Business Strategy: Sydney Symphony Orchestra Case Study Analysis

This case study analyzes the Sydney Symphony Orchestra (SSO), a prominent Australian orchestra, focusing on its strategic challenges and potential solutions. The report identifies key issues such as wage costs, musician protection, and the bargaining framework. It proposes the Cost Leadership Strategy Model as the most suitable approach to address these challenges. The application of this model involves reducing costs through efficient procedures, analyzing musician demand, and leveraging government grants. The expected outcomes include maintaining the SSO's competitive advantage, securing its position in the Sydney Opera House, and attracting top musical talent. The conclusion emphasizes the importance of the cost leadership strategy in ensuring the SSO's long-term sustainability and competitiveness within the music industry. The analysis is supported by references to relevant academic sources and industry reports.

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Table of Contents
1. Introduction............................................................................................................................3
2. Strategic Analysis of The Sydney Symphony Orchestra.......................................................4
2.1. Key Strategic Issues of the Sydney Symphony Orchestra..............................................4
2.2. The Business Strategic Model for the Key Strategic Issues...........................................4
2.3. Application of the Cost Leadership Strategic Model......................................................5
2.4. The outcome of the Application......................................................................................5
3. Conclusion..............................................................................................................................5
4. References..............................................................................................................................6
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1. Introduction
Characterized as a series of competitive shifts and activities, business strategy is used to grab
the attention of the customers as well as to compete fruitfully in the industry. Strategies are
also utilized to make the performance reliable and to accomplish the organizational targets
and desiderated ends. The simple business strategies that are used to sort out the strategic
troubles, namely cost leadership strategy, differentiation strategy and lastly, focus strategy.
Cost Leadership Strategy is about providing advantages at a reduced rate than the
competitors. Differentiation Strategy is significantly utilized to emphasize the loyalty of the
customers rather than forming a considerable share of the market. On the other hand, focus
Strategy necessarily includes a trade-off amongst the number of sales and profitability. The
report will focus on the business case analysis of the Sydney Symphony Orchestra (SSO)
emphasizing its key strategic issues along with a consistent strategic model. The application
of the proper strategic model may lead to sort out the strategic aspects of the organization.
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2. Strategic Analysis of The Sydney Symphony Orchestra
The Sydney Symphony Orchestra is a very popular and well-known orchestra in Australia
having a whole of above 92 musicians. The present conductor is the universally eminent
David Robertson, not only having outstanding relationships with the city's noble but also
have a position for sterling musicianship. The SSO is an exclusive section of the social fibre
of Sydney because it plays at the emblematic Opera House on a regular basis.
2.1. Key Strategic Issues of the Sydney Symphony Orchestra
Analyzing the competition of recent times, the Sydney Symphony Orchestra is more worried
about staying competent and requires a related strategic model to appeal chiliastic spectacles
daily by accommodating cherished, pleasing empiricism of symphonic music.
Wages: The marginal salary and its yearly increase have shaken the cost of the Orchestra’s
wages to a certain extent. The musicians of the Sydney Symphony Orchestra are profoundly
educated and proficient, and they expect essentially higher salary than the marginal wage of
Australia. However, the Orchestra at present has no recommendation to transform the salary
standards of the musicians (Oh, Cho and Kim, 2014).
Musicians Protection: It emphasizes substitutes for biased dismissal groundwork of the
musicians. Moreover, the SSO has admitted that it is their responsibility to provide
reconcilement essentials for maintaining the punctuality of the decision entirely based on
shielding their reputation by attempting to ambit the dauntlessness of the flawed claim.
The Bargaining Framework: At present, the bargaining framework of the SSO in
inappropriate to assure risk-free bargaining on any raised issue. In order to meet such the
Orchestra needs to improve their relationship with the musicians (Gervais, 2017).
2.2. The Business Strategic Model for the Key Strategic Issues
The Cost Leadership Strategy Model is the best fit for addressing the issues of the Sydney
Symphony Orchestra. The mentioned strategic model looks for efficient procedures to low
down the cost all over the team (Morden, 2016). Authorities of the Orchestra have to review
the experience of the musicians and economies of grade to decide the appropriate wages. The
strategy will take care of the cost authorization, outlay efficiencies and cost reduction in
every possible section of the Orchestra (Bryson, 2018). The Cost Leadership Strategy Model
may sort out the relevant issues and can help them to keep their reputation up.
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Figure 1: Business Strategy Model
(Source: Morden, 2016)
2.3. Application of the Cost Leadership Strategic Model
The Sydney Symphony Orchestra can apply the cost leadership strategic model by reducing
the cost of the musicians and increasing their fecundity. This can be done by properly
analyzing the demand of the musician and to examine whether they have that potentiality to
demand a high wage.
Using the grants and support of the Australian Government when necessary, the Orchestra
can smoothly apply the cost leadership strategic model. This can be done by recognizing the
relevant necessity of each and every exertion in constituting the overall cost.
Exploring the drivers of cost for each bustle and also why the Orchestra is analogously
effective and ineffective in respective activities. It achieved by analyzing which shifts should
be considered or outsourced within the Orchestra.
2.4. The outcome of the Application
Utilizing the cost leadership model, the Sydney Symphony Orchestra can achieve a
competitive advantage in the music industry. The outcome of applying the strategic model,
the Orchestra will gain the affirmation of assembling permanently in Australia's emblematic
Opera House. This will ensure the orchestra to remain paradigmatic in the musical leadership
and to grab the attraction of the most soloists and finest music artist throughout the world.
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The final issue that will be solved is that the association of the economic supporters with the
resource of the Orchestra (Testbankcart.eu, 2019).
3. Conclusion
From the above case analysis, it can be concluded that the SSO has several strategic issues
that can be solved using the Cost Leadership Strategic Management. In the present
competition, it can be observed that though the SSO has immense popularity, the Orchestra
must sustain their position for the spectators. Recently, the prevalence of large patronship of
SSO has resulted in self-funding and will be able to retain their position forever.
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4. References
Bryson, J. (2018). Strategic planning for public and nonprofit organizations. 5th ed.
Gervais, R. (2017). [online] Available at:
https://www.taylorfrancis.com/books/e/9781315254197 [Accessed 19 Sep. 2019].
Morden, T. (2016). Principles of strategic management. 3rd ed.
Oh, C., Cho, Y. and Kim, W. (2014). The effect of a firm's strategic innovation decisions on
its market performance. Technology Analysis & Strategic Management, [online] 27(1),
pp.39-53. Available at:
https://www.tandfonline.com/doi/abs/10.1080/09537325.2014.945413 [Accessed 19 Sep.
2019].
Testbankcart.eu. (2019). The Sydney Symphony Orchestra (SSO) at a crossroad. [online]
Available at: http://testbankcart.eu/sample/Solution-Manual-for-Strategic-Management-5th-
Asia-Pacific-Edition-by-Hanson.pdf [Accessed 19 Sep. 2019].
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