Market, industry and company analysis for (Qatarcinemas.com) over the Term Paper

Market, industry and company analysis for (Qatarcinemas.com) over the last five years - Term Paper Example The company’s competitive theory statement is divided into five parts: vertical integration, strategic alliances, creative content, international agency and corporate diversifications. Conglomeration: Qatar Cinemas Company operates in two different fields, such as Consumer Products and studio entertainment. Horizontal integration: Qatar Cinemas Company owns many studio entertainment and consumer product franchise. This becomes horizontal integrated industry as all stake-holders act together in increasing efficiency since they act in the same business line. Globalization: Qatar Cinemas Company Services and Products are found in Arab Media and all over the world in different forms. Vertical integration:Â   Qatar Cinemas Company is made up of different sub-companies and business line, allowing the whole organization to produce, plan, distribute, and advertise all of its products on its own. Seller and Buyer Concentration: Qatar Cinemas Company is in an Oligopoly Seller Concentra tion, it is evident that there are few producers in the market and products can be either differentiated or homogenous. There are many buyers for the company’s products, ranging from different cultures, ages groups, sexuality, preferences and interests. Media synergy: Qatar Cinemas Company bought many film studios that allow making more advanced movies which are then distributed through renowned marketers. Barriers to Entry: Qatar Cinemas Company offers different barriers to entry for competitors in the market place. Qatar Cinemas Company enjoys privileges from trademarks, copyrights, and patents that prevent other entertainment companies from imitating their ideas and productions. For new companies it is difficult to compete with this established and well-known organization because of its long development period in winning known customers and protection legal barriers. Production Costs: Qatar Cinemas Company has high first copy (production) costs and low reproduction (subseq uent) costs of most of its products. Product Differentiation: Qatar Cinemas Company has a wide variety of heterogeneous products; its shows, and movies for different tastes, ages and cultures. Its products are differentiated within the company and from products from its competitors. B. INDUSTRY ANALYSIS Qatar Cinemas Company has developed services and products for different audiences, teens, children and adults of all ages. Median age: 28 (70% between 17 and 34) Men: 90% | Single: 40% Literate: 90 % Employed Full Time: 90% Average HHI: QAR. 7,200. Qatar Cinemas’ Primary Competitors Qatar Cinemas Company competition consists of diversified players that capture media networks, TV content producers, and film producers. Competition is greatest at film production and network service; premium networks like Sonymax have an advantage over film halls because of their subscriptions fees. Presence of competition between services and brands creates an environment of price wars. Market Sh are Controlled by Qatar Cinemas Company Qatar Cinemas’ Total Revenue is approximately QAR 361 million (as for 2012). In order to obtain the market share, revenues from the three major competitors in the entertainment industry are considered. Total Industry Revenue: QAR. 262.9 Millions Qatar Cinemas’ Total Revenue: QAR. 36.1 Million Qatar Cinemas’ Market Share: 13.7% of Total Revenue Industry (inclusive of major competitors share) In the studio entertainment ind