The company has always focused on teamwork, creatively, and quality. The company also addresses the needs of his customers. Michael Eisner supported the company’s corporate values such as teamwork, entrepreneurship, and quality. Eisner promoted creativity in order to make the company successful.
The CEO also diversified the company’s practices. Eisner also embraced the best corporate strategy. Individuals such as Rich Frank, Frank Wells, and Jeffrey Katzenberg have contributed a lot to the company’s success. Disney’s movie and TV businesses supported its mission. Disney has always coordinated its businesses thus remaining successful.
Disney’s Net Income
Michael Eisner used various strategies in order to increase the company’s net income in his first four years. The first approach was constructing new parks and attractions. The company’s senior managers also addressed every challenge or problem affecting its success. Eisner ensured the company attracted more customers in new regions.
The “retail-as-entertainment” approach generated more profits. Eisner also worked hard to increase shareholder value. He wanted his company to have an annual income growth of 20 percent. Eisner also established the best brand. He also maintained the company’s core values such as creativity, teamwork, entrepreneurship, and quality.
Disney’s Corporate Strategy
Corporate Strategy is a critical approach in a business organisation. This case study explains how Disney’s corporate strategy made it business successful. Disney used the best strategies to create value across its businesses. The company also diversified its business approaches. The company used the best marketing strategies in order to achieve its goals.
The managers worked hard in order to generate the ideas and concepts. The decision to create parks and acquire new companies also supported the company’s strategy. The CEO also considered the best strategies in order to support Disney’s brand name. The CEO maintained the company’s core competencies and values. The company portfolio and business structure resulted in the best performance. This corporate strategy made Disney successful at the time of the case.
Disney’s Parenting Performance
The company’s parenting performance appears less professional. It is agreeable that Eisner did a commendable job towards the success of the company. Esiner worked hard to acquire and manage new business segments. The Walt Disney Company also established new companies and produced new movies. The strategic approach made Disney a leading player in the entertainment industry.
The company failed to retain the best talent and leadership after the death of President Frank Wells. The company also lost many high-level leaders and executives. This scenario explains why the company’s parenting performance was questionable. The level of creativity and performance in the company declined thus making the company less profitable.
I believe Disney had not diversified too far at the time of this case. The company had over 110,000 employees. Disney was also attracting more segments and businesses. Eisner encouraged the use of various skills and competencies in order to promote creativity. The CEO embraced new concepts in order to make Disney a leading company in the entertainment industry.
The company also failed to manage its major core values. The company also lost its top-level managers and executives. This situation affected the company’s strategy. The increasing competition was also a major threat to Disney’s business.
Recommendations for Disney
The Walt Disney Company has remained profitable in the global entertainment industry. The company should use its corporate strategy in order to achieve its potentials and goals. The company should identify the changing needs and expectations of its global customers. New technologies such as social media will attract more customers.
Disney should also invest in new markets such as India, China, and Europe. Eisner should also embrace creativity in order to attract new ideas. The company should hire competent executives to achieve its goals. The company should address the changing consumer expectations.