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Business communication: Vivendi

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  1. Executive summary
  2. Introduction
  3. Why Vivendi should investing in Activision
    1. The Activision brand
    2. Activision: Its mission statement
  4. Market analysis
  5. Marketing strategy
    1. Marketing strategy from Vivendi
    2. Marketing strategy from Activision
  6. Goals of this alliance
  7. Conclusion and recommendations
  8. Bibliography

Vivendi is a worldwide company with a large portfolio of products and services. The company is divided into business units like environment and of course the core activity that we will interest us: the Video Games industry. The market knows an important growth with emerging markets like India and China, the demand is exposing and the impact on the growth of the sector is really interesting for investor and future shareholders. But the sector knows an increase of the competitors in the same time. So Vivendi Games decides to merge with Activision. They are both global leaders in their market, for Vivendi is the video games and Activision the online video games. Two different positioning but they have same core competencies. So this merger will create results of $18 billion, stocks were selling. This merger will create synergies, reduces cost, use of licenses and reach new customers and new markets.

[...] In the same time, companies have to invest in a different scale as a start of business because they create synergies. That means the sales is increasing, the investment is reducing and of course the profit margin is increasing as well. So IT companies like Vivendi or Activision in this case, are able to generate large income and large profits. In a shareholders prospective, the earn per share is more and more interesting because the growth is strong, but in this area of business these companies have to upgrade and update their software but less than 5 years ago. [...]

[...] The interests in this transaction are huge and the goal is to develop their own business in order to reach the market of the other company. That means, Vivendi is trying to reach the US market and Activision to reach the European market, to increase their sales and turnover. 3.Why and how Vivendi should invest in Activision ? The Activision Brand Activision, Inc. is a leading international publisher of interactive entertainment software products. The company has built a diverse portfolio of products that span a wide range of categories and target markets and that is used on a variety of game hardware platforms and operating systems. [...]

[...] In this way, we can talk about a self-development game Vivendi presentation Vivendi Games is a global developer, publisher and distributor of multiplatform interactive entertainment. The company is the leader in the subscription-based massively multi-player online role-playing games (MMORPG) category and is building on its position in the PC, console and handheld games markets. Vivendi Games has a global presence, a history of franchise success, development teams around the world and a catalogue of its own original and licensed material. [...]

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