Creating Entrepreneurial Change - Disney JUNE 2019 PDF

Creating Entrepreneurial Change|40040706 2019
CREATING ENTREPRENEURIAL
CHANGE
CSR Approaches to
Enhance Disney’s Brand
Reputation
June 2019
i
Contents
TASK 1 ......................................................................................................................................2
1.1 Over view ..........................................................................................................................4
1.2 Type of the organization ................................................................................................4
1.3 Size Of The Organization ..............................................................................................4
1.15 Competitor Analysis ( Craft.co. (n.d.)) .........................................................................4
1.4 Products and Services ...................................................................................................4
1.2 Impact of External Environment on the Walt Disney CSR .................................................5
1.2.1 Environmental factors affecting the CSR activities of Walt Disney .............................5
1.2.2 Impact of Internal Environment on the Walt Disney....................................................8
1.3 Innovation approaches to CSR in Increasing the Brand Reputation ....................................9
1.3.2 Innovations in the Industry........................................................................................ 11
TASK 2 .................................................................................................................................... 12
2.1 Culture, structure, strategy and operations ....................................................................... 13
2.1.2 Conclusion – Organizational Readiness for Innovation ............................................. 15
2.2 Innovation opportunities .................................................................................................. 16
2.2.1 Three CSR driven innovations to enhance the brand reputation of the company ........ 17
2.3 Risks and Benefits Analysis ............................................................................................. 21
TASK 3 .................................................................................................................................... 24
3.1 Strategic Change Management Plan ................................................................................ 25
3.1.2 Stake Holder Analysis............................................................................................... 25
3.1.2 Risk Assessment Analysis......................................................................................... 25
3.1.3 Resource Capability Analysis ................................................................................... 26
3.1.4 Kotter’s 8 Step Change Model .................................................................................. 27
3.1.5 Johnson and Schole’s FSA Framework ..................................................................... 28
3.1.6 Gantt Chart ............................................................................................................... 28
3.2 Strategic External Communication Strategy ................................................................ 30
3.2.1 Communication Background..................................................................................... 30
3.2.2 Communication Objective ........................................................................................ 30
3.2.3 STP Framework ........................................................................................................ 30
3.2.4 Communication Strategy........................................................................................... 31
3.2.5 Communication Tactics ............................................................................................ 32
3.2.6 Communication Budget and Control ......................................................................... 32
3.3 Impact of CSR driven Innovation on Brand Reputation ................................................... 33
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3.3.2 Conclusion................................................................................................................ 34
Appendix 01 - PESTEL Analysis .......................................................................................... 36
Appendix 02 - SWOT Analysis ............................................................................................. 37
Appendix 03 - Competitor Analysis....................................................................................... 38
Appendix 04 – Porter’s five forces ........................................................................................ 39
Appendix 05 – Mind Map ..................................................................................................... 41
Appendix 06 – Force Field Analysis ...................................................................................... 42
References............................................................................................................................. 44
Table of Figures
Figure 1 Revenue of Walt Disney Geographically ......................................................................4

Figure 2 Disney Competitors .......................................................................................................4
Figure 3 Walt Disney's Revenue by Segment ..............................................................................4
Figure 4 Solar Energy Consumption ............................................................................................6
Figure 5 Electric Vehicles ...........................................................................................................7
Figure 6 Global Sales for Electric Vehicles .................................................................................7
Figure 7 Porter’s Five Forces .......................................................................................................8
Figure 8 Innovation Matrix - Henderson and Clerks .............................................................. 10
Figure 9 Innovations in the industry .......................................................................................... 11
Figure 10 Organizational Readiness to innovation ..................................................................... 15
Figure 11 Innovation Adoption Lifecycle .................................................................................. 16
Figure 12 Smart Phone usage statistics ...................................................................................... 20
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List of Tables
Table 1 Competitor Analysis .......................................................................................................4

Table 2 Environmental Factors Affecting CSR of Disney ............................................................7
Table 3 Porter’s Five Forces ........................................................................................................8
Table 4 McKinsey's 7S .............................................................................................................. 14
Table 5 Risk and Benefits Analysis - Innovation 1 .................................................................... 22
Table 6 Risk and Benefits Analysis - Innovation 2 .................................................................... 23
Table 7 Risk and Benefit Analysis - Innovation 3 ...................................................................... 23
Table 8 Stake Holder Analysis .................................................................................................. 25
Table 9 Risk Assessment ........................................................................................................... 25
Table 10 Resource capability analysis ....................................................................................... 26
Table 11 Kotter's 8 Step Change Model..................................................................................... 27
Table 12 Johnson and Schole’s FSA Framework ....................................................................... 28
Table 13 Gantt chart .................................................................................................................. 28
Table 14 STP Framework.......................................................................................................... 30
Table 15 Communication Tactics .............................................................................................. 32
Table 16 Communication Budget and Control ........................................................................... 33
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Preface
Growing up as a kid, and even today it is one of my ultimate dreams to visit Disneyland. As a kid we
grew up with the brand and in our mind we all were Disney heroes.
The market size of the global amusement park has been rapidly expanding. Currently it is valued at USD
45.2 billion and is expected to grow 5.8% by 2025. There have been numerous changes happening in
entertainment industry with the enhancement of technology and also with the change of consumer needs
and wants.
Walt Disney Company has been always there encouraging its customers to dream what they want to be
and making them believe that their wishes will come true. Also it is very particular about satisfying the
customer needs by providing the best quality products and services to them.
Disney has always been the topic of the industry, as a successful business giant and also as a responsible
citizen who is providing the best solutions for number of social issues by being innovative as acts of CSR.
Researching about Disney has always been interesting for me and it has been a great deal of pleasure for
me to know more about the company as well as the industry.
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TASK 1
BRIEFING PAPER
2
REPORT
To: Senior Management Team

