Cedar Fair Essay Example for Free

Cedar Fair try on? Problem Statement While Cedar Fair is steadily growing revenue to the 2013 estimated value of $1. 1B, their in operation(p) profit percentage has ranged from 50% to -17% over the past 5 years and relies heavily on sequence pass sales and visitors over a limited operating period of 130 days, leaving them dangerous to competitive moves by the market leaders in the Amusement Park Industry. Analysis Plan / data Used / Key Assumptions We will use the Porter 5 forces Model for the Cedar Fair and to discriminate with the other amusement parks. The 5 forces will answer us to understand the strong forces which will help the cedar fair to be more profitable in future. Key data will overwhelm from each of the amusement park websites. Also the revenue income provided by IBIS for each amusement park. The financial digest particularly profit margin provided by mergent online will allow us to access financial carrying into action for each company. Cedar Fair owns a nd operates 11 amusement parks, four outdoor parks, one indoor wet park and five hotels.Cedar park lacks brand identification due to their diverse portfolio. The brand find out of Cedar Fair is rarely associated with park or hotels. Data Analysis and Tool Use victimisation the Porters 5 Forces model the strongest rivalry is from the Walt Disney, universal studios, Sea world and Six Flags. Since the Disney is spherical and has resorts and attractions for all age groups and also it is open all year along and generates income. Disney also keeps updating its bailiwick parks wit new attractions and new technology to attract new customers or repeat too. bulkyhearted resorts try to entice the customers to come to the parks instead to going to beaches by giving them special passes on internet. The mid-size theme parks attract the local customers who are close by and rouse drive and go back without spending the night at the hotels. Conclusions The competition among the parks is inte nse, as the market is saturated and small. To increase the customers in cedar fair should give free pass on birthdays and also introduce packages which can be bought with the installment plan.Recommendation to Management My recommendation would be that since the economy is improving and people throw off little bit of money to spend on vacations, so they should advertise special offers for the summer era on the internet and TV. They should try to attract more customers from the local region as they cannot compete with the big resort theme parks such as Disney, Universal Studios, and sea world. They should have access to multi-skilled and whippy workforce those who have the ability to quickly adopt new technology. US Amusement Parks securities industry Share US Parks Total Revenue 2012.Total Income 2012 Percentage Market Share (%) Walt Disney go with $6. 2 trillion 5,986M 44. 5% Universal Park and Resorts $2. 1 Billion 95M 15% Sea founding Parks Entertainment $1. 4 Billion 55 M 11% Cedar Fair $1. 1 Billion 118M 7. 7% Six Flags $1. 06 Billion 249M 7. 9% (IBIS World, 2013) Below is the 5 Forces Model.References 1) Wood, L. (2013, February 11). Research and markets 2013 report on the $16 billion us amusement parks arcades market featuring Walt Disney, six flags, cedar fair, SeaWorld, and universal parks resorts. Retrieved from http//www. businesswire.com/news/ fundament/20130211005621/en/Research-Markets-2013-Report-16-Billion-Amusement 2) IBIS World. (2013). Us industry reports.3) Theme Parks Are on a Roll by Christopher Palmeri in the June 3-9, 2013 issue of Bloomberg Busine ssweek http//www. businessweek. com/articles/2013-05-30/u-dot-s-dot-theme-park-revenue-is-on-its-best-ride-in-years 4) IAAPA. (2013). Amusement park and attractions industry statistics. Retrieved from http//www. iaapa. org/resources/by-park-type/amusement-parks-and-attractions/industry-statistics 5) Six Flags https//www. google. com/finance? q=NYSE%3ASIXei=w_GHUuD9H4OTsgffMA.