Walt Disney Productions, Case Study Example

Walt Disney Productions has evolved from a small cartoon studio of the 1920s, and now is divided into five business segments, which are: interactive media, media networks, parks and resorts, studio entertainment, and consumer products (Walt Disney-1, 2015). The following are answers to questions based on the given case study about the Walt Disney Company.

What does Disney do best to connect with its core consumers?

The Walt Disney Company has over 90 years of experience entertaining families and, according to its website, provides entertainment for all members of the family, young and old, around the world (Walt Disney-2, 2015). This shows that the Walt Disney Company ensures it has a wide demographic and global reach to cater to people of all ages and cultures, which is a definite connection to core consumers. Additionally, the case study reveals that Disney’s CEO proposes that the Disney brand’s initiative to stay relevant and connect to its core audience includes developing and implementing new business and entertainment platforms continuously in new markets, as well as continuously innovating (Siklosc, 2008). Furthermore, the Disney brand reaches its core audience by creating dynamic products and entertainment services that none of its competitions can duplicate, by leveraging all five of its business segments and the intellectual capital of its teams, such as creating a complete business franchise from hit television shows like Hannah Montana (Siklosc, 2008). This is an excellent example of how the company connects with its core consumers, the young audience, and their families. 

What are the risks and benefits of expanding the Disney brand in new ways?

With any business there are always risks involved. With the Disney brand, issues can arise because the Walt Disney Company has been around for almost 100 years, which means it carries a tremendous legacy. This also means that there is pressure for management to ensure that the company’s legacy and heritage does not clash too much with innovation, because it is important for the company to stay relevant in today’s world, but also to stay true to its heritage (Siklosc, 2008). This definitely a challenge.

Another risks that the company faces is possible tarnish of its reputation through any type of crisis situation with its brand, such as a scandal of some sort or revamping characters to move into the future. For example, the company plans to reimagine Mickey Mouse for the future, particularly because the character has essentially become more a corporate image symbol than the beloved cartoon character of little children (Barnes, 2009). This is a risk because it could challenge the relevance of the character in the eyes of the public, because many people are resistant to change, and one might ask, if tweaking or changing in any way, “one of the most recognizable icons on Planet Earth” (Barnes, 2009, para 5) is not a risk, then what is?

However, with the risks of expanding the Disney brand comes benefits as well. Expanding the brand is an opportunity for the company to be more creative, innovate, and relevant to keep pace in the fast-paced entertainment medium of today, particularly with the company’s aim at garnering a sizable share of the gaming market with its brand (Barnes, 2009). For example, Fortune states that today’s kids are not interested in classic Mickey Mouse but are geared more toward modern Mickey, so it is beneficial for the company to stay relevant, up-to-date, and state-of-the-art with Disney’s brands.

References

Barnes, B. (2009, November 4). After Mickey’s Makeover; Less Mr. Nice Guy. Retrieved from The New York times: http://www.nytimes.com/2009/11/05/business/media/05mickey.html?_r=1&

Siklosc, R. (2008, April 11). The Iger Difference. Retrieved from Fortune: http://archive.fortune.com/2008/04/11/news/companies/iger_interview.fortune/index.htm?postversion=2008041110

Walt Disney-1. (2015). Company Overview. Retrieved from The Walt Disney Company: http://thewaltdisneycompany.com/about-disney/company-overview

Walt Disney-2. (2015). Disney History. Retrieved from The Walt Disney Company: http://thewaltdisneycompany.com/about-disney/disney-history/2000-01-01–%40