This project had several objectives, including increasing confidence in decision-making, teamwork in a balanced and fair manner, and the use of Graphs and illustrations to represent Economic data. For this, my group and I used various tools such as Microsoft PowerPoint and Exel. We developed graphs to represent the numerical data and PowerPoint design according to the topic we were dealing with.
2. Disney Co.
Disney has a vast network and included in one of the greatest
companies of the world. Disney is present in almost every
corner of the world. The headquarters of Disney is in Burbank,
California
3. HISTORY
Disney was found by
Walt and Roy Disney in
1923 in California.
The first cartoon
design by Disney was
Alice Comedies
In 1926, the first
iconic cartoon was
developed I.e., Mickey
Mouse.
They opened parks I.e.,
Disney Land (1955) and
Disney World (1971)
They acquired Capital
Cities / ABC in 1996
Disney also purchased
ESPN, Touchstone
Pictures, Marvel,
Lucasfilm, Pixar, and
many other companies.
5. $201.55 B
Revenue Stream 2020
• Media Networks - $28.39B
• Parks - $16.5B
• Studio Entertainment -
$9.64B
• Direct to Consumer &
International Sales -
$16.97B (Statista, 2021)
7. Factors Affecting Demand
Consumer Income:
• Disney has suffered a loss of 25% in 2020 due to
COVID (Statista, 2021).
• Disney faced simular loss back in 2009 too due to
housing crisis.
• From this we can see when consumers suffer
uncertainty and loss, they spend less on luxury items
and entertainment.
Price of Related Goods:
• The prices for the products that Disney offers tends
to be current with the market.
• Prices of movie tickets are same as the competitors.
• The price of its streaming service is $8 a month, only
$.99 less than Netflix.
• A day at Disneyworld/land is $100, which is also the
average price for a day at 6 Flags. (Statista, 2021).
8. Factors Affecting Demand
Tastes within the Market:
• The largest trends in entertainment are social media
with 1.25 billion viewers monthly (Exploding Topics).
• A revenue of $85B is achieved through streaming.
• Cloud gaming is another way.
Cloud Gaming:
9. Factors Affecting Demand
Expectations
• Streaming service will be rise to $102 B till 2023 according to
expectations.
• Theaters are expected to increase 7% (Deadline, 2021).
• Amusements are expected to increase by 6.12% revenue (Market
Watch, 2021).
Buyers
• With higher income and job security, consumers will spend more
on Disney's entertainment and luxury products.
• If rise in unemployment is rises, people will be less inclined.
• However, demand of Disney rises due to its streaming.
10. Factors Affecting Demand
Elasticity
• Disney is inelastic (Hayes, D. 2021)
• Its revenues are contingent upon
factors beyond its control.
• Economic and recession instability is
highly effecting revenue stream.
• There is stiff competition in
oversaturated market.
• Decreasing prices to have more
customers can hurt the organization's
structure
11. • Prices of materials and wages are likely to
increase in coming years.
• It is expected that Disney will collect
inclined prices as compared to their
offerings.
• The attractions and theme parks might face
incline in prices in coming years.
1. Input Prices
• The shortage of semiconductor chips is
affecting nearly every industry that depends
on chip technology (Shead, 2021).
• Decreases in the development in technology
will be noticed until 2022.
• Competing with top competitors could be a
matter of worry as new technology will not be
easily developed.
2. Technology
Factors Affecting Supply
12. • The market of entertainment has
improved despite of heavy losses due to
COVID.
• People are now attracted to theme parks
more after a year of quarantine.
• There are more opportunities for the
organization in coming years.
3. Expectations
• Entry is extremely difficult as competition
is higher.
• There are a multitude of subscription
options available to consumers due to
higher streaming.
• Disney acquires major theme parks.
• Major popular cartoon brands and
intellectual properties are present within
Disney’s brand.
4. Entry/Exit
Factors Affecting Supply
13. • A total number of 203,000 are present in
the company (Jones, D. 2021).
• These are the potential employees and
further recruitment will also take place in
coming years.
5. Number of Employees
• There are 10M users of Disney+ every day
in the U.S.
• There are 100 million paying subscribers.
• 65% of the population in U.S. subscribe to
Disney+ (Dean, B. 2021).
• There is exclusive content available only
through their exclusive streaming service.
