1.0 Research statement
Blockbuster Inc. vision is to be a market leader in the film and video industry. A host of factors affect the competitive nature of the company in the short and long run. Blockbuster Inc. exists in a highly competitive and volatile environment. Technological dynamism over the past decade has far reaching effects on the performance of Blockbuster Inc. in the industry. For the company to remain in the market and retain its position proper strategies have to be put in place.
1.1 Research purpose
The primary aim of this research study is to analyse the effect of competition on the film industry and how Blockbuster Inc. can be able to retain its position in competitive industry. The study will focus on the importance of marketing, training and performance needs in enabling the employees acquaint themselves with the current innovation, inventions and dynamisms in the film industry.
1.2 Background
The company in focus is Blockbuster Inc. which is in the film industry. The present situation facing the company is that it has been reporting minimal revenue over the past operational years due to the emergence of various film industries. The company has faced an adverse competition from companies like Redbox and Netflix companies which also specializes on film production. The company has also incurred losses on its diversified networking throughout the continent without the major marketing implications put in place. This has led to the company incurring relevant additional costs which may be minimized.
The topic chosen is on the factors that attributes to the failure or reduction in the company’s operations. These factors have led to the decline in the competitive nature of Blockbuster Inc. and therefore enabling the rival companies to dominate the market. The employee turnover in the Blockbuster Inc. has been highly at stake and therefore incurring additional costs on the recruitment process. The other factors impeding its profit maximization over a short run is lack of training and development to the employees in the stipulated period, lack of exposure to the current developments in the film industry and also the capitalisation in order to enhance the marketing and the advertising of its operations.
The Blockbuster Inc. should be able to understand the competitive nature of the current economy and device ways in which it can be also competitive. The changes involved in the film industry should be put in place in the satisfaction of the consumer.
1.3 Research questions
Is there any relationship between marketing of the Company’s products and the revenue realization?
What is the impact of invention and innovation on the Company’s overall performance?
What is the effect of technological advancement to the business operations?
What is the effect of employee turnover on business operations?
What is the effect of high employee turnover on the company’s’ overall performance?
1.4 Research objectives
The study will evaluate the various objectives of Blockbuster Inc. in the realization of its competitive nature in the economy. This includes:
To determine the impact of training and development on the Company’s profitability
To show the relationship between marketing of the Company’s products and the revenue realization
To show the impact of invention and innovation on the Company’s overall performance
To determine the effect of technological advancement to the business operations
To show the effect of employee turnover on business operations.
Other researches
The studies will provide insights to other researchers who have provided their views on the way of improving the competitiveness of a Company in the economy.
1.5 Limitations
The major constraint is time. By being in the Company for less than 5 hours per day will inhibit maximization of data to be collected. There is also the constraint of the provision of accurate and relevant information by the respondents and in many cases the information provided may be wrong.
There is also the biasness on the members which cannot be ignored. Despite being strict and relying entirely on the respondents view, biasness cannot be fully eliminated from the results especially when coming up with personal opinion on the relevance of the matter.
In some instances respondents may be illiterate and may not be conversant with filling the questionnaires and therefore ending up messing some of the questionnaires.
1.6 Delimitations
I am choosing a manageable sample size in order to have an ease in the comparison of the findings provided by the respondents. Moreover, I will not use the structured interviews so as to minimize any obtrusiveness and the influence I may be condoned to impact on the respondents.
Scope
The study will involve direct participation of the team members. The members will perform interviews to the participants which will largely involve informal interview rather than structured ones in order to provide an insight and specific clarification when need be. I, with my team members, will select at least five branches of Blockbuster Inc. randomly for thorough interviewing. The participants will also be issued with detailed questionnaires where need be, this will enhance the coverage of areas where it was not covered by interviews and also increase the sample to be studied for more accurate analysis.
The study will take approximately 8 weeks with an average of 5 hours study per day. The analysis will commence on 7th March and ends on 1st May covering the full 8 week period.
2.0 Literature Review
2.1 Empirical framework
In a competitive environment, various business operations and companies try to outdo each other in their operations. This is well indicated by the involvement of the Company in the marketing of its products, branding and re-branding to encourage consumers, engage in invention and innovation to come up with unique and peculiar ideas which are new in the market, and advancement in its technological knowhow. This will go along way in increasing the market share for the Company and in so doing increases the profit margin and overall company’s’ performance[ CITATION Pul09 \l 1033 ].
