standardization and the erosion of creativity at the Cirque du Soleil. Geoforum, 99, 257-266.
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