M.TARIQ KHAN

HISTORY

October 16, 1923:

This date is considered the start of the Disney Company first known as The

Disney Brothers Studio.

1928:

First Mickey Mouse cartoon, and the first appearance by Minnie Mouse.

1932:

Flowers and Trees, first full-color cartoon and first Academy Award winner.

1939:

The Disney Studio begins its move to Burbank, California. 

1940:

Walt Disney Productions issues its first stock.

History

1955:

Mickey Mouse Club debuts on television.

1971:

Walt Disney World Resort opens with the Magic Kingdom and two hotels near

Orlando, Florida. 

1982:

EPCOT Center opens at Walt-Disney World Resort .

1983:

Tokyo Disneyland, the first international Disney theme park, opens in Japan.

1987:

The first Disney Store opens, in Glendale, California.

Growth

1989:

Disney-MGM Studios opens at Walt Disney World Resort.

1992:

Disneyland Paris opens.

1995:

Disney agrees to purchase 25 percent of the California Angels baseball team, Disney agrees to purchase Capital Cities/ABC for $19 billion. The Disney Channel begins operation in the UK.

1996:

Disney Online launches Disney.com.

Radio Disney, a live 24-hour music-intensive radio network, debuts. 

1998:

ESPN Magazine debuts, Disney’s Animal Kingdom opens at Walt Disney World Resort, Disney Magic cruise ship departs on its inaugural cruise.

  

Growth cont.

Vision

Walt Disney strives to be the world’s most famous entertainment company by creating an amazing experience for individual of all ages.

Media Networks

Studio Entertainment

Theme Park/Resorts

Consumer Products

Internet & Direct Marketing

Broadcasting

Cable Networks & InternationalTheatrical

Films

Beuna Vista Home Entertainment

Beuna Vista Music Group

Theatrical Productions

Distribution Television Production

Televentures

Walt Disney Attractions

Walt Disney Imagineering

Anaheim Sports

Disney Regional Entertainment

Disney Online

ESPN Internet Group

ABC Internet Group

GO.com Comerce

GO.com Internatio

nal

GO Network

Merchandising Licensing

The Disney Store

Disney Publishing

Walt Disney Art Classic

Disney Interactive

diversified

LOCATION MAP

Disney Resorts:1.California

2.Florida3.Tokyo

4.Hong Kong5.Paris

DISNEYSResorts

THEME PARKS

DISNEY MEDIA AND CRUISE SHIPS

DISNEY STUDIO

Media Networks Park and Resorts

• ESPN• Disney/ABC Television

Group• ABC Entertainment

Group• ABC News• ABC Owned Television

Stations Group• ABC Family• Disney Channels

Worldwide• Hyperion Book s

• Disney Land Resorts• Walt Disney World Resort• Tokyo Disney Resort• Disneyland Paris• Hong Kong Disneyland• Disney Cruise Line• Disney Vacation Club• Adventures by Disney• Walt Disney

Imagineering

Walt Disney Divisions

The Walt-Disney Studios Disney Consumer Products

• Walt-Disney Studios Motion Pictures

• Marvel Studios• Touchstone Pictures• Disneynature• Walt Disney Animation

Studios• Pixar Animation Studios• Disney Music Groups• Disney Theatrical Group

• Disney Licensing • Disney Publishing

Worldwide• Disney Store

Disney Interactive Media Group

• Disney Online• Disney Games

Walt Disney Divisions Cont.

Assess long-term attractiveness of each industry firm is in

Evaluating Industry Attractiveness Relative to othersEvaluating Industry Attractiveness Relative to others

Strategic Factor

WeightInteractive

media Rating

Interactive media Score

Media networks

Rating

Media networks

Score

Market size 0.30 1 0.30 3 0.90

Industry profitability

0.25 2 0.50 2 0.50

Intensity of competition

0.35 3 1.05 3 1.05

Industry uncertainty

0.10 2 0.20 3 0.30

total 2.05 2.75

Strategic Factor

WeightPark and

resort Rating

Park and resort Score

Studio entertainme

ntRating

Studio entertainme

ntScore

Market size 0.30 4 1.20 3 0.90

Industry profitability

0.25 4 1.00 4 1.0

Intensity of competition

0.35 3 1.05 3 1.05

Industry uncertainty

0.10 1 0.10 2 0.20

total 3.35 3.15

Evaluating Industry Attractiveness Relative to othersEvaluating Industry Attractiveness Relative to others

