WALT DISNEY PRODUCTIONS

I SSUE

“WHEN YOU WISH UPON A STAR,

MAKES NO DIFFERENCE WHO YOU ARE,
ANYTHING YOUR HEART DESIRES WILL COME TO YOU”
-PINOCCHIO, 1940



Walter Elias Disney created so much a dream that for him is just inches
apart but for others so far to be aspired. Uncle Walt started off with just a dream in
his mind and $40 in his pocket. He went into believing that someday his dreams
would come true for him. It was as if it was so much to be desired but could only
be held true by a few.

Uncle Walt then managed to make his dreams come true with friends at
his side and a mind full of imagination and stories. He entered a world so new,
that a few have trodden the path. He entered the world of animation with
immortal characters; from Alice to Oswald to Mickey. From when he started, it
was never an easy road, a lot of struggles came. Nothing comes to a man who fails
to continue.

The dream became bigger. He was becoming the face of America. He

didn’t stop from series animation, he held a bigger dream. He went into
production of full-length feature animation. This led him to becoming world
famous and becoming an icon for animation.
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He built his studio where the dreams became bigger. And alongside the
dreams are the problems that go alongside with it. The market is demanding a
bigger pressure upon the company. The workers are revolting against Uncle Walt.
Uncle Walt still continued on dreaming but soon enough has lost his charm. The
dreams still do move on along the company. The dreams are still creating a world
for children and kids-at-heart.

And as all stories go, the smiles and the happily-ever-after shall soon come
to an end at the very last pages of the books. A big turn-around of the smiling faces
turned into the saddest faces. Cast members alongside the children that Disney
made happy with his dreams have cried at his death. THE COMPANY MUST
KEEP ON MOVING FORWARD.



The problem now arises from here. Many of the companies in the world
has already experienced the death of its founder which makes it hard for the
company to make sure that the operations shall still ran smoothly. Companies died
already alongside the death of its founder. But Disney is quite different; it could
still handle the pressure as Uncle Walt has left its company with enough
knowledge to run the business.

Disney has left a mark of being CREATIVE, INNOVATIVE and being a

DREAMER. These are the qualities that every manager of Disney should embody.

WALT DISNEY PRODUCTIONS

The problem grows bigger as many of not all of the managers are quite CRITICAL,
TECHNICAL and ANALYTICAL; qualities outside of the realm of the culture of
Disney.

Materials for new production are already recycled. The movies that Disney
left unproduced were produced. No more ideas were left to be seen as plausible for
what Uncle Walt would do.

The company was stuck with the following lines; “Would Uncle Walt do
this?” “Would Uncle Walt produce such?” The company was left thinking on what
to do next. A series of movies were released thinking that Uncle Walt would like
such, but almost every movie produced was a writeoff.

Managers of Disney should begin thinking outside of the box to be able to

produce the same quality of movies that Uncle Walt has created during his time.
Managers are not expected to go at the same path of Uncle Walt because it would
be too risky causing a redundancy of films being produced and soon market would
be bored. THE CHALLENGE IS; COULD THE COMPANY LEVEL UP ONCE
AGAIN WITH THE CULTURE AND EXCELLENCE THAT ONCE WAS DISNEY?
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I NDUSTRY A NALYSIS

The Entertainment industry started from a very long time ago where man
knew how to work. The entertainment industry is the industry for leisure, where
the common man rests and relaxes in his free time. This industry is composed of
two major segments:

Live Entertainment; and

Media-dependent Entertainment

Both segments work hand in hand to be able to reach its market. The Live
Entertainment Industry is subdivided to four industries of their own:

Gaming
Sports
Performing Arts
Amusement

One of the newest and highly patronized industries, the Media-dependent

Entertainment Industry is composed of industries in their own:

WALT DISNEY PRODUCTIONS

Film
Music
Broadcasting
Cable
Publishing

Walt Disney Productions is a part of the biggest industry in the world, the
Entertainment Industry1 where the fun starts and the stress ends. Generally, we
cannot classify Disney among the segments of the industry because as a whole, it
took hold of all industry sectors.

