Disney Strategic Assessment Essay

2338 Words Jan 30th, 2011 10 Pages
OVERVIEW
Walt Disney Company for eighty years has captured the attentions of millions of people around the world, offering family entertainment at theme parks, resorts, recreations, movies, TV shows, radio programming, and memorabilia (David, 2009). Today, Walt Disney possesses four main business segments: Disney Consumer products, Studio Entertainment, Parks and Resorts, and Media Networks. Each of Disney's business units increased profits apart from its interactive division, which was recently restructured (Garrahan, 2011). By combining Disney's long history with the commitment to quality, Disney Consumer Products has had a large and steady presence in the toy marketplace (Anonymous, 2010). Studio entertainment has been somewhat of
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Disney received two ratings of ‘1,’ this is an area that should be addressed as the economy continues to decrease and unemployment rates continue to increase. An EFE Matrix is below:
Weight 0.0 (Not Important) – 1.00 (Not Important)
Rating – 4 – Response is Superior, 3 – Response Above Average 2 – Response is Average, 1 – Response is Poor
Opportunities Weight Rating Weighted
Score Comments
More hit Disney films 0.18 4 0.72 Revenues has the ability to increase with more hit films
More economically friendly packages for parks & resorts 0.09 1 0.09 Revenues has only increased due to higher average daily rates and ticket prices
Revitalize California Adventure in Anaheim, Ca 0.12 2 0.24 Plans to spend $1.1 Billion on improvements, more improvements can attract more customers, park has not been generating any revenue or income in the past
Disney Movies & Shows on iPod 0.08 2 0.16 iPods are a growing trend for teenagers, more shows will increase popularity, currently has benefited Disney
Resuscitate Theme Parks in Hong Kong & Paris 0.15 3 0.45 Will attract more international consumers, currently owns only 51% ownership in Hong Kong and Paris
Threats
Studio entertainment segment 0.09 4 0.36 Current revenue decreased by 1%, and only created 11% of revenue
Economic Conditions and Unemployment rates 0.11 1 0.11 Consumers not being able to afford the ticket prices can affect revenues and income

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