Case Study-The Walt Disney Company: 1347606

Overview

The Walt Disney Corporation is a multinational, diversified film distributor in the USA, based in the Burbank, California Walt Disney development center.

Brothers Walt and Roy O. Disney created it on 16 October 1923 as a cartoon corporation for Disney Brothers and formally called it the Walt Disney Group in 1986. Until it was extended to live action, television and theme parks (Peters and John, 92 -103) the organization developed itself as a pioneer in the American animation industry.

Since the 1980s, Disney has been importing and purchasing consumer goods to market a wider variety of items beyond the conventional family flagship labels. Remembered include Walt Disney Productions as well as entertainment studios like Animations Walt Disney , Pixar, Marvel Studios, Lucasfilm, XXth century fox, Searchlight Movements and Blue Sky Studios. Movies in the 20th century. Disney is the producer and producer of ABC networks such as Disney Channel, ESPN, Freeform, FX and National Geographic, cable TV networks where 14 amusement parks, merchandise and attractions are distributed throughout the world. Disney Streaming Network, Disney Resorts and Products and Facilities and Walt Disney, DDI are numerous major Disney branches and business departments.
Porter’s Value Chain Analysis of The Walt Disney Company

2.1 Primary Activities

The primary supply chain activities of the Walt Disney Corporation include the drug creation and delivery to prospective customers. Assessment of the operations of a primary supply chain will increase the efficiency of The Walt Disney Company.

2.1.1 Inbound Logistics

It is necessary, in order to purchase, store and deliver the drug, to establish close relationships with suppliers. The Walt Disney Corporation will encounter a variety of obstacles during product creation without considering the integrated logistics. Any output from raw materials to finished products is the objective of a company, while the logistic inputs are evaluated. Inbound logistics was defined in a number of ways: raw material sourcing, material handling and raw materials internalization and output elements (Van Wormer, Katherine, and Cindy Juby, 578-594).

2.1.2 Operations

The importance of functional analyzes is accomplished when raw materials are usable. The business Walt Disney is happy for the manufacture and procurement of the raw material in the final product. First of all the operational activities are machining, processing, installation and testing. Under this word, machinery repair and maintenance are also included.

2.1.3 Outbound Logistics

Outbound logistics entail actions which supply the products to consumers via various intermediaries. Many administrative tasks that go beyond the project include material management, packaging, arranging, order processing and transport. To order to identify strategically beneficial outlets to meet the corporate development goals, the Walt Disney Corporation should evaluate to improve the outgoing logistics.

2.1.4 Marketing and Sales

At this time, the Walt Disney Corporation will show the advantages and distribution channels of goods marketed and convince customers with better quality over their rivals. Only then can a good quality commodity at a cost of distinctive features create interest, before the Walt Disney Corporation focuses on marketing and advertising activities. There are big distribution executives here (Nakajima, 77-81) and marketers here.

With effective, knowingly coordinated marketing practices, Walt Disney Company branded value can be built and maintained. Consequently, the Walt Disney Company must ban erroneous branded property commitments not kept by the development staff. It indicates that the different processes of the supply chain need to be handled.

2.1.5 Services

The Walt Disney Company provides customer rewards pre-sales and post-sales services. Modern customers find post-sales facilities to be important for advertisement and promotion. The effect of a negative e-WOM can not be undermined in today’s advanced technological era owing to insufficient operation assistance. The company should assess its support activities and use them to encourage fair practices in relation to quick, timely and reliable support facilities in order to prevent compromising the reputation of the brand.

2.2 Secondary Activities

The support activities coordinate and help the main value chain operations. Walt Disney Corporation will also benefit from the review of its service operations when discussed (Santos, 120-147)

2.2.1 Firm infrastructure

The framework of the business encompasses a broad spectrum of functions, from product control, legal management, finance, funding, planning and financial management. The Walt Disney Company can optimize the value of the entire value chain by effective infrastructure management. In order to improve the competition in the industry, Walt Disney Corporation is able to monitor the maintenance operation (or also named overhead costs).

2.2.2 Human resource management

The Walt Disney Company is able to assess the handling of human capital across different HR factors, such as recruiting, placement, preparation, incentives, handling among others. Effective HR management may every competitive leverage dependent on the morale, commitment and expertise of its staff through the Walt Disney Group. Therefore, the company can meet the goals of cost savings by contrasting recruitment and preparation costs and their relative advantage. Thanks to Walt Disney’s strong reliance on employee skills, Walsh (Gianfranco, Alexander Deseniss and Thomas Kilian, 571-600) this supply chain management approach is especially necessary

2.2.3 Technology development

About every operation in the supply chain is focused on technical assistance at a modern technically advanced era. The Walt Disney Company can realize the importance of technical innovation in the development, procurement, marketing and human resources industries by the integration of technology. It can be separated into products and services output. Examples include scheduling tools, technology customer services and product design and data analytics. The Division of Research and Technology (Gajjar, Trishna and Fevzi Okumus, 905-925) of the Walt Disney Company

2.2.4 Procurement

In the background of multiple value chain processes, Walt Disney Company must analyze the sourcing practices careously to optimize the inbound, financial and outbound value chain.

The Porter Value Chain concept is based on an estimation of the importance of certain activities. As mentioned above. The Walt Disney corporation prioritizes places for through profitability, hitting cost efficiency goals, developing separation system or streamlining the process by understanding the relative significance of the specified supply chain activities.

Value Chain you think are appropriate. If no changes, explain why not. 

