Week 4 seminar madonna suggestion

3BM020 Organisational Strategy & Decision Making Week Seminar: Case study Madonna: The Reigning Queen of Pop? Question 1: Describe and explain the strategy being followed by Madonna in terms of competitive strategy The strategy pursued by Madonna can be explained both in terms of a generic competitive strategy (Michael Porter’s generic strategies) and in terms of principles of hypercompetitive strategies   Clearly she has sought to differentiate herself throughout her career This has taken different forms, as the case explains, but there has been an underlying theme of the ‘independent woman’ throughout What has varied has been the different personas within this Students could debate whether or not these have been pitched at particular ‘market segments’ and in this sense represent multiple niche strategies or focused differentiation; or the extent to which they are simply tactical bases of differentiating herself from imitators and followers Another interpretation would fit with explanations of hypercompetitive strategies Many of the principles outlined by D’Aveni seem to apply: Cannibalising the bases of success: organisations have to be willing to cannibalise the basis of its success in order to develop new advantages Maintaining the old basis can hinder the development of new advantages A series of small moves rather than big moves: in gaining and maintaining advantage a series of small moves as opposed to big moves create more flexibility and result in a series temporary advantages, smaller moves also give the advantage in that they are harder to detect by the competitors Be unpredictable: unpredictability can be important in in the pattern of strategic moves, it makes it difficult for competitors to predict the next moves and hence more difficult to quickly imitate or copy Arguably Madonna has successfully followed this unpredictable pattern in sustaining her reign as the ‘queen of pop’ As a more up to date example perhaps Lady GaGa is also a follower of this strategy, whether she is imitating Madonna is another talking point Mislead the competition: linking into point three above, in some instances business managers and strategy formulators might consciously appear to be unpredictable or irrational to the outside competition whilst internally being thinking through strategies This links to Game Theory where organisations might signal and show intensions to act in one way but the something different in reality This approach can also be employed where an organisation might play down initial success in a market until it is ready to use this strategically against competitors Each persona is temporary; each one is very different from the last; Madonna seems to move on to a different image even while being successful in her last one; they are not predictable changes; they can be surprising, even shocking The Madonna case therefore illustrates that the idea of hypercompetition is not necessarily contradictory to the idea of generic basis of competition It might be possible to be differentiated in a hypercompetitive way Think about links to Questions and here, that is, the most recent events allow for the questioning of the long-term sustainability of hypercompetition itself Question: Why has she experienced sustained success over three decades? This question invites students to consider the basis of sustainability in this context Students might wish to ask which principles of sustainability hold They should see that a number of principles Madonna appears to have competences of innovation and flexibility The pop industry has learned to work with her, and in this sense they have developed a mutual co-specialised dependence; so, it looks to promote her interests given her track record Certainly it is difficult to predict where she will move next, or how she is successful (causalambiguity) Question: Can Madonna sustain her success? This question invites students to question these bases of sustainability The strategy does not seem to be vulnerable to others imitating it since it is difficult for them to understand or predict what they would be imitating However, students might argue that it is surely a risky strategy as she seeks to second guess the nature of the market and make so many changes to her image They are likely to argue that the risk is market acceptance If so, how would they explain the continued success, given so many changes over so many years? Has the formula for success run out of steam? And if so why? ...Question 1: Describe and explain the strategy being followed by Madonna in terms of competitive strategy The strategy pursued by Madonna can be explained both in terms of a generic competitive... from the last; Madonna seems to move on to a different image even while being successful in her last one; they are not predictable changes; they can be surprising, even shocking The Madonna case... to date example perhaps Lady GaGa is also a follower of this strategy, whether she is imitating Madonna is another talking point Mislead the competition: linking into point three above, in some