By: Marketing Consultant
Date: 18th of May 2019
The purpose of this report is to assess micro and macro environmental factors with the most impact on the
market sector over the past 5 years and to critically assess competitors’ approach to innovation to
improve.
3
1.1 Over view
Walt Disney established in 1995, is a global entertainment

company. The company operates in 4 enterprise segments; Media
Networks, Parks and resorts, Studio entertainment, Consumer
products and interactive media. In 2018 Disney was ranked the
world’s strongest, most powerful brand. (The Walt Disney Company 2017)
1.2 Type of the organization 1.4 Products and Services

Company Type Multinational
 Parks & Resorts – 11 parks and 43 resorts.
Motive Profit – Motive  Media Networks - Broadcast, Cable, Radio
Publishing and Digital business.
1.3 Size Of The Organization  Walt Disney Studios – used to create
No. of Employees 201,000 (Sep 2018) movies, music and stage play.
Global revenue 59.43bn USD
 Disney Consumer Products - Clothing,
Global Presence 42 markets Toys, home decor, stationary, fine art.
26 countries  Disney Interactive – Mobile, social and
console games.
Customer base B2B and B2C
1.15 Competitor Analysis ( Craft.co. (n.d.))

Category Competitor
Parks and resorts Comcast, Universal Studio
Media Networks 21st Century Fox, Times Warner inc,

NBC Universal
Walt Disney Studio Time Warner, Sony 21st Century Fox,

Viacom
Disney Consumer Hasbro, Mattel
products
Disney interactive Take – Two interactive, Ubisoft,

Figure 1 Revenue of Walt Disney Geographically
Electronic arts
Table 1 Competitor Analysis
Figure 3 Walt Disney's Revenue by Segment 4

Figure 2 Disney Competitors
1.2 Impact of External Environment on the Walt Disney CSR
The PESTEL Analysis in the Appendix 01 shows the impact on the Walt Disney Company’s CSR
activities for the past five years. It was identified that Environmental factors is one of the Macro factors
which has the highest impact on CSR activities of Walt Disney.
1.2.1 Environmental factors affecting the CSR activities of Walt Disney
Factor Current Practices in the industry Evidences

1.Water Collecting rain water Eco Lagoon in Universal Studio acts as a rain water collector.
conservation
Every year in any event 3– 4 million individuals

lose their lives because of waterborne diseases,
including in excess of 2 million kids who die out of
diarrhea as indicated by World Health Organization
measurements. (Nbcunicareers. (2019)).
5
2.Energy Embracing Green Technology - Solar  Singapore’s largest solar usage is from
Conservation power Universal Studios.
Unlike the other energy sources used An eco-friendly cooling framework was created to
Solar doesn’t harm environment and in cool the open air regions at Universal Studios
fact it contributes to save 90% of water Singapore by two to six degrees Celsius using just
when compared to other sources. 20% of the electricity required by regular climate
control systems. (Grand view research,2017)
Figure 4 Solar Energy Consumption
3.Re-use  Donating lightly used materials  WB donate lightly used materials and left
to local community. over food to local community including
 Recycling the food waste props, costumes and furniture. (WB Good.
2019).
 Disney Paris has introduced a program to
convert food waste in to organic oil. (The
Walt Disney Company 2017)
Demand for natural oil is increasing at a stretch. And

one of the best sources of producing natural oils is
food waste. Food waste can be used to produce these
oils as they contain a significant amount of lipids
and carbohydrates. (Socaci, S., Rugină, D. and
Păucean, A., 2017).
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4. Being Eco Using Electric vehicles  Tokyo Disney Sea introduced an electric
-friendly vehicle in 2017. (The Walt Disney
Company 2017)
Furthermore use of electric vehicles shows an
Figure 5 Electric Vehicles
increase globally.
Figure 6 Global Sales for Electric Vehicles
Table 2 Environmental Factors Affecting CSR of Disney
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1.2.2 Impact of Internal Environment on the Walt Disney
Porter’s five forces which was introduced by Michael Porter in 1979, helps to identify the industry’s
attractiveness and likely profitability.
Refer appendix 04 for the Porter’s five forces for Walt Disney Company.
Figure 7 Porter’s Five Forces
Forces Impact Drivers

 High exit barriers – fixed
costs are relatively high as
many large players like
Universal and Warner
Competitive Rivalry High Brothers are in the market.
 Product differentiation
 Switching Cost –
switching cost for the
customers is low.
Table 3 Porter’s Five Forces
8
In Porter’s five Forces analysis framework, this part evaluates the external factors that maintain the
intensity of competitive competition within the trade surroundings. This business analysis case of the film
Company considers however companies have an effect on one another within the recreation, theme parks,
and mass media industries. (Brown, L., 2019). The trends influencing business development in these
international industries are also analyzed. As an example, aggressive mass media promoting methods are
elements within the company’s strategic designing and management. The strong interaction of
competition facing Disney is predicated on the below factors;
 A higher number of firms in the market

