The document analyzes Walt Disney Co.'s experience expanding globally. It discusses how Disney innovated beyond animation into theme parks, merchandise, and more. While expansion into Europe brought difficulties adapting to local cultures, Disney found success through integrated products and global branding. The document also outlines Disney's strengths, weaknesses, opportunities, and threats, and proposes continually innovating within business units and scanning for new opportunities to sustain growth.
The document analyzes Walt Disney Co.'s experience expanding globally. It discusses how Disney innovated beyond animation into theme parks, merchandise, and more. While expansion into Europe brought difficulties adapting to local cultures, Disney found success through integrated products and global branding. The document also outlines Disney's strengths, weaknesses, opportunities, and threats, and proposes continually innovating within business units and scanning for new opportunities to sustain growth.
The document analyzes Walt Disney Co.'s experience expanding globally. It discusses how Disney innovated beyond animation into theme parks, merchandise, and more. While expansion into Europe brought difficulties adapting to local cultures, Disney found success through integrated products and global branding. The document also outlines Disney's strengths, weaknesses, opportunities, and threats, and proposes continually innovating within business units and scanning for new opportunities to sustain growth.
The document analyzes Walt Disney Co.'s experience expanding globally. It discusses how Disney innovated beyond animation into theme parks, merchandise, and more. While expansion into Europe brought difficulties adapting to local cultures, Disney found success through integrated products and global branding. The document also outlines Disney's strengths, weaknesses, opportunities, and threats, and proposes continually innovating within business units and scanning for new opportunities to sustain growth.
Download as PPTX, PDF, TXT or read online from Scribd
Download as pptx, pdf, or txt
You are on page 1of 17
CASE ANALYSIS
“The Experience of Walt
Disney Co.” Dr. Hanlie A. Taha Gregorio C. Echague IV Financial history is full of outsized personalities and towering figures. Many of the richest men in history got there by building empires of fur, oil, steel, rails and, yes, software. All of these are tangible products with a simple formula: keep the costs down and sell more. Disney, the man and the company, were birds of a different feather. Only by constantly innovating and pushing the boundaries of not just animation, but what Disney was as a business, did the company go from a moderately successful animation studio, to a complete entertainment experience, with theme parks, merchandising, cruise ships and on and on. Walt Disney famously said "if you dream it, you can do it." The story of his life and the creation of his company reminds us that once you dream it, you must continually re-dream and re- imagine it, to succeed. Walt Disney is a master in globalization. It is one of the largest companies on the planet. Disney tries hard to create the big amount of revenues in the markets and worldwide itself in order to establish itself become as a global brand. Afterwards, the brand has been further developed as a result of merchandising. Merchandising has definitely played an important role in establishing the brand all over the world. An important factor in the success of Disney has been the integrated nature of its products, with synergies between film and television, between media and theme parks, and between theme parks, hotels and resort operations," according to the 1998 book Embracing and Managing Change in Tourism: A Globalised Theme Park Market? The Case of Walt Disney Co. I. Statement of the Problem One major problem that Walt Disney Co. is facing is when it expanded into Europe in 1992, opening the theme park Eurodisney near Paris. The European experience appeared to be difficult, mainly because the concept was insufficiently adapted to the diversity of European cultures. Secondary problems are also noted like high costs in entertainment and production, frequent change in top management positions, parks and resorts are not easily accessible leading to a costly trip for visitors, travel trends or leisure time is seasonal and interactive media is overall unprofitable. II. Statement of Objectives
1. To adapt to the European
context by considering the cultural background of the European people. 2. To strengthen operations by identifying new opportunities in the current target markets. III. Areas of Consideration Threats Loss of Control over SBUs Recession Negative Publicity Fierce Competition Poorly Integrated Acquisitions • Changing consumption behavior . Piracy/ protection of intellectual property. • Decrease of DVD sales. Opportunities
Continued Growth through
Further Diversification New Markets Available for Expansion (Foreign Opportunities) Potential for Enhanced Web Presence Further Penetration of Target Markets through Versioning Knowledge Management- Information Transfer Weaknesses
Top Tier Management Turnover
Redundancy in Business Functions Due to SBU Structure Inclusion of High-Risk Investments in Holdings Lack of Corporate Control over Divisions Growth Barriers in Theme Parks Strengths
Stable Revenue and Profit
Growth Diversified Portfolio Tremendous Brand Recognition Responsiveness to Markets Substantial Asset Holdings IV. Alternative Courses of Action
1. First, strategic business units
must continue to strengthen operations by identifying new opportunities in the current target markets. 2. Second, by innovative leveraging of the Disney brand. V. Strategy Formulation
1. Disney must continue its innovative
developments from within the traditional strategic business units structure. 2. It must scan for opportunities, such as the real estate venture, which lie outside the traditional hierarchy. 3. Disney must constantly revitalize the organization so that the culture does not become stagnant at any point. VI. Action Plan