Sony EyeToy

Anita  Elberse; Youngme E. Moon

Case | HBS Case Collection | July 2004 (Revised March 2007)

Sony EyeToy

Abstract

In early 2004, less than a year after its launch, Sony's EyeToy, a unique video gaming concept, had become a tremendous success across Europe. Developed for use with Sony's PlayStation 2 console, the revolutionary technology allowed users standing in front of a small camera to interact with game objects appearing on a television screen just by moving their bodies. Sales for the first EyeToy product ("Play"), a bundle of the camera and software, exceeded all expectations. However, sales for the second product ("Groove") were disappointing. Was it time for the EyeToy team to rethink its product development and marketing strategy? How could the team sustain EyeToy's initial success and prove that the concept was not a fad?

Keywords: Games, Gaming, and Gambling; Growth and Development Strategy; Brands and Branding; Marketing Strategy; Product Launch; Product Development; Performance Improvement; Software; Entertainment and Recreation Industry; Europe;

Format: Print

23 pages

Educators Purchase

Citation:

Elberse, Anita, and Youngme E. Moon. "Sony EyeToy." Harvard Business School Case 505-024, July 2004. (Revised March 2007.)

“We’re in business together, and whether we lose a few million dollars or make a few million dollars, let’s do this. If you think you can pull it off, I’m behind you.” Michael Rapino, chief executive officer of Live Nation, the world’s leading live entertainment company, expresses his support to Pharrell Williams, one of the music industry’s biggest stars, and his long-time manager Ron Laffitte. It is December 2018, and Williams just pitched Rapino an idea for a music festival in Virginia Beach, Something In The Water. Williams is engaged in many endeavors – he is not only a chart-topping musician, but also a fashion designer, film and television producer, brand builder, and business consultant – that are brought together in his company, I Am Other, which is in a joint venture with Live Nation. Although Live Nation generally does not shy away from making big bets on its artists, Williams’ festival idea is risky and has an unusually aggressive time table. Is Rapino right to lend his support to Williams’ proposed festival? Are partnerships like the one it had formed with Williams’ company I Am Other the way forward for Live Nation? And how can the company that dominates the live music space best continue to create value for artists and their managers?

Case | HBS Case Collection | September 2020

Chip and Joanna Gaines' Magnolia Network

Anita Elberse and Julia McNicholas

Chip and Joanna Gaines, who have shot to fame as stars of the hit television show Fixer Upper, are preparing to launch their own television network. It is April 2019, a year since the home-renovation show Fixer Upper’s fifth season on cable channel HGTV ended, and more than one-and-a-half years since the husband-and-wife duo announced that season would be their last. At the time, entertainment company Discovery Inc. was in the process of acquiring, in a $12-billion deal, Scripps Networks Interactive, HGTV’s parent company. Now, hoping to find a way to bring the duo back, Discovery’s chief executive officer David Zaslav has proposed setting up a joint venture between Discovery and the Gaineses. Under the deal, the latter will receive an ownership stake as well as certain guaranteed payments, be given creative control over the ‘DIY Network’ which they plan to rebrand as ‘Magnolia Network,’ and have a sizable programming budget at their disposal. Meanwhile, the two entrepreneurs are also running a thriving set of other businesses under their ‘Magnolia’ brand, that covers retail and hospitality—including their ‘Magnolia Market at the Silos’ complex and ‘Magnolia Table’ restaurant in Waco, Texas—as well as brand partnerships, books, and a magazine. Is launching Magnolia Network the right move for Chip and Joanna Gaines—and for Discovery? And what can both parties do to ensure the new network will be a success?

Keywords: entertainment; television; superstars; innovation; Creative Industries; Talent; general management; celebrities; Television Entertainment; Entrepreneurship; Joint Ventures; Innovation and Invention; Marketing; Strategy; Entertainment and Recreation Industry; Media and Broadcasting Industry;

Citation:

Elberse, Anita, and Julia McNicholas. "Chip and Joanna Gaines' Magnolia Network." Harvard Business School Case 521-044, September 2020. View Details

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This case touches on the topics of project-based work, agile methodology, and skill and talent management through Catalant's evolution as a company. Catalant’s journey to becoming a software platform and talent marketplace provides context for students to explore new models of work and ways companies are mobilizing talent internal and external to their organization. This case urges students to contemplate how these considerations might shape the critical decisions business leaders will need to make about how to manage their organizations and use their resources to capitalize on their own vision for the future. This case also provides valuable lessons for technology entrepreneurship, introduces students to important gig economy concepts, and asks students to consider the unique challenges facing companies like Catalant that are selling a gig platform as part of their product or service.

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Sony EyeToy

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