1
For the sake of discussion about Walt Disney Productions, we would consider the company as part of
the Film Industry, one of the segments of the broader Entertainment Industry.
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D EMANDS FOR P RODUCTS OR S ERVICES OF THE

I NDUSTRY

L O NG - RU N G ROW TH OR D E CL INE

The increase availability of time among workers and students alike gives a
precondition that the entertainment industry is needed among the different
individuals. This in turn says bluntly that the industry, though how old it may be,
would still continue to grow in the long-run and there would be no expectation of
any further decline. It, so goes, means that as long as there is time, the
entertainment industry will continue to exist.

But this precondition only is applicable to the entertainment industry as a

whole. Its segments say different. The Film Industry in particular had a series of
downfall because of the introduction of new media. The film industry had no clear
notion of how to cope up with the newly introduced industry of cable and
broadcasting during the 1950’s. The broadcasting media and cable had also initial
problems when they first introduced television as it was costly for its market. This
just goes to show that the more introductions for new media damage the clear
thinking of the existing media.

Most of the companies in the film industry took the new media as no

WALT DISNEY PRODUCTIONS

threat but as an opportunity for them to reach the public faster. This strategy was
not seen for a decade by some other companies. Disney in particular took the
opening of new media as an opportunity for him to advertise products,
merchandises and films more easily. He used the television as an instrument to
open new doors for his company.
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Film Revenue Statistics

9.00
8.00
7.00

Studio Receipts
6.00
5.00
4.00
3.00
2.00
1.00
0.00
1950 1960 1970 1980
Theater 7.80 4.50 3.04 5.28
Video 0.00 0.20 2.40 6.02
TV, Pay 0.00 0.39 1.07 1.66
TV, Free 0.00 3.35 5.74 7.60

F IGURE 1 F ILM INDUSTRY SOU RCES OF REVENUE : WORLDWIDE STUDIO REC EIPTS IN US $
BILLIONS (2004 DOLLARS )

Via the use of the new media introduced, a company could do a rerun of
its film in television for certain devaluation. This would enable the company to
increase profit and to reach a wider range of market.

The industry as a whole shall still continue to grow as the years would pass

WALT DISNEY PRODUCTIONS

as long as they would know how to cope up with their market and the introduction
of new technology.

S TAB IL ITY OF D E MAN D FO R P RO DU CTS

The US market is becoming more saturated. Companies continually grow

and eat up the companies that are left in the bottom rank. The industry is
considered to be a dog-eat-dog world for many, as once you failed in the industry
that is becoming more saturated, the market will not buy you anymore. To further
prevent the saturation that is currently happening consolidations and buy-outs has
been occurring.

Disney has not escaped this scenario. Takeover in the company has been
reaching news. The demand for the films produced by Disney is slowly being lost.
A series of writeoffs, a precondition that dictates that the market is not buying the
films, has occurred in Disney. Movies like Something Wicked This Way Comes,
Night Crossing, The Watcher in the Woods, Midnight Madness, Condorman and the
like has caused Disney millions of dollars to be lost.
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Something Wicked This Way Comes 21.0 million

Night Crossing 10.5 million
The Watcher in the Woods 6.8 million
Midnight Madness 4.8 million
Condorman 20.5 million
________________________________________________________

The introduction of the television also threatened the cinema as a whole.

Moviegoers liked more to stay home and watch cable television than to watch at
the cinema. This endangered a series of film companies that hasn’t infiltrated yet
the cable television.

Soon enough another introduction damaged more the cinema that is the
introduction of VCRs. These small gadgets made it easier for the viewing public to
watch movies at home and to avoid the long queues at the cinema.

Many of the film companies were challenged then to produce VCRs for
their movies to prevent further loss of profit. Many companies coped up with the
introduction of the new technology and managed to back to the stable demand for
their products.

