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Taking A Look At The Walt Disney Company

1041 Words5 Pages

Being a diversified entertainment company, Disney faces a number of competitors in its various segments. Some of the main media conglomerates with which The Walt Disney Company competes include Viacom Inc. (VIA), Time Warner Inc. (TWX), Twenty-First Century Fox (FOXA), CBS (CBS), and Comcast (CMCSA) (Must know guide 2016). TV, cable, DVD, Blue-ray, video games, and internet are the market that these companies compete in. The Walt Disney Company also competes in the sports market with ESPN its competitors are NBC, CBS, and Fox Sports Net. ESPN brings in 24% of Disney revenue (Investopedia 2015). Another category The Walt Disney Company competes in is Theme Parks. The competitors are Six Flags Entertainment, Cedar Fair, Universal Studios, and …show more content…

Some suppliers that caught my attention where The Goo, Blitch, BORAL, Chiquita, and Lifetime Brands. The Goo is a broadcast media company that produces radio and television things that could hinder The Walt Disney Company would be if The Goo went out of business and that would be less advertisement for The Walt Disney Company. Blitch is a Law Firm and Legal Service company and this could be very dangers if Blitch losses a case for The Walt Disney Company. BORAL is a building material company that supplies many materials for The Walt Disney Company like bricks, so if there is a shortage on brinks and The Walt Disney Company is remolding a new restroom then this could hold up the process. Chiquita is a producer and distributer of produce such as bananas, apples, and carrots. Chiquita could have a recall on bananas and this could affect anything that they use bananas for. Lifetime Brands is consumer and household goods company that sells kitchen tools and cookware. At Disney Hotels and parks they prepare and sell lots of different foods that I am very sure they use a lot of different utensils and cookware to prepare all of Disney’s food …show more content…

Things that could affect Disney is cable and satellite. Less and less people are buying cable because of the expensive cost. They are resorting to cheaper options like Netflix or Hula for example. Also because of technology people are not buying DVDs and blue rays as much as they use to, they download movies from their personal computer. Gas prices could affect people visiting the theme parks and high costing flight tickets could also affect people going to the theme parks. People are becoming more creative and coming up with great ideas like making their children costumes or character shirts instead of buying items for The Walt Disney Company stores. Pinterest has become a great place for people who are not so creative to be able to do creative things they once could not

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Market Structure - Oligopoly Oligopoly is a market structure whereby a few number of firms owns a lion’s share in the market. This market structure is similar to monopoly, except that instead of one firm, two or more firms have control in the market. In an oligopoly, there are no upper limits to the number of firms, but the number must be nadir enough that the operations of one firm remarkably influence and affects the others (Investopedia, 2003). The Walt Disney Company is categorized under an oligopoly market structure.

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The economic factor with Disney is greatly growing in the States and global economy. In relation to the 2011 Disney report, “The $18.2 billion in annual economic activity generated locally by Walt Disney Parks and Resorts accounts for 2.5 percent of Florida’s gross domestic product.” In 2009, more than 1 in 50 working Floridians was directly or indirectly working with Disney World and its resorts. In Central Florida, Disney is the biggest taxpayer which makes a lot of government revenue. In 2014, Disney brought in tax revenue just from hotel bed of over $200 million, thOne ongoing concerns in the social environment is income or affordability for customers as rates increase for Disney World during the holiday seasons especially during the Christmas

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Disney has become one of the most recognizable globalized companies in the world through theme parks, cartoons, movies, and merchandising in foreign markets.

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The threats of new entrants are low since they need to invest huge money to compete with Disney. For instance, the investment of Disney theme park is very high and the time of construction is quite long. Both of the two factors make it difficult for new entrants to enter this market. Another barrier is the power of the brand name. Disney has already owned loyal customers and they will prefer to visit Disneyland and watch Disney movies first instead of other places or new

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Disney’s ability to change its focused demographics, create a substantial competitive advantage, manipulate the marketing mix to fit each franchise, and focus on specific strategic plans has allowed for Disney to become one of the top platforms in the world. Disney’s change from appealing to one segment of the market, which originally was focused on younger children, to focusing on appealing to many different demographics and marketing groups was achieved by using multiple marketing segments or strategies paired with implementing different marketing mixes. In Disney’s case, they changed their product or shows/movies in order to target different age groups as well as different sexes. The first change was that Disney moved the Disney Channel from premium to basic cable in order to allow for almost everyone with basic cable to have access to their shows, which Disney done by changing its place component of the

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