Walt Disney Company.

857 WordsOct 26, 20114 Pages
Walt Disney Company is famed for its creativity, strong global brand, and uncanny ability to take service and experience businesses to higher levels. In the early 1990s, then-CEO Michael Eisner looked to the fast-food industry as a way to draw additional attention to the Disney presence outside of its theme parks - its retail chain was highly successful and growing rapidly. A fast-food restaurant made sense from Eisner’s perspective since Disney’s theme parks had already mastered rapid, high-volume food preparation, and, despite somewhat undistinguished food and high prices (or perhaps because of), all its in-park restaurants were extremely profitable. From this inspiration, Mickey’s Kitchen was launched. The first two locations were…show more content…
This strategy is usually associated with charging a premium price for the product - often to reflect the higher production costs and extra value-added features provided for the consumer. Differentiation is about charging a premium price that more than covers the additional production costs, and about giving customers clear reasons to prefer the product over other, less differentiated products. As Walt Disney Company is famed for its creativity and strong global brand, Disney appear to create value in its business primarily through a differentiation strategy. [b] What resources and value-chain activities did Disney try to leverage through the opening of Mickey’s Kitchen? Walt Disney Company has financial support on Mickey’s Kitchen opening. Moreover, Disney’s theme parks had already mastered rapid, high volume food preparation and undistinguished food. The primary and support activities in the company and its theme park is an advantage to the opening of Mickey’s Kitchen. The primary activity are inbound and outbound logistics, operations, marketing and sales, and service. The support activities which is a secondary activity are procurement (e.g; sourcing and negotiating with materials supplier), human resources management, technology development and infrastructure. These resources and value chain activities

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