Therefore, in the investigation of the research problem from this perspective observation, interviewing and the use of various Questionnaires will be of beneficial effect. By interviewing the various participants will enable in the understanding of the factors inherent in enabling Blockbuster Inc. to realize its strategic objectives.
Over the past few years, Blockbuster Inc. has been experiencing low revenue turnover and therefore inhibiting the operations of the Company. This has been facilitated by the ever competitive nature of its competitors and divergence of the consumers’ interest from the Company to its rival companies[ CITATION Smi09 \l 1033 ].
Consumers tend to be more vigilant to any changes that might affect them positively. The film industry is more sophisticated and therefore any innovative implications by any business operations will have a positive effect to its revenue realization.
Blockbuster Inc. faced bankruptcy implications over its previous year’s operations. This was due to the financial lagging of the company and as such encouraged other rival companies to enhance their operations with intent of outdoing Blockbuster Inc. This was an adverse effect to the Company at large and it lowered its prominence in the film industry.
Competitive nature of the Company can be enhanced by the providence of low employee turnover which will reduce the costs incurred in recruitment process. This in turn will increase the productivity of the Company at large and making the consumers turnover to increase. The other factor is the invention and innovation of the staff[ CITATION Car04 \l 1033 ]. The company provides training to the staff in order to come up with new ideas to the film industry which is well incorporated by the new generation. For instance, the change of production of video tapes to the production of DVDs will be highly demanded by the current generation.
The company, in order to enhance its competitiveness, must also be conversant to the ever changing technology. This will enable the company’s output yield to be increased and thus its competitiveness. The current technology keeps on advancing and in order to be in line with the economic environment demand, one has to embrace changes in the technological world. The major technological changes usually involve an increased output and hence high revenues for the company.
The marketing concept is also of importance to the Company. The products must be well acquainted by the consumer in order to be able to have a proper choice. For instance, consumers can only buy the film products in which they are conversant with[ CITATION Arm00 \l 1033 ]. To prevent this problem, the company needs to have a thorough marketing of its products which will either be through advertising, promotion e.t.c in order to convince the consumers on the benefitting implications of its products.
2.2 Theoretical framework
According to SWOT analysis, for a Company to be competitive in the economy, it has to consider the four pillars in the scanning of the environment, that is, Strength, Weakness, Opportunity and Threats. The strength of the Company will be determined by its location and the distribution network, Weakness is majorly focused on the regulations imposed by the prevailing authority in the operations of the organization. The opportunities available for the company will enhance its competitive nature in the economy. For instance, where the Company is able to diversify its operations to various geographical regions will enhance its operations. The Company should also be able to minimize the threats it faces. Companies may face the risk of additional costs in its operations. This may include cost of laying-off workers and also recruitment of new employees due to high employee turnover.
The other theory is ETOP (Environmental Threats Opportunity Profile). In this theory, the company identifies the environmental factors that can cause a threat to its operations; this may include unfair competition in the market. The Company can diversify its products in order to be competitive in the market by moving to other regions.
The PESTEL analysis is another theory put forward to explain the competitiveness of the Company. It involves the scanning of the political environment on its conduciveness. The economic conditions prevailing should be analysed in order to determine the purchasing power of its consumers. The other factor in this theory is social factor which includes the demographical trends in the economy. The social implications include the individuals spending behaviour and also agency population. Technological and legal framework will go along way in cutting down the costs of production and therefore increasing the revenue outlay of teh Company.
2.1 Conceptual framework
Independent variables
Dependent variable
Training and development
Training increases the knowledge and skills of people for definite purposes. The purpose of training is to achieve a change in behaviour of those trained and to enable them do their jobs in a better way. Any good training program lays down the procedure by which people gain knowledge and skills to perform their jobs effectively and efficiently and therefore maximizing the Company’s profit[ CITATION Don07 \l 1033 ].
Remuneration
Employees should be remunerated as per the market rate and also in comparison ort relation to the other Company’s in the same field. This will enable them to be motivated and improve on their performances. Therefore, the Company’s remuneration system is of importance in profit maximization.
Invention and innovation
Employees should be well versed with the need of consumers and easily come up with unique ways of providing their products and services to the consumers. Such an approach will increase the Company’s market share and thus its overall performance[ CITATION Bac99 \l 1033 ].
Technological advancement
The film Industry is more sophisticated and therefore any slight changes in technology should be embraced. Consumers tend to be more vigilant in the changes occurring and where one is ever focusing on the inherent changes will have high market share and thus be more competitive.