6. Number of Establishments in US
Factors Affecting Supply
14. • Disney theme parks were closed
globally due to COVID
• Both Disney World and Disney Land
ended annual passes (Passy, 2021)
• Fast Passes at Disney has yet to be
reintroduced in Theme parks
• People should be instructed to
maintain social distancing (Passy,
2021)
• The negative Net income of $4B in
June 2020 is a heavy loss to Disney
(Jones, D. 2021)
7. Impact of COVID
Factors Affecting Supply
15. In recent years, COVID has been badly impacting the organization. The closure
of theme parks has resulted in much loss for Disney. Several people were
unemployed. However, Disney is now recovering its lost revenue and net
income. It is expected that Disney will increase its growing revenue in coming
years and establish more resources and opportunities..
16. References
1. Amusement and Theme Parks Market Size, Share, Trends And Forecast. (2021, June 30). Verified Market Research.
https://www.verifiedmarketresearch.com/product/amusement-and-theme-parks-market/
2. Byers, K. (2021, May 18). The 7 Biggest Entertainment Trends (2021–2023). Exploding Topics. https://explodingtopics.com/blog/entertainment-trends
3. Chmielewski, D. C. (2019, March 10). Disney is visited by recession. Los Angeles Times. https://www.latimes.com/archives/la-xpm-2009-may-06-fi-ct-disney6-story.html
4. Cuthbert, L. (2020, July 13). 4 Ways Consumer Spending Changes During a Recession. Yext. https://www.yext.com/blog/2020/06/4-ways-consumer-spending-changes-
during-a-recession/
5. D23. (2019). Disney History. D23; https://d23.com/disney-history/
6. Disney raises admission prices to DisneyWorld. . .How do they know what my elasticity is?? Oh, I forgot, Disney knows everything!! (2021, August 13). HaywoodEcon
Blog. http://haywardeconblog.blogspot.com/2010/11/economists-on-staff-at-disney-have-been.html
7. Hayes, D. (2021, January 26). Movie Theaters Will Rebound To Box Office Record In 2023,Analyst Predicts, Though Vaccine Stumbles Hurt Near Term. Deadline.
https://deadline.com/2021/01/movie-theaters-will-rebound-box-office-record-2023-analyst-predicts-covid-19-1234680480/
8. https://www.marketwatch.com/story/disneyland-relaunches-its-annual-pass-program-with-big-changes-thats-making-some-regulars-unhappy-11628176844
9. https://www.wsj.com/market-data/quotes/DIS/financials
10.Jones, D. (2021, August). Walt Disney Co. Retrieved from WSJ.com:
11.Passy, J. (2021, August 5). Disneyland relaunches its anual pass program - with big changes That's making some regulars unhappy. Retrieved from MarketWatch.com:
12.Shead, S. (2021, May 7). The global chip shortage is starting to have major real-world consequences. Retrieved from CNBC.com:
https://www.cnbc.com/2021/05/07/chip-shortage-is-starting-to-have-major-real-world-consequences.html
13.The Walt Disney Company. (2021). Disney - Leadership, History, Corporate Social Responsibility. The Walt Disney Company. https://thewaltdisneycompany.com/about/
14.Video Streaming Market 2021: Global Industry Trends by Manufacturing Size, Share,Applications and Types by Growth Rate, and Top Key Players Analysis till 2023.
(2021, June 2). MarketWatch. https://www.marketwatch.com/press-release/video-streaming-market-2021-global-industry-trends-by-manufacturing-size-share-
applications-and-types-by-growth-rate-and-top-key-players-analysis-till-2023-2021-06-02
15.Podcast, T. T. (2020, December 21). Disney investor day review - Trashed Talk podcast - EP 64. But Why Tho? A Geek Community.
https://butwhythopodcast.com/2020/12/21/disney-investor-day-review-trashed-talk-podcast-ep-64/.
16.Parker, G. (2020, April 8). 20 fun facts you didn't know about disney. Money Inc. https://moneyinc.com/20-things-you-didnt-know-about-disney/.
17.Walt Disney Company. (2019, May 17). Disney History. D23. https://d23.com/disney-history/.
18. S, W. C. (2021, March 10). Top 10 Disney competitors in 2021. What Competitors. https://whatcompetitors.com/disney/.
19.Disney Rewards. (2021, February 3). Imagineers take you inside the creation of Star WARS: Galaxy's Edge. Disney Rewards. https://disneyrewards.com/blog/travel-
parks/star-wars-galaxy-edge-visitor-guide/.
