CASE STUDY Case Study Analysis Task Walt Disney Company Headquarters, Burbank, C
ID: 354051 • Letter: C
Question
CASE STUDY Case Study Analysis Task Walt Disney Company Headquarters, Burbank, California 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 anc 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 i CEO Steve Jobs. Pixar produced computer-animated movies fo Disney to distribute and market. Disney also ts then had the right to produce sequels to Pixar Films, such as Toy Story, without Pixar's involvem 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 School Musical 3: Senior Year, Beverly Hills Chihuahua, Bolt, Confessions of a Shopaholic, Race to Mountain and Bedtime Stories disappointed audiences and failed to meet financial goals. As you told your of directors, 'It's not the marketplace: it's our slate [of TV shows and movies] scripts. Movies High Witch 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). With many of Disney's brands and products clearly suffering, you face a basic decision: Should DisneExplanation / Answer
Disney Studio was created in early 1920 buy Walt Disney along with his brother Roy. The character Mickey Mouse was created by Walt in the year 1928. This character got the Disney to fame. But this character has become too old for today's generation and Disney has started to lose his customer to competitors like Nickelodeon. Lack of planning and upgrading character to meet the current needs of customers is very important to retain them which Disney failed to accomplish. New characters were really introduced and lack of market research and planning expected their business. When they realise that these characters like Mickey Mouse are no more and typing the customers it was too late to make any strategic decisions hence it is rightly said you "fail to plan then you plan to fail" and it was too late even acquisition of Pixar was not beneficial for Disney lack of vision lack of planning and lack of strategic decision making lead to Disney losing its market share
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