Demographical changes soon also changed the demand for the products.

WALT DISNEY PRODUCTIONS

Like for Disney which was pasted with the name Magic and Kids alongside its
name has lost further effort to open up to a different genre in film production. The
number of kids ages 13 and below has been declining. The demand is slowly
deteriorating and the wants of the audience is also changing.

Percentage of Audience Population

100%
80%
60%
Audiences
Number of

40%
20%
0%
1950 1960 1970 1980
Above 14 Audiences 85.3 81.8 85 86.4
Young (below 14)
14.7 18.2 15 13.6
Audience

F IGURE 2 P ERCENTAGE OF A UDIENCE BELOW 14 YEARS OF AGE

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Companies who has accepted the different entrance of technology and has
able to cope up with its market would soon see bright stars ahead of them and the
demand would continue to be stable.

S TAG E IN P RO DU CT L IF E C YCL E

The Film Industry is still a new industry for the market. But its
introduction gave a favorable response to the market. Many investors invested
already in the new industry as it has seen to grow more and more.

T ABLE 1 F ILMED ENTERTAINMENT INDUSTRY OPERATING PERFORMANCE , MAJOR

THEATRICAL DISTRIBUTORS

Revenues Oper. Income Margin Film Inventory Invent./revenue

($ millions) ($ millions) (%) ($ millions) ($ millions)
1983 5324.00 590.00 11.10 2980.00 0.56
1982 4548.00 565.00 12.40 2729.00 0.60
1981 3749.00 301.00 8.00 2267.00 0.60
1980 3997.00 489.00 12.20 1423.00 0.36
1979 4009.00 661.00 16.50 1538.00 0.38
1978 3498.00 606.00 17.30 1212.00 0.35
1977 2739.00 406.00 14.80 973.00 0.36
1976 2336.00 336.00 14.40 936.00 0.40

WALT DISNEY PRODUCTIONS

1975 2078.00 353.00 17.00 822.00 0.40

The industry has a balanced return of investment during its golden era.
The industry at this point is considered to be at the latter part of the growth stage.
People would still continue to see the fulfillment of the industry that has started
off well and good and is starting to meet the standards set by its market.

S UPPLY OF P RODUCTS OR S ERVICES

C AP ACITY O F THE I N DU STRY

The industry offers a varied amount of movies it produces every year, from
horror flicks to animation features. Here we could already see that the industry is
able to handle the demand for the product in various forms for various
specifications per individual.

Though the industry is still at its growth stage, various entrants of the
industry are already able to supply the needs of its growing market. A lot of the
competitions are still working hand-in-hand to be able to appeal to the market via
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consolidation. The produce of the different companies already answers more than
enough of the demand of the public.

T ABLE 2 E STIMATED P ROBABLE M INIMUM L IBRARY V ALUES AS OF 1983

Film Company Approximate No. of Titles

Columbia Pictures 1,800 Features
Disney 25 animated, 125 live action, 500 shorts
MGM/UA 4,600 features (2,200 MGM), 1,310 shorts, 1,080
Entertainment cartoons
Paramount 700 features
Twentieth Century 1,400 features
Fox
Universal 3,000 features, 12,500 TV episodes
Warner Bros. 1,600 features

A VAIL AB IL ITY OF N E E DE D R E SOU RCE S

Resources for the film industry are readily available for them. New
technologies every year is increasing and so goes is the production of the materials

WALT DISNEY PRODUCTIONS

needed for filmmaking.

Machine and equipments are readily available in the vast changing world
of the industry. Everything is already at a close grasp for the companies. New
technological improvements are already available for consumption by the different
companies inclined to producing film.

Manpower is overwhelming except for companies like Disney, who has a

specialized need for manpower who has the ability to imagine and create. Most of
the manpower provided by the different states is analytical and technical people
who would be very much helpful for companies inclined in technical filming and
period pieces.

