For this assignment you are to complete the following case study. This is to be done in groups of no more than four (4) and it is worth 10% of your overall mark. You will submit a formal typed analysis of the case in response to the questions at the end. Also include a SWOT analysis for Marvel. When working through the case – during your research, consider the four Ps (knowing the product isn’t really changing so your focus should be on the other three) and market segments as you look at promotional opportunities in evaluating your options. Please include a title page with your full names and student numbers on it; you will each sign in pen beside your name confirming you’re aware of, and responsible for all the content in the report. References are required if you’ve used anything outside of what was provided in the case. Please proofread as there will be a one (1) mark deduction for each spelling or grammar error – there is no maximum. The case will be evaluated on the SWOT analysis, the options you come up with, the pros and cons of each and then your recommendations as well as their limitations in terms of your strategy. In today’s uncertain business environment, most firms are uneasy about planning for much beyond five years. Many executive salaries are tied to incentives that will run for a few years into the future, but few industries (except for professional sports) are willing to commit to salaries and make promises for much beyond a few years. All of this makes Marvel’s ambitious business strategy simply unfathomable. Marvel Studios, once known mostly for selling comic books, is now a multimillion-dollar movie-making division of Disney, and it has laid out plans for Marvel movies up to 2028. This unprecedented future planning exists largely thanks to the solid marketing strategy created since 2008. Starting with the first Iron Man movie (a story about wealthy industrialist Tony Stark, who fashions a weaponized suit of armour to become a reluctant superhero), Marvel Studios purposefully weaved in storylines of other Marvel characters. Next in line was The Incredible Hulk, a movie in which scientist Bruce Banner becomes a very angry green monster thanks to a gamma ray experiment gone wrong. Then Iron Man 2 brought back Tony Stark and introduced Nick Fury as the director of S.H.I.E.L.D., a counter-terrorism agency that will bring together many Marvel characters in a unique response team. Thor was up next, showcasing a Norse god–like character who is cast out from his world to Earth, where his powers and ability to get along with others are tested. The final component of phase 1 of Marvel’s “Cinematic Universe” was completed with Captain America, a movie about a U.S. soldier who agrees to be part of a risky experiment that turns him into a hero who defeats Nazis and saves the U.S. war effort. Each of these movies included some mention of a united grouping called The Avengers, consisting of Iron Man, the Incredible Hulk, Thor, and Captain America (along with lesser known characters Hawkeye and Black Widow). In the first Avengers movie, all were brought together by Nick Fury to fight an alien army. Marc Boivin – Haskayne School of Business, Calgary The movies in phase 1 generated close to $4 billion in ticket revenues alone—with The Avengers accounting for $1.5 billion, making it the third highest-grossing movie of all time. And these figures don’t include any other promotional materials produced. These movies were not just being watched by the stereotypical young male comic book aficionados; Marvel was becoming mainstream, attracting children and their parents, along with Generation X-ers and baby boomers rediscovering characters from their youth. The success of phase 1 came as a shock to many. Marvel had had success in the past, as a comic book publisher under the guidance of Stan Lee. But upon being bought out in 1968, the movie rights to Marvel’s most significant characters (Spider-Man and X-Men) were sold for next to nothing. Then, in the early 2000s, Marvel had to watch while other studios—Fox with X-Men and Sony with Spider-Man— produced successful Hollywood movies with Marvel characters. So, in 2005, Marvel decided to create their own studio, with very little industry confidence and a relatively modest $525 million in funding from Merrill Lynch. Then Marvel had the audacity to create a 28-year plan. It started with the Iron Man movie in 2008, and Marvel soon got the attention of the movie industry. So much so that Disney purchased Marvel and its characters for $4 billion. There were some internal issues between Marvel and Disney on the strategy of intertwining movies and bringing in characters in different movies. This approach had rarely been done, and certainly not at this scope or magnitude. The second phase of the plan would determine if this concern was warranted. Phase 2 of the Marvel plan was to run from 2013 to 2015, with a third Iron Man and a second Thor and Captain America. The surprise inclusion in this phase was Guardians of the Galaxy, a lighter-hearted adventure movie with unconventional characters (e.g., Rocket Raccoon, a gun-totting raccoon voiced by movie star Bradley Cooper). The final movies in phase 2 will be Ant Man and the second Avengers, titled Avengers: Age of Ultron. There seems to be great hype for Age of Ultron. There are over 60 million hits on YouTube for the teaser trailer. Much speculation has been implanted into the media and fan sites over the potential death of one of the characters. But beyond the hype, Marvel wants to try to buffer any low summer 2015 box office numbers by looking for a new approach to attracting moviegoers. The studio is looking to businesses they can work with to offer special group screenings of the next installment of the Avengers movie. The company is confident it will get the existing comic book and non-comic book moviegoers through the turnstiles regardless, and does not feel a need to really focus on them. Instead, Marvel appears more intrigued at these private group showings, and would like to find ways to engage organizations in this new venture. However, Marvel has to deal with unfavourable consumer trends as it moves forward on its plan for the next Avengers movie. A very weak summer 2014 box office saw profit go down, not only for movie studios but also for theatres. In Canada, Cineplex Odeon saw a 39 percent drop in profits from the second to the third quarters of 2014. With streaming services, cellphones, and home entertainment systems, there is much to keep consumers at home, or in any event away from the theatre. Marvel is trying to ensure that the release of its next1 Avengers movie will buck any downward trends. So they are asking you to create a plan that will see this new approach tested in the top five census metropolitan areas (CMAs) in Canada with the finished next Avengers movie. You should get going on this plan, and shield Marvel from disappointing movie sales.