What are the specific resources and capabilities that Disney might be able to sh
ID: 469513 • Letter: W
Question
What are the specific resources and capabilities that Disney might be able to share across the traditional family-oriented businesses and their new ventures? Internally, Disney executives view one of their dynamic capabilities as that of being the best at creating world-class entertainment within financial constraints. What are your thoughts on this view? As you think about Disney, and what you view as its resources and capabilities, what arenas should it consider for future diversification or diversification moves?
Explanation / Answer
Specific resources and capabilities of Walt Disney are its Strengths: The values of Walt Disney & its Brand reputation, which gives it a competitive advantage over others in the market. With Strong brand reputation, Disney’s biggest competitive advantage is its values and ethics. Its diversified businesses ventures e.g. Movies or Disney theme parks (Disney land), make sure to take the same integrity and the values forward and never cross the framework already set. Walt Disney stand for toting kid’s culture and always stand for entertainment with values, which the kids as well the adults love & enjoy.
The biggest strength is also the biggest weakness Walt Disney has, as compared to its competitors, is limited target audience. Though it has established itself in the adult audience as well, but the core strength lies with children. With depleting values, which is slowly fading, diminishing the target audience strength in numbers, even more, therefore risking its profitability.
Walt Disney, with its specific resources and capabilities, should diversify to traditional family-oriented themed hotels, restaurants or even airlines, which gives the overall package to the already existing consumers to extend their brand loyalty, and also reach to new customers, who never get time to reach to the movie theatres or themed parks, to enjoy the wholesome entertainment of the Brand Disney.
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