The document provides an overview of the Walt Disney Company from its founding in 1923 to 2000. It summarizes that Disney started as a small company founded by Walt Disney and grew significantly over the decades to become a major global entertainment company with revenue of $25.4 billion by 2000. It operated various business lines including theme parks, film studio, consumer products, and media networks. While Disney saw strong growth and expansion in the earlier decades, its performance declined somewhat in the late 1990s after acquiring ABC, with operating margins and net income decreasing.

2. “I only hope that we never lose sight of one thing – that it was all started by a mouse” - Walt
Disney
Facts and Statistics:
The backstory of Disney could not be easily simplified into a few pages of writing, therefore certain
facts and statistics that we found important to illustrate this company has been cherry-picked and
listed below.
Company:
• Founding Year: 1923 (98 years ago)
• Products: Theme parks & resorts, Studio Entertainment (film), Consumer Products, Media
Networks, Internet & Direct Marketing.
• Revenue: US$ 25.4 billion (2000)
• Net income: US$0.92 billion (2000)
• Total assets: US$45.01 billion (2000)
• Total number of employees: 110,000 (2000)
Walt Disney Company

3. 1923 1928 1937 1940 1950 1955 1966 1983
02
01 14
12
13
Initial Public Stock Offering
11
Mickey Mouse Introduced
Disneyland California
Opens
Disneyland Paris opens
Disney announce ABC deal
01 03
06
05
04
08
09
Acquire Capital cities
First Disney Store Open
10
Disney's Animal Kingdom theme park
opens at Walt Disney World in Florida
2009
2006 2012 2019
15
1998
1995
1992
1987
1986
07
1971
Tokyo Disneyland Opens
Int’l Theme Park
Walt Disney resort in Florida
Walt Disney
Started
First Disney Cruise line ship
14
15
Disney acquires Pixar studio
Mr. Walt Dies
14
2021
16
Disney acquires Lucasfilms
Disney plus service launched
2023
15
50th Anniversary
for Florida resort
100th Anniversary
of Walt Disney
06
04
Snow White – 1st
Feature Film – Full
Length
Disney’s 1st TV Special

4. • Theme Parks and Resorts
Featuring the company's theme parks, cruise line, and other travel-related
assets.
• Studio Entertainment
Includes the company's film, music recording label, and theatrical divisions.
• Media Networks
Includes the company's television properties.
• Consumer Products
Produces toys, clothing, and other merchandising based upon Disney-owned
properties.
• Internet and Direct Marketing
Includes Disney’s Internet, mobile, social media, virtual worlds, and computer
games operations.
Disney Business Lines

5. DISNEY’S JOURNEY IN 4
ERA’S
5
1984-1995-Eisner Joined as
CEO of company. 20% YOY
growth was envisioned. It
expanded big time in movie
making and theme parks.
1966-1984-Post walt Disney
era. Theme park grew
exponentially in different
markets. But company
suffered huge losses in 80’s
1923-1966-Initial era.
Company was founded by
walt Disney. Shown strong
growth in brand recognition.
Theme park was huge
success
1995-2000-Company expanded
in distribution channels by
acquiring ABC It grew in
revenue to 25 b$ but bottom line
suffered due to high acquision
cost and avg performance of
other businnes.

6. Understanding Disney - Swot
Analysis
 Worldwide known brand
 Offers their customers high quality
products and services
 Strongly present in several branches
of the entertainment industry.
 R&D
 Costs of operation are high
 Person centric -Leadership
 Too many lines of business
 Retainment of talent
 Strong competitors in the entertainment
industry
 Cultural acceptance in new market?
 Room to develop new market
 Expansion into different segments of
entertainment
 Innovation on design and new products
S
W
O
T
ST RENG T HS
WEAKNESSES
T HREAT S
O PPO RT UNIT IES

7. 7
Key statistics

8. Post 1995 revenues have grown exponentially.
8 REVENUE GROWTH OVER THE YEARS (1983 – 2000)
0
5,000
10,000
15,000
20,000
25,000
30,000
1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000
Revenues

9. Operating margins have taken dip post 1995
9 NET INCOME & OPERATING MARGIN TREND (1983 – 2000)
0%
5%
10%
15%
20%
25%
30%
0
500
1000
1500
2000
2500
1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996a 1997 1998 1999 2000
Net Income & Operating Margin
Net Income Operating Margin (%)

10. Media revenue has taken major share post 1995.
10
DIVISION SPLIT
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996a 1997 1998 1999 2000
Share of revenue
Theme parks and resorts Studio Entertainment (film) Consumer Products Media Networks

11. Solvency Ratio, Operating margins have come down post 1995
11
MARGINS AND BOTTOM
LINE PERFORMANCE
0.00
0.10
0.20
0.30
0.40
0.50
0.60
0.70
0.80
0.90
1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996a 1997 1998 1999 2000
Operating ratios
Operating Margin (%) ROA (%) ROE (%)c Total Debt/Assets

12. Annual Attendance has degrown in 1999 vs others but ticket price was
still high in 1999 compared to others
12
ANNUAL ATTENDANCE AND
TICKET PRICE OF THEME PARK

13. Disney is still 2 nd largest company in terms of market revenue
13
Studio vs Market

14. 14
Why was Disney Successful
Initially?

15. Simultaneous pursuit of differentiation and
low cost
Value innovation
Cost savings on factors industry competes on
Increased Buyer value – creating new offerings
Initial Years of Disney

16. 16
The need for a new business line

17. The Growth for the initial Business mix has been coming down
-20.00%
-10.00%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996a 1997 1998 1999 2000
YOY Growth rate
Theme parks and resorts Studio Entertainment (film) Total
Years
Growth
Rate

18. The Market share for Disney Theme parks
0
5
10
15
20
25
1980 1985 1990 1995 2000 2005
Tokyo Disneylanda Magic Kingdom, Walt Disney World, FLa Disneyland, Anaheim, CAa EPCOT, Walt Disney World, FLa
Years
Attendance

19. Comparison of Disney vs Warner over Market share
0
10
20
30
40
50
60
70
80
90
100
1982 1984 1986 1988 1990 1992 1994 1996 1998 2000 2002
Years
Movies
Count

20. Market vs Disney
Movie Market
• We are producing the greater number of movies
• Our share at the market is little higher compared to the competitor
• The market share was at 23%
• We are competing for the little share
Theme park market
• Our price is little high compared to the market
• Our attendance share is little higher than the market
• We are caught in the competition
• We have no market power – price taker

21. The Growth –Share matrix since of the new business mix
-10.00%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
-5.00% 0.00% 5.00% 10.00% 15.00% 20.00% 25.00%
Theme parks and resorts Studio Entertainment (film) Media Networks
Growth Rate
Market
Share

22. 22
Will the business –mix give us
advantage?

23. VRIO Analysis Walt Disney
Financial
resources-Yes
Distribution
network-Yes
• Financial
resources-Costly
to imitate
• Employees- Yes
• Patent-No
• Resources-Yes
• Financial-Yes
• Patent-Yes
• Distribution
network-Yes
• Resources -Yes
• Financial-Yes
• Patent-Yes
• Loyal employees-Yes
• Distribution system-
Yes
• Cost structure- No
Valuable Rare
Organized
Imitable