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What is Walt Disney’s Corporate Strategy?
What is your assessment of the competitive strength of Walt Disney’s different business units? The industries represented in Disney's portfolio are above average to highly attractive, and Disney's business units have strong positions in their industries with the exception of the interactive media unit (See Table 2). The television stations in the media networks unit are number one or strong number two in their markets. Six of Disney's eight stations are located in markets categorised as the ten largest U. S. television markets. The parks and resorts units have the most recognisable theme parks in the U.S. and the world; also the characters created by Disney Studios are the most loved and recognisable in the world (e.g., Mickey Mouse, Minnie Mouse, Goofy, Donald Duck, and Daisy Duck). Disney consumer products are worn and displayed all over the world. Although the competitive strength of the interactive media business unit is not as strong as that of the other business units, the company is competing in an above average industry and has a good strategic fit with the other SBUs in the Walt Disney Company's portfolio, and can be reasonably expected to improve its competitive position. (Note: the Interactive Media unit has made significant improvements and reduced its 9 monthsending June 2012 operating loss from $214 million to only $146 million –see the Epilogue).TABLE 2 Competitive Position/Business Strength Calculations for Walt Disney Company’s Business Units (Scale 1= very weak, 5 = average, 10 = very strong)