Essays /

1417144 Assignment 2 Essay

Essay preview



Student ID: 1417144
Submission date: 20.03.2015
The aim of the paper is to define and justify the current strategy of Viacom, a leading company in broadcasting industry. Porter’s Generic Strategy is applied to identify the strategy of the chosen firm, which is Differentiation strategy. Through the analysis of the firm’s value proposition which illustrates that Viacom should keep its current strategy, the choice is justified by using SAF criteria (Suitability, Acceptability and Feasibility). The whole analysis is resulted in encouragement to Viacom to keep its strategy. TABLE OF CONTENT

I. Introduction 3
II. Industry trend overview 3
III. Viacom’s current strategic position and value proposition 4 1. Strategic position 4
2. Value proposition 5
IV. Strategy justification 5
1. Suitability 5
2. Acceptability 7
3. Feasibility 7
V. Conclusion 8
References 9

I. Introduction
This paper aims to analyze and justify the current strategy of Viacom, an American global media company providing entertainment content and media related services, using the SAF criteria to determine whether the company should keep or change strategy in case of the current trend happening in the industry. II. Industry trend overview

‘Cord-cutting is on the rise. Cable is not.’
Nowadays, with more people using digital devices such as smartphones, tablets, laptops and PCs and the continuous improving of technology, especially the Internet, consumers’ watching habit has changed. Watching shows online or downloading programs from torrent sites as well as online-platform media companies’ sites are popular among consumers. For example, Netflix and Hulu are providers of on-demand Internet streaming media by using both new and older contents. This, to some extent, affects the current competition scenario between players in the market. If in the past consumers had to pay quite a large amount of money for cable package, the scenario where people only have to spend a little or nothing for channels they actually need is slowly approaching. In the changing media landscape which is under threat from ‘cord-cutters’ – people who opted out of a cable TV subscription package and watch their TV via the internet, HBO proposed to start selling a web-streaming version of its services in US in 2015 (The Guardian, 2014). This means no more expensive TV bills for th...

Read more


-3 /media/2014/oct/16/cbs-announces-streaming-service-digital-media /sites/greatspeculations/2014/11/17/higher-affiliate-fees-boost-viacoms-earnings/(accessed /sites/jeffbercovici/2014/07/10/using-a-second-screen-while-watching-tv-is-now-the-norm/ /story/money/business/2014/11/10/nbc-super-bowl-ad-sales-big-game-advertising-marketing/18817241/ 1 1.20 1.29 10 11 14.5 1417144 15 16 160 17 18 2 20.03.2015 2014 2015 21 22 25 3 3.34 4 49 5 5.70 5.99 500 6.29 6.70 7 700 8 9 absolut accept access accord account across action actual ad adapt add add-on addit adjust adult advantag advertis affect affili age aim allevi allow alon also altern although american among amount analysi analyz announc appeal appear appli apprais approach approxim arduous aspect asset assign associ attract avail avoid b bandwagon base behavior benefit bercovici bet bill billion boon boot bowl brand broad broadcast brought busi cabl came capabl capit carri case cast cbs challeng chang channel cheap choic chosen clear come common compani competit composit concern conclus consensus consid consider consum cont content continu contribut conveni cope cord cord-cut cord-cutt cost could countri creat criteria criterion current custom cut cutter date day deal decemb declin defin deliv demand demograph determin develop devic differ differenti digit direct direct-to-custom distribut divid download due earn easi easier effect eliot emerg employ encourag enough entertain entrant environ ep especi estim evalu exampl execut exist expand expect expens expertis exploit extent famili familiar famous favor feasibl fee field fifth figur film financi firm first fiscal focus follow forb form framework friend full futur gain game gay generat generic giant girl give global grew growth guardian habit happen hbo heel high higher hold horovitz howev huge hulu human id identifi ii iii illeg illustr impact improv inc includ incom incompar increas incur industri inevit innov instead intang integr intens intern internet internet-bas introduct invest iv j johnson join justif justifi keep key khanh knowledg land landscap laptop larg largest launch lead leadership leav lectur legal lesbian level licens like line littl lloyd logo lot lower major make male manag mani march market matter mean media meet mention might million mobil mobile-bas model monet money month moreov movi mtv mtv2 multi multi-platform multi-screen name nbc near need net netflix network new nickelodeon nonetheless normal noth notic novemb nowaday numer obtain octob offer older oligopolist on-demand onlin online-platform oper opportun opt option organis ott outcom over-the-top overal overtak overview own ownership packag paper paramount part parti partner past pay pcs peopl per perceiv physic plan platform play player popular porter posit possibl practic press previous problem product program promin propos proposit provid push q1 quick quit quynh rais ramachandran rang rapid rate reach recent recoup recreat refer regard relat relationship reput resourc result revenu right rise saf sale scenario schedul schole scope screen second secur seen segment select sell servic share show shr004 sign sinc site situat slight slow slowli smart smartphon sole soni specif spend spike stakehold stand stand-alon start state step stimul strateg strategi stream strength student stumbl submiss subscrib subscript suitabl summari super surg switch tabl tablet take taken target task tech technolog televis term therebi therefor threat three throne thus today top torrent tran trang trend turn tv tv-network tvs two type uniqu unveil us usa usag use util v valu valuabl various verizon version vh1 via viacom video view viewership viva watch way web web-on web-stream web-tv well whenev whether whim whole without work world worldwid would year