The market is vast changing, and needs are growing. The industry could
answer the different needs in one blow. Companies should just stick to their status
quo and they are good to go. A varying media would also be applicable to the vast
changing needs of its market.

Raw materials for production are also readily available. Talents are just
roaming around the country and cost wouldn’t be a problem for raw materials as
the materials necessary for filmmaking are available at budget prices. Advertising
could also lessen the cause of the different raw materials needed for production.
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S O CIAL C O N STRAIN TS

The US and world market had a series of demographic changes that

threatens some companies inclined to only a limited number of market in a certain
demography. Disney for example is losing its market because of the changing
needs of their market. Most of the young adults that they are catering want more
sex and violence on the things they are watching. The same series of social
constraints is experienced by a lot of the different companies inclined to film
production.

The demographic changes soon shall change the different focus of the
industry. If such change would not be coped upon shall death knock on the doors
of the dreams of the companies trying to make a need upon their market.

The sales are not really that slow nor is it exponentially growing. The
stagnancy of the increase of revenue so goes mean that the industry needs to cope
up with their market to be able to stand firmly on ground to prevent any further
loss for the companies.



On the other hand, the increase time of leisure permits social freedom
among its target market thus improving the return of investments for companies
who looks into the needs of their market.

WALT DISNEY PRODUCTIONS

C OMPETITIVE C ONDITIONS IN THE I NDUSTRY

S TRU CTU RE O F TH E I ND U STRY

The entertainment industry is one of the largest sectors of the US

economy and is in fact becoming one of the most prominent globally as well. It is
composed of 12 major enterprises:

Movies Publishing
Music Performing Arts
Television Programming Sports
Advertising Theme Parks; and
Broadcasting Toys and Games (otherwise
Cable known as merchandising)
Casino
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The different major entertainment enterprise has only been touched by a few film
companies; to name a few:

Walt Disney Productions

Disneyland
Disney World
EPCOT
Animation
Live Action Films
NBC
The Disney Channel
Universal Studios
Universal Studios
NBC
CNBC
USA/ Sci-fi
Paramount Pictures
Nickelodeon
MTV
VH1
DreamWorks

The industry in its vast expanse created tight competitions between

WALT DISNEY PRODUCTIONS

networks. At the start of the 1980s the industry became a dog-eat-dog world.
Where competitions are eliminated and the so-called “mimicry “ and “mirroring”
in the industry started.
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CONCLUSION

The entertainment industry is a vast industry that accommodates many

markets. The vastness of the industry is also a threat to most companies as new
technologies and introductions for new type of media could threaten a certain
company without really meaning a threat.

Some took the threat as a challenge to be defeated but soon enough failed
and joined the new media instead. The prime threat for the industry is not the
introduction of new media but the changing demographics.

The change in demographics paralyzed many companies because of the

culture that was pasted to them. In this case, any companies who want to
penetrate the market well must be very versatile and only paste a name of quality
to their names not a trademark that would be limited to dying demographics.

The company should also establish a rapport with their market that they
exist as a company for prime leisure and for no other means.



IN ORDER TO SURVIVE A DOG-EAT-DOG WORLD, DON’T

UNDERESTIMATE YOUR COMPETITION EVEN HOW SMALL IT IS, BECAUSE
TO BE ABLE TO PENETRATE TO YOUR INDUSTRY, ALL YOU NEED IS A

WALT DISNEY PRODUCTIONS

POCKET FULL OF DREAMS AND A MIND FULL OF STORIES.
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P OSITION OF THE C OMPANY IN THE I NDUSTRY

“One of the best examples of service through people is Walt Disney Productions…
How Disney looks upon people, internally and externally, handles them,
communicates with them, rewards them, and is in my view, the basic foundation
upon which its five decades of success stands.”

