Company Overview

Overall success due to success of five business segments

Disney

has five business segments Media Networks, Parks and Resorts, Studio Entertainment, Consumer Products, and Interactive Media contributes to the Disney empire by forging new and additional paths to market that together ensure Disney fulfills its mission.

Each piece

Worlds largest media conglomerate by revenues in 2010

With assets encompassing film, television, publishing, the Internet, music, and recreation, The Walt Disney Company was the worlds largest media conglomerate in terms of revenue in 2010 (Morningstar, 2011) recording revenues of $38.1 billion and a net income of $3.96 billion that easily outpaced the earnings of its primary competitors News Corp., Time Warner, and Viacom.

A multi-media empire
Although it is known internationally for

its princesses, pirates, and the iconic Mickey Mouse, Disneys holdings include:

The ABC television network and 10 broadcast stations; A portfolio of cable networks including ABC Family, Disney Channel, ESPN, and others; Film studios Walt Disney Pictures, Disney Animation, Touchstone, and Pixar; Marvel Entertainment, a top comic book publisher and film producer; and Walt Disney World and Disneyland, a cruise line, and other parks and destination resorts around the world.

Mission Statement:
"The mission of The Walt Disney Company is to be one of the world's leading producers and providers of entertainment and information. Using our portfolio of brands to differentiate our content, services and consumer products, we seek to develop the most creative, innovative and profitable entertainment experiences and related products in the world."

 We keep moving forward, opening new doors,

and doing new things, because we are curious and curiosity keeps leading us down new paths. -Walter Elias Disney

And after all, Dreams do come true..

History

How Walt Disney Started

Summer of 1923 Walt Disney arrived in California. He made a cartoon in Kansas City about a little girl in a cartoon world called Alices Wonderland. October 16, 1923 Became the start of the Disney Company. Originally known as the Disney Brothers Cartoon Studio, the company soon changed its name to the Walt Disney Studio.

1927 Walt Disney decided to move to an all-cartoon series, and created a character named Oswald the Lucky Rabbit. But he lost the rights of Oswald because his distributor went behind his back. After the loss of Oswald, he came up with a new character called Mickey Mouse. After which, he produced the Silly Symphonies. 1932 Flowers and Trees, a Silly Symphony and the first full-color cartoon, won the Academy Award for Best Cartoon. For the rest of that decade, a Disney cartoon won the Oscar every year.

Feat. Oswald & the Luck Rabbit

History of Disney Media Networks

1950s the first Disney television show was aired at Christmas time.
1954 Walt Disney went onto television in a big way with the beginning of the Disneyland anthology series. It remained on the air for 29 years, making it the longest-running primetime television series ever. 1955 The Mickey Mouse Club, one of televisions most popular childrens series, debuted and made stars of a group of talented Mouseketeers.

1980s moviemaking started changing in America. Audiences were diminishing for the family films that had been the mainstay of the Company for many years, and Disney was not meeting the competition for films that attracted the huge teenage and adult market.

1983 The company left network television to prepare for the launch of a cable network, The Disney Channel.
1984 Two corporate raiders also attempted to take over Disney because of the widespread perception that Disney stock was undervalued relative to the companys assets. 1990s Disney continued its strong presence in childrens animated programs for television, and found success with sequels to animated features released directly to the video market.

1996 Disney completed its acquisition of Capital Cities/ABC. The 19billion dollar transaction, second-largest in U.S history, brought the countrys top television network to Disney, in addition to 10 TV stations, 21 radio stations, 7 daily newspapers and ownership positions in four cable networks.
1998 Disney regional entertainment expanded with DisneyQuest and the ESPN Zone. 2000 The new cable network, SoapNet, was launched. Award-winning productions on ABC included The Miracle Worker, Anne Frank, and Child Star: The Shirley Temple Story.

2003 ABC had a rebirth with such popular series as Desperate Housewives, Lost and Greys Anatomy. 2006 High School Musical aired on Disney Channel and became an overnight sensation.

2007 Disney Channel reached new heights with High School Musical 2, and Hannah Montana shot Miley Cyrus to stardom.
2008 Camp rock and Phineas and Ferb debuted on Disney Channel. 2012 The Disney Junior cable channel replaced SoapNet.

For nine decades, The Walt Disney Company has succeeded in making its name preeminent in the field of family entertainment. From humble beginnings as a cartoon studio in the 1920s to todays major corporation, it continues its mandate of providing quality entertainment for the entire family.

