Perna Arts is a movie production company based in Mumbai that has gradually branched into related businesses straddling distribution, exhibition, programming and education. The company was among the first to go public after the movie business attained industry status in India in 1998. It was also one of the first in the business to recruit a professional manager as a chief executive officer (CEO) in 2002, to put in place processes, systems, performance metrics and procedures aligned to its strategic priorities. The company’s aim was to make two to four movies a year — enough to create a rolling stock that could open up multiple revenue streams and offset losses with hits. However, by early 2012, the company was battling against temporary setbacks, such as failing to deliver hit movies.

The company was gearing up to meet audience expectations and produce hits by experimenting with various genres of movies and by introducing new, untried creative and acting talent. The company’s management wondered whether it could adopt a more business-like approach to movie making, using sound management principles to wean Perna Arts away from its person-centric, intuitive process.


Explain the role how does Perna Arts develop and leverage core competencies over time, and discuss how he manages the creative aspect of a project in regard of the case provided.

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