Magic is something that everyone around the world loves to get no matter how. Hence, Walt Disney Corporation (Disney) aims at doing it for society everywhere. Therefore, this essay will provide information about the Disney Difference and its effects on its corporate, competitive, and functional strategies. It will then highlight issues like the challenges the corporation might be facing while operating in Russia and China. Also, the ways the management could best equip themselves against those difficulties and the strategies they might use to maintain the company’s successes will be examined. The paper will conduct some research on the CEO’s succession.
Disney Difference is the high-quality content supported by a Consistent approach to optimize quality across audiences and markets. From now on, its corporate strategy will be affected, and in that, it will have to widen its client base. This would involve the corporate heads deciding which products would generate the most money in Hong Kong (Bedford & Aksu, 2018). Regarding Walt Disney’s competitive strategy, they will be required to enter some of the potential markets such as Russia, where they intend to establish their new broadcasting channel. The company discovered an opportunity and decided to pursue it. Bob Iger, the CEO since 2005, noticed how important media areas were and leveraged the company’s vast media content on different platforms. The Disney Difference would impact the company’s practical approach so that it has to look for alternative means of advertising. With the current state of the economy globally, the company would be required to conduct extensive marketing to maintain its client base.
Disney has a challenging task ahead of them after announcing the move to Russia. Since the fall of 2008, the Russian stock market was closed almost every other day, and their stock was down considerably. US and Russian relations are not stable, and they have never been. On some level, they will have to deal with the communist government too. It means that anything they would intend to broadcast will have to be scrutinized by the government. There are media content rules in Russia. In addition, Disney invested an immense amount of money in Hong Kong. Iger and his team should use the strategic management process, beginning with their mission statement, next doing an external analysis, followed by an internal analysis, and lastly formulate strategies, implementing them. and evaluating the attained results.
Disney’s move to Hong Kong should involve setting both strategic and financial goals. For example, their strategic objectives would necessitate producing more miniature figurines because the external analysis performed revealed that the neighboring companies faltered in manufacturing enough of that merchandise. They would need a mission statement that pertains to what they would like to do in Hong Kong, as well as a list of real goals (Gnizy & Shoham, 2018). Disney will need to continually assess their employees, ensuring that whatever they desire is being done.
They would have to apply the strategic management process for Iger and his group to maintain the ‘magic’ flowing. It is a process that includes strategy, planning, implementation, and evaluation. Beginning with the first one, one must create a mission statement. It should, for instance, include something like, “We will show you the hottest trends among children in the western world by keeping the magic coming” (Alaux & Boutard, 2017). Next, they would have to conduct an external analysis. In this stage, the company will acquire the necessary information to know its competitors better. It would also present opportunities to capitalize on those threats which would reveal their strengths and weaknesses.
With this knowledge, they could particularly identify exactly which products need to be manufactured in the majority and which ones would be produced elsewhere. The next step would be for the company to formulate a strategy. It is here where they will have to apply all the information they got from their external and internal analyses. After that, the implementation phase would follow, where the organization would implement the strategy they had developed. The evaluation of the results would be the last step, where the management takes comprehensive scrutiny at everything that has been analyzed, formulated, and implemented and evaluate the outcomes. To keep the magic coming, Disney will need to apply these six steps to its business practices effectively in the current economic climate.
After evaluating how the corporation is preparing to enter the Russian market, I would advise the board of directors to keep the process simple but at the same time unique by adhering to both their brand image and company culture. For the CEO’s succession, the company ought to understand that each leader brings in a different style of leading, and it would be a challenge for the people who work with the new CEO to acclimatize to that altered way of undertaking things. The board would also have to look for someone who shares the same core traits that the current boss has, to maintain the company’s efficiency (Alaux & Boutard, 2017). The new CEO should possess the same qualities in adaptability, insight, trustworthiness, charisma, problem-solving.
In conclusion, Disney corporation’s management should understand that established brand recognition and loyalty are immeasurable. This is because clients tend to identify themselves with brands that they deem to be their favorite. This trust and dedication are also built over the years, and it is incredibly hard to break this allegiance. To have a genuine chance of contending with those reputable entities, one needs a comprehensive approach that will permit one’s product to stand out within the marketplace. The company did recognize this and decided to use the right procedure before they could enter the new market.
References
Alaux, C., & Boutard, L. (2017). Place attractiveness and events: From economic impacts to place marketing. Journal of International Business Research and Marketing, 2(4), 25-29.
Bedford, N., & Aksu, B. (2018). Post-2015 strategies to improve business models incorporate Turkey. Innovative Marketing, 14(3), 1-7.
Gnizy, I., & Shoham, A. (2018). The power of international marketing functions: Antecedents and consequences. Journal of Business-to-Business Marketing, 25(2), 67-89.