Horror at the Cineplex
Business 499 Business Administration Capstone
November 24, 2011
ABSTACT Cineplex Entertainment LP owns, operates and has interest in 130 theaters with over 1200 screens and is the largest motion picture displayer in Canada with their headquarters in Toronto, Canada. Cineplex Entertainment LP operates theaters with the following brands;
Cineplex-Odeon, Coliseums, Colossus, Famous Players, Galaxy and Silver City. Cineplex provides the theater experience that includes oversized seats, Dolby sound and large viewing screens (Michael A. Hitt, 2011).
1. Perform a comprehensive analysis of the five (5) competitive forces. Discuss what level of competition can be anticipated amongst industry rivals. a. Threat of new entrants- The Cineplex brand theaters along with other theater brands has been affected with the emergence of home theaters systems and the grow clarity of bootleg movie sellers which have been able to have clear copies of movies prior to their release. Additionally, there are copies such as Netflix who offer the movies the day the theaters stop featuring the movie. b. Bargaining Power of Suppliers- the Cineplex is one of four theaters that significant in the market, which makes the film industry less competitive and theses theaters headline the most popular movies at the same time. c. Threat of Substitute Products- the emergence of the bootleg dealers has changes the dynamics of the movie experience as the dealers have been able to produce theater quality movies sometime prior to the movie debut in the theaters. d. Rivalry among competing firms-v Cineplex is one of four popular brands; there is little competition among the top four brands as they all preview the top movies at the same time. 2. Describe the advantages and disadvantages of each of the top four (4) competitors'