First of all, product strategy, Disney well known as producing high quality of products and of cause their famous brand that company has for years. Disney customized all their products with specific cartoon characters accordingly to consumers’ demand and request. Next, pricing strategy, From a consumers’ perspective, they always think of is the benefits they receive and the price they paying worth it. So in this cases, Disney’s product price are not low but compare to their competitors but the quality they used to produce a goods, it take into consideration that pricing is fair. Besides that, place strategy, a right place able to raise up the sales and maintain good sales for a long period, in turn, this means profit gained will increase too.
Furthermore, given the uniqueness of the Disney product, there are no potential competitors in the European arena. These factors give the company the possibility to charge a premium price for the final customer. In terms of Locational advantages France offered unique transportation facilities, qualified labour and access to a big potential market, justifying an investment in the region over other options. The decision of pursuing a WOS allowed Disney to save on high transaction costs like the ones experienced in the licensing contract with Japan. This Internalization advantages were the prevention of knowledge leakages, the cost savings of not having to enforce a contract with a third party and
Moreover, balancing the mix of attractions of the theme park is important. For instance, the market and subdivision within the park like different age groups likewise a great controlling queuing times at the different equipment. Universal Studios Hollywood has offered a mix of real Hollywood moviemaking with immersive attractions (Pair et al., 2003). 1.2) Global Standardization For multinational operation, a theme park business must reliably possess its most elevated standard. For example, Disney has successfully built up a significant master symbol, Mickey Mouse around the world.
Disney has control over many large radio stations, music studios, cable channels and networks, film studios, merchandising outlets, as well as theme parks. Disney has clearly organized and planned their business to become a known brand, and generate as much profit they can from each industry for their shareholders using techniques like corporate synergy. Disney participates in synergy by having cross ownership of many different media and entertainment outlets, and well as aggressively advertise their merchandise (Wasko
Disney has been a worldwide phenomenon in terms of creating entertainment for kids and even older adults. Disney has been able to expand and grow its franchises and create new franchises that are capable of become world-wide hits. Its due to its ability to change and manipulate its marketing strategies that allow Disney to appeal to its market. Another main marketing strategy that has allowed Disney to dominate all of its competition has recently been by cross platforming and taking over different companies and implementing them so that they can increase profits. 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.
The product is not fairly new to the market because it is a well-known brand. There are South African retail companies which are currently selling the clothing and toys depicting this brand. Although sales are low at the stage, due to the brand being well known; sales are likely are to take off in a positive manner. The families can already identify with the Walt Disney brand from the clothes that their children wear to the cartoons that they watch at home. Some of the youth members and the middle class consumers also have the Walt Disney’s apparels.
Based off of an article by ValueLine, Disney has grown from a small producer of animation series in the 1920s to one of the largest media and entertainment conglomerate in the world. The company has been benefiting from its investments in Parks and Resorts group, which reported a 7% rise in revenues in fiscal 2015, driven by significant price increases at many of its properties. Disney has some strong financial strengths as well. Disney has a very strong balance sheet and generates robust cash flows. As of April 2, 2016, the company had roughly $5 billion of cash on hand, and total debt was around 30% of capital.
In the past four years they have been concentrating on geographic, demographic, and psychographic segmentation to locate their target market. How did they use geographic segmentation? By looking in to region of a country or the world, the market size which is, market density, or climate; that’s how they decided on the locations of Disney's theme parks such as Disneyland and Disney World which are strategically located in the world's most visited places such as, Europe, Japan, India, and of course the United States. On the other hand, they used demographic segmentation by aiming on age, gender, income, ethnic background, and family life cycle; by focusing on that it helped them determine where to place their chain stores called the Disney Store, where to distribute their movies, and even determines what kind of movie they should create next. Whereas for the psychographic segmentation, it is used based on personality, motives, lifestyles and geodemographic; through that this is will help Disney to determine who is going to buy more of their
The use of language at Disneyland is important, for example customers are called guests, rides are called attractions, policemen are called security hosts, and uniforms are called costumes (Van Maanen, 1991: M10-17) 7. The Disneyland experience of fun, joy and a wonderful feeling have been made universal, as Disney was able to recreate and perfect another efficient and effective amusement park in another completely different environment (Van Maanen, 1992: 17). c. Discuss four assumptions that define Disney’s organisational culture.
After setting the objectives with maximum clarity, the firm must also prescribe their hierarchy /priorities. 6. Formulating the corporate strategy: The effectiveness of the entire strategic planning process is tested and proved by the effectiveness of the corporate strategy it chalks out. The main objectives of corporate strategy are to provide strategic direction to the firm. It is corporate strategy that ensures the fit between the firm and its environment.