Walt Disney - Assignment Example

Company Analysis: Walt Disney Inserts His/Her Inserts Grade Inserts 09.11 Competitive advantage and use of synergies Disney Company was established by Walt E. Disney in 1923. It majored mostly on the production of cartoons and animation films. Walt Disney worked with his brother and in the Disney Company, and, run it as a flat nonhierarchical organization. Team work, cooperation and communication, were highly emphasized. Disney’s first gamble of adding synchronized sounds in cartoon, something that had never been heard of before, paid off, in 1928.

At this time, Disney Company majored on the production of animation films and cartoons. The sources of competitive advantage during this time were licensing, film production, and appearance on television in 1954 with Disneyland entertainment Park and Mickey Mouse Club. Disney at this time managed to retain control over the entire entertainment field (137). In 1984, Disney was taken over Michael Eisner who assumed the position of a C.E.O. Eisner majored greatly on synergy to try and restore the Company’s initial profitability by grounding it on a new basis for competitive advantage.

He invested in various businesses to try and expand the Disney Company. Eisner invested in film production, real estate development, in newspapers, book publishing, education software and video games and T.V production and syndication. Eisner capitalized on the Disneyland Park, to increase the profitability of Disney Company. He invested in real estate and advocated for coordination among the departments which caused tension and the ability to achieve financial gains. Improvising the theme park was a strategic decision which had a short term and long term effect on Disney.

The use of synergies among different business lines caused competitive advantage in that the businesses would strive to achieve the financial goals set. Work cited Rukstad, M. et al. The Walt Disney Company: The King of Entertainment. Boston, MA: Harvard Business School Pub., 2005.