1. Competitive Advantages through Value Chain Analysis of The Walt Disney Company

The Walt Disney Corporation must focus on operations where it has exposure to uncommon or terrified opportunities for its competitive advantage. These that require human property, properties, resources or a network of delivery. The Value Chain Assessment will help the Walt Disney Corporation in defining and improving the markets in which competitors will contend intensely. Value chain analysis is used in other situations (such as Toshiba and Sharp) to gain a strategic edge by having significant expenditures in research and development programs through their network of value chain. Porter’s common approaches should be employed together to build a clear competitive edge by gaining cost efficiency and value chains.

Following diagram shows Porter’s competitive advantage model:

An evaluation of the activities of the supply chain must be carried out to explain the competitive advantage variables. The Walt Disney Corporation will either leverage the cost reduction in manufacturing, marketing and other associated supply chain operations to create a direct distinction through human resources, equipment, facilities, industry or other comparable practices. For the final review, the advantage and isolation of two sources of economic advantages should be mixed.

Based on the scope and width of the supply chain research, the Walt Disney Corporation will achieve a comparative edge from one or both outlets. The next section of the report explains how the Walt Disney Company will customize the main and/or secondary chain of values to meet the required expense and separation goals.

  • 4. Cost Advantage of the Walt Disney Company

4.1 Cost advantage through Value Chain Analysis of The Walt Disney Company

  • Through minimizing expenses associated with the supply chain operations, the Walt Disney Corporation will profit from the productivity savings. The organization will first, though, schedule the plans and then make the required changes in accordance with costs. The relation between the supply chain and cost control strategy represents a concurrent emphasis on low-cost operations. To get cost gain, the Walt Disney Company will define each item in the value chain; maximize the impact in its entirety.
  • An example from the Walt Disney Company’s supply chain research is that it will use measurement as a method in which better deals can be obtained and transport cycles in and out are maximised.
  • One definition of value chain research utilizes value chain knowledge to generate small promotional budgets, which will reduce campaign expenses and provide an attractive commodity.

The Value Chain Review will boost productivity because the Walt Disney Corporation wants to maintain low cost. When the goal of the Walt Disney Company is to distinguish goods, Value Chain Analysis can allow the organization to increase its performance and product quality by enhancement of processes.

3. Walt Disney Value Chain Analysis Cost Drivers

The Walt Disney Corporation tracks following cars to optimize value, differentiation and efficiency.

However, it is important to note that prices can only be that in certain respects. The Walt Disney Value Chain Management Agency would always take account of the relatively high consumer interest, which can explain the high competition costs of the company.

Recommendation

1. Using Nostalgia to Establish and Maintain Customer Loyalty

Thanks to its founding in 1923, Disney had an profound influence on life. The usage of nostalgia was perfected through disinfection of the ancient myths, such as The Jungle Book, which as of 2016 amounted to $900 million for the expression of such feelings.

Another indication of nostalgia is Beauty and Beasts, featuring the same story, song and personalities as the 1991 film. The trailer has a powerful feeling of excitement for present parents to bring in their own children.

2. Targeting Audience Segments with a Multi-Channel Strategy

Disney fans can be maintained by the organized production of material for different consumer segments. For instance, Disney’s Star Wars regeneration originated in many of the centuries and older during the original Star Wars.

The official website of Disney contains a video, hints, enjoyable information’s and other content on the following images as seen in the cookie recipe for the Shore Trooper.

It’s 500 million dollars alone the frozen money, so it doesn’t even mention the millions of books, cards, backpacks, foods and others that legally reported Disney revenue-raising items.

3. Establishing Disney World and Disneyland as Destination Brands

Disneyland and the World of Walt Disney are holy traditions among youngsters, due all to Disney’s adaptability. The themes, activities and other common phenomena of the day are evolving continuously in Disneyland and Walt Disney World. It offers guests a special perspective and guarantees that Disney provides fresh material to sell at all times.

4. Masterful Brand Storytelling that Resonates and Inspires

Disney is one of contemporary storytellers with the most impact, not least because it is an animation company.

Take the film Inside Out for example, which gives you a strong lesson in understanding and emotion. Disney has also produced a number of reports about the film’s world events and seasons.

References 

Peters, John, et al. “Using healthy defaults in Walt Disney World restaurants to improve nutritional choices.” Journal of the Association for Consumer Research 1.1 (2016): 92-103.

Van Wormer, Katherine, and Cindy Juby. “Cultural representations in Walt Disney films: Implications for social work education.” Journal of Social Work 16.5 (2016): 578-594.

Khan, Amara. “Revolution in Depiction of Female Gender in Fairy Tales and Walt Disney Films: An Exploration.” RESEARCH JOURNAL OF ANGUAGE & ITERATURE 4 (2019): 108: 101-108

Nakajima, Megumi. “Corporate strategy comparison Walt Disney and Oriental Land.” Journal of Global Tourism Research 1.1 (2016): 77-81.

Santos, Grizly Ruiz. “La comunicación estratégica del marketing experiencial: Análisis del caso The Walt Disney World Theme Parks.” Sphera Publica 1.18 (2018): 120-147.

Walsh, Gianfranco, Alexander Deseniss, and Thomas Kilian. “Internationales Marketing.” Marketing. Springer Gabler, Berlin, Heidelberg, 2020. 571-600.

Gajjar, Trishna, and Fevzi Okumus. “Diversity management: What are the leading hospitality and tourism companies reporting?.” Journal of Hospitality Marketing & Management 27.8 (2018): 905-925. 905-925