Company overview

Internal assessment
External assessment
Major Issues
Alternatives
Recommendations
Conclusion

 Founded by Walt & Roy Disney in 1923

Market segments: media networks, parks
& resorts, studio entertainment, consumer
products
Competitors: NBC Universal, Time Warner,
Black Stone, News Corporation, Sony, Six
Flags, CBS
Current CEO: Robert A. Iger
(since 2005)
Member of Board of
Directors since 2000

In millions

2008

2009

2010

37,843

36,149

38,063

Net Income

4,427

3,307

3,963

Total Assets

62,497

63,117

69,206

Total Liabilities

30,174

29,383

31,687

Total Shareholders
Equity

32,323

33,734

37,519

Total Revenue

Core Competences

Imagineering
Animatronics
Efficient park operation

Core Capabilities

Innovation resources
Reputation resources

Weaknesses

Diverse product portfolio

High expenses
Limited liquidity position

Segments of the general environment

Technological: interactive media, online presence,
animation, new platforms for delivering content
Global: understanding international culture and
demands, product innovation
Demographic: Aging population, income
distribution,
location of business units
Sociocultural: environmental
impact, diversified workforce

Five Forces
Threats of new entrant: Brand, economies of scale,
product differentiation, capital requirements, access to
distribution channels, retaliation
Bargaining Power of Suppliers: diverse supplier base
limited power, high volume purchaser, no forward
integration
Bargaining Power of Buyers: many options, TV, parks,
also large diverse base
Substitute Products: Internet, sporting events,
Broadway shows, etc.
Rivalry among Competitors: low switching costs, slow
growth, lack of differentiation,

Opportunities

Threats

Expansion to new
markets/segments/
locations
Media integration
E-Commerce

Piracy
Economic
downturn
Competition

Consumers outgrowing Disney

Maintain consumers through lifespan
by growing brand with them
International presence
Target markets more likely to adapt
the Disney culture

 Retirement home
Casino/hotel in Las Vegas
Theme parks/hotels in emerging markets
Brazil
Disney experience for tablet India

Brazil
Retirement
Home

Casino/hotel in Las Vegas

Advantages
Innovation
Expansion of current
business
Disadvantages
Crowded market
Family-fun, wholesome
entertainment

Disney experience for tablet India

Advantages
Spread their name in
India
Market to different
castes
Disadvantages
Low cost competition
Narrow scope
High R&D costs

Advantages
Gain competitive advantage over major
competitors
Population between 15 to 64 is 67%
There is already a theme park
Issues
Politics
Capital Requirements

Benefits
Location
Aging population
Customer service
Innovation & technology
Family oriented
Issues
Too many
Disney = family, children

 Company overview
Internal & external assessment of
Disney
Discussed major issues facing the
company and ways to overcome
those issues
Recommended ventures
for Disney to pursue