Executive Summary
The people born between 1946 and 1964, commonly referred to as the baby boomers, are being targeted by many entrepreneurs because of their control over the disposable income in Canada. Examples of people with entrepreneurial interest in the boomers are Beverly and Robert Tang. The two have a great record in dancing. Most of the lessons are conducted by the Tang’s. However, they are considering using other methods to make more money from the boomers. Top on their agenda is investing in a learn-to-dance video. The video is to be availed for internet users, who would like to purchase, interact with others or download the video. A lot of money (approximately 1.4 dollars) is needed to succeed in this venture. They decide to enlist the help of a third party, in this case, Tim Draper. This is because Draper is a successful person who has used the internet to prosper his business. Two other experts are also consulted on the chances of success of this venture.
Introduction
Baby boomers are famous for their love of dancing. Consequently, many investors are targeting them for various dance-related services. Beverly and Robert Tang are past dancing champions who have taken the initiative to offer dancing lessons for the baby boomers. However, there are challenges that they are facing. This paper shall analyze the case of the Tangs in their attempt to become a world-class dancing company.
Background & Statement of the Problem
Beverly and Robert Tang are people who have a passion for dancing as evidenced by the fact that they are former champions in dancing in North America. They feel that they can use dancing as a source of income so they seek for a way to do this. They both agree on the idea of targeting the boomers because of the role they play in the economy of Canada. They feel that those in this category may not have a lot of problems parting with their money in order to attend dancing lessons. Consequently, they invest 20,000 dollars in a learn-to-dance video, which they intend to market through the internet. This is the source of their problems.
They consider enlisting the help of a successful entrepreneur, Tim Draper, who has used the internet to market his business and succeeded. In order to make their meeting with Draper successful, the duo looks for a brand coach to help them but he ends up disappointing them.
When they eventually get a chance to speak to Draper, some blunders, such as Robert referring to Tim as ‘Steve’ arise. At the end of their conversations, Draper does not give them a precise answer concerning their request. Moreover, two experts, Lina Ko and Robert Herjavec, give their views. Although Herjavec appreciates the idea that the duo has, he points out some areas of weaknesses in their plan. He cites lack of enough technological knowledge among the boomers as a reason why their idea may not work. Instead, he is of the view that dancing should target the younger generation. Precisely, he sees that marketing using internet may not work out for the duo. On the other hand, Ko disagrees with Herjavec’s view that the boomers are not very knowledgeable in technology. Targeting the women is also seen as a pro for them. However, she recommends that they change their language. Reinventing oneself can be used instead of retirement. Again, the two need to divide the boomer market because of age disparity.
Situation Analysis
Strengths
Dancescape is a company that is run by two people who have been champions in dancing in North America. Being a past champion, the two have a vast wealth of knowledge which they could have amassed while they were the reigning champions in dancing. This means that many people can be willing to trust them with their money in exchange of quality dancing lessons. Having perfected in this area because of their numerous engagements in dancing and beating the rest of the contestants to emerge the champions gives them an advantage over the rest in the same field.
Moreover, the two are renowned public figures and who may have some fanatics. It is therefore possible for people to join their institution just for the sake of being associated with the famous champions in dancing.
The timing of their venture is also good because of the many popular dancing shows that have had a positive reception from the audience.
Weaknesses
Although the Tangs have a brilliant idea, some weaknesses can be noted in this venture. Their very first meeting with Draper, a person who they have a lot of hope in that he is going to help them in launching their marketing through the internet, does not go as they had expected. This incident confirms what the brand coach had forewarned. The tangs seem not to value other people’s advice when doing any new task and this may lead to greater problems in future.
Opportunities
Dancescape has numerous opportunities that can be utilized well to take the company to greater heights. The use of internet to market its products is one of the many opportunities that the company can grasp. This is because; most of the people can access the internet easily and cheaply. The world has now become a global village because of the presence of internet everywhere, hence; the Tangs goal of being a world-class dance lifestyle company can so easily be achieved.
Threats
Since the Tangs are dealing with an area that is very popular with the young people, his target group may not be very comfortable engaging in the same activity that majority of the youths are doing. Also, the language used by the Tangs when dealing with the boomers may not be very appealing to them, causing the boomers to seek for another dancing place where they are not called by names that make them appear like they are very old.
Analysis of Alternatives
When they seek to involve an experienced third party to help in advising them, the problem seems to become more complicated. This is because their initial talk with Draper seems to have taken the wrong turn due to the some blunders they make during their interaction with him. What complicates the matter further is the lack of a blatant ‘yes’ or ‘no’ from him.
Another problem that arises is when the experts give their views on their chance of succeeding. Herjavec, the owner of a computer company does not seem to endorse the use of internet as the best means to reach out to the boomers. Being a specialist in the internet, his views are not to be taken lightly or dismissed without a second thought. On the contrary, Ko, who has been extensively involved with the boomers, does not seem to have any problem with the use of internet as a means to reach out to the boomers. Her problem is that the Tang’s have not segmented the market to cater for the needs of the boomers in various age categories as well as the use of language.
Precisely, the two are in a quagmire whether to wait for a response from Draper, a person who has used the internet to successfully carry out his business venture, or to go by the computer specialist’s view- probably because he understands the audience better or to adopt Ko’s suggestion- having worked with the particular target group that the duo is targeting.
Recommendation and Implementation
The best option would be for the two to come together and see how they can reconcile all the opinions they have received to come up with one perfect solution. Since the Tangs know what they wanted with their company from the word go, they should consider going back to the drawing board after receiving the opinions of different people and see the one that is closest to their final goal.
Several options are available to the Tangs. First, they can opt to go by Herjavec’s advice. This means that they will not consider the internet as the major tool of marketing their video but will look for another option. Alternatively, they could go by Ko’s advice. This means that they use the internet because even the boomers are able to access the internet. However, they should segment the market because of the age difference among the boomers. Again, this option would call for a lot of care in the names they use to refer to the boomers and the stage they are in life. Retirement should be out of their vocabulary. The other option is waiting for Draper to give them a feedback after their initial meeting. However, this option may not be very reliable.
Conclusion
Beverly and Robert Tang are faced with a crisis that they need to resolve in order to achieve their dream of being a world-class dancing company. Despite the threats and weaknesses that they have, there are many opportunities and strengths they can capitalize on.