 Strong aggressiveness of firms
 Moderate differentiation
Having many firms in the market is a strong factor which directly affects the competition. Also the five
forces access the aggressiveness of the external factors that strengthen the intensity of the completion.
Moderate differentiation will affect the competition moderately (Fern Fort University, 2019). All the
external factors discussed here affect the higher level of the competition of the Industry that the company
is facing already. Refer Appendix 04 for Porter’s Five Forces Analysis.
1.3 Innovation approaches to CSR in Increasing the Brand Reputation
As illustrated in Appendix 04; the competitor analysis there have been numerous innovations in the field
of CSR mostly in terms of, Empowerment, Environment, Energy Conservation over the past few years.
Walt Disney’s one of the biggest competitor Warner Brothers has lead breakthrough CSR innovations to
increase its brand reputation successfully. (WB Good. 2019).
Examples are,
 The next generation Story tellers
- Story Lab to help children to narrate their own super hero story
- First cut providing high school children the opportunity to learn high quality film making skills in
school.
 Changing the narrative
- Access to action providing young adults jobs of production assistant to get the experience
- Sundance momentum fellowship broadening opportunities and access to emerging talent
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 Making Stories Sustainable

- Green Production - Green building, energy conservation and water reduction
The Innovation model which was put forward by Henderson and Clark (1990) states that the
combination of component and architectural knowledge produces four kinds of innovations and this
model is used to assess the different kinds of innovations which the organization has undertaken. These
new CSR initiatives can be considered as Radical innovations and as well as incremental innovations
by Henderson and clerk as per the innovation matrix.
Figure 8 Innovation Matrix - Henderson and Clerks
10
1.3.2 Innovations in the Industry
Company
Innovation Hollywood CPR First organization Green is universal Smart Packaging

partnership. to carry out a campaign. Initiative – an
- 18 months diving program for - Minimizing the innovative online
vocational training the disabled. Universal’s effect tool which helps to
given to candidates -a ground breaking on environment. improve the
who are unable to way to empower (Nbcunicareers environmental
enter the industry. disabled. ,2019). performance of
(WB Good. 2019). (Gardens by the packaging.
bay, 2019). (The Walt Disney
Company 2017)
Success? Failure? Success Success Success Success

How Brand - Recognition in -Recipient of - being a certified - receiving 2017
Reputation is Hollywood charity platinum member of Florida Environmental
increased? - Building award 2018 by Green Lodging Leader Project of
partnerships with community chest. Program. the Year Award.
famous writers, -More than 40,000 - Sharing the tool
directors and people were among top
producers. impacted. investors and
vendors
Figure 9 Innovations in the industry
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TASK 2
REPORT
12
Briefing paper on organizational audit and idea generation
To: Senior Management

From: Marketing Consultant
Date: 25th May 2019
This briefing paper reviews Walt Disney’s organizational readiness for innovation, and identify potential
opportunities for enhancing positive brand reputation via CSR driven innovations.
2.1 Culture, structure, strategy and operations
Component Impact (The Walt Disney Company 2017) Rating
Strategy Has a generic strategy for competitive advantage. 5

Both growth and differentiation strategies.
Centered on,
- Creating high quality family content
- Exploiting technological innovation to make entertainment
experiences more memorable
- International expansion of the business
Structure A corporative multi divisional organizational structure. 5
Strong centralization involving in its functional structure.
Main characteristics are,
- Business type segments
- Functional group for centralization
- Geographical division
System 4 Inter connected processes. 3
- Employee selection process
- Employee Training
- Providing required safety and care
- Communication
Rewarding employee of the month. And offering various benefits to the
employees.
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Staff Around 201,000 employees in total, in 45 countries. 4

A talented and diverse set of employees.
Disney was ranked 9th place in LinkedIn’s top companies to work in
2017.
Style Has a successful leadership style. 4
Company capitalizes on creative minds and innovation.
Transformational leadership style is followed.
Focused on 3Ws
- Who you are
- What you Do
- Where you’re going
Skills Focused on three special skills 4
Technical - Human - Conceptual
Employees are empowered at every level
Provide high international trainings for all incoming cast members.
Shared Vision - To be one of the worlds’ leading producers & providers of 5
Values entertainment &information.
Mission - Using our portfolio of brands to differentiate our content,
services & consumer products, we seek to develop the most creative,
innovative & profitable entertainment experience & related products
in the world.
Value system is arranged over 7 key ideas;
 Innovation
 Quality
 Community
 Story telling
 Optimism
 Decency
Table 4 McKinsey's 7S
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Having the aim with being one of the worlds’ leading producers & providers of entertainment
&information, the organizational culture and structure has strengthen the company and its unique
products and has created a special position in the industry. In conclusion when analyzing the McKinsey’s
7s framework for Walt Disney can be identified there is a right support from the company culture and
readiness for new CSR innovations.
2.1.2 Conclusion – Organizational Readiness for Innovation
Organizational readiness for change is considered an imperative originator to implementing successful

innovations. It is a multi-level, multi-faceted construct stemming from company culture, processes and
practices and its openness to innovation (Weiner, 2009). As discussed above, Disney is a well known
brand for its innovative and creative nature of business throughout the world. Also Innovation is in the
top of its shared values list. In order to define the innovative culture, Disney is carrying out a strong
orientation program followed by a series of training programs. Disney is focused on 3Ws, Who you are
- Understanding the core competencies, What you do – Delivering the products and services, Where
you’re going – knowing your goals and Strategies to make sure that the processes are aligned with the
Vision and Mission. (Sohail, N. , 2019).
Below diagram will summarize its readiness for innovation.
Providing
necessary
employee
trainings
"Innovation"
being one of the
shared values
Overall
Readiness for
Innovations
Exploiting
technological
innovations
Operation
management
effectiveness
Figure 10 Organizational Readiness to innovation Author Generated 15

