Introduction
Cirque du Soleil, an artistic company, was started by a group of performers led by Guy Lalberte in 1984 (Nainotna, 2016). The company performs all over the world. One of the most critical competitive advantages for Cirque du Soleil doing international business is increased efficiency and quality. The exposure of the company to different international markets essentially encourages increased efficiency. Besides, in an attempt to stand out on the international stage, Cirque du Soleil always ensures that its performances are of high-quality. According to Twarowska & Kąkol (2013), growth or expansion is one of the reasons companies go global. Doing international market presents Cirque du Soleil with new market opportunities, which provide it with more opportunities for growth or expansion.
Doing international business also makes Cirque du Soleil’s portfolio highly diversified. Their target markets continue growing every year. Cirque du Soleil developed their competitive advantage by reviving the circus industry. The company reinvented the industry by bringing together different traditions. The reason Cirque du Soleil can attain consistency in the quality of their shows and casts in different locations is because there is creation as well as the transfer of knowledge among their different subsidiaries. According to Pesalj (2011), the creation, as well as transfer of knowledge, is the main source of competitive advantage for an MNC. Thus, the creation and transfer of knowledge within Cirque du Soleil give them a competitive advantage and helps them attain consistency in their casts and shows in different locations.
The main drivers of globalization that influence Cirque du Soleil are the technological and competitive drivers. Technology is increasingly turning out to be a vital element of globalization (Dahlman, 2007). Technology facilitates Cirque du Soleil’s distribution of tickets as well as marketing and advertising. Besides, a combination of talent and technology helps the company’s performers pull off most daring stunts, thus, differentiating it from the competitors. The increasing competition in the global circus industry is having a significant impact on Cirque du Soleil. In fact, the company has enhanced its performances to remain on top of the competition.
References
Dahlman, C. (2007). Technology, globalization, and international competitiveness: Challenges for developing countries. asdf, 29.
Nainotna, L. (2016, April 7). Cirque du Soleil [Video file]. Retrieved from https://www.youtube.com/watch?v=WWUOhMFB1zk
Pesalj, B. (2011). Competitive advantages of multinational companies: A review of theoretical approaches. Medjunarodni problemi, 63(2), 237-259.
Twarowska, K., & Kąkol, M. (2013). International Business strategy-reasons and forms of expansion into foreign markets. In International Conference.
