Cirque Du Soleil Case Analysis

Jamie Wright

Cirque du Soleil

B321

[pic 1][pic 2]Case Analysis

Introduction-

Cirque du Soleil is known for its breathtaking shows that combine mind-boggling physicality with signature artistry. They are beautiful, mystifying and, awe-inspiring to behold.   From the humble beginnings as street performers in the early 1980’s to a multi-billion company of today, Cirque du Soleil has become a leader in innovation by emphasizing the highest level of creativity and brand value for a non-traditional circus.  

Along with Cirque’s success came growing pains.  For Guy Laliberte and Gauthier, having artistic and commercial independence was vital.  How could they diversify and keep the integrity of their business, manage employees, collect the right talent and retain them, and while expanding into so many areas protect the culture of their company?  

Problem Analysis-

1.   Artistic and Commercial independence – Cirque’s success attracted many producers  “who wanted to put their hands on the creative enterprise” as well as many companies “wanting to partner with or buy out Cirque du Soleil” (Cirque du Soleil Case).  Cirque needed to determine whether it was willing to make a substantial profit by doing this.  In the end they were “determined to keep their artistic and commercial independence, both vowed to always remain a privately held organization and to choose their future business partners wisely and parsimoniously” (Cirque du Soleil Case).    This decision was a smart move and has kept the Cirque du Soleil unblemished by Hollywood and prima donna actors.

2.  Exclusivity strategy – Cirque du Soleil would not duplicate its productions.  “We’ve been approached by corporations around the world who would like us to do copies but we always say, ‘No.  If you want to see “O”, you have to go to Las Vegas.  Clowns, yes. Clones, no” (Cirque du Soleil Case).  Instead of having several similar shows around the country, they chose a strategy of exclusivity.  

3.  Creative Process – The rapid growth strategy and multiple productions had left the Cirque du Soleil organization exhausted.  This caused many of its creators to leave the company and start a new production company.  “Laliberte made sure that the heart of Cirque’s creative process was its organization, not a particular group of people”(Cirque du Soleil Case).  This enabled Cirque to formalize certain aspects of their creative processes and “made sure that the heart of Cirque’s creative process was its organization, not a particular group of people” (Cirque du Soleil Case).