Marketing
The awareness of the Company’s product and services by the consumers will have a positive effect on the consumers’ decision. Where the consumers are aware on the availability of a given product they can easily buy it unlike where they have no idea about its existence. A company should incorporate marketing of its products and services as a way of safeguarding the market share and thus increasing its profit margin[ CITATION Smi09 \l 1033 ].
Employee turnover
High employee turnover can be catapulted by poor working conditions and also poor remuneration. For the company to be well competitive in the economy, they should be able to reduce the employee turnover thus minimizing the additional costs of recruitment and as such increases the revenue outlay of the company hence meeting its strategic goal.
3.0 Research Methodology
3.1 Method of data collection
I am planning to use measurement and survey methods in conducting research on Blockbuster Inc. This will involve the survey of various samples of employees who work in the company and also the surrounding population. They will be required to provide their opinion on the quality of the products provided by then company, that is, in the case of consumers. For employees, they will provide their take on the working conditions of the Company. In order to be able to get accurate and valid undertakings, direct observation and interviewing of the inherent participants will be of core benefit.
First, I will have to undertake literature review on the subject matter. This will enhance wider understanding of the main issues that enables a Company to be either competitive or non-competitive. The information will be gotten from the leading library in the area and the various research works of individuals who had earlier on dealt with the topic.
The next step will be the issuance of questionnaires to the selected samples of employees in order to provide the views on the subject matter. They will provide answers on how inherent the current system is in the realization of the long term goal. The questionnaires will be open ended. I will be able to approach each of the employees individually and probe on whether they have some time in their tight schedule t be able to complete the available short survey. The structure of the survey will be in such a way that it does not take more tan 10 minutes of the respondents to fill it.
The population of the survey will include both the white-collar and blue-collar employees in which the age variance will be put into consideration. The survey will include individuals from age 20-50 years and no gender and racial discrimination. The educational background of the respondents will have the vast majority being those who have the high school level of education. This will enable the understanding of the widespread technological impact even to those who are less educated. The well educated individual will take the remaining proportion.
One vital independent variable is the technological advancement in the film industry. Where the technology keeps on changing in less duration of time, then the analysis will be less effective as the changes will have occurred before the research work progresses. The other independent variables which will have an impact on the outcome of the findings are the employee turnover, training and development needs of the employees, invention and innovation of the workers in the production of the films, and marketing of the various film products. The dependent variable is the revenue turnover of the Company and denotes the overall performance of the company in question.
3.2 Research design
The research design to be used is descriptive method. Its major concern is to identify the characteristics of the variables. It is also concerned with finding out who, what, when, or how much variables will be influenced, made to change or cost by other variables.
3.3 Data analysis
The data collected from the research undertakings should be analysed effectively. Inferential data analysis will be used in order to determine the correlation between the independent variables; employees’ turnover, training and development, innovation and invention, technological advancement, and the dependent variable of revenue maximization. The inferential data analysis will include chi square technique of analysis and regression (linear) analysis. This will provide an ease in the determination of the efficient factors to be put into consideration in coming up with an outstanding decisions. Chi square technique will aid in the determination of the relationship between the independent and dependent variables. Regression analysis will show whether there is a strong or weak correlation between the two variables. It also goes along way in the determination of the positive or negative correlation it has on the variables.
Appendices
1.0 Study time frame
Prepare research proposal by
10 March
Completion of literature review by
14 March
Completion of fieldwork by
25 March
Completion of analysis by
16 April
Giving of presentation by
20 April
Completion of final report by
1 May
2.0 Budget
It is estimated that the project will cost approximately
Items
$
Typing and printing of drafts proposal
90
Photocopying
45
Transport
40
Telephone calls
20
Stationery
10
Final printing of the project
45
Binding
40
TOTAL
290
Contingency: the above budget is estimated at an error of +/- 15%
References
D.Elaine, P. ( 2009). Performance Management: A New Approach for Driving Business Results. New jersey: Wiley-Blackwell.
James, S. W. (2009). Performance Management: Putting Research Into Practice. New Jersey: John Wiley and Sons.
L.Robert, C. (2004). Performance management: concepts, skills, and exercises. London: M.E. Sharpe.
Michael, A. (2000). Performance management: key strategies and practical guidelines. Califonia: Kogan Page Publishers.
Mitchell, D. (2007). Performance Management. New York: Global Media.
Robert, B. (1999). Performance management. New York: McGraw-Hill Professional.