- Peters and Waterman, In Search of Excellence

M ARKET P OSITION OF THE C OMPANY

R E L ATIO N O F C O MP AN Y S AL E S TO T O TAL I ND U STRY AND

L E AD IN G C O MP E TITO RS

T ABLE 3 F ILM I NDUSTRY M ARKET S HARE

Year Twentieth Warner Paramount Columbia Universal MGM/UA Disney Others

Century Fox Brothers
1983 21.00% 17.00% 14.00% 14.00% 13.00% 10.00% 3.00% 8.00%
1982 14.00% 10.00% 14.00% 10.00% 30.00% 11.00% 4.00% 7.00%
1981 13.00% 18.00% 15.00% 13.00% 14.00% 9.00% 4.00% 14.00%
1980 16.00% 14.00% 16.00% 14.00% 20.00% 7.00% 4.00% 9.00%

WALT DISNEY PRODUCTIONS

1979 9.00% 20.00% 15.00% 11.00% 15.00% 15.00% 4.00% 11.00%
1978 13.00% 13.00% 24.00% 11.00% 17.00% 11.00% 5.00% 6.00%
1977 20.00% 14.00% 10.00% 12.00% 12.00% 18.00% 6.00% 8.00%
1976 13.00% 18.00% 10.00% 8.00% 13.00% 16.00% 7.00% 15.00%
1975 14.00% 9.00% 11.00% 13.00% 25.00% 11.00% 6.00% 11.00%
1974 11.00% 23.00% 10.00% 7.00% 19.00% 9.00% 7.00% 14.00%
1973 19.00% 16.00% 9.00% 7.00% 10.00% 11.00% 7.00% 21.00%
1972 9.00% 18.00% 22.00% 9.00% 5.00% 15.00% 5.00% 17.00%
1971 12.00% 9.00% 17.00% 10.00% 5.00% 7.00% 8.00% 32.00%
1970 19.00% 5.00% 12.00% 8.00% 13.00% 9.00% 9.00% 25.00%

In contrast to the upbeat optimism of management, customers and

business pundits, securities analysts and some journalists were less enthusiastic.
The performance of Walt Disney is beyond par the industry standards. It is still
playing as a small player in the industry though it’s enough efforts to maintain a
number one spot. The reasons are because of high costs of production that would
only give back a small percentage for revenue. This occurred in a series of year
where the company spends more than what they can earn.
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Film Industry Market Share, 1983

Twentieth Century Fox

3%
8% 21% Warner Brothers
10%
Paramount
13% 17% Columbia
Universal
14% 14%
MGM/UA
Disney
Others

T ABLE 4 F ILM I NDUSTRY M ARKET S HARE , 1983

The industry share of Disney is only a mere 3% that signifies the high cost
of production and the low return of sales. A series of writeoffs for their films after
the death of Disney has cost a lot for Disney. Many hearsays of a takeover because
of the lack of independency in film production has been widespread ranging from
family members like Roy E. Disney, to business tycoons like Saul Steinberg.

WALT DISNEY PRODUCTIONS

The competition is still far ahead from Walt Disney Productions.

R E L ATIVE A PP E AL O F THE C O MP AN Y

Walt Disney Productions has appealed to a lot of audiences for its years of
existence; but a name was stuck for a certain market. The Walt Disney Company
describes itself as a diversified international company engaged in family
entertainment and community development. The business activities of the
company are divided into four segments: theme parks, films, consumer products,
and real estate development. In the different segments a series of market failure
has been seen.

The appeal of the different movies produced by Walt Disney Productions

has been a great writeoff for the company. The market supposed to watch the
movies held the company as unable to satisfy the need and demand of the public.
The expectations of the supposed audience were not met by the company. Walt
Disney left behind an image that the company creates magic and makes dreams
come true.

The changing market demographics have also endangered the appeal of

the company towards its market. The broad audience expected by the company
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has been decreasing. The young adults don’t want more child entertainment but
frankly speaking, more sex and violence with what they watch. If they would
implement such, the image of Disney in a greater market would be in burden. The
market is becoming more sophisticated and more demanding for quality films
brought to them. This was the main dilemma if the whole industry.



