Question 1: The below case study how would I introduce this? Question 2: Link to

Question

Question 1: The below case study how would I introduce this?

Question 2: Link to the Functions of Management (planning, leading, organising and controlling)

Question 3: Clearly indicate a management problem or potential problem

Over two decades, your predecessor and boss, CEO Michael Eisner, accomplished much, starting the Disney Channel, the Disney Stores and Disneyland Paris, and acquiring ABC television, Starwave Web services (from Microsoft cofounder Paul Allan) and Infoseek (an early Web search engine). But his strong personality and critical management style created conflict with shareholders, creative partners and board members, including Roy Disney, nephew of founder Walt Disney.

One of your first moves as Disney’s new CEO was to repair relationships with Pixar Studios and its then CEO Steve Jobs. Pixar produced computer-animated movies for Disney to distribute and market. Disney also had the right to produce sequels to Pixar Films, such as Toy Story, without Pixar’s involvement. Jobs argued, however, that Pixar should have total financial and creative control over its films. When Disney CEO Michael Eisner disagreed, relations broke down, with Pixar seeking other partners. On becoming CEO, you approached Jobs about Disney buying Pixar for $7 billion. More important than the price, however, was promising Jobs and Pixar’s leadership, President Ed Catmull and creative guru John Lasseter, total creative control of Pixar’s films and Disney’s storied but struggling animation unit. Said Jobs, ‘I wasn’t sure I could get Ed and John to come to Disney unless they had that control.’

Although Pixar and Disney animation thrived under the new arrangement, Disney still had a number of critical strategic problems to address. Disney was ‘too old’ and suffering from brand fatigue as its classic but ageing characters, Mickey Mouse (created in 1928) and Winnie-the-Pooh (licensed by Disney in 1961), accounted for 80 per cent of consumer sales. On the other hand, Disney was also ‘too young’ and suffering from ‘age compression’, meaning it appealed only to young children and not preteens, who gravitated to Nickelodeon, and certainly not to teens at all. Finally, despite its legendary animated films, over time Disney products had developed a reputation for low-quality production, poor acting and weak scripts. Movies High School Musical 3: Senior Year, Beverly Hills Chihuahua, Bolt, Confessions of a Shopaholic, Race to Witch Mountain and Bedtime Stories disappointed audiences and failed to meet financial goals. As you told your board of directors, ‘It’s not the marketplace: it’s our slate [of TV shows and movies].’

With many of Disney’s brands and products clearly suffering, you face a basic decision: Should Disney grow, stabilise or retrench? Disney is an entertainment conglomerate with Walt Disney Studios (films), parks and resorts (including Disney Cruise lines and vacations), consumer products (i.e. toys, clothing, books, magazines and merchandise) and media networks such as TV (ABC, ESPN, Disney Channels and ABC Family), radio and the Disney Interactive Media Group (online, mobile, and video games and products). Further, in 2009 Disney acquired Marvel Entertainment (including the Avengers franchises) and in 2012 it acquired Lucasfilm (Star Wars and Indiana Jones franchises)

Explanation / Answer

Answer to question 1:

The below case study about the CEO who created conflict with shareholders, partners and board members due to his strong personality style. The first main thing to be done as a CEO is to repair the relationship with Pixar. Pixar was the one who was producing animated films for Disney. However due to disagreement, relations between the two broke down. However, Disney and Pixar later continued but still had some strategic problems. Disney also became old because its characters like mickey and Winnie the pooh were ageing. At the same time, it was also young as its target customers were only small children and not teenagers. There were financial problems also which required decision on its continuity.

Answer to question 2:

Planning: Disney could have planned for many other new characters apart from mickey mouse and Winnie the pooh as it covered only the young children group and not the teenagers because f which many audiences had moved to nickelodeon. Hence planning is an important function in this case.

Leading: Disney could have adopted the leadership function because of its many years of existence. A good CEO is the one who should be a good leader in taking timely decisions. But the CEO of Disney was having two much of personality, which effected the relationship with Pixar.

Organizing: Organizing is nothing but putting things in order so that everything takes place as per planning function. Disorganization can effect everything which results in failure of operations of the company.

Controlling: controlling is having control over the operations and to ensure everything happens accordingly for accomplishment of goals. The case here mentions about the failure to meet the financial goals which can be due to improper control.

Answer to question 3:

The below case can be stated under management problem rather than potential problem. The case itself states that the CEO has a critical management style which has led to the conflict with shareholders, partners and board members. The case also states about the strategic problems that Disney faces. Strategic problems can also arise when there is poor or mis management. The CEO would have the required potential. But because of improper management, Disney had to face problems with pixar.

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