Imax Case Study
IMAX Case Study
Malika Drumgoole
Frank Thomas
Rondell Rush
Donte Rucker
Amadou Berete
Deshantelle Rogers
Seminar: Issues in Management
Instructor: Dr. Yao
October 14, 2011
Abstract IMAX is in a dilemma as to whether it should be sold to other giants such as Sony, Disney or Time-Warner. The general environment of the movie industry is discussed. Porter’s five forces model is used to help identify the opportunities and threats for IMAX. An explanation of how the resources, capabilities, and core competencies support both business and corporate strategies follow the model. A reason for the company changing its business and corporate strategies and if it can survive as a niche player that only produces large format films is explained. Introduction IMAX has been in existence since 1967. It premiered in Montreal, Canada at their Expo ’67. Multiple projectors were used at this time and a small team of Canadian filmmakers and entrepreneurs created a single powerful projector to do the job that has made IMAX a great success. IMAX is a very unique large-formatted film business. They currently use a differentiation strategy that sets it aside from the rest of their competition. IMAX has provided many audiences with the world’s greatest cinematic experience. The experience lasts for about 35 to 45 minutes per film. They use the world’s largest film format with the highest quality digital sound. The screens are about 80 feet wide and 60 feet tall. It is an experience on a life time. They have over 200 theaters in 22 countries in back in 1997 and have continued to expand. IMAX started by producing large films that were educational and entertaining. Its venues were in educational facilities, such as aquariums, national parks and museums. But because of this niche strategy that IMAX was accustom to it put constraints on the businesses profits and growth. IMAX started to venture out and produces a couple of Hollywood movies. This
Malika Drumgoole
Frank Thomas
Rondell Rush
Donte Rucker
Amadou Berete
Deshantelle Rogers
Seminar: Issues in Management
Instructor: Dr. Yao
October 14, 2011
Abstract IMAX is in a dilemma as to whether it should be sold to other giants such as Sony, Disney or Time-Warner. The general environment of the movie industry is discussed. Porter’s five forces model is used to help identify the opportunities and threats for IMAX. An explanation of how the resources, capabilities, and core competencies support both business and corporate strategies follow the model. A reason for the company changing its business and corporate strategies and if it can survive as a niche player that only produces large format films is explained. Introduction IMAX has been in existence since 1967. It premiered in Montreal, Canada at their Expo ’67. Multiple projectors were used at this time and a small team of Canadian filmmakers and entrepreneurs created a single powerful projector to do the job that has made IMAX a great success. IMAX is a very unique large-formatted film business. They currently use a differentiation strategy that sets it aside from the rest of their competition. IMAX has provided many audiences with the world’s greatest cinematic experience. The experience lasts for about 35 to 45 minutes per film. They use the world’s largest film format with the highest quality digital sound. The screens are about 80 feet wide and 60 feet tall. It is an experience on a life time. They have over 200 theaters in 22 countries in back in 1997 and have continued to expand. IMAX started by producing large films that were educational and entertaining. Its venues were in educational facilities, such as aquariums, national parks and museums. But because of this niche strategy that IMAX was accustom to it put constraints on the businesses profits and growth. IMAX started to venture out and produces a couple of Hollywood movies. This