Cirque du Soleil

Case Analysis

Lana Smith

The Industry 1980’s

• Traditional circus industry was unattractive.

• Market growth and revenues stagnant.

• Competitors were fighting for market share.

• Little differentiation

MISSION Cirque du Soleil’s mission is to invoke the

imagination, provoke the senses and evoke the emotions of people around the world.

Traditional Competition

• Traditional circuses were trying to survive

• Competing to attain renowned acts

• Costs rose without significantly increasing revenues.

Traditional Circus Appeal

• Awe

• Clowns

• Acrobats

• Trained Animal Performances

• Family Atmosphere

• Live Entertainment

Becoming Cirque

• Eliminations from Traditional Circus

– Animals

– Vendors

– Concession Sales

– Low Ticket Cost

• Lasting Traditions

– Clowns

– Acrobats

– The Big Tent

• Human beings create the show

• Clever performances with theme

• Outrageous Costumes

• No Animals

• Combination of Circus, Broadway and Opera

What is the Difference?

Financial Implications

Decreased Costs

Increased Revenue

Analysis

Strengths-

Unique, Sustainable Advantage

Weaknesses-

Potential Market Saturation

Opportunities-

No Limits to Expansion

Threats-

Bad Management,

Lack of New Talent

*All pictures came directly from Cirque du Soleil's website

Questions?