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GROUP 9 NICE TEAM

MEMBERS:
Baltazar, Ivanna Marie Dizon, Florianne Malig, April Camille Paras, Maria Kristina Reyes, Rie Anne Tanglao, Sheena Marie

EXPERIENTIAL EXERCISE 5A
STRATEGIES BEING PURSUED BY WALT DISNEY IN 2012 The article , What s Dodging Disney? , was taken from the site

www.moneycentral.msn.com and was written by Jonathan Berr. The author pointed out that Walt Disney as well as other media conglomerates don t look so hot or doesn t do well at this moment. Walt Disney have barely budged over the past year. Although rivals such as CBS, Time Warner, News Corporation, Comcast and Viacom each posted double-digit gains during 2011, still most aren t compelling values. Disney has a price-earnings ratio of 15.71, its five-year high, according to Reuters. Its 1.53% dividend yield lags the 2.08% average of the S&P (Standard and Poor) 500, giving investors another reason to avoid the stock. Wall Street analysts had projected the following for Walt Disney, it will have an average one-year price target of $42.33, about 7% above where it currently trades. Also, News Corporation, Time Warner and CBS each will have an estimated upside potential of less than 10%. However, project Viacom and Comcast each to rise more than 16% over the next 52 weeks because most of these stocks are trading at lofty multiples versus their historical averages, especially since they re expected to increase revenue in the single digits. Philadelphia-based Comcast, however, is the exception. The cable giant is expected to boost revenue by 53.3% to $14.9 billion in the December quarter because of the NBC Universal takeover. Results from NBC Universal were mixed in the third quarter and likely will be the same in the fourth. Comcast, though, trades at a multiple of 18.72, well under its five-year high of above 40. Comcast may be the only media stock worth owning in this group. The forecasts for Walt Disney are especially strong. First, despite the release of several high-profile movies, the conglomerate s box-office receipts have been mediocre. Box Office Mojo shows Disney s Buena Vista studios unit ranking fourth in box-office market share with 12.2% in 2011. The company s animated feature Mars Needs Moms bombed. Cars 2 may

have grossed more than $550 million worldwide so far, but it received such negative reviews that director John Lasseter was forced the defend the film in The New York Times.

Further hurting Disney s profits are upgrades to its theme parks, including a plan that would more than double the size of Fantasyland at the Walt Disney World Resort, the first major expansion to the Florida park since it opened in 1971. The strengthening of the U.S. dollar and the continued weakness of economies in Europe may scare away overseas visitors. About 3.6 million of the estimated 51 million or so people who visited Orlando in 2010 came from outside the U.S., according to official statistics.

The ABC TV network also remains a challenge. Despite critically acclaimed hits such as Modern Family, revenue at the network fell 1% in the third quarter though operating income rose 20%. Flops such as the reboot of Charlie s Angels didn t help the network s bottom line either. ABC World News Tonight with Diane Sawyer is making strides in the ratings, though it remains in second place behind NBC Nightly News.

Another overhang is the late Steve Jobs. The Apple co-founder was Disney s largest shareholder, and his estate still controls that stake through a trust. His widow Laurene didn t seek a board seat. It s highly likely that she may sell some Disney stock to, among other things, pay for the sizeable taxes that are due.

Given the uncertainties around Walt Disney, it seems prudent for investors to avoid Disney at least for now. Because being an investor we want to ensure that our funds when invested will give a good return in future. And these returns stem from two important factors: the ability of the business to generate profits and the price paid to any share of these profits. Selecting the type of business to venture is important. The idea of taking the company s growth rate or the bottom line shifts fast will give the investor a greater value for him.

We think that Walt Disney should look on the possibilities to check on their operations specifically their overhead and process. Also, check those countries that contributed a massive effect in the decrease of their income and evaluate it carefully. Another is, Walt Disney should also take good care of their investors and give them the guarantee that their funds will be in good hands. Lastly, they should study the changing trends for media themes to prevent further entertainment mediocrity.

EXPERIENTIAL EXERCISE 5E
If we will recall included in the Chapter 4 discussion was that internal strengths/weaknesses, coupled with external opportunities/threats and a clear statement of mission, provide the basis for establishing objectives and strategies. And also, considering the SWOT analysis and Holy Angel s mission statement, we arrive at the following long-term objectives for Holy Angel: 1. To be academically excellent It means that the academic programs are developed responsively and continue to meet the needs and as well wants of students. The school s academic signature will be programs which are designed in response to demand and which stimulate confidence in its students and which provides accessible quality education. 2. To develop confident employable graduates Holy Angel University is to be known as a learning institution which maximizes the employability of individuals. Its graduates find fulfillment in their chosen careers and locations. They are empowered with practical skills, knowledge and understanding of the discipline they have studied and with well-founded self-confidence, and an enthusiasm for continued learning. 3. To attract, recruit and retain students, and grow the institution that is conducive to meaningful academic and social experience 4. To create, exploit and transfer knowledge in the form of research

Holy Angel University is to become a provider and conduit for knowledge transfer in the form of researches by its faculty members with an aim to enhance the quality of teaching in the university as well as that of the others. Based from the above long-term objectives, the following are our Recommended Strategies: 1. Continue on capitalizing its strengths by maintaining its accredited status, locally and internationally, through continually rebalancing its academic program and curriculum that are responsive in the changing times. 2. Restructuring its scholarship programs to cater more academic scholars. This will encourage students to study harder and excel academically, thus producing empowered and well-knowledgeable graduates. 3. Expansion and capital investment decisions This can be achieved through construction of new buildings and acquisition of lands. This is an answer for increasing number of enrollees. 4. Offering of new courses 5. Related and unrelated diversification Another thing is the construction of dormitories to pamper local and foreign students who have distant residences from the university as well as the improvement of spaces for lease to outsiders. Both will provide another source of income which may be used wherever appropriate to maximize its ability to invest in improving the students learning environment. 6. Encourage and support staff to undertake relevant research through incentives 7. Discontinuance of Nursing Program 8. Improvement of the drainage system 9. Reasonable, affordable tuition fee 10. Advertising 12 STRATEGIES THAT COULD BENEFIT HOLY ANGEL UNIVERSITY: 1. Product development-the university could offer more courses so the people will have many choices to choose from, and there will be better chance to increase profit. 2. Unrelated diversification-the university can build a restaurant so students & other people have a place to eat wherein they will no longer go far from the university or a dormitory where the students may occupy so they can live in a place that is near in the university.

3. Forward integration- the university could franchise a famous food chain and put it inside the campus. Since it is famous, the students will surely eat at that famous food chain. 4. Air-conditioning of the classrooms. 5. Additional courses like pharmacy and medical technology. 6. Improvement of school facilities, repainting of buildings and repairs of those which needs repair. 7. Choose the competent, responsible and deserving professors. 8. Publication fees should be included in payment of student fees to ensure that the students are paying and at the same time the publication is funded properly. 9. More accessible way to accommodate students in paying tuition fees in finance. 10. Enhance more in technology for the benefit of the students, teachers and others. (Internet, Wi-Fi, etc.) 11. Giving free seminars to the faculties, staffs and others to further enhance their skills. 12. Improve the facilities and maintenance in school. (comfort rooms, repair of the toilets, vending machines, electric fan etc.)