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Strategic Orientation - TiVo Inc.

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Introduction

Current Issues Research Paper Strategic Orientation TiVo Inc. 12/2/2002 Michael Ramsay and James Barton originally conceived TiVo Inc. in 1997. Their company was founded with a single vision, "to create and continually enhance a new, easy - and much better - way to watch television."1 The formation of their company has proved to be difficult because it was the first significant development to assist in the television viewing experience in twenty years. With TiVo's continued commitment to the customer they plan to "forever change the way people view television."1 Initially TiVo was taking off like wildfire with an unprecedented adoption rate in the history of consumer electronics. This was made possible by TiVo's commitment to provide its viewers with a customized TV viewing experience. ...read more.

Middle

According to Daft's textbook Organizational Theory and Design, one of the attributes of organizational excellence is Strategic Orientation. Daft suggest that there are four characteristics that pertain to an organization's strategic orientation3: * Being close to the customer * Providing fast response * Having a clear business focus and goals * Establishing interorganizational linkages In reading various articles from BusinessWeek to Cablevision it's clear that TiVo is dedicated to their customers. TiVo Inc. has developed a loyal subscriber base, which is continually growing, by delivering television in a format that suites their user's needs. The proof is in the statistics1: * 89% of TiVo subscribers channel surf less now * 98% recommend the service to their friends * 97% say it's easier to use than a VCR * 40% ...read more.

Conclusion

In this way TiVo Inc. is fast acting, which can be seen with its release of TiVo Series2 the next generation of DVR's.1 To achieve the goal of continually enhancing the way we watch television TiVo Inc. has formed many interorganizational linkages. This has involved the incorporation of its service into top manufacturers DVR's such as Sony and Direct TV.4 In addition it has obtained equity investments from leading communication and television industry leaders such as America Online, COX Communications, CBS and Showtime.2 These interorganizational linkages are critical to TiVo's success because it offers ways to exploit new technology to serve larger markets and financial backing. These linkages also allow TiVo to focus on its goal of providing an easy and better way to watch television because it is selling a service, which is specifically aimed at that goal. ...read more.

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