Walt Disney Case Analysis

Disney has a very strong balance sheet, and generates mountains of cash flows. Last year in 2016 Disney company had roughly $5 billion of cash on hand, and total debt was around $1.5 billion. The Disney company pays a decent dividend every year. Disney has the ability to expand its presence throughout the world over the years, particularly in Asia because of the mounds of cash the mouse sits on. The Disney brand is known throughout the world, and is regularly listed as one of the best global brands of all time. The company is known to have a lovable image, as it has built decades through its lovable cartoon characters. Many look up to Disney for its good values and ethics, whether through its Disney theme parks or many of its other family-friendly business ventures.

As one can see in Exhibit 1 in (1), revenues under CEO Eisner had risen from $1,656 billion (1984) to astonishing $25,402 billion. Also, shareholder return increased dramatically. Disney’s stock value relative to the S&P500 (represent the overall performance of the stock market) went up from “1” ($100 million/$100 million) in 1984 to around “2,649” ($3,226 million/$1,218 million) in 2000. Thus, Disney under Eisner generated an amazing “26%” annual total return to shareholders (2).

The Walt Disney Company is considered to be one of the most active family entertainment companies in the world. Primarily Disney became known as an animated film company and a cartoon creator. Later, the company expanded its range of activities into other markets through the Disney stores and theme parks around the world. The Walt Disney Company’s key objective is to be the world’s premier family entertainment company through the ongoing development of its powerful brand and character franchises.

Introduction The Walt Disney Company is an American diversified multinational mass media corporation. It is the largest media conglomerate in the world in terms of revenue. It generated US$ 42.278 billion in 2012. Disney was founded on October 16, 1923, by Walt and Roy Disney as the Disney Brothers Cartoon Studio, and established itself as a leader in the American animation industry before diversifying into live-action film production, television, and travel. The Walt Disney Company operates as five primary units and segments: The Walt Disney Studios or Studio Entertainment, which includes the company's film, recording label, and theatrical divisions; Parks and Resorts, featuring the company's theme

One of these media giants is the Walt Disney Company (Disney). Its dramatic growth from a small company to become an oligopolist in the media industry offers an interesting

The Stakeholder analysis: The Walt Disney Company stakeholders consist of communities, business partners, board of directors/shareholders, employees, customers/guests, and major business segments. The board of directors/shareholders and the major business segments are in the section of high power, high importance. The board of directors and shareholders expect a return of net asset value and an increase in the growth of dividend payments. They also expect more involvement in the decision of the company. Included in this group are the long time ousted members Roy Disney and Stanley Gold. Major business segments, consist of Entertainment Studios, Consumer Products, Disney Parks and Resorts, and Media Networks. This group expects creative license to work on projects that allow them to express the creativity of their individual organizations. This requires them to have the freedom of innovation and independence to make choices.

So first we will look at if Disney’s profits are harmed, let's take a look at what disney is worth: “Disney currently has about 1.61 billion shares outstanding. With a share price of around $94 per share, that puts Disney's market capitalization at roughly $150 billion.”-The Motley Fool. Looking at evidence

Regardless of Disney’s stock price, it is clearly a profitable empire with a strong reputation. Consumers are loyal to the brand and it’s myriad of offerings. It is a company that will be successful forever because of its history and expanded market including entertainment, recreation, and consumer products.

The Walt Disney Company is a media and entertainment corporation that is centered in the United States but also spans across North America, Europe, Asia- Pacific, and Latin America. Disney has five main components in which it operates, which includes media networks, parks and resorts, studio entertainment, consumer products, and interactive.

The Walt Disney Company is an outstanding renowned entertainment and media corporation with business ventures in Media Networks, Parks and Resorts, The Walt Disney Studios, Disney Consumer Products, and Disney Interactive. Walt Disney Company is a diversified corporation with products all around the world. (The Walt Disney Company, n.d.)

Disney continuously has to adapt to demographix changes in order to deliver products and services that match consumer preferences across countries, this is major in regards to the internet, which is a threat for Disney.

The Walt Disney Company (DIS) has a history marked with ups and downs. Taking numerous risks, expanding internationally, acquiring various businesses and diversifying its operations; the company has emerged stronger than ever. Ranking #53 on the Fortune 500, DIS has experienced continuous growth for the past 5 years, with bright prospects. Detailed analysis shows the market undervaluing the stock despite its healthy performance, indicating potential future gains.

The way Disney goes about their business for their theme parks and resorts to the Wide World of Sports makes them almost untouchable. For Disney to join up with ESPN was genius for both ESPN and Disney. This put two very successful companies together and set them up for nothing but success. When you put companies together like this it makes it nearly impossible for them to fail. Disney cable networks are the biggest source of revenue. The channel responsible for most of the earnings was ESPN. The Disney ESPN channel and the Disney Channel produced more of a profit than the rest of Walt Disney all together. All this combines to make Disney worth forty billion dollars and growing. Disney ESPN’s biggest competition is Fox Sports when you’re looking at the cable and tv channel side of things, but when it comes down to the Wide World of Sports complex there is no one who can compare. Disney is so unique and they have the luxury of money to do whatever they need to do to make their customers experience magical. Disney is so good with changing with the times and giving the people what they want I never see them having a serious long term

Walt Disney Co. as a whole is worth $150 billion and is led by the Chief Executive Officer (CEO), Robert Igor. Walt Disney Co. is comprised of four main business components: Consumer Products/Interactive, Media Networks, Theme Parks, and Film Studios.

The general environment for The Walt Disney Company is at a positive outlook as long as the administration steers it in the right direction. They are leaders in most of the industries they are in. They are expanding in different continents and they are always connecting the production line to try to cut cost and have more of a control of the industry.