Marketing environment and marketing mix of Walt Disney Analysis

Table of Content

1.General Introduction

Type: Public (NYSE: DIS)
Year of establishment: 16/10/1923
Industry: Media and Entertainment
Field of activity: The Walt Disney Studios, Studio Entertainment, Disney Consumer Products, Media Networks.
Headquarters: City Burbank, Califorlia, United States.
The head of: Brother Walt Disney and Roy Disney.
Employees: 200,000 (2011).
Branch: ABC Family, ABC Kids, Walt Disney Studios Distribution, Walt Disney Stodios Motion Pictures Group, Disney Channel, Walt Disney Parks and Resorts, Walt Disney Picture, ESPN, ESPN2, Jetix, Mineral County Alternative School, Walt Disney Television Animation, Walt Disney Records, Playhouse
Disney, Disney Consumer Products, Pixar, Soapnet, Disney Interactive Studios, Muppets Holding Company, Disney Store, and Toon Disney. Website:

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The Walt Disney Company determined not only stopped the construction of production facilities in the domestic market, the company also expanded into countries such as: England, France, China, Japan, Taiwan, …

1.Micro – Environment

-The people who prepare for marketing plan are the groups that make up the company’s micro environment. Activities of all these parts will affect the planning and operation of the marketing department. -Suppliers are trading companies and individuals who provide companies and competitors the source of materials needed to produce specific goods or certain services. Ex: In the field of Parks and Resorts, design, construction workers, maintenance teams and staff industrial is suppliers. These events occur in the environment “supplier” can seriously affect the company’s marketing activities. -Currently, studios entertainment of Walt Disney have a narrow operating profit compared with other segments. There is a large number of competitors in this segment. Time Warner and New Corp also works in this field under the Time Warner and 20th Century Fox. Similarly, other companies such as General Electric owns Universal Pictures, Viacom owned DreamWorks and Paramount, and many other companies. -In the domestic, there are many parks that Disney had to compete: Six Flags, Sea World, Anheiser Busch, and Knott’s Berry Farm. There are also many local activities throughout the United States. Entire Six Flags and Cedar Entertainment, as well as small local park activities very successfully compete with Disney. Business conference center organized the competition can, as presiding over shooting performances, showcasing golf, cars, all are cheaper than fees on the park.

2.Macro – environment
2.1The Economic Environment

-The effects from the economy of a country to a company that is fairly deep, it can alter the ability to create value and income of the company. Three important factors need to track when it comes to the economy are: the growth rate of the economy, interest rates and inflation rates. Through three factors, each company may make brief comments about the market size, purchasing power of customers and profitability on the capital ….

-Economic situation of the United States is not quite in 2009. Increase of the Gross Domestic Product, GDP = -2.5% , Gross Domestic Product GDP in 2009 was $ 14,250 billion U.S. dollars. Inflation (consumer prices) is -0.7%

-With the downturn of the U.S. economy has led companies fall into hell. Sales of Disney stores decreased , the ABC television network declined at the audience and guests rent advertising … Therefore, companies have to lay off 4000 employees. Disney’s earnings fell by 25% in 2009, reaching $ 3.3 billion. Global economic downturn largely reduce the number of tourists visiting the park Disney Land while companies also spend less money for advertising campaigns on television programs that the company offers. Reduced advertising revenue, fare in the complex theme park and revenue from the DVD release reduce the negative impact to profitability. Cable television division revenue decreased 8%.

2.2The Cultural Environment

-Through this environment, we can know the cultural values and social attitudes of the people. Each environment may be an opportunity but also a threat for any company. These are intangible factors but have a large role, especially as it affects the psychology and buying behavior of customers. Particularly the sustainability of the core cultural values and specific cultural factors will greatly affect marketing decisions, therefore, not only as marketing staff that any company taking customer focus needs to be addressed.

-Disneyland is one of the pride of the American people, the success in California, USA and Tokyo – Japan has confirmed more prestigious and competitive position of Disney. But to our surprise that it was this giant failure on the “battlefield” in Europe.

When vaguely intend to open another theme park of Disney, more than 200 localities worldwide has proposed Disney park at their hometown. Paris was chosen because more than 17 million Europeans live within a radius of two hours by car to Paris, 310 million people could fly there in that time or less. Moreover, the French government has drawn Disney with all kinds of incentives with a total value of more than $ 1 billion because of the hope that the project will create about 30,000 jobs for France . But the lack of understanding of cultural European culture has created a barrier separating the Disney executives to succeed. Shortly after the Euro – Disneyland opened , the gates of the park were French farmers tractor knocked down. After that there are problems in the operation process, Disney has a policy of not serving alcohol in the park and it surprised the people of the country that each meal with a glass of wine of course. Disney thought that: Monday is the day away, while Friday was crowded day and arrange staff to think that, but in fact quite the opposite. Disney heard that: the French do not eat breakfast should build small restaurant when in fact everyone has had breakfast. So put in the right situation for 2500 dining in a 350 seat restaurant. But the biggest problem of the Euro Disneyland as Europeans seem to consider the park is the place to go during the day, not resting place so they are usually in 1 – 2 days. Meanwhile Disney plans to stay long should have invested billions of dollars to build the luxury hotels near park and most of the time about half of the rooms are empty, the number of visitors and the French do not East as Disney plans: in 1994 only 40% of the total. Many tourists are Americans living in Europe and Japan on vacation in Europe! As a result , by the end of 1994, Euro-Disneyland losses totaling $ 2 billion. Disney was forced to change strategy. First of all, the name was changed to Disneyland Paris park ; design, food and style of service is changed. The items sold in the gift shop also carry features of Disney rather than bring French style. Finally, admission and discount hotel rooms are down 1/3. The result is the number of visitors has increased from 8.8
million in 1994 to 11.7 million in 1996.

2.3The Natural Environment

Geographical location: United States is located in North America, eastern is North Atlantic, western is North Pacific, the northern border with Canada, and the southern border with Mexico. US is the economic center of the world so it should be favorable for the development of industries, especially the entertainment industry.

2.4The Demographic Environment

-Demographic segments in the macro environment related to population, age structure, geographic distribution, ethnic and income distribution. The first force must monitor is the population, because people make up markets. Marketing people do deeply concerned about the scale and rate of population growth in cities, regions and different countries, the distribution of age and ethnic structure, education level, household patterns families, as well as the characteristics and movements of the region. – Ethnicity: The racial and ethnic structure is very different. Japan is one extreme, because there everyone is Japanese, and the United States, located at the other extreme, because people originating from almost all countries. Each population group has certain expectations and certain shopping habits. -Depending on your age, sex and physiological changes, the animated character be the children loved “transformed” from the prince, princess, superhero or Barbie dolls, from the heroes in fiction to sports athletes, from the famous singer to the circus clown, from cartoon characters to the real example. Capture those characteristics Walt Disney Company, the owