week 15

Why has this artist been so successful? What are her key sources of sustainable competitive advantage? Think about her unique resources and core competencies, think about how she has responded to changes in the external environment, why is she difficult to imitate?

  Ø  The full name of Madonna is Madonna Louise Ciccone who is an American, actress, singer writer, entrepreneur and dancer. Madonna, inspired, astonished, entertained, provoked and outraged for more than two decade, and her achievements are legendary. Madonna Louise is single of the best-selling recording musician, artist and others of all time through sales of more than 200 million records that have facilitate to net her a fortune wherever in the region of $400 million. While countless of her generation have washed out into the background, the international icon and all-conquering brand.

The early figure of Madonna is as enlisted below:

ü  Extraordinary performance at the 1984 MTV VMAs

ü  Highly featured on MTV

ü  Punk-pop figure

There are various traits and qualities which guide Madonna’s sustainable success are given below:

·         Deep understanding of Industry as well as customer: She is very much conscious of her fans, customers and industry as well as her listeners. She has also the knowledge of environment and how to cope up with it. We can clearly identify that her Madonna’s Club tests, MTV co-specialization, religion/ politics which reflect that she have the deep understanding of her industry and fans.

·         Continuous Renewal: She was innovative in her duty while composing songs or doing other and flexible as well. She always manages herself according to time and situation. Therefore, she was difficult to imitate and replicate.  

·         Clear vision: From the childhood the vision of Madonna was clear and she always think to rule the world in the field of music. Clear vision is her important aspect which motivated and encourages becoming a ruler of the chosen industry, successful person and entrepreneur.

·         Find competencies and tackle weaknesses: Madonna is a strategist and is able to find out which strategy is needed to pursue in a certain environment. In additional, important thing is that she never secretes her weakness, always try how to improve from weakness.

There are various Competences of Madonna which led her to success and to be popular in the world. Some of them are as follows:

§     Brand Madonna.

§           Scandal Management.

§           Voice and looks.

§            Skilled support.

§             Dancing and style

§             Versatility.

 Different Madonna’s strategy from 1893-2010 by which she has counter to modify:

Low added value/low price

A prospect for a new entrant to fashion out a place or to use no frills as a bridgehead to construct capacity before moving to other strategies” When Madonna was fresh to the industry it was essential for her to encompass something innovative and unique. Her dancing style, voice, looks are the unique resources.

     Differentiation (1984 A.D.)

Mostly she provide only those products and services which provide full advantageous and audiences satisfaction which is always unique in nature, so competitors find difficult to imitate or replicate and always value by her listeners as customers. 

      Focused differentiation (1985-2013 A.D.)

Madonna high perceived remuneration is explanatory to continue price quality typically to a chosen market section which is sustainable in the market. Her composition and songs are considered as a premium product and they are closely branded. In addition the figure and brand of Madonna was complicated to replicate.

What strategy directions could the artist pursue over the next ten years to continue her commercial success? Consider each of the four boxes from the Ansoff matrix. What new products or markets could she enter? How might she diversify or continue to penetrate her existing market? Try to think logically but also creatively and innovatively.

Madonna’s Ansoff Matrix:

References:

      1.       Anderson, J. and Kupp, M. (2006) Madonna: Entrepreneurship on a Dance Floor, Business Strategy Review, 17(4): 26–31.

      2.      Anderson, J. and Kupp, M. (2006) Retail Financial Services in Germany, ESMT Case

      3.      Grant, R.M. (2002) Contemporary Strategy Analysis: Concepts, Techniques and Applications, Oxford: Blackwell Publishers Inc.

       4.      Porter, M.E. (1996) what is Strategy? Harvard Business Review, November–December

Online sources:

1.       MTV, Madonna Full Biography, http://www.mtv.com/music/artist/madonna/artist.jhtml  (assessed on 3/05/2013)

2.       The Times Online, http://entertainment.timesonline.co.uk/tol/arts_and_entertainment/

music/article3789058.ece (assessed on 3/05/2013)