Walt Disney: Convergence of HR strategies with corporate strategies.

Walt Disney: Convergence of HR strategies with corporate strategies.

Defining the Corporate Strategy :

Defining the Corporate Strategy Differentiation (Quality; Uniqueness; e.g., Luxury cars, Fashion
Industry, Brand Name Drugs) Cost Leadership (Price; e.g., Wal-Mart, Southwest Airlines, Generic
Drugs) Responsiveness (Reliability; Quickness; Flexibility; e.g., Dell, Overnight Delivery Services)
Competitive Advantage through which the company market share is attracted

Defining the Corporate Strategy :

Defining the Corporate Strategy Corporate Strategy: The organization’s positioning in terms of
responsiveness, cost leadership and product differentiation requirements, i.e., the sought
competitive advantage(s). The corporate strategy dictates the detailed strategies for each functional
area (i.e., Operations, Finance, Marketing) but it is also affected by those areas. Collectively, all these
strategies seek to exploit (external) opportunities and (internal) strengths, neutralize (external)
threats, and address (internal) weaknesses

Factors affecting Corporate Strategy :

Factors affecting Corporate Strategy External Emerging strengths and weaknesses of competitors =>
new threats and opportunities, respectively New industry entrants Development of substitute
products Development of new technologies Legal developments (e.g., environmental concerns and
regulations) Economic and political developments (e.g., new international agreements, political
crises) Internal Company politics and restructuring Modified relationships with customers and
suppliers Product Life Cycle

Leadership: Michael Eisner took over from Walt Disney in 1984 :

Leadership: Michael Eisner took over from Walt Disney in 1984 The Disney store Euro Disneyland
Purchase of first broadcasting outlet KHJ TV Major TV presence and most no of movie releases

About The Company :

About The Company Largest media and entertainment conglomerate. Founded on October 16, 1923
by Walt Disney and Roy Disney. Key areas include: Disney-ABC Television Group, ESPN Inc., Walt
Disney Internet Group, ABC owned television stations, and a supporting headquarters group.
ventures: Studio Entertainment. Parks and Resorts. Consumer Products. Media Networks.
Core values :

Core values Walt Disney: No Cynicism Nurturing & promulgation of wholesome American values
Creativity, dreams and imagination Fanatical attention to consistency and detail Preservation and
control of the ‘Disney Magic’

STRENGTHS :

STRENGTHS Global Standardization. Target Customer : Children. Popular Brand Name.

Diversification. Popular characters

WEAKNESS :

WEAKNESS Excessive Research & Development. High Investment. High Risk Factor. Limited range of
target audience group.

OPPORTUNITIES :

OPPORTUNITIES Attraction of children to television. Cheaper alternatives to soft toys. Global

Localization

FUTURE PLANS :

FUTURE PLANS Finalising new marketing initiatives in India, with the thrust on localisation,
interactivity and region-specific approach. Focus on family entertainment industry. They have
received the green signal to produce films emphasising the family values.