Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry Case Study Analysis


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Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry Case Study Solution

Background and Facts

Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry a workplace products store for little and average sized services has just recently been involved in planning for a merging with its competitor House Deport, which has impacted performance degrees in departmentswith the elderly manager associated with legal problems presented by the federal Profession Payment. With the Marketing Head putting forward the information of his departure from the firm in one year, Jeannie Lewis, the current head of operations has been asked to take the duty in the future. With difficulties in the kind of a possible cultural change as well as reduced staff member morale, the company is in need of a total reengineering initiative at the advertising division.

Problem Statement

The possible social change at the advertising and marketing division of Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry is raising uncertainty in the workplace bring about different difficulties for the Jeannie Lewis that would certainly be changing the head of the division in one year. nalysis

PEST analysis

Political Factors: Political factors play a significant role in affecting calculated choices since Stapes Inc. needed to abandon its strategies of combining with Workplace Deport after the Federal Trade Commission's treatment at the same time. Given the reality that the shop has a worldwide visibility with branches in UK, U.S.A., Canada as well as Germany, political consider each of these nations may be able to affect efficiency or tactical objectives. Federal Profession Commission's antitrust match against the merging occupied useful time of the company's elderly management recommending that 'political' factors can have severe effects for a worldwide service.

Economic Factors: Financial factors such as the appearance of small companies in the international circumstance recommend that Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry is thriving in an atmosphere where there is possible development of companies. Along with this, truth that store consumers are mainly looking for office supplies for home offices suggests that the market has a rising trend of business owners as well as online businesses.

Social factors: Social fads in the economy show that customers are looking for convenience along with eye-catching rates. Marketing research demonstrates how the customer for Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry lacks recognition about locating services which can supply a mix of benefit and low costs.

Technical factors: Technology plays an important role in Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry's service method particularly as the company is piloting Modern technology centers which would provide innovation sales and assistance in the type of memory upgrades, outer installations. (Recap of PARASITE in appendix 2).

OB Issues and also Manifestations.

A number of underlying Organizational Behavior concerns can be seen in Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry's case as highlighted in this area.

Apprehensions regarding cultural change: There is worry concerning a cultural adjustment that would certainly happen as soon as Todd Krasnow leaves from his placement as the Executive Vice Head Of State of Marketing with a lot of the staff members already revealing discontent over this prospective step. This predicted adjustment has actually developed stress and anxiety in the workplace which has been coupled with the previous tension of preparing the company for a prospective merger with Residence Deport.

Difficult Job Environment for Newcomers: There is lack of workers that can match the difficult atmosphere of a fast-paced organization. Not only does this lead to problem in discovering the best people, it places stress on brand-new hires as can not hold up against the speed and stress that the company anticipates them to bear.

Double Reporting Lines: Beginners locate this business culture troublesome and difficult to cope with particularly as populated line partnerships are implied to be weaker as a whole as well as objective setting and also performance examination is still done by the strong line supervisor. This indicates that beginners can lose quality concerning their respective functions and also objectives specifically as dotted line reporting does not maintain them in direct communication with the strong line managers.

Bitterness From Cross Departmental Hiring: Krasnow's choice to make Lewis his follower instead of Bridget Coles even though it had actually been guessed that the last would certainly take Krasnow's setting came as a strike to her morale. Lewis may have been qualified as well as proper for the work yet the reality that Kransnow's departure would certainly make Coles a direct report to Lewis may have been the factor for Coles' resignation from services.

Worry & Task Instability: Worry as well as instability can be recognized as two major problems that Lewis would certainly be managing especially as the merger has actually currently be cancelled and also two senior executives of the advertising division would certainly be leaving. The entire responsibility of the division would certainly be dropping on Lewis's shoulders that would not just be in charge of brining about a cultural adjustment yet would likewise have to confirm herself in her new duty.

Incompatible Administration Design of Leader: Lewis's administration style and also its conflict with the advertising and marketing department's role can also be viewed as an OB challenge particularly as she has been made use of to taking care of concerns in the procedures division where workers are shown to concentrate on procedures and also get them right. The marketing division on the other hand can be viewed as a team of individuals who are utilized to being nurtured by Krasnow that focused extra on output than processes.

Interdepartmental Disputes: Interdepartmental disagreements in between three divisions, marketing, merchandizing as well as operations respectively over the appropriation of the advertising mix can be recognized as another OB worry. Although the advertising division does not share the exact same vision as the various other 2 departments pertaining to the aloocation of the advertising and marketing mix twoards promos and also advertsing, the merchandizing and also operations divisions do not agree over the advertising mix allowance amongst each other either.

Fragmentation in Marketing Department: Disintegration in between the advertising and marketing divisions can be identified as an additional OB issue which can need more interest. The reality that the advertising and marketing sections in the advertising and marketing department are separated is stopping both departments from getting from each various other's experience as well as knowledge. Integration of advertising and marketing with merchandising and procedures would certainly come to be harder if the advertising and marketing division itself is degenerated which can be another prospective OB issue.

Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry Analysis

Numerous concepts have been made use of to clarify the conditions to obtain additional quality concerning the circumstance handy.

McGregor's Concept X & Y: According to Douglas McGregor's Concept X, most supervisors believe that juniors are easy and also lazy, have little ambition as well as stand up to adjustment. The circumstance at Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry is not totally adhering to Concept X, it can be seen that brand-new hires are finding this setting instead stressful which might eventually lead to a higher inclination of the management in the direction of Concept X. Even while evaluating Lewis's monitoring style, theory X may have been ideal in the procedures department to some degree however the Advertising and marketing division would certainly need reliance on Theory Y in order to get the imagination and also creativity from the groups.