Strengths & Weaknesses

Strengths

Diversified service portfolio Portfolio of well-known brands Significant customer penetration of the cable networks operations World famous brand Employee generate and implement Innovative ideas Well loved and patronized Disney characters and shows Largest media and entertainment company in the world. Became one of the major Hollywood studios. Increasing trends in total revenues and profits. Adopted Global Standards Licensing feature films to third party studios

 Overdependence

on the North American marketsIndividually the channels are highly priced Repetitive programs shown on the Disney Channels Growing number of policy leading to a decline of profits High operating cost Accusations of sexual consequences or hidden references on animated films

Weaknesses

Strategies Employed

Disney continues to differentiate itself as a classic entertainment company built on tradition with a clear vision of the future.
This strategy is one that Porter recommends as profitable for a company facing competition, and is enhanced by the companys continued partnerships with digital technology leaders such as Apple, Facebook, Hulu (of which it is part owner), and Sprint and desire to sustain expansion in high-growth international markets like China, India, and Latin America.

Strategic differentiation

Disneys strategy in gaining and satisfying customers through its Media Networks focuses on the principles of reaching the families and Disney enthusiasts, and share content that their guests are compelled to talk about and share. They listen to what the community wants through various social networks and create the types of tactics that they think will produce optimal results. Disneys ownership of media networks is a strategy used to market its brand to its audience. This includes a systematic approach to television advertising, radio commercials, print, outdoor advertising and mobile initiatives, promoting discounts on resorts, and family packages. Their goal is to reach kids directly and encourage them to urge their parents to visit a Disney park for a family experience.

Target Market

Strategy
International

Outreach Strategies
Advertising and

Promotional Strategies
Innovation

as a Market Strategy -

Reasons being a global brand

We create Happiness. - Disney as a brand has always managed to create a delightful experience for its customers through its extraordinary and innovative service by staying focused on its service goal. The success of the company can be attributed to its strong value system and its belief in the fact that employees are also an important resource for the organization and that true success can only be achieved by creating a force of happy employees and happy customers. Disney Management Handbook Disney believes that guests will receive the quality of treatment we expect them to receive when the employees receive the same quality of treatment. Also the employees of the organization are given enough opportunities to think creatively and this means that Disneys reputation as a global brand is the sumtotal of the efforts made by all the employees of the organization.

Innovation - Disney has always focused on innovation in entertainment. Disney has managed to stay on top through the reinvention of its core business and also through maximum utilization of the available innovative technology. Disney has always accepted technology change and advancement as an opportunity to grow and learn as a business organization. Customers have always expected the best form of entertainment from Disney and the company has always been successful in delivering the same to its customers. Multipurpose characters - Disney shareholders are well served by the wide range of media control. Disney has also built a solid publishing empire, producing books and magazines, as well as an English-learning center. The company also knows how to multipurpose characters from its movies and television into profitable retailing as well, featuring theme-park exclusive merchandise, and a fleet of brick-and-mortar Disney stores, as well as an active online retail business.

Children market segment - With the explosion of interactive media (via gaming systems, the Internet, and mobile use), Disney has once again captured and repurposed content to address the needs of new media. Unlike many companies, its material fits well with one of the most neglected market segments, children. Family-focused priorities - Perhaps no other factor has contributed to the global success of Disney more than its family-focused priorities. It has established itself by creating a quality product, which it has then been able to maintain to a high standard. Despite the size of its corporation and its continuing growth, Disney emanates a family business feel, and that alone has done wonders for its brand.

Examples of success

In the 1990s, as a result of applying open innovation rather than trying to best Pixar, Disney was able to first partner with and then acquire the digital animation studio in 2006. Similarly, Disney realized the strengths of Apple and iTunes and chose to work with the company to make its television programming the first that was available to download through the Apple store.

Recent examples
Disney reclaimed the tween girl audience (8- to 12-year-

olds) in 2006 when it launched the enormously popular live-action comedy Hannah Montana on Disney Channel, by packaging a television, film, and pop star into one teenager and selling CDs and concert tickets; creating new attractions at its theme parks; making films; marketing a range of consumer products; and developing game software and websites, Disney made millions from the Hannah Montana franchise. In a similar vein, Disneys recent purchase of Marvel Comics will help leverage the company with tween boys, as the live-action films it releases will spur cartoons and comic books, clothing and shoes, video games and websites, and new attractions at its theme parks worldwide.

And to think it all started with a mouse