THEY NEED TO SURVIVE THE GAME WITHOUT ENDANGERING

THE NAME, ELSE, THEY NEED TO CHANGE THEIR IDENTITY TO REACH A
BROADER MARKET.

S TRE NG TH O F TH E C O MP AN Y IN M AJO R M ARKE TS

Walt Disney Company has infiltrated different regions of the world in

order to sell their products. The first five feature films:

Snow White and the Seven Dwarves

Pinocchio
Fantasia
Dumbo; and
Bambi

WALT DISNEY PRODUCTIONS

These movies have touched the major markets of the world and have set the
standards for future feature-animation films.

Via the new inventions and innovations of Walt Disney Company, a lot of
audiences have been gathered across the different cinemas around the globe and
gave a name for Disney as the image and icon of America.

A series of rip-offs soon came after the death of its founder. These movies
soon dirtied the name of Disney. The dreams became duller and duller as they
produce more films for the succeeding years:

Something Wicked This Way Comes

Night Crossing
The Watcher in the Woods
Midnight Madness
Condorman
The Black Hole

After a series of writeoffs and rip-offs, Walt Disney Productions has been
back in track but so slow that it only produced two classics since the death of their
founder:

The Rescuers
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The Fox and the Hound

The biggest sale of the two films was at Western Germany, where The Rescuers
held the biggest hit of all times.

Another manifestation of the strength of Disney was the series of wins at

the Oscars for the different feature film of Disney. The prestigious award sends a
message to the public that the company is able to play alongside the big
companies of the industry, namely:

1. Twentieth Century Fox

2. Warner Brothers Picture; and
3. Paramount Pictures

S UPPLY P OSITION OF THE C OMPANY

C O MP ARATIVE A CCE SS TO R E SOU RCE S

Resources needed for film production is readily available for Walt Disney
Productions, having its own studio, it accomplished to retain all its technology and
is able to innovate and invent new technologies needed for the maintenance of
production.

WALT DISNEY PRODUCTIONS

People are also readily available for Walt Disney Productions as they are
located at the United States where talents are readily available for them. An
assurance came to Walt Disney Productions when they affiliated the company to
the different universities around the states.

Raw materials are screaming around the company studio. Many of the
needed resources are already available at the company.

For the theme parks of the company, the resources are very hard to find as
the demand of the owner is very exact. Resources came around the world for to
exemplify what Uncle Walt wanted for his park.

U N IQUE P RO DU CTIVITY A D VAN TAG E

Walt Disney Productions produced the firsts in the industry. They have
created the very first sound cartoon via Steamboat Willie with the help of Silly
Symphonies. This became the start of the sounds for cartoon. The next firsts for
Disney was the first Technicolor Cartoon via Flowers and Trees. This has also set
the standard for the next cartoons that Walt Disney would be producing and this
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was also been the barrier for all cartoon producing companies. Another firsts was
the multi-plane camera used for the first animated feature film, in the name of
Snow White and the Seven Dwarves.

The different firsts for Disney came into rushing soon after the
establishment of the Walt Disney Studios at Burbank. The company changed in
exponential ways, employing more people and creating more quality cartoons.

The first theme park in Florida was given credit to Walt Disney
Productions in the existence of the new Disneyworld. A series of theme parks soon
followed, from Walt Disney World to EPCOT. The company kept on giving great
firsts.

R E SE ARCH AN D D E SIG N S TRE NG TH

The greatest strength of Walt Disney Productions before the death of

Uncle Walt is their amazing research and design strength. New technologies are
always given credit to Walt Disney Productions, they have created a new
dimension in film making and animation; from sounds to feature-length animation
to theme parks.

Soon after the death of Uncle Walt, everything came crumbling down.