Tuckman's Team effort Theory: As for Lewis's concern regarding bringing harmony in between the advertising and marketing department is worried, this would at first bring about clash as gone over by Bruce Tuckman in his 'Team effort Concept'. (Tuckman, 1965). Based on Tuckman's theory shown in appendix 3, throughout the first phase of team development, individuals may not bond, as they are active locating their place in the team. By combining the marketing and advertising division's job, there may be the same first separate which might cause the second phase of 'storming' where the teams test each other. Nonetheless, it is only throughout the 3rd stage or 'norming' when they would certainly come together to share suggestions prior to the group can bring about harmony in the 4th phase 'executing'.

Bridges' Shift Version: According To William Bridge's concept (appendix 4), individuals are quite uneasy with adjustment, which is obvious by the situation at Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry The circumstance can be seen as a typical training course of life if is examined according to Bridge's theory where he describes that individuals experience 3 phases of change when they experience adjustment. 'Closing, losing as well as Releasing', The Neutral Area as well as 'The New Starting' (Bridges, 2004). When individuals are presented with adjustment, they go into stage one therefore there may be feelings like sadness, uncertainty, frustration, rage, concern, rejection and also disorientation.The situation at the marketing division of Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry is comparable so Lewis can get comfy with the suggestion that it is not phenomenal behavior. In the 2nd phase, there might be a demand to bridge the gap in between the new as well as old culture so Lewis might have to encounter this ordeal once Krasnow leaves. There may be reduced spirits as well as reduced productivity at this phase which ought to not be taken as a trouble. It is during this stage that Lewis will have to give assistance to the department to make sure that they can discover a sense of direction. It can be seen exactly how Krasnow has actually already made this change much easier by making Lewis get involved in the department a year before his actual separation. Based on Bridges' Version, stage three will cause openness to learning, High energy and dedication as people will certainly welcome the modification (Bridges, 2004).

Abraham Maslow in his Concept of 'Demands Power structure' (appendix 5) has goes over the importance of 'security requires as being a reduced level requirement of a human for triggering motivation. As seen in the pyramid shared in appendix 3, we can see how 'the demand to really feel secure and out of danger' is at the 2nd degree of requirements. Prior to a staff member can be made to establish emotionally, he needs to have his 'Physiological 'and 'Safety' requires fulfilled.

SWOT Analysis for Online Music Case C The Napsterization Of Movies Take Home Lessons From The Music Industry Case Study

Effects of Analysis.

The OB analysis has actually taken a look at numerous theories to understand how to manage the existing situation handy. The following 3 choices have actually been proposed to help Lewis take care of the business difficulties in the advertising and marketing department. Each of these options has been proposed for relieving the shift needed to bring the advertising department in accordance with the demands of the market as well as for making the cultural modification that would follow when the current leader leaves.

Assimilation of marketing and advertising features. Dividing Adverting and also Manufacturing features. Integration of Marketing with Workflow.

Assessment of Alternatives.

Judith Shapiro that has actually earlier been spoken with by Lewis during the earlier merging days has experience in business-to-business advertising and marketing along with agency and also retail advertising and marketing experience. As soon as Krasnow leaves, Lewis can employ Shapiro as an EVP for marketing to take care of both advertising and advertising and marketing features.

The benefit of this approach is that it will certainly integrate the two features while decreasing the demand for hiring an added source for advertising. Lewis would be heading the advertising division and in any case her substitute would be needed for the existing role that she is performing. The disadvantage of this alternative is that outside hiring may produce bitterness from interior employees who might be considering the position of EVP after Lewis takes control of Krasnow's setting.

Dividing Adverting as well as Manufacturing: Given the competitive pressures and high top quality job needed from the advertising and marketing company, it is recommended that Lewis ought to enable the production system to be a different function from the marketing unit. Considering that the majority of marketing agencies had these two features as separate systems, it makes even more sense to adhere to the norm.

Assimilation of Advertising with Workflows: Given that Lewis is already caring for the advertising and marketing and also procedures departments simultaneously; it makes sense to integrate both functions given that she has been efficiently caring for both ends. The reality that the two departments currently have major differences over allowance of sources suggests that this combination may be able to bring about consistency specifically as Lewis would be heading both ends.However there are various drawbacks of this relocation specifically as it would certainly place too much burden over Lewis's shoulders. The fact that Lewis has to adapt her management design for the marketing division recommends that these two departments would be culturally varied. Lewis might not be able to apply one kind of management design to both divisions which can result in inefficiency in either one of the two features.


An assessment of the three alternatives suggests that integration of marketing and operations would not be a possible move because of the substantial differences between both divisions despite the fact that presently Lewis is handling both. While splitting up of the manufacturing feature might have been a positive step for the advertising and marketing department, the truth that it would imply positioning a third feature under Lewis's wing means this need to be stayed clear of too. The assimilation of the advertising division is the best alternative in terms of getting the optimal arise from the department. An action prepare for this option is reviewed below.

Activity Strategy.

Lewis will certainly take control of the duty of EVP Marketing after Krasnow leaves.

Marketing and advertising functions would certainly be combined.

Judith Shapiro will be worked with to take Lewis's place as SVP of advertising and marketing.

Manufacturing function will certainly stay part of advertising and marketing under advertising and marketing feature.

Lewis will divide herself from procedures.

A democratic management design with staff member empowerment will be made use of in advertising department.

Open door plan as well as emphasis on cross departmental communication will be focused on removing disharmony.

Backup strategy.

If the combination does not work out as planned, a backup strategy would comply with which would certainly separate the production function from the advertising feature to lower the load on the SVP of marketing and advertising. In case Judith Shapiro does not get worked with, Lewis will be heading the advertising department without an SVP. In that case the production feature will absolutely be divided by putting it under an SVP manufacturing.