2.2 Innovation opportunities
Rogers Diffusion of Innovation curve is based around four main elements which help spread the
'influence of a new idea’.
Innovation - an individual's perceived 'new' introduction can be considered innovation.
Channels of communication - Diffusion between people or organizations, communication is the transfer
of knowledge.
Time - Passage of time necessary for innovations to be adopted
Social system - influencer combination (media, social networks) that influences a potential adopter.
Figure 11 Innovation Adoption Lifecycle
Below diagram shows how the CSR innovations are taken place,
Pressure to Brand
“Do Strength
and
reputation
Audience
Engagement
1. Regulation
2. Sustainability
3. Philanthropy CSR Content

4. Governance &
Experiences
5. Consumer
Preference
6. Talent Demand
CSR Innovations Author generated diagram

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2.2.1 Three CSR driven innovations to enhance the brand reputation of the company
As discussed previously innovations have come to an utmost level in the industry mainly due to the
technological advancement and as well as the changes in consumer attitudes and needs.
Below discussed innovation ideas can be suggested as CSR innovations for Disney.
Innovation 01 A Line of Disney Toys Made Out of Recycled Waste
8.3 Billion Metric tons of Plastics are produced every year and out of that 6.3 Billion metric tons are
going on waste. Only 9% is recycled around the world. It takes more than 400 years to degrade plastics.
Scientists predict that oceans would have more plastics than fish by the mid century. (Statista., 2019).
As a solution to this major environmental issue, Disney can take initiatives to introduce a line of Disney
Toys produced out of recycled waste. Furthermore they can collect the plastics dumped in their theme
parks around the world.
Key feature of this Incremental Innovation idea is that consumers are encourage to buy environmental
friendly toys and also as a giant in the industry taking an initiative for a better future.
Collecting plastic waste from Disneyland’s around the

world
Toy Production From collected Waste
Making the Toys available among other Disney products
How to build the brand reputation through the CSR Innovation?
1. Positive Publicity – Disney Company is already gained its positive publicity through its numerous
CSR activities carried out. Introducing a new toy line made out of recycled plastics will also be an
17
innovation done for the first time in the entire industry which would add more value to it. This will
help in enhancing Disney’s publicity in a positive manner. (NBS, 2019).
2. Plastic wastage is already a huge issue in the society, which also contributes to more other
environmental hazards. Disney showing an interest in this social issue would show its commitment
as a responsible corporate trying to contribute for a better future .so addressing this would help the
company to build a long term relationship with a social cause. (Barnes, C. and Barnes, C.,
2019).
3. Along with the launch of new product, there should be an awareness campaign about the new
product to educate the public about the company’s initiative. Also in present society selling a
product has become secondary and what business gives back to the society has taken over.
Educating the good work done by the Company would leads to build the customer goodwill.
Innovation 02 Create Disneyland Experience through VR for Differently Able
Disneyland is no doubt a dream destination of almost all categories adults and children in their hearts.
Most of the people grew up with Disney being a part of their life. Yet there are set of unfortunate people
around the world who are not blessed with good health.
10% of the world’s total population is differently able
and out of that around 150 Million of them are Children.
(Disabled World., 2018). This CSR innovation could be
explained as a combination of humanity with the
technology. VR Technology is able to address as many
possible human senses. (Kuhlen, T. and Dohle, C., 1995)
Virtual Reality is a series of computer generated objects
which the user can interact with. Using VR as a solution
for the differently able children who are in love with
Disneyland will remove their physical obstacles and will help them to travel to the place they always
dreamed of. They will have the potential to try out the Disneyland activities and gain the same experience
from where they are.
For this Disney can come up with a special application which would create a Disneyland experience to
the kids who are using it to experience how it is to be physically present there.
This innovation is an Incremental innovation.
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Downloading the Application to a smart phone
Use the VR Facilitator
Enjoying the Disneyland Experience
How to build the brand reputation through the CSR innovation?
1. Create talk ability through social media – Social media is an easy medium to spread out
content without much of an effort. When the content is more interesting and relevant it would
spread viral with ease. Since the concept of using VR to give the Disneyland experience is an
authentic concept which is also interesting, this will create an interesting story to share and at the
end it will spread widely through word of mouth. (Smart Recruiters, 2017).
2. Users can feel the brand from where they are and can provide immersive user experience – the
whole concept is based on the user experience and it would be much easy for the consumer to
experience the touch and feel aspect of the brand. (Smart Recruiters, 2017).
3. Can add a personal touch of the brand to each user – as mentioned previously VR experience is
very personal and it is user oriented.
4 Can stand out of competitors as first to use this concept for amusement parks – this concept of
innovation is a mix of technology and human element. Disney as a brand will be again recognized
as a company who is trying to do a change.
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Snap Disney App

