Analyzing Disney's Success in Connecting with Consumers
1. ANALYZING CONSUMERS MARKET
CASE ON
DISNEY
MALAYSIAN GRADUATE SCHOOL OF ENTERPERENEURSHIP & BUSINESS
Presented by: group 2
AZHAR NAIMA p14 d487f
SHIVAN SALEEM p15d082f
WIJDAN IBRAHIM p15d088f
KHALDOON FATHI p15d089f
AWS SALAH p15d085f
submitted to
Dr. Bidin Chee Bin Kifli
2.
3. Introduction:
The Walt Disney Company, commonly known as Disney, is an American
diversified multinational mass media and entertainment conglomerate
headquartered at the Walt Disney Studios in Burbank, California. It is the
world's second largest media conglomerate in terms of revenue, after Comcast.
Disney was founded on October 16, 1923, by Walt Disney and Roy O. Disney
as the Disney Brothers Cartoon Studio, and established itself as a leader in the
American animation industry before diversifying into live-action film production,
television, and theme parks. The company also operated under the names The
Walt Disney Studio, then Walt Disney Productions. Taking on its current name
in 1986, it expanded its existing operations and also started divisions focused
upon theater, radio, music, publishing, and online media.
4. In addition, Disney has since created corporate divisions in order to market
more mature content than is typically associated with its flagship family-
oriented brands. The company is best known for the products of its film studio,
The Walt Disney Studios, which is today one of the largest and best-known
studios in American cinema. Disney also owns and operates the ABC
broadcast television network; cable television networks such as Disney
Channel, ESPN, A+E Networks, and ABC Family; publishing, merchandising,
music, and theatre divisions; and owns and licenses 14 theme parks around
the world. The company has been a component of the Dow Jones Industrial
Average since May 6, 1991. An early and well-known cartoon creation of the
company, Mickey Mouse, is a primary symbol of The Walt Disney Company.
5.
6. Q1 / What does Disney do best to connect with its core consumers?
It can be seen from the text that by the 1970s Disney concentrated on customers
comprising of children, families and adults. From 1980s, it adopted strategy to reach
older audience. Now its market consists of all ages, cultures.
Today, it is one of the leading diversified international entertainment company which
comprises of five segments: The Walt Disney Studios, Parks and Resorts, Disney
Consumer Products, Media Networks and Interactive Media. This diversity provides
sufficient chances for all kinds of customers to select services.
Besides, they used emerging technologies to connect with customers. This help
customers to be served more easier and entertainingly.
Disney core value, as committed by its CEO in saying Disney’s greatest challenge
today is to keep a 90-year-old brand relevant and current to its core audience while
staying true to its heritage and core brand values.
7.
8. Q2 /What are the risks and benefits of expanding the
Disney brand in new ways?
It is Disney policy to always seeking for exploring and expanding
its markets. Its expansion strategy is applied not only for
development in new countries besides United State but also new
products and services as well. They themselves invest in foreign
countries or take acquisition in the areas such as theme parks,
movies, … This helps the company to bring more revenues and
profits. Besides, working in entertainment areas, the company
should continuously work on brand that people seek out and
trust.
9. Recommendation:
The recommendations made here are both on global and corporate, but mainly on a
business unit level, and mainly affecting Walt Disney Pictures.
The Disney brand has lost some of its former magic. From making hit after hit
through out the 80’s and early 90’s, then they are faced by multiple unsuccessful
productions from the late 90’s and up until today.
This large punch in Walt Disney Pictures, and The Walt Disney Company’s face,
lasting almost a decade, should be a hint to the necessity of a strategic change in
their behavior. Strategies on a global level, should contain a larger focus on
changing trends in the entertainment industry .
Another global focal point is the large investments in the American market.
On the corporate level, in the Studio Entertainment segment, then there have been
great successes where TV programs have been winning a lot of awards.
10. Conclusion:
When looking on the signals The Walt Disney Company generally tries to send
through their mission statement, then one thing becomes evident; they have
already accomplished most of their mission. With a second place in the industry
they are among the worlds leaders of producing and providing entertainment.
They have strong brands that make them able differentiate their content and
their creativity and ability to innovate is, if not already available in-house,
acquired through acquisitions of companies like Pixar. So the only thing left in
their mission statement is actually being the most profitable company. But that
is not a very specific mission to have, and can not act as a specific guideline for
managers and employees. This could very well be why their performance and
strategic objectives have been deteriorating in the last decade in some areas,
and thereby making them weaker, and thereby giving space to new
competitors.