Evaluating Industry Attractiveness Relative to othersEvaluating Industry Attractiveness Relative to others

Strategic Factor WeightConsumer products

RatingConsumer products

Score

Market size 0.30 2 0.60

Industry profitability 0.25 3 0.75

Intensity of competition

0.35 3 1.05

Industry uncertainty 0.10 2 0.20

total 2.60

Assess competitive strength of firm’s business units

Competitive strength of each of the companies business unitsCompetitive strength of each of the companies business units

Strategic Factor

WeightInteractive

media Rating

Interactive media Score

Media networks

Rating

Media networks

Score

Relative market share

0.10 1 0.10 3 0.30

Bargaining leverage

with supplier0.30 1 0.30 3 0.90

Technology and

innovation0.25 1 0.25 3 0.75

Brand name 0.35 1 0.35 3 1.05

total 1.00 3.10

Competitive strength of each of the companies business unitsCompetitive strength of each of the companies business units

Strategic Factor

WeightPark and

resort Rating

Park and resort Score

Studio entertainmen

t

Rating

Studio entertainmen

t

Score

Relative market share

0.10 3 0.30 2 0.20

Bargaining leverage

with supplier0.30 2 0.60 3 0.90

Technology and

innovation0.25 4 1.00 3 0.75

Brand name 0.35 4 1.40 4 1.40

total 3.30 3.25

Competitive strength of each of the companies business units Competitive strength of each of the companies business units

Strategic Factor WeightConsumer products

RatingConsumer products

Score

Relative market share

0.10 2 0.20

Bargaining leverage with supplier

0.30 3 0.90

Technology and innovation

0.25 2 0.50

Brand name 0.35 3 1.05

total 2.65

20 16 12 8 4 0

0 -4 -8-12-16-20

100% 80% 60% 40% 20% 0%

Market growth

Relative market share

Media networkPark and resortStudio entertainmentConsumer productsInteractive media

BCG MATRIX

WALT DISNEY

Check competitive advantage potential of cross-business strategic fits among business units

MEDIA NETWORK

PARK AND RESORT

STUDIO ENTERTAINMENT

INTERACTIVE MEDIA ADVERTISMENT

CONSUMER PRODUCT

Rank performance prospects of businesses and determine priority for resource allocation

Forbes Lists #14 World's Most Valuable Brands

#100 Global 2000

#185 in Sales

#86 in Profit

#300 in Assets

#39 in Market value

Rank performance

Craft new strategic moves to improve overall company performance

Use product development to renovate and build new

attractions in order to attract an older target market.

Use market development to build a new theme park

which will be more accessible to the North East area.

Strategies

Build an indoor theme Park and Resort in New York.

Improve advertising to promote entertainment which

target a more mature audience.

Remove the Interactive Media Segment.

Remodel and build new attractions in every Park and

Resorts to stay appealing to our customers.

In the next three years Walt Disney should..

Strategies

In the next year Walt Disney should…

Improve advertising to promote entertainment

Remove the Interactive Media Segment

Buy a land in New York City

Strategies

Forward Integration

Buena Vista Distribution in order to eliminate distribution fee

Buying back of food and merchandising operations within theme parks

Launch of the Disney Channel in 1983

Source: Harvard Business Case Study. The Walt Disney Company: The Entertainment King

Forward Integration

Disney Stores, “retail as entertainment concept”

New distribution channels such as direct-mail and catalog marketing

Buena Vista Home Video-marketing videos by surpassing video rental stores

Using the internet as a distribution channel

Source: Harvard Business Case Study. The Walt Disney Company: The Entertainment King

Backward Integration

Walt Disney Music Company formed to control Disney’s music copyrights

In house travel company to work with travel agencies, airline and tours in order to bring customers

ABC focused on using content developed in-house

Source: Harvard Business Case Study. The Walt Disney Company: The Entertainment King

Horizontal Integration

Acquisition of Cap Cities/ABC, MARVEL , PIXER to own a programming distribution channel

ESPN Zones

Disney Quests

Cruise Ships

Educational Retreats

Source: Harvard Business Case Study. The Walt Disney Company: The Entertainment King