WALT DISNEY PRODUCTIONS

Marketing researches were very insufficient. The question, “what would Uncle
Walt do?” and “will Uncle Walt accept this?” rounded the whole company. They
didn’t have any direction to go to. They were stuck with the old ideas of their
founder. Films did not sell, the marketing research lacked. Though the image
remained intact, the quality of the pictures produced are exponentially
deteriorating, films of quality are very scarce and very seasonal. Movies produced
are not anymore at par with the standards left by Uncle Walt.



THE MANAGEMENT IS AFRAID TO TAKE RISK AND SO GOES

AFRAID TO PUT MORE TIME INTO RESEARCH.
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S PECIAL C OMPETITIVE C ONSIDERATIONS

A B IL ITY AN D V ALU E S OF C O MP AN Y M AN AG E RS

Walt Disney has left so much to be desired. He has created a company

where dreams come true and where imagination runs wild. He didn’t have any
room left for anything more inferior than what he expects. He wants perfection
and every reality to be as close as what he has imagined.

He never really draws any of his character nor created any of the sounds or
music for any of his cartoons, but he created stories and room for imagination in
every production that he did. This in turn gave his company a name among the
brightest stars in Hollywood.

Soon after his death, managers came in crawling upon the rubles finding a
way to continue what Disney started. They had a problem. What Uncle Walt left
was creativity, imagination and freedom. The new managers didn’t have that, what
they have are the critical, technical and analytical concepts for film production.
They don’t have the ability to create great stories. Everything they are producing is
already leftovers, and some, redundancies. They don’t have the right direction to
go to.

WALT DISNEY PRODUCTIONS

The company now is under rumors of takeover. The company was deemed
unable to handle independency. They hang too much to the death of their
founder.
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CONCLUSION

Walt Disney Company is experiencing a common sickness for many

companies, the death of the founder. Disney has no direction since the founder
died but Walt Disney trained all his personnel well on how to operate the business
he would soon be leaving. The company is at the tip of the iceberg, one wrong
action and it would explode into a very big problem, a TAKEOVER, where in the
long run, would kill the company as a film producer.

Strengths Weaknesses
• Innovative • Management
• Creative • Costly Productions
• Production Quality • Lack of Independency
• Brand Recognition • Poor Production Value
• Stable Market • Writeoffs

Opportunities Threats

WALT DISNEY PRODUCTIONS

• New Technology • New Media
• New Media • Changing
• International Market Demographics
• Changing • Cost of Production
Demographics • Communism
• Demand
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A LTERNATIVE C OURSES OF A CTION

CHANGE THE IMAGE OF THE COMPANY AND TOUCH MORE ON

WHAT IS CURRENTLY ON DEMAND WHILE STILL PRODUCING
FEATURE ANIMATION FOR CHILDREN. This action would help the
managers to think freely and outside of the box and create a more revenue
based market.

GO FOR A TAKEOVER. This would help the management to be handled

by another person just like when they were being handled by Uncle Walt.
Another advantage of a takeover is that they would be able to produce
movies without the burden of thinking of what to produce.

SELL DISNEY CHANNEL. For one to be able to sell a part that is highly
susceptible to loss would gain the company more revenue without the
danger of too much expense.

SELL THE REAL ESTATE BUSINESS. The real estate business is too
stagnant to be able to give back revenue. The company should sell the
segment of the company that would burden any revenues.

WALT DISNEY PRODUCTIONS

R ECOMMENDATIONS

After all has been said and done, the company should change the image
left by Disney or change the name a little to create a new identity for Walt
Disney Productions to be able to produce freely movies outside of the
realm of the culture of the old Disney. The market demographic has
changed drastically after the death of Disney. To be able to cope up with
the change in demographics and with what Disney has left his company. A
CHANGE OF IDENTITY MUST BE DONE. The managers are too much
of a square for what Disney has left. They must adapt to what they are
capable of doing and not what Disney would say, as Disney is already
dead.