Innovation 03
Almost 9 out of 10 people around the world own a Smartphone and it has been a rapid increase of the
mobile phone usage globally. Out of that 55% of
mobile users are youth between 15 -24 years.
(Smartphone user penetration as percentage of total
global population from 2014 to 2021) Along with that
social media is widely popular among this crowd. And
also 97% of mobile marketers state that good mobile
experience would help to build customer loyalty. It
would be advantageous for Disney to develop an app to create Figure 12 Smart Phone usage statistics
hype. (Statista. 2019).
Disney can introduce an all inclusive application, where the user has access to get news, read comics,
and to get updates about the events happening along with a very special feature. The special feature
is that users have their own account where they can add friends. This feature makes the users to snap the
good deeds they do and to send among the friends. Disney will have a special point system when a user
reaches a certain score he or she is recognized as a Disney Hero and they will have access to special
discounts and invitations to Disney products and events happening. This app would persuade the
youth to engage in at least a small good deed as a result.
Download the Application
Add friends and subscribe to Disney News
Start Sending Snaps of Good Deeds
Reach the targeted score
Get the benefits
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How to build the brand reputation through the CSR innovation?
1. The application will boost branding as the customer will always see the app in the mobile. This
will increase the brand visibility. This is because the user will always see the brand logo, brand
message and other services and products that the brand is offering. (Gazdecki, A. (n.d.).
2. It will improve the customer experience as they can be in touch with the brand in any given
time through the app.
3. It will attract more customers since almost everyone is on the move with their mobile in hand and
it will be a relief for them to have access to get involved with the brand through a useful and
engaging mobile application. (Bergvall-Kåreborn, B. and Howcroft, D., 2013)
2.3 Risks and Benefits Analysis
Innovation 01 – a line of Toys made out of Recycled Plastics
High Medium Low

Rating 5 3 1
Impact Likelihood Score

Risk
1) Competitors coming up with the same concept
In appendix 4 and section 1.2 , it was identified that the industry rivalry is higher 5 5 25
2) Financial Risk -Longer Recovery Period

A higher investment will have to make in the innovation and it would take a long 5 3 15
time to recover as it is a new product and it needs time to get to customers.
3) Reputational Risk
5 4 20
Since it’s a new product launch, if the product fails there will be negative publicity to
the company.
4) Adoption Risk
Reluctance of customers to purchase the recycled Toys 5 3 15
5) Business Risk
5 2 5
Risk of anticipating all stakeholders to contribute equally.
Risk Score 80
21
Benefits
6) Addressing an important social issue
5 5 25
Justified in section 2.2
7) Personalized customer engagements
Buying a toy made out of recycled plastics would make them feel happy about 5 5 15
themselves as they contribute in solving a global issue.
8) Improved Brand Reputation

5 3 15
Explained in Section 2.2, innovation 1
Benefit Score 55
Table 5 Risk and Benefits Analysis - Innovation 1
Innovation 02 – To Disneyland through VR for Differently Able
High Medium Low

Rating 5 3 1

Risk
1) Stakeholder resistance to change
Criticism about gathering sensitive information
5 3 15
2) Financial Risk
5 3
High cost of developing VR aided videos and aids 15
5 3 15
If the innovation fails as it is engaged with a sensitive aspect there will be a high
reputational damage
4) Adoption Risk
Reluctance of parents and sponsors of differently able kids in downloading necessary
5 2 10
applications and buying necessary aids.
5) Business Risk 5 2
10
Risk Score 65
Benefits
22
6) Richer Customer Insights 5 5

25
It is a dream coming true for small kids.
5 5
Level of operation and engagement will be very personal 25
8) Improved Brand Reputation 5 4
20
Explained in Section 2.2, Innovation 2
Benefit Score 70
Table 6 Risk and Benefits Analysis - Innovation 2
Innovation 03 – Snap Disney Application
High Medium Low

Rating 5 3 1

Risk
1) Internal stakeholder resistance to change
Since this application is a new area of improvement there will be bit of a stress
among internal stakeholders 5 3 15
2) Financial Risk
A huge investment will be needed. 5 4 20
Failing the application would look bad on the company reputation. 5 3 15
4) Adoption Risk
People from all the age categories would not be interested in the application
5 3 15
5) Business Risk
5 3 15
Risk Score 80
Benefits
6) Richer Customer Insights
5 5 25
Justified in figure 2.2, innovation 3
Would be very personal and in other hand customers will enjoy using the
application 5 4 20
8) Improved Brand Reputation
5 3 15
As explained in section 2.2, innovation 3; the application will be multipurpose
and user friendly where the customers can keep themselves engaged with the
brand always.
Benefit Score 60
Table 7 Risk and Benefit Analysis - Innovation 3
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TASK 3
REPORT
24
3.1 Strategic Change Management Plan
3.1.2 Stake Holder Analysis
Stakeholders Expected Analysis
Employees Since it is a new product being

Internal Stakeholders
developed, employees will have new

jobs. Also there will be plenty of new
job opportunities in the company.
Management Management will have their job roles

widen and loaded with the new product
line.
Table 8 Stake Holder Analysis
3.1.2 Risk Assessment Analysis
Risk Implication Rating Strategic Response
Economic Risk Fluctuation of exchange rates, as a

business operating globally increase in Accept
M
foreign currency rates will have a huge
impact on the business.
Business Risk Expansion of the product line in

overseas will face the risk associated Prevent
M
with the global activities like unstable
political conditions, financial
instability, cultural differences, and
commercial practices.
Reputational Risk The company’s reputation is at a stake Reduce

if the whole new innovation.
H
Table 9 Risk Assessment
25
3.1.3 Resource Capability Analysis

