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Transcript of GameStop
the Competition Smart Solutions We specialize in:
Strategic Alliance Management
Implementing New Organizational Structures
Creative Marketing Solutions
Prioritizing Capital Budgeting Projects. Video Game Industry Drivers of Change
Competitive Rivalry What it takes to succeed
Ability to appeal to a broad demographic GameStop About Us
Amanda, Mark "Randy", Trey, Shauna, Ding, Stephen, Alberto
Providing consultation services since 2000.
We are results driven.
Our continued success is a direct result of how we enable our clientele to build a bigger, stronger future. Current Performance
- Experiencing a maturity growth phase
-Growth rate for past two years is between 3-4%
-COGS is 73.21%
-Gross Profit is 26.79%
-Operating Income is 7%
-Provides many benefits for employees
-Currently a functional organizational structure for efficiency. Current Strategy
Broad Product/Market focus
Become the hybrid company that will meet the needs of gamers who play games in physical and digital formats.
Core Activities include:
-Distribution Current Capabilities
Ability to be customer focused
Ability to provide inventory in a timely and efficient manner
Potential ability to lead the industry in innovative technology Areas of Improvement
Comprehensive Marketing Plan
Creating Innovative Technology Our Strategy
Merge GameFly and Spawn Labs Technology
Create an Integrative Marketing plan
Create strategic alliances with the consoles.
Convert from a functional structure to a matrix structure.
Invest in new technologies such as cloud gaming and smart phone gaming.
Retail stores will be focused on gaming consoles and accessories. Urgency for Change
Based on performance, their change is anticipatory.
Due to rapid environmental change (between 5-10 years), it is imperative to change quickly in order to preserve our competitive advantage.
Become Proactive Implementation
-Good, Bad, Real Projections
-Milestones Industry Characteristics
Volatile due to emerging technology such as:
-By Gender Goals
- 8% increase in revenue for the next 3 years.
- 9% & 11% for years 4 & 5
Existing GameStop customer base to use multiple distribution channels.
-12.5% within the first 2 years.
Existing GameFly customer base (426,000 subcribers)
-35% within the first 2 years.
-Full transition from a functional to a matrix within 3 years.
Training and Development
-Provide standards and cross training for all employees of all business of GameStop within 2-3 years. Clientele Includes
24 Hour Fitness
Blockbuster Provided by Entertainment Software Assc. Provided by Entertainment Software Assc.