Walt Disney Case study
Walt Disney‘s corporate strategy is to continue to grow internationally and to continue to grow in their media networks, parks and resorts, studio entertainment, consumer products, and interactive media. 2) I think the parks and resorts will only get more attractive with every new park they open. The media networks will stay attractive because of how many networks they have and how many people watch shows on their networks. Studio entertainment will probably be in the middle of attractive and unattractive.
Unattractive because going o see a movie is getting more and more expensive for the price conciseness consumer and attractive because they will eventually rent the movie to see it.
I think consumer products will tend to be attractive because everyone who visits a park is going to want a souvenir of some kind. I think the interactive media is going to be unattractive unless they can figure out a way to get more sales and grow their products. 3) I think that Walt Disney has great competitive strength. For one, there is nothing else out there like them with such strong brand loyalty. Almost everyone knows who
Mackey Mouse is and ties that with Disneyland and everything else they are associated with.
The only business unit that seems to need fixing is their interactive media. In order for the interactive media to have a competitive spot in the market they need to keep up with the seasonal video game industry. 4) For the parks and resorts the 9-cell matrix is that it is very attractive because there IS nothing else like their parks and it’s got great competitive strength. Media networks also have a very high attractiveness level because of all of the networks they own like ESP. and Disney channel itself.
It also has a high competitive level because of how many networks they own.
Interactive media is semi low attractiveness because they have received losses almost every year and can’t seem to keep up with the seasonal ‘idée games. Its business strength is also semi low because there is more they can do or try to do to gain a competitive advantage. According to the article studio entrainment doesn’t have a high attractiveness level until it reaches DVD form. It also has mild business strength because people aren’t willing to go see it in theaters and re instead waiting for it on DVD or on-demand.
I would say the consumer attractiveness is in the middle because they were the largest licensor of character- based merchandise in the world. I would also say they have medium business strength because they are making more money off licensing and publishing then retail sales.
5) I think that Walt Disney’s portfolio exhibits good strategic fit. I think it’s a good fit because they are constantly building a competitive advantage and overpower rivals. I can see opportunities tort brand snaring because they already are snaring. For example they own only 42. Percent of A&E and Lifetime.
They are also highly branded by their characters that everyone knows and the characters have been able to bring in revenue ever since being introduced. 5) Walt Disney’s revenues have continued to go up from year to year. As with the revenue net income and earnings per share have continued to go up as well. The interactive media unit is the only unit that brings in an operating loss. Operating income from the media networks is the highest of them all, which helps contribute to DOD income coming in.
The second highest operating income is parks and resorts
Ninth consumer products next, then studio entertainment. Based on the 2011 data Disney needs to work on the interactive media unit to help them recover from their losses. 7) I think they need to come up with a better strategy for their interactive media unit. They have incurred operating losses for fiscal year 2009 through 2011. I think they need to keep up with consumer demands on what types of games they are interested in and make games for consoles that most people these days have like palpitation and Oxbow if they don’t already. They might also think about seeking help from big game makers.
