Pinckney Street Generic Strategy Case Study Help

Pinckney Street Generic Strategy Generic Strategy Case Study HelpIn this area we would be examining the generic methods that have been used by Pinckney Street Generic Strategy to highlight areas which can be targeted for highlighting a competitive edge that can cause a sustainable growth technique for Pinckney Street Generic Strategy.

Focus Strategy: Niche Marketing

We have talked about 3 possible alternatives for Pinckney Street Generic Strategy which can be pursued in terms of niche marketing. Before we look at these options, a discussion regarding why Pinckney Street Generic Strategy requires an alternative revenue development model is shared listed below.

We have actually currently discussed how Pinckney Street Generic Strategy has three profits sources including its theatre operations, movie circulation and system leasing. As we look at the income statements for 2004 to 2007, we can observe disparity in regards to profitability and growth in revenues. A fall in earnings specifically in 2006 and 2007 suggests that business needs to concentrate on areas of development which can assure consistency in profits development and profitability.

As we check out each of the revenue sources for Pinckney Street Generic Strategy, we can see how the system-leasing organisation of Pinckney Street Generic Strategy has reliance on the growth of theatres and even then there is a restriction in regards to the number of theatres that can be opened up.

As far as the theatre operations are worried, revenues from this source are dependent on the number of theatres that Pinckney Street Generic Strategy runs. In addition to that, broadening the variety of theatres may result in high capital costs for Pinckney Street Generic Strategy where the possibility of additional overheads in the form of interest payments on loans for capital expense might result in lower net profitability.

Franchises or Alliances:

If we take a look at Pinckney Street Generic Strategy balance sheet, we can see how the business has a long term debt of $ 160,000,000. We have actually already talked about the debt to assets, liquidity and profitability of the business in the ratio analysis done earlier to examine the internal financial position of Pinckney Street Generic Strategy which would offer additional clearness concerning the fact that increasing the long term liability is not a feasible option for growth. This brings us to the conclusion that Pinckney Street Generic Strategy is currently in a position where it requires to minimize its dependability on earnings from theatre operations and requires to broaden through alternative options which require lower capital expense and guarantee higher net profitability. One possible option that can be assessed further is to offer franchises of Pinckney Street Generic Strategy or to have alliances with other business which can promote growth with minimal capital expenditure. The possibility of losing a total hold over the quality of services being offered might prevent additional orientation in this instructions.


If we check out Pinckney Street Generic Strategy position in its movie distribution service, we can see how there is a higher orientation towards producing documentary movies. Focusing on documentaries in terms of broadening the movie circulation business implies restricting the number of releases to a few documentaries that might not be attracting more than the current audience.