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Strategic Alternatives Summary

The Walt Disney Company has done a good job of keeping themselves marginally on top of the market to the best of their ability. Even though they have done this and taken good recourse in their strategy, I feel that they need to make a motion internally, to keep themselves as a leader in the industry. They must maintain their edge by adapting current strategies and realizing new areas of focus. The following is a short summary of the main SFAS topics of interest. Following the brief summary is a detailed recommendation for the prominent strategies.

Box Office is usually a solid mover for the company and will continue to do so by: increase innovation, working with Pixar, creating new movies that hit the target markets, and continuation of enhanced advertising/cross promotional tools. On the con side for this strategy much money can be poorly allocated if marketing efforts and interests fail. The movie Treasure Planet is prime example of how strategy failed. Losses were huge and the company can only hope that the release of Finding Nemo on May 30, 2003, will make up the losses and increase profits.

Abc Family and the abc organization are already changing their focus to the middle ages of TV. 18-34 is going to be the new niche market they will be focusing on. This should be a helpful strategy for the company. Utilization of the affiliates that the Walt Disney Company has already created should be implemented through advertising in order to maximize profits, ensure profitability, and maintain the mission/objectives.

The war with Iraq and Travel strategies are very delicate issues, which will have to be waited out to see if they are completely resolved and the company cam move into the future with its head up. This is one area where we should focus strategy and see company-wide changes.

The Disney store needs to see its failing markets weeded out. A quick overhaul is the best alternative to what the company is currently doing. The markets for these stores is no longer competitive and profitable. Cutting the losses before they get even more out of hand is the best strategy here. This cut will avoid negative tension in the consumer market in the long run, maintaining the mission and integrity of the organization. The con side only can show that losses are going to have to be absorbed in other areas.(logistics and organizational losses, etc.)

The Lion King is roaring to go and will most likely be a knight in shining armor for WDC. I think they are right on target with re-releasing this classic, then releasing a second version and a third. They are going to eat up as much marketing and money as they can with this one. With good strategy implementation they may fill many of the losses they have sustained in the last 16 months.

The movement into Chinese and foreign markets is another area we should divulge into and see a major change and implement strategy. This is one of the greatest areas for bringing Disney out of its current stock slump.

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