spanning movies, music, internet, and television. This can diffuse dependency and limit the short term economic pressure in any particular area. However, emerging technologies are changing the competitive environment and causing the competition to intensify. Apple Inc. and Microsoft are now competitors in the mobile entertainment sector and online gaming markets. Leaders in the industry such as Disney, are holding on to their market dominance by excelling as in ‘analyzers’ their strategic characteristics by staying diversified in more stable sectors of the entertainment industry and focusing on innovation into the emerging media sectors. Competition between print media and online resources is increasing. Per Plunkett Research, newspapers are finding it increasingly difficult to compete against internet news and advertising rivals and book sales are facing a decline due to the emergence of ebooks in 2010. Main factors of competitive rivalry: Alternative delivery methods (in all sectors): Consumer demands are changing rapidly towards the ease of access of mobile and online entertainment platforms. New technology improvements: For example, the electronic book readers such as and Apple as well as 3D technology. Amazon’s Kindle Inc’s iPad Cost of entertainment venues: The cost of concerts and movie tickets are a key concern to consumers in the current economic condition where many are facing reductions in incomes and discretionary spending. Lower prices compete as a larger factor than quality or star appeal in this climate. Market Growth Rate The U.S. entertainment market has posted fluctuating rates of growth over recent years. The market fell into decline in 2009; however marginal recovery was seen in 2010, followed by an estimated flat and marginal growth towards 2014. However, growth is expected to increase more rapidly in the emerging sectors and decline in the traditional sectors of the industry such as declines in print media and traditional television viewing. The market growth data compiled in 2010 by Datamonitor in their industry profile the United States movies & entertainment market is forecast to have a value estimates, “in 2014, of $48.2 billion, an increase of 0.3% since 2009. The compound annual growth rate of the market in the period 2009–14 is predicted to be as show in the 0.1%” bar graph below.”
spanning movies, music, internet, and television. This can diffuse dependency and limit the short term economic pressure in any particular area. However, emerging technologies are changing the competitive environment and causing the competition to intensify. Apple Inc. and Microsoft are now competitors in the mobile entertainment sector and online gaming markets. Leaders in the industry such as Disney, are holding on to their market dominance by excelling as ‘analyzers’ in their strategic characteristics by staying diversified in more stable sectors of the entertainment industry and focusing on innovation into the emerging media sectors. Competition between print media and online resources is increasing. Per Plunkett Research, newspapers are finding it increasingly difficult to compete against internet news and advertising rivals and book sales are facing a decline due to the emergence of ebooks in 2010. Main factors of competitive rivalry: Alternative delivery methods (in all sectors): Consumer demands are changing rapidly towards the ease of access of mobile and online entertainment platforms. New technology improvements: For example, the electronic book readers such as Amazon’s Kindle and Apple Inc’s iPad as well as 3D technology. Cost of entertainment venues: The cost of concerts and movie tickets are a key concern to consumers in the current economic condition where many are facing reductions in incomes and discretionary spending. Lower prices compete as a larger factor than quality or star appeal in this climate. Market Growth Rate The U.S. entertainment market has posted fluctuating rates of growth over recent years. The market fell into decline in 2009; however marginal recovery was seen in 2010, followed by an estimated flat and marginal growth towards 2014. However, growth is expected to increase more rapidly in the emerging sectors and decline in the traditional sectors of the industry such as declines in print media and traditional television viewing. The market growth data compiled in 2010 by Datamonitor in their industry profile estimates, “in 2014, the United States movies & entertainment market is forecast to have a value of $48.2 billion, an increase of 0.3% since 2009. The compound annual growth rate of the market in the period 2009–14 is predicted to be 0.1%” as show in the bar graph below.”
entertainmentindustryanalysis.docx