Resource Classification
General Human Financial Physical
Strong Brand name Highly experienced and Successful and strong Theme parks are
around the world and 95 innovative driven staff. financials YOY. existing in 45 countries
years of industry
Current no. of A fairly large amount of Having many attractive
experience.
employees – 201,000 money is generated rides.
Huge base of customer employees. from ticket sale and
A worldwide
attraction. other restaurant sale.
Employee loyalty due to entertainment company
good salary rates and
benefits.
Capabilities Core competencies
 Strong Brand reputation  Storytelling and story creating.
 Highly diversified profile  Higher quality of service and

responsibility.
 Acquisitions – purchasing powerful
companies like Marvel.  Animatronics and show design.
 Technology – Applying technology for  Global immersive user experience.

their new innovation
Table 10 Resource capability analysis
A business’s Resources, capabilities and core competencies are the primary source of profitability for the
business. “It is important to distinguish between the resources and the capabilities of the firm: resources
are the productive assets owned by the firm; capabilities are what the firm can do”. In the Industry Disney
is competing successfully with the successful management of resources, capabilities and core
competencies it possesses as mentioned above. (Mannheim, S., 2016)
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3.1.4 Kotter’s 8 Step Change Model
1. Create Urgency – Make the employees 2. Form a powerful Coalition –Identify the
understand about the current issues the world influential people in the company and
is facing and as a company who is engaged in make them a medium of communication to
lot of CSR activities Disney has a great deal address the issues.
of potential in addressing these issues.
3. Create a vision for Change – Walt Disney is a company 4. Communicate vision –

which has a vision that would support innovations. For Selected influential people in
the new innovation the vision can be broaden as “ Taking step 2 will be the ambassadors
Walt Disney a step forward in a way which when communicating the
distinguish us & guide our actions, and to conduct vision of change. The tactical
business in more socially responsible and ethical way of doing this would be
manner by protecting the environment and benefit the talking to the employees and
communities where we work” see how they feel.
5. Remove obstacles – This step is 6. Create short term wins – Employees who are
about removing barriers and actively working towards the new innovation should
obstacles the innovation would face. be rewarded and should initiate a pathway for them
The influential people will play a to convey their innovative ideas.
major role in this and they can help
to clear out the barriers.
7. Build on the change – Getting the feedback 8. Anchor the change in corporate culture
of the innovation from all the individuals – Disney is a company which has
who are involved to understand and address contributed for CSR innovations already.
the short comings. Along with the new innovation can
implement similar innovations in the other
sectors of the company.
Table 11 Kotter's 8 Step Change Model
27
3.1.5 Johnson and Schole’s FSA Framework
Factor Description
Feasibility Current financial situation of the Walt Disney company (refer company
background task 1) shows that it is possible for Disney to invest in this type
of innovation.
Suitability Disney already being a company with lot of innovative CSR activities, and
also a company who has been providing entertainment for children for ages,
Disney is the ideal company to make an initiate CSR step to make those
little hearts happy.
Acceptability Disney is a global brand loved by millions of people with disregard to their
age around the world. Also the company is well known for its CSR
activities carried out to conserve the environment and water. Therefore it is
easy for people to accept the new innovation.
Table 12 Johnson and Schole’s FSA Framework
3.1.6 Gantt Chart
Year 01 Year 02
1 2 3 4 5 6 7 8 9 10 11 12 1-3 3-6 6-9 9-12
Step 01- Create Urgency
Step 02- Form a Powerful Coalition
Step 03- Create a Vision for Change
Step 04- Communicate the Vision
Step 05- Remove Obstacles
Step 06- Create Short-Term Wins
Step 07- Build on the Change
Step08-Anchor the Changes in Corporate
Culture
Total Implementation of the
Application
Table 13 Gantt chart

28
REPORT
To: Senior Management Team

By: Marketing Consultant
Date: 18th of May 2019
The purpose of this report is to present the strategic communication plan for the selected innovation.
29
3.2 Strategic External Communication Strategy
3.2.1 Communication Background
Disney is ranked as number 3 in RepTrack 2018 out of 100 companies in a list of the most reputable
companies. Disney as a company is already carrying out number of CSR activities and has been able to
win the empathy of millions of hearts. (Walt Disney Company, 2018). Disney will surely have no hassle
in getting the attention as it already has a vigorous Brand name and also due to the excessive advertising
in traditional media. Even though it has the enough attention it won’t be enough to take this CSR
innovation to the consumer mind. It surely has to be interesting. (Bolton, K., 2019).
“VR for differently able” would be another successful CSR initiative which would increase the Brand’s
reputation further.
3.2.2 Communication Objective
To be the 2nd place in the RepTrack by 2020 by increasing the brand reputation by 10%.
3.2.3 STP Framework
Segmentation Targeting
Demographic -Men and Women age 25 and above
- Having differently able kid or a sibling
- High and upper middle income groups
Geographic -Urban markets
Psychographic -Fun loving
Behavioral -A quality driven and who are ready to entertain the kid
Table 14 STP Framework
Positioning – Disneyland is a common dream of adults and kids with no doubts. Hence the positioning
can be done using the value based – positioning. This CSR Initiative can be positioned as “one of the
dreams comes true.”
30
3.2.4 Communication Strategy
Communication
Strategy
Thematic
Educational Digital
Advertising
Brand
Awareness
Consumer
Engagement
Address
Consumer
Needs
Consumer WHO & Other

Authorities
Advertorials
Awareness
Programs
Sponsorships
Health
Camps
Diagram 2 Communication strategies Author Generated
31
3.2.5 Communication Tactics
Strategy Tactics Expectation

