THE WALT DISNEY COMPANY :

THE ENTERTAINMENT KING

Group 2:
Rahul Gupta
Akshay Singhal
Surabhi Jha
Shashank Shekhar
Sumit Raj
 The Walt Disney Company History
1923 | Disney Brothers
Studio was founded
1928 | Mickey Mouse
emerged as cartoon with
Sound effects
1923
1928
1982

1950
1954 1971

1982 | EPCOT
1950 | Live Action Film,
Centre was opened
Treasure Island was made
1954 | Television
1971 | Walt Disney world
presence with Disneyland
resort was opened
Vision: To be the best entertainment company with
services for both children and adults of the family

Mission: Fostering creativity and quality to provide

contemporary entertainment while ensuring synergy,
cost optimization and profit maximization

Core Values: Teamwork, Communication, Cooperation

and Committment
 Where did the company invest ?
Creation of Walt Disney Music Company - control music copyrights
and recruit top artists.
Making movies that mixed live action with animation
Build a park for entire family, not only for children.
Expanded presence with ABC produced Disneyland TV programs
Two Onsite Resort Hotels
Started cable venture - Disney Channel
Incurred costs to finish EPCOT
New attractions like Captain EO
Entered books, magazines and record publishing
 How were the investments offset?

Target budgets were set below the industry average

Less established writers and actors in career slumps were taken instead of
highest paid talents
Eliminated distribution fee by creating Buena Vista Distribution - saved 1/3rd of
the revenue
Developed studio's own pool of talents
Opened in house travel company
Re-released movies for new generation of children
Produced educational and training cartoons for government
Used corporate sponsorships to minimize the cost of upgrading attractions
Opened Disneyland on Mondays(maintenance day) with increased prices
 Problems Identified:

Increasing competition - AOL Time Warner, Viacom CBS etc have covered
almost all the business lines in which Disney operates - some having
comparable or even higher revenues than the company
Autocratic style of management
High turnover - the company lost many of the talents - Eisner saw it as normal
Increased possibility of brand damage and cultural clash because of too many
new businesses ventured into
Huge risks taken for new sector investments which may not have paid off
Disney's content was traditional for contemporary kids - this was exploited by
the competitors to gain advantage over the companys
Solutions
Organizational structure needs to be more mechanical.
Target 3 new markets and develop expansion plan for 2 new and 1 existing
market(India, china, Select an existing market for expansion).
Disney animation and film school