Recommendations of Walt Disney Productions June 1984 Case Solution

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Recommendations of Walt Disney Productions June 1984 Case Study Solution

RecommendationsOn the basis of above internal and external analysis of the company in addition to the examination of different alternatives, the company is suggested to consider alternative 3. As alternative 3 would allow the business to broaden in worldwide markets with no decrease in its local profits and any wear and tear of its market position. By thinking about Alternative 3, the business could preserve its shop experience and brand name originality. It might likewise think about alternative 2 that might permit the business to access the markets without any possible investment. The company could pursue alternative 1 which would make it possible for the business to focus on prospective international markets rather than the local markets however as the company is extremely reliant on the local markets with 90% of its shops in the US, there fore pursuing alternative 1 would result in the significant decline in business's revenue. The company is advised to consider alternative 3.

Aletrnative-1: Expanding International Brick and Recommendations of Walt Disney Productions June 1984 Case Solution Stores

International SegmentsThe business has a long term market position in United States which can not be created quickly in the new markets. The alternative would assist the company to expand in global markets along with the removal of issues raised in its local markets related to its diversity.

Pros:

• Exploration of brand-new global markets.
• Boost in earnings from worldwide markets.
• Elimination of problems related to diversity.
• Revenue diversification.
• Step towards being a strong international brand name.

Cons:

• Loss of substantial revenues from the regional markets.
• Increase in competitors.
• Distinctions in cultures could caused a failure of the brand name particularly in Asian countries.
• Low profits at preliminary levels.
• Boost in marketing expenses to get market share.

Alternative-2: Introduction of Click and Recommendations of Walt Disney Productions June 1984 Case Solution Stores

Alternative 2 consists of the intro of online market locations through generating an appropriate company's site. With the increased patterns towards online shopping, the online stores like Amazon, Alibaba and so on might pose a severe danger to the marketplace share of business. The competitors are moving towards click and Recommendations of Walt Disney Productions June 1984 Case Analysis shops with Space introducing Piperline. This shift towards online markets might reduce the revenues for company. In this circumstance the company might think about presenting Click and Recommendations of Walt Disney Productions June 1984 Case Analysis shops. These stores with a low requirement of funds to settle would enable the company to reach worldwide markets, without ending its domestic shops. The benefits and drawbacks of alternative 2 are given as follows;

Pros:

• Low investment
• Lowering competition danger
• Access to the world markets
• Increasing the size of customer base
• Easy to handle
• Big Profits
• Low Operating Expense
• Easy new market entrance

Cons:

• Danger to the market position
• Elimination of brand Individuality
• Removal of the great store experience.
• Risk of decrease in elite sales.

Alternative-3: Expansion towards International Markets Without closing Domestic Stores

Another option that the business might think about, is to expand towards the global markets without closing its domestic shops that contributes to the major part of profits of the business. The advantages and disadvantages related to Alternative 3 are given below;

Pros:

• Minimizing competitors threat
• Access to the world markets
• Expanding customer base
• Large Revenues
• Exploration of brand-new worldwide markets.
• Increase in revenue from international markets.
• Profits diversity.
• Step towards being a strong global brand name.

Cons:

• Extension of issues associated with variety.
• Distinctions in cultures might resulted in a failure of the brand specifically in Asian nations.
• Low incomes at preliminary levels.
• Increase in marketing expenses to acquire market share.



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