Thematic TV and Press Advertising campaign to create Building the brand awareness
Advertising Brand Awareness and Addressing consumer needs
Educational Create a partnership with WHO and invite them to Building public relation by
conduct health camps in few places FOC for being present as a body that is
differently able children. committed for public service
and through this company will
be favorable in the eye of the
customers more.
Digital Platforms – Facebook, Instagram To create the talkability around
Tactics – posting a series of videos to drive the brand while making them
emotions about the right of differently able videos goes viral in Social
children to hope and dream big and allowing it to media platforms.
go viral by asking the audience to share it with a
hash Tag #MyDream
Table 15 Communication Tactics
3.2.6 Communication Budget and Control
Strategy Activity Budget - Success Time Period

Total
Measure
(USD) Jan Feb March
USD USD USD
Thematic Advertisement 2,000,000  Number of

Advertising Production inquiries
TV 10,000,000  % of 2,500,000 2,500,000 2,500,000
32
Press 6,400,000 Goodwill 1,600,000 1,600,000 1,600,000

increase
Educational Health Camps – 1 1,500,000  Number of 1,500,000 1,500,000 1,500,000

camp per month participants
Sponsorships – 3 300,000  Number of 100,000 100,000 100,000

sponsorships inquiries
Digital Video production 3,000,000  Reach 1,000,000 1,000,000 1,000,000
(1 video per  Number of

month) Post shared
Boosting 75,000 25,000 25,000 25,000
Table 16 Communication Budget and Control
3.3 Impact of CSR driven Innovation on Brand Reputation
Being socially responsible means not only fulfilling legal expectations, but also going beyond compliance
and investing more in to human capital, the environment and relations with stake holders.
As per the task 2.3 Innovation 2, that is to give the Disneyland experience to the differently able children
using VR technology is identified as an ideal innovation to develop further.
Mentioned below is a brief elaboration of how this CSR innovation will help in building brand reputation.
Products & services Purchase
Recommend
Innovations
Feeling Admire
Crisis Proof
Addressing Social
Issue Verbal Support
Trust
Citizenship Goodwill
Performance CSR Invest
Diagram 3 Author Generated Diagram

Dimensions Brand Reputation
Outcomes
33
The above diagram shows how CSR Innovation will help in building brand reputation. As displayed
above from the innovation of providing the Disneyland experience to differently able children as a CSR
activity will build the Trust towards the brand while customers will feel empathy towards the brand and
they would also Admire what the brand is doing. From this the brand reputation will increase in the below
mentioned ways,
1. Purchasing of products and services will increase.
2. Customers will recommend the brand to others.
3. Brand will not have to face or will have to face a least number of crisis.
4. Free publicity to the brand through word of mouth.
5. Good will of the brand will increase.
6. New investments will come in to the company.
3.3.2 Conclusion
The report provides the strategic communication plan for the identified CSR innovation, providing
Disneyland experience to differently able children through VR technology.
Furthermore as discussed throughout the assignment Disney is a company which has always known for its
innovative and creative nature and also it is a company that has been conducting various numbers of CSR
activities and fulfilling their duty as a responsible citizen to the society.
34
APPENDICES
35
Appendix 01 - PESTEL Analysis
PEST DRIVER IMPLEMENTATION O/T RATING
Governments around the world

intend to pay a great deal of
Political and Legal Labor laws O Medium
attention on how the employees
are treated.
Having a higher unemployment

rate globally has been a threat for
Economical Unemployment O High
maintaining favorable living
conditions of people.
Activities to nurture So many CSR initiatives have

Social and Cultural O High
and support children been taken in favor of children.
With the advancement of

technology, consumers’
Technological
expectation of getting a high
enhancement in
Technological quality experience has risen. Also O Medium
entertainment and
companies are active in Social
amusement industry.
media keeping their customers
updated on their daily moments.
Major current environmental

Water conservation, issues are Environmental
Environmental Waste Reduction and pollution, which should be O High
emission reduction addressed immediately to prevent
future crisis.
36
Appendix 02 - SWOT Analysis
Strengths Weaknesses
Wide coverage of cable networks Unfunded pension obligations
Strong brands leading to a good market Overly spread in one region

positioning
Highly skilled workforce Lack of choice in the product range
Having a creative and innovative set of Vulnerable to competitors

professionals
Limited expansion of amusement parks
Opportunities Threats
Increase in customer spending and economic Increase in labor rates

growth
New consumer behavior trends Development of new technologies
Growth of developing markets Currency fluctuations
High Expense toll
37
Appendix 03 - Competitor Analysis
Time Warner Inc. Sony Sentosa
Product range publishing services, entertainment A premium lifestyle

provision of filmed equipment and destination with sea
entertainment and cable instruments, electronics, aquarium, maritime
network devices, software for experiential museum,
different markets, game universal studio and
consoles and computers luxury hotels.
Industry Media Entertainment And Amusement park

media
Market Share 10.3% 22.8% 20.3%
Revenue 31.27 Billion USD 11.08 Billion USD 639 Million USD
Key CSR Activities Making films and Youth on assignment Empowerment

television shows with a Supporting EYE SEE Engagement
smaller environmental UNICEF childhood Environment
footprint. photography workshop.
Safer studios and Malawi Folktales
facilities. project.
Collaboration across our
industry to support
diverse enterprises.
38
Appendix 04 – Porter’s five forces
Forces Impact Drivers
 High exit barriers – fixed costs are

relatively high as many large
players like Universal and Warner
Brothers are in the market.
Competitive Rivalry
High  Product differentiation
 Switching Cost – switching cost for

the customers is low
 Low switching cost as there are

various other options available in
the market.
 Moderate price sensitivity – this

