Walt Disney Case
Before being able to make recommendations on the Walt Disney Company based on the value they are (and are not) able to create, one must first analyze the company’s capabilities and resources that provide such value.
Being a member of the entertainment industry, their primary activities revolve around the operation of theme parks that are located all over the world, as well as running media outlets, creating studio entertainment, and selling various consumer products. With regards to the services offered by the company, not only does Disney offer world-class quality management and customer service in all of its markets, but brand loyalty and admiration by consumers across the globe make it clearly superior to its competitors, as well. On the other hand, another function, marketing and sales, is something that Disney could potentially improve upon in the future, as it is currently equivalent, at most, to its competition in this area. Since Disney is stretched into so many different areas of business, the capital that is necessary to become the top marketers in most or all of them is simply too high. Therefore, in a nutshell, the company’s strategy is to spend a little bit (relatively, of course) in each of its primary industries, rather than spend a lot in specific industries.
Other primary functions include logistics and operations. Being in the entertainment industry, Disney’s inbound logistics do not represent a major activity, similar to that of its competitors. Thus, Disney’s inbound logistics are roughly equivalent to its competition. With regards to operations, Disney’s top quality management, as mentioned earlier, along with creativity and innovation in all aspects of business, give it another competitive advantage and make it superior to its competition. Finally, outbound logistics, in an industry that is driven by convincing people to go out and spend their discretionary income on theme parks, movies, and other forms of...
Bibliography: "Corporate Responsbility Report 2008." The Walt Disney Company. The Walt Disney Company, n.d. Web. 9 Feb. 2014.
Fiscal Year 2012 Annual Financial Report. Rep. The Walt Disney Company, 2012. Web. 9 Feb. 2014.
Rukstad, Michael G., and David Collis. The Walt Disney Company: The Entertainment King. Rep. N.p.: Harvard Business School, n.d. Print.
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