KEY DATES

The Eisner Era:(1984-

2004)• The “Disney

Decade” • Merger with

ABC• Ovits 38 Million

Dollars in cash, 3 Million stock options.

• Robert Iger was appointed as CEO.

The Iger Era:(2005-Present)• Major downsizing,shut

downs and selling.• Shanghai Resort.• Purchase of Marvel.• Expansion to Asian and

Indian Market.

SWOT ANALYSIS:

STRENGTHS• Strong

diversification.• Responsiveness to

market.• Brand recognition.• Creative Process.

WEAKNESSES• Large R&D costs.• High risk factor.• Constant upgradation.• High sunk costs.

OPPORTUNITIES• Growth through further

diversification.• Increase media networks/

Broadcasting market share.

• International growth/New Markets.

• Changes in technology and consumer consumption.

THREATS• Economic recession.• Changes in technology

and consumer consumption.• Intellectual Property.

(protection of)• Uncontrollable changes

in travel and tourism.

STRATEGIES

STRATEGIES

Target Market Strategies

International Outreach Strategies

Advertising and Promotional Strategies

Innovation as a Market Strategy

Product Differentiation

• Expand into the airline industry.

• Ensure the daily operations are running efficiently and engage in new tasks.

Disney Air.

• Purchase of fleet of 18 airplanes.• Operate with a system similar to SouthWest.• Operate to Orlando & Anaheim from 13 major

US Cities.• Flights attendants dressed as Disney

characters.• Discounts to parks for passengers.• Possibility to expand internationally.• Charge a premium price for flights.• Strong brand power will allow them to

successful.

PORTER’S

FORCES.

QUESTION 1? Disney now has five lines of business. How successful can Disney will be in the future with it’s endeavours to integrate entertainment inside and outside the home? Will it’s theme parks, restaurants and movies complement it’s plans to expand into the markets of the internet and broadcasting?

ANSWER 1:Every single company has it’s impact on the future success of the company. Infact, on it’s way to expand worldwide, Disney has multiplied its innovations and movie productions to better serve internationally. It has now 7 theme parks, 27 hotels with 36,888 rooms, 2 cruise ships, 728 Disney stores, 1 broadcast network, 10 TV stations, 9 international Disney channels, 42 Radio Stations, an Internet portal, 5 major web-sites etc.

Its 5 lines of business with its endeavour to integrate entertainment inside and outside the home is a good opportunity for Disney to gain a competitive advantage within the market place and more importantly within the movie industry.

Infact its technological innovations with its media networks will comfort its leading position within the sector.

Now-a-days, technology has become a very increasingly tool to compete with rival companies and industries.

Internet and Broadcasting will have a positive impact in developing marketing strategies and plans for theme parks, restaurants and movies.

I suggest that Disney first focus on integrating entertainment inside the home and then outside the home.

QUESTION 2?

How should Disney maintain its corporate culture as it continues to expand into global markets?

DISNEY CORPORATE CULTURE

Disney is rich in heritage, traditions, quality standards, and values that it believes are critical factors to its success.

Cast members share the value of honesty, integrity, respect, courage, openness, diversity and balance.

These values are demonstrated through such traits and behaviours like making guests happy, caring about fellow cast members, working as a team, delivering quality, fostering creativity, paying attention to every detail and having an emotional commitment to Disney.

Diversity in the WorkplaceAs diversity in the workplace continues to become a focus for nearly in the Walt Disney Company, and have to work to make this vision a reality.

By providing the cast members with the opportunity to express their own creative thoughts and direction, Disney has fostered a greater ‘buy-in’ to the company vision.

ORIENTATION

Disney’s orientation process in ongoing for all Disney cast members, beginning with the recruitment stage.

It continuously reinforces the values, philosophies, guest service standards on which Disney has prided itself for so many years.

Employees at Disney called “cast members” do not work at a job; instead, they are “cast” in the role of the “show”.

Disney uses this terminology to immerse its employee in an environment that constantly reinforces this image Disney wants to project to the public.

What should Disney maintain?• Managing diversity.• Make effective work

teams.• Effective motivation

through the goals.

QUESTION 3?

With the current labour market and competitive conditions dictating wage rates, should Disney and other large companies in the tourist industry be required to pay higher wages?

Based on of United States Department of labour( Bureau of Labour Statistics), it exhibits that the employment number is decreasing and it has the contrary as the wage rate. In average weekly rate, it is increasing.

There are two points to elaborate :- Financial Point of View- Organizational Point of View