The purpose of this paper is to conduct a strategic analysis of the broadcast radio industry with a focus on Cumulus Media, Inc. This analysis will outline a brief history of Cumulus and a timeline of major events in its history, along with an explanation of the company’s purpose. Then, the external environment will be analyzed and the potential effects on Cumulus. Using Dr. Michael Porter’s Five Forces Analysis, an assessment will be made of the threat of entrants, the factors affecting the power of buyers and sellers, the threat of substitutes of broadcast radio, and trends in the industry. The paper will then look at competitiveness within the industry including anticipation of what Cumuls’ competitors might do from a strategic perspective, a brief summary of industry competition and a look at industry key success factors. Once the external analysis is complete, the paper will look inward and take a close look at of Cumulus Medias’ resources, objectives and financial performance. The strategies employed by a company are vital to their future and must be flexible enough to change thus the paper will analyze the company’s strengths, weaknesses, opportunities, and threats. Cumulus operates in an industry that continues to move rapidly towards consolidation and the results of the research will show what constitutes a good strategic fit as well as a list of alternatives for positioning Cumulus for the future and a list of recommendations.
Zoll, Barry Y., "Cumulus Media, Inc. Strategic Analysis" (2015). MBA Student Scholarship. 39.