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Strtegic Initiative

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Strtegic Initiative
Strategic Initiative - Disney
The Walt Disney Company (Disney) continues to seek tools that will attain future capital by implementing strategic initiatives that complement their well-diversified portfolio. As with any strategic initiative, an organization must evaluate the pros and cons of an opportunity as well as determine sufficient capital to fund the initiative. An organization must also forecast its projected returns to determine if the strategic initiative in question is a prosperous investment. Therefore, the planning of a strategic initiative leads to financial planning. The following will address a strategic planning initiative for Disney, which includes an initiative discussed in Disney’s 2012 annual report. The affects on cost, sales, as well as risks that the organization may encounter during strategic and financial planning will also be included. Disney strives to implement strategic initiatives that further develop the Disney brand, while increasing shareholder value (The Walt Disney Company, 2013). This can be attained through growth initiatives executed by strategic acquisitions. Disney achieved much success in prior acquisition transactions and has endured a few ventures that were not as successful as hoped (Parr, 2012). Nonetheless, Disney’s current focus is on growth initiatives that shall lead to expansion of the organization as well as the many brands offered and licensed by Disney. According to Disney’s 2012 annual report, Disney was successful in generating increased revenues in every division of their business segments. In the studio entertainment segment, Disney achieved successful growth through the strategic acquisitions of many well-known brands such as ABC, PIXAR, Fox Family and Marvel. With Disney’s strategy to deliver exceptional creative content, the organization finalized the recent acquisition of Lucasfilm, Ltd., which includes the legendary Star Wars franchise. This acquisition aligns with the



References: Chron (2013). Initiatives affect organizations financial planning. Retrieved from http://work.chron.com/initiatives-affect-organizations-financial-planning-4003.html Dey, S Strategic Planning Job Description (1999-2013). Retrieved from http://www.ehow.com/about_6324325_job-description-strategic-planner.html Strategy and Leadership, volume 38, Issue 2, 2010 The Walt Disney Company (2013). Disney acquires Lucasfilm, Ltd. Retrieved from. http://thewaltdisneycompany.com/disney-news/press-releases/2012/10/disney-acquire-lucasfilm-ltd The Walt Disney Company (2013)

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