High impose a moderate force on the
strategic success of the company.
Bargaining power of customers
 Moderate availability of the
substitutes
 Fewer Suppliers – very few

suppliers who construct amusement
Bargaining power of the Moderate
parks. Hence suppliers have
suppliers
flexibility to bargain with Disney.
 Supplier Sustainability – since

Disney has been in the industry for
years suppliers will trust Disney
and tend to provide their services
continuously.
 Moderate availability – customers

have a choice of substitutes
moderately.
39
Threat of substitutes Moderate  Moderate variety – higher variety

would make customers to move
away from business.
 Low switching cost
Threat of new entrance Low  High capital cost – an external

factor which weakens the intensity
of this force.
 High cost of brand development –

new entrants find it difficult to
compete on brands considering the
company’s global spread.
40
Products & Services

- Parks and resorts
Appendix 05 – Mind Map
- Media Networks
- Walt Disney Studio

Type - MNC
- Consumer Products
- Disney Interactive
Company Geographical
Profile Location - Worldwide
Supply chain facility
Footprint
Healthy
Living
Present in 26
Countries
Current CSR Environment

Stewardship
Walt
Work Place
Disney Strategic
CSR Philanthropy
A Toy line
out of
Suggested CSR recycled
Plastics
Future of CSR
To Disneyland
Snap Disney through VR for
APP Differently Able
Increased
Real Time CSR invitations to join
Reporting strategic efforts
Brand Reputation
Building
Improve the profit
margin
CSR Insures the

Business Bottom Line Improves the
Improves company’s
organizational Public Image
Dynamics
41
Appendix 06 – Force Field Analysis
Force Field Analysis developed by Kurt Lewin (1943) was utilized to identify forces for change and forces resisting
change in introducing VR technology for Disneyland. Forces have been rated 0-10 (0 being the lowest score and 10
being the highest score) based on the importance.
Expensive price of
Technology - 7
Stand out from Competitors - 9
Would attract empathy towards

Company -7 This will be limited only to
To people who can access the
Disneyland technology - 7
through VR
Creates a personalized customer Technology
experience - 9
Challenges in getting children to use

the technology - 6
Would address a social issue
successfully - 9
Possible technical drawbacks - 5

Increase the talkability of the
brand - 9
High Cost of Implementation -6
Increase the talkability of the

Brand - 8
High Cost of Implementation -7
42
Impact score of drivers Impact score of resisters Total Score
51 38 51 –38= 13
43
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Creating Entrepreneurial Change|40040706 2019

Figure 1 Revenue of Walt Disney Geographically ......................................................................4

Table 1 Competitor Analysis .......................................................................................................4

To: Senior Management Team

1.1 Over view

Walt Disney established in 1995, is a global entertainment

1.2 Type of the organization 1.4 Products and Services

1.15 Competitor Analysis ( Craft.co. (n.d.))

Media Networks 21st Century Fox, Times Warner inc,

Walt Disney Studio Time Warner, Sony 21st Century Fox,

Disney Consumer Hasbro, Mattel

Disney interactive Take – Two interactive, Ubisoft,

Table 1 Competitor Analysis

Figure 3 Walt Disney's Revenue by Segment 4

1.2 Impact of External Environment on the Walt Disney CSR

1.2.1 Environmental factors affecting the CSR activities of Walt Disney

Factor Current Practices in the industry Evidences

Every year in any event 3– 4 million individuals

Figure 4 Solar Energy Consumption

Demand for natural oil is increasing at a stretch. And

Furthermore use of electric vehicles shows an

Figure 5 Electric Vehicles

Figure 6 Global Sales for Electric Vehicles

Table 2 Environmental Factors Affecting CSR of Disney

1.2.2 Impact of Internal Environment on the Walt Disney

Figure 7 Porter’s Five Forces

Forces Impact Drivers

Table 3 Porter’s Five Forces

 A higher number of firms in the market

1.3 Innovation approaches to CSR in Increasing the Brand Reputation

 Changing the narrative

 Making Stories Sustainable

Figure 8 Innovation Matrix - Henderson and Clerks

1.3.2 Innovations in the Industry

Innovation Hollywood CPR First organization Green is universal Smart Packaging

Success? Failure? Success Success Success Success

Figure 9 Innovations in the industry

Briefing paper on organizational audit and idea generation

To: Senior Management

2.1 Culture, structure, strategy and operations

Component Impact (The Walt Disney Company 2017) Rating

Strategy Has a generic strategy for competitive advantage. 5

Staff Around 201,000 employees in total, in 45 countries. 4

2.1.2 Conclusion – Organizational Readiness for Innovation

Organizational readiness for change is considered an imperative originator to implementing successful

Below diagram will summarize its readiness for innovation.

Figure 10 Organizational Readiness to innovation Author Generated 15

2.2 Innovation opportunities

Figure 11 Innovation Adoption Lifecycle

3. Philanthropy CSR Content

CSR Innovations Author generated diagram

Innovation 01 A Line of Disney Toys Made Out of Recycled Waste

Collecting plastic waste from Disneyland’s around the

Toy Production From collected Waste

Making the Toys available among other Disney products

How to build the brand reputation through the CSR Innovation?

Innovation 02 Create Disneyland Experience through VR for Differently Able

Downloading the Application to a smart phone

Use the VR Facilitator

Enjoying the Disneyland Experience

How to build the brand reputation through the CSR innovation?

Snap Disney App

Download the Application