Walt Disney
Justin Jeffries
The Walt Disney Company: The Entertainment King
BA 799 3:30 PM
April 21, 2010
Disney’s outstanding history of success has been accomplished through a series of strategic business choices involving synergies, brand management, and creativity. Known as the king of entertainment and media, Disney has also been able to remain profitable for so long due to the company’s various strategies used to create value through diversification, expansion, and integration. Throughout Disney’s history, the company was always operated by key businesspeople that had a goal of maintaining the brand and remaining profitable as the largest multinational entertainment conglomerate in the world. Additionally, Walt and Roy Disney set the stage for future leaders of the company to achieve success through horizontal integration and geographic expansion. An example of horizontal integration would include the acquisition of
Disney purchasing ABC for $19 billion in July 1995. This business investment allowed Disney to remain ahead of all other company’s in the market and continue dominating the strategic challenges faced by Eisner and all of Disney’s employees. The strategy of merging with ABC capitalized on Disney’s internal capabilities and created value by increasing diversification and differentiation among all brands and products that Disney owned.
Moreover, Disney has been able to remain profitable over the years by investing in multiple company divisions including Walt Disney Studios, Disney-ABC TV, ESPN, Walt
Disney Theme Parks and Resorts, and The Disney Channel on network television. Along with these divisions, the company has also continued to generate profits from Hollywood by releasing new animated films and releasing teen/adult films via Touchstone Pictures, Miramax, and even making it onto Broadway. The external threat of other competing entertainment brands neutralized Disney’s strategy of global expansion and created value by, once again,
The Walt Disney Company: The Entertainment King
BA 799 3:30 PM
April 21, 2010
Disney’s outstanding history of success has been accomplished through a series of strategic business choices involving synergies, brand management, and creativity. Known as the king of entertainment and media, Disney has also been able to remain profitable for so long due to the company’s various strategies used to create value through diversification, expansion, and integration. Throughout Disney’s history, the company was always operated by key businesspeople that had a goal of maintaining the brand and remaining profitable as the largest multinational entertainment conglomerate in the world. Additionally, Walt and Roy Disney set the stage for future leaders of the company to achieve success through horizontal integration and geographic expansion. An example of horizontal integration would include the acquisition of
Disney purchasing ABC for $19 billion in July 1995. This business investment allowed Disney to remain ahead of all other company’s in the market and continue dominating the strategic challenges faced by Eisner and all of Disney’s employees. The strategy of merging with ABC capitalized on Disney’s internal capabilities and created value by increasing diversification and differentiation among all brands and products that Disney owned.
Moreover, Disney has been able to remain profitable over the years by investing in multiple company divisions including Walt Disney Studios, Disney-ABC TV, ESPN, Walt
Disney Theme Parks and Resorts, and The Disney Channel on network television. Along with these divisions, the company has also continued to generate profits from Hollywood by releasing new animated films and releasing teen/adult films via Touchstone Pictures, Miramax, and even making it onto Broadway. The external threat of other competing entertainment brands neutralized Disney’s strategy of global expansion and created value by, once again,