Week 15

WEEK 15

                                            MADONNA – CASE STUDY

 

Why has the artist been successful? What are her key sources of sustainable competitive advantage?

Entertainment world has many faces that have been performing and entertaining whole world for years. Some are successful and have the name and fame while some are unsuccessful and are struggling to achieve that name and fame. Madonna is one of the most successful superstars. She is the star, the diva and the brand as well. An Italian-American entertainer who aspired to become a world renowned female performer, currently is the best selling female recording artist of all time recognized by the Guinness World Records by selling more than 300 million records worldwide. She is a multi-talented entertainer and is not only a performer but also dancer, actress, producer, fashion designer and much more. (Jock McGregor, 1997).

Here are some of the reasons for Madonna’s success and sustainable competitive advantage:

•          Innovative, creative and hardworking 
•           There is a chance in her style and pattern according to time. 
•      Good network with well-known and popular music houses. 
•      She has created different songs which are fit for fans of all age group.
•      Uses competencies to overcome weaknesses. 
•      Business minded person who has invested in many business sectors.

Madonna is still the pop sensation in the entertainment industry because she took time, worked hard and did everything to gain public support and hence gained fame and popularity.

What strategy directions could the artist pursue over the next ten years to continue her commercial success?

There is a huge competition in the entertainment industry and for the star like Madonna it is very necessary and important to maintain her success and competitive advantage over the successful new comers. Ansoff matrix helps to develop marketing strategies for both individuals and the firms. She can use Ansoff matrix and develop strategies to continue with her success. (Allesia Bertana, 2012).

Here, we are going to use Ansoff matrix and the directions Madonna can follow to sustain her success:

 Product development: In this strategy existing products and services are re-designed and launched in current or same market. Madonna can come up with same songs in different genres like many other artists have done and improve her acting skills to get more access on movies and television commercials. In this way she can undergo product development strategy.

Market penetration: In this strategy high market share in obtained with current products and services in the current market. Madonna can re-launch her hit songs in a collection album and include some of her not so hit songs as well and even enroll herself in music tours and entertain her fans.

Market extension: In this strategy existing products and services enters into a new marketplace. We know that Madonna is engaged in fashion industry and has her own clothing line which is famous in developed countries like US and Europe. She has fan following in less developed countries as well so she can launch her clothing in these countries and as a promotion method she can organize a concert in that marketplace so that people can notice it especially her fans.

Diversification: In this strategy new products and services are offered in new marketplace. Madonna is already a pop star and a fashion designer so she can enter into other businesses like perfume business as Jennifer Lopez did and even open her own music school. Se can also invest in music companies which are familiar with and can enroll herself in social service activities.

References:

1. Allesia Bertana. (2012). Madonna - Strategy Success and Business Development. Available: http://prezi.com/ovitr7eycw49/madonna-strategy-success-and-business-development/. Last accessed 20/10/2013.
2. Jock McGregor . (1997). Madonna: Icon of Postmodernity. Available: http://www.facingthechallenge.org/madonna.php. Last accessed 20/10/2013.
3. Marked by Teachers. (2013). Marketing Madonna . Available: http://www.markedbyteachers.com/university-degree/business-and-administrative-studies/marketing-madonna-describe-and-explain-the-strategy-being-followed-by-madonna-in-terms-of-the-explanation-of-compe. Last accessed 20/10/2013.