Case Analysis: Even a Clown Can Do It

Case Analysis: Even a Clown Can Do It

1. How would you assess the attractiveness of the circus industry in the early 1980s? What would you conclude from your industry analysis?

In the early 1980, the circus industry is overall stagnant, however, several persons with noble aspirations began to develop this industry by exploring different forms of art.

For the stagnant of this industry, there are several signs:

• The traditional circus industry was attached by other new entertainment industry a lot in the early 1980, for example sports, video industry, internet game industry.

• The traditional circus companies are limited by the traditional factors, such as animals, famous clowns, concessions and etc, they had to keep creating a more danger, more exciting atmosphere. Their audience was limited in families and kids.

• As long as the format of tradition circus is set, the tradition circus companies began to pursuit the cost reduction, which lead to price war of ticket. The price war and low profit made the whole industry go down as screw type.

On the other side, some pioneers were willing develop this industry by pursuit of both profit and art.

• Different type of art were developed to an unprecedented height, such as street entertainment, lighting technology, music, stage art, custom.

• The other entertainment product trained and guided the audience's preference of entertainment into another level, a classic and novel level.

• A circus school was established by Guy Carton in 1979, which was a foundation of human resources for new circus.

To sum up, in the early 1980s, the circus industry is in a status of all neglected tasks are being undertaken—to full-scale reconstruction is under-way. And the traditional circus companies were competed with each other in a shrinking market.

2. What were the factors the traditional circus companies competed on? What do you like or dislike about the traditional circus?

The traditional circus companies were competed on developing famous clowns and beast masters instead of improving the play itself. All the plays were based on the existing traditional plays.

The competition on the famous clowns and beast masters were dramatically increasing the cost, including poaching and head-hunting, also the raising and health care of the animals. However, the customer's preference of more thrilling and more humor were hardly satisfied, compared with the other new entertainment, such as videos and games, the kids were deviating away from the tents.

More over, the animals brought in a lot of problem. First, the animal environmentalist and environmentalist are against the cruel animal training and raising. Second, more and more parents believed that it may destroy the lovely expectation of the children for animals when they see a strap in front of a lion.

On the other side, the traditionally large source of circus revenues is coming from concessions. More and more customers think the concession is not worth-well.

3. How does Cirque du Soleil