Running Head: CASE STUDY OF WALT DISNEY COMPANY 2013 Case Study of Walt Disney Company, 2013 Kaylee Pickerell Columbia Southern University BBA 4951 Business Policy and Strategy Donald Jernigan 1 CASE STUDY OF WALT DISNEY COMPANY 2013 2 Introduction One of the most successful brands in the world is Walt Disney; it has some of the most super products and services that enables it to outshine its competitors. The company has a well elaborated but complex organizational structure that facilitates its operations (David, 2017). A set of both long and short-term goals make the compony focus on its visions, missions and to be a leader in the global market. Walt Disney Company Walt Disney and his brother Roy founded Walt Disney after meeting M.J. Winkler who accepted to sign a contract of distributing their cartoon product named “Alice’s Wonderland” and other comedies in 1923, branding themselves as Disney brothers. Since then, the company has been top notch in producing numerous quality cartoons. They later changed the name from Disney brothers to Walt Disney Studio, whereby one of the most famous cartoons, Mickey Mouse, emerged (David, 2017). This marked the entrance of the first motion cartoon with sound. Live action film Treasure Island was later completed by the year 1954, marking it as Disney’s most successful series production (Griffin, 2000). Mickey Mouse club came into light resulting into the new Disneyland Park in California. The company continuously created series even after the owner, Walt Disney, passed on in the year 1966. This however did not demoralize the company; the company initiated educational film material and later opened Walt Disney World, leading to the opening of Tokyo Disneyland in 1983 (David, 2017). Disney also ventured into the production of network cable; Disney Chanel, Disney Touchstone division initiated the Golden Girls and many more inventions. Disney continues to develop new attractions in park themes featuring numerous films, which became very successful in drawing in more customers. In October 2012, the CASE STUDY OF WALT DISNEY COMPANY 2013 3 company announced plans to acquire Lucasfilm who happened to be the popular producers of the War movies. Disney’s Strategy, Mission and Organizational Structure Disney has a very short and complementary mission “to make people happy” (David, 2017). Being in the film industry, Disney aims at expanding its consumers through making an impact in their lives. Happiness attracts consumers, hence Disney is wise enough to make people happy through constant positive feeling during watching time. It also has its mission: “to entertain, inform and inspire people around the globe through the power of unparalleled storytelling, reflecting.” The industry is organized using a strategic business unit. This comprises of media works, entertainments through studios, consumer products, parks and various resorts as well as an interactive media (Bohas, 2015). In human resource, there is only an individual holding triple position of the presidency, the chief executive officer and the director who happens to be Robert Iger. Positions such as operations officer do not exist; however, there is an individual person who acts on the same role (David, 2017). The mission and the organizational structure of Disney indicates that the company’s focus is on customer satisfaction and production of quality content with sustainable tastes. The mission of the company defines where the company wants to be and how they are going to grow to reach that potential. Disney’s mission enables it to focus on its customer’s satisfaction through production of quality films that would make an impact on people’s lives now and in years to come. The customers also have the advantage of choice and preference when such an organization is producing super interactive content. The organizational structure is simplified in a way that duties and functions are disseminated progressively. This gives the CASE STUDY OF WALT DISNEY COMPANY 2013 4 company an advantage of performing various functions related to production, marketing and sales using just a few organizations leaders. The short-term goals include; to reduce the impact on the nature and how much fuel and waste they produce and consume (David, 2017). Long term goals involves: minimizing water use, minimizing product footprint, reduce greenhouse gas emission from fuels and have a positive impact on natural ecosystem. Strategy, mission, and organizational structure can be improved through technological advancement, which entails using of the modern technology in performing business decisions, for instance, advertisements through social media. Enhancing customer relations can also be one way of improving strategy through Product development, forward integration and market penetration. CASE STUDY OF WALT DISNEY COMPANY 2013 5 References Bohas, A. (2015). Transformational firms and the knowledge structure: the case of the Walt Disney Company. Global Society, 29(1), 23-41 David, F. R., & David, F. R. (2017). Strategic management: a competitive advantage approach, concepts and cases (16th ed.). Pearson. https:Online.vitalsource.com/#/books/97801341679. Griffin, S. (2000). Tinker belles and evil queens: the Walt Disney Company from the inside out. NYU press. Running Head: CASE STUDY OF WALT DISNEY COMPANY 2013 Case study of Walt Disney Company, 2013 Student’s Name Institutional Affiliation Course number Course Name Instructor’s Name 1 CASE STUDY OF WALT DISNEY COMPANY 2013 2 Assignment #1: 2-page case study Implementation Plan: Part 1 Introduction; One of the most successful brands in the world is Walt Disney company, it has some of the most super products and services that enables it outshine its competitors, the company has a well elaborated but complex organizational structure that facilitates its operations (David, 2007). A set of both long- and short-term goals make the compony focus on its visions, missions and to be a leader in the global market. Walt Disney Company Walt Disney was founded by Walt Disney and his brother Roy after meeting M.J. Winkler who accepted to sign a contract of distributing their cartoon product named “Alice’s Wonderland” and other comedies in 1923, branding themselves as Disney brothers. Since then, the company has been on its top notch producing numerous quality cartoons. They later changed the name Disney brothers to Walt Disney Studio, whereby one of the most famous cartoon Mickey Mouse emerged (David, 2007). This marked the entrance of the first motion cartoon with sound. Live action film Treasure Island was later completed by the year 1954, marking it as Disney’s most successful series production (Griffin, 2000). Mickey Mouse club came into light resulting into new Disneyland Park in California. The company continuously created series all the way from 1950 to 1970, after which the owner “Walt Disney” pass on in the year 1966. This however did not demoralize the company; the company initiated an educational film material and later opening Walt Disney World leading to the opening of Tokyo Disneyland in 1983 (David, 2007). Disney also ventured into the production of network cable, Disney Chanel, Disney Touchstone division initiated the Golden CASE STUDY OF WALT DISNEY COMPANY 2013 3 Girls and many more inventions. Since 20000 towards 2007, the company developed new attractions in park themes producing numerous films which became very successful and in October 2012, the company announced plans to acquire Lucasfilm who happened to be the popular producers of the movie War movies. Disney’s Strategy, mission and organizational structure It has a very short and complementary mission; “to make people happy” (David, 2007). Being a film industry, Disney aims at expanding its consumers through making an impact in their lives. Happiness attracts consumptions hence Disney is wise enough to make people happy through constant positive feeling during watching time. It also has its mission: “to entertain, inform and inspire people around the globe through the power of unparalleled storytelling, reflecting..” The industry is organized using a very strategic business unit. This comprises of media works, entertainments through studios, consumer products, parks and various resorts as well as an interactive media (Bohas, 2015). In human resource, there is only an individual holding triple position of the presidency, the chief executive officer and the director who happens to be Robert Iger. Positions such as operations officer do not exists, however there is an individual person who acts on the same role (David, 2007). The mission and the organizational structure of Disney indicates that the company is more focused on customer satisfaction and production of quality content with sustainable tastes. The mission of the company defines where the company needs to be and what it wants to do tom achieve there. Disney’s mission enables it to focus on its customer’s satisfaction through production of quality films that would make an impact on people’s lives now and in years to come. The customers as well have the advantage of choice and preference when such an organization is producing super interactive content. The organizational structure is simplified CASE STUDY OF WALT DISNEY COMPANY 2013 4 in a way that duties and functions are disseminated progressively. This gives the company an advantage of performing various functions related to production, marketing and sales using just a few organizations leaders. The short term goals include; to reduce the impact on the nature and how much fuel and waste they produce and consume (David, 2007). Long term goals involves: minimizing water use, minimizing product footprint, reduce greenhouse gas emission from fuels and have a positive impact on natural ecosystem. Strategy, mission, and organizational structure can be improved through technological advancement which entails using of the modern technology in performing business decisions, for instance, advertisements through social media. Enhancing customer relations can also be one way of improving strategy through Product development, forward integration and market penetration. CASE STUDY OF WALT DISNEY COMPANY 2013 5 Assignment #2: 3-page project Implementation Plan: Part 2 Name: ________________________________________ Company Name: __________ Walt Disney Company ___________________ SWOT Analysis Internal Enablers Challenges STRENGTHS: WEAKENESS: • Strong Marketing Strategies • Negative Publicity • Large Market Share/ expanded global • Aggressive competition reach • Product variation • Customer Loyalty • Highest brand equity • Strong brand Identity • Largest brand valuation CASE STUDY OF WALT DISNEY COMPANY 2013 6 OPPORTUNITIES: THREATS: • • Global Expansion: growing emerging productions markets External High competition from global • Technological advancements • Duplication of contents by competitors • Entry into developing countries • Changing consumer tastes • Natural pandemics causing consumer behavior How the above information will be used: Strengths are organizational evaluations that focuses on the internal environment of the business to observe and identify opportunities within. Realizing these opportunities is the first step towards strengthening the company. Once the company realizes that they have the benefit of customer loyalty, they will strive towards maintaining their customers through listening to their needs and demands (Disney, 2016). With a strong marketing strategy, the company is able to advertise its products to ensure that new releases are known by numerous people globally, this a very senior way of reaching customers. Weaknesses on the other hand indicates that within the company, there are various factors that are limiting it from achieving its goals, strategies and missions, these weaknesses derail the company significantly. Focusing on eliminating these weaknesses can be one of the best way of reducing CASE STUDY OF WALT DISNEY COMPANY 2013 7 production costs and increasing revenues. Negative publicity and product variation goes hand in hand, when other companies takes Disney’s films and replicates them into fake films with an intention of gaining profits through the brand name, this causes a resultant effect on the publicity of Disney’s products as well. There are external factors that influence the company as well, the company must always be aware of them to ensure that the opportunities given by the external environment are explored beyond every reasonable doubt. In business, exploring opportunities is the first step towards successful revenue generation. Disney being aware that there is an advanced technology, should be in a position to maximize the application this technology in various ways such as advertising, marketing and production. Other countries who love Disney products are an advantage to Disney, they will tend to purchase Disney products every time upon their release, supply of films and new releases should be vigorous in such markets. Threats are as well an important information for the company, threats such as high competition often enable Disney to stay awake to ensure that no other company surpasses them in the market (De Groote, 2011). Duplication of contents by other companies is a challenge that must be addressed to ensure that the brand name Disney is kept strong and vigorous. CASE STUDY OF WALT DISNEY COMPANY 2013 8 Assignment #3: 3-page project Implementation Plan: Part 3 Internal and External Factors Internal factors entails factors surrounding the business at the local level, the business internal factors may include the visions, the objectives, the budget and accounts, income statements and balance sheets, the management strategies and many more. In absentia of these factors the business will not function as scheduled. In external factors, Strategic management must always be aligned towards the global impacts. In other words in what way does the business impact the outside world. Markets can as well tap into the global market to encompass various developing areas (Ayodele, n.d). Businesses are encouraged to operate beyond their regional perspective only but beyond. Globalization is one the key impacting on business, most top performing companies such as Disney are not often regarded with their regional origins, they are considered international hence their brand usually improve substantially. Competition Disney faces a very stiff competition that they can barely afford to sleep. Companies such as NBC Universal, Paramount pictures, Time Werner Bros, Royal Caribbean offer very tough completion in terms of production and distribution of quality and consumable products. Although these companies offer stiff competition to Disney, the competition ensures that Disney stays on toes in producing and distributing quality materials globally. According to (David, 2007), restaurants, hotels and waterparks that are anywhere near Disney will always be a rival business. They include, but not limited to, Sea World, Marine land and Silver Springs. CASE STUDY OF WALT DISNEY COMPANY 2013 9 The china State run theme park in china is programmed to operate next to Disney theme park to ensure competition with Disney at all costs. Competition ensures that there is no monopolization as well as customer exhaustion Future Outlook for Walt Disney. With the acquisition of the Lucas film, Walt Disney is looking towards a more vigorous production and distribution of its products, however, numerous people continue saying that the integration with Lucasfilm may have added more weaknesses to Disney than it had before, as (David, 2007) that strategic decisions have to be devised and implemented in terms of what segments to strengthen and which one to ensure there is an improvement on. The company has a new executive Vice-president for corporate strategy and business development, he is also developing a draft 3 years strategic plan for the company. Implementation of tools for measuring business success How are businesses, especially the larger ones with highest number of areas to focus on, knows whether they are making profits or loses? The overall outlook is that business must perform towards making of profits. Hence knowing how the profit and loss factors of the business is running is key to each and every serious business operating globally. Some of tools include the \budget, it indicates whether a company run over or under the strategic budget meant for it, customer satisfaction, through customer feedback, this measures their levels of satisfaction which results into issues of profit or loss. CASE STUDY OF WALT DISNEY COMPANY 2013 10 References Ayodele, A. O. Selecting a Strategic option for Walt Disney. Bohas, A. (2015). Transformational firms and the knowledge structure: the case of the Walt Disney Company. Global Society, 29(1), 23-41 David, F. R., & David, F. R. (2007). Strategic management: a competitive advantage approach, concepts and cases (16th ed.). Pearson. https:Online.vitalsource.com/#/books/97801341679. De Groote, P. (2011). Globalization of commercial theme Parks Case: the walt Disney Company: APSTRACT: Applied studies in Agribusiness and commerce, 5 (1033-201684139), 21-28. Disney, W. Analyzing Strategy: A look at strategy inside the Walt Disney Company By: Bonnie Aylor Capella University For: BMGT8016/ summer 2016/Unit3a1 Proffesor Linda Terry Griffin, S. (2000). Tinker belles and evil queens: the Walt Disney Company from the inside out. NYU press. CASE STUDY OF WALT DISNEY COMPANY 2013 OUTLINE 1.Assignment #1: • Implementation Plan: Part 1 • Introduction • Walt Disney Company 2.Assignment #1 • Implementation Plan: Part 2 • SWOT analysis 3.Assignment #3 • Internal and External Factors • Competition • Future Outlook for Walt Disney • Implementation of tools for measuring business success
Purchase answer to see full attachment