1. Disney Case Analysis Alexa van Bergen Jericca Pearson

2. Background
Founded on October 16, 1923 by brothers Walt and Roy Disney as an animation studio
One of the biggest Hollywood Studios
Licensor of:
- 11 theme parks
- Several television networks, including ABC and ESPN

3. Background
Headquarters and primary production facilities The Walt Disney Studios in Burbank, California
Mickey Mouse serves as the official mascot of The Walt Disney Company
Walt Disney passed away on December 15, 1966.
Urban legend says his corpse would be frozen and stored beneath the Pirates of the Caribbean ride at Disneyland. . .

4. Background Disney purchased Marvel Entertainment ‘09
Roy Disney died at age 79
- He was a key person in Disney’s animation legacy
Received approval to build a theme park in Shanghai in ‘09

5. Dominant Industry Characteristic Market Growth
They bought four companies
Number of Rivals
There are 200 or so companies in the industry, 7 are dominant
1. Walt Disney
2. News Corp.
3. Time Warner
4. CBS
5. Viacom
6. Fox
7. Comcast
Pace of Technological Change
New technologies for the entertainment industry:
3D filmmaking and programming.
Online video and programming distribution.
Digital and eBook advances and distributions.
Cell phones with video and TV streaming abilities.

6. Dominant Industry
Characteristic
Sawyer & Geoff

7. Market Size and Growth Number of Rivals Product Innovation
Dominant Industry
Characteristic
Market Size and Growth
Within Six Years acquired 4 different companies
Number of Rivals
Within this Industry there are numerous rivals but they are dominant
Product Innovation
Within the market that deals greatly with technology they need to strive to stay ahead of the curve.

8. Five Forces Rivalry Among Existing Firms – High
- Wide product portfolio
- Many different ones (Universal Pictures, Seaworld, time warner, CBS, etc.)
Threat of New Entrants –
Low
- Large investment for those who wish to enter
Threat of Substitutes – Low
- Museums, zoos, fairs cant really create a theme park vibe or experience
- The Disney name is pretty much a household name
Power of Suppliers – Average
- High switching costs
- Disney is highly differentiated and is a very unique industry
Power of Customers – Low
- Could increase admission costs without a loss in customers
- Willing to pay for the Disney name

9. Mark Peetzke and Mitch Walkup
Five Forces Analysis
Mark Peetzke and Mitch Walkup

10. Five Forces

11. EFE

12. EFE
Adrienne & Maddie

13. EFE

14. Strategic Group Map
150,000
Low
High

15. Joel Haywood & Zach Klatt
Strategic Group Map
Joel Haywood & Zach Klatt

16. Strategic Group Map

17. IFE

18. IFE
Adrienne & Maddie

19. IFE

20. Mission and Vision
Statement
"The mission of The Walt Disney Company is to be one of the world's leading producers and providers of entertainment and information. Using our portfolio of brands to differentiate our content, services and consumer products, we seek to develop the most creative, innovative and profitable entertainment experiences and related products in the world."

21. Broad Differentiation Horizontal management approach
Competitive Strategy
Broad Differentiation
Horizontal management approach
Diversifying its products and services
Rapidly expanding overseas
Developing a new theme park more accessible to North East area
Enhancing the Business efficiently and suppression
Grow slowly, not to impress others.

22. Competitive Strategy
John-Jay and Nate

23. Competitive Strategy Broad Differentiation
- Broadly diversified media and entertainment company
- Many different segments
o Theme parks
o Hotels and resorts
o Cruise ships
o Cable networks
o Music publishing
o Children’s book publishing
o Etc.
- Company’s corporate strategy
o Creating high-quality family content
o Exploiting technological innovations to make entertainment experiences more memorable
o International expansion
Always looking to grow and increase presence/capabilities in new or current markets

24. SWOT Analysis

25. Strengths
Known throughout the world for being one of the top recognizable entrainment companies
Broad Differentiation Strategy
Based on retail sales, Disney is the largest worldwide licensor of character-based merchandise and producer of children's products based off movies
Portfolio is extremely wide and unique
Disney owns a verity of companies and is multiple industries; Media Network, Theme Parks and Resorts, Consumer Products, Studio Entertainment, and Interactive Media
Strong customer service
Media Networks and broadcasting is really strong
Innovative entertainment business
Strong Advertising

26. Weaknesses Employee turnover is high Narrow target market
Disney is known as a costly trip because of its limited locations and accessibility
Entertainment production costs are high
Very large work load
Concentrates primarily on the revenue in North America
Insurance is continuing to rise in parks and resorts

27. Opportunities Create a wider target group
Build more parks in other areas (U.S. and internationally)
Governments positive attitude toward Disney's organization
Barriers of entry are significant
Renovate parks and resorts to create a different type of attractiveness
Grow the media network to create more potential for Disney to increase their income (ESPN, Lifetime, Disney, History)
Invest in different theme parks to create a different themes and increase the amount of money guest are willing to spend on production, admission, and hotels

28. Threats Service/ Entertainment business competitors
Unemployment rate is high
Do to streaming online, the change in technology lead to a decrease in buying DVDs
Economy possible regression
Expense increase due to labor cost increase
Theme parks and resorts are unpredictable due the travel industry, customers vacation availability, prices, and seasonality
Cunsumer product retail is based on seasonal purchasing and the time of prodution of movies or shows

29. SWOT Matrix SO Strategies
(S2, O2): Create a customized targeted advertising plan for all their segments
(S3, O3): Expand Hong Kong Disney and research in one new market
(S4, O4): Research and Develop a way to tell stories to kids through technology
ST Strategies
(S2, T1): Lower their costs and utilize technology (digital content)
(S2, T3): Create and document a trade market and an IP protection plan
(S2, T4): Create marketing strategies promotions for customers to use during slow periods at their resorts and theme parks.

30. SWOT Matrix WO Strategies
(W1, O1): Research and develop a plan for emerging markets with low costs
(W4, O3): Target those new markets and look into expanding around consumer products
(W2, O4): Research the consumers use and need of technology
WT Strategies
(W4, T1): Digitize content utilize technology and lower costs
(W1, T2): Put more efforts on high techs and then and research and develop in that segment

31. SWOT Analysis
Sam & Edwin

32. SWOT Analysis

33. SWOT Analysis

34. CPM

35. CPM
Emma and Bailey

36. CPM

37. Ethics For the most part they are pretty ethical Lawsuits:
Disney Hit With New Lawsuits By Kids With Autism (November 2014)
- Disney wasn’t Disability friendly with their rides.
Tanikumi vs. Disney (October 2014)
Tanikumi sued the Walt Disney Co. for $250 million, claiming the studio based the movie “Frozen” on her life. The Peruvian author asserts that Disney stole the story, characters, plots and subplots from two of her autobiographical books, “Living My Truth” and “Yearnings of the Heart,” that depict her life in the Andes.

38. Financials

39. Financials

40. Financials

41. Financials
Shawn R. & Josh H.

42. Financials

43. Alex Melius and Mitch Kreifels
Scope of Operations
Alex Melius and Mitch Kreifels

44. Horizontal 2006 acquisition of Pixar 2009 acquisition of Marvel
Scope of Operations
Horizontal
2006 acquisition of Pixar
2009 acquisition of Marvel
2010 acquisition of Playdom
2011 acquisition of UTV

45. Recommendations
Disney should…
Improve advertising to reach a more mature market
Get rid of Interactive Media
Remodel and expand in existing parks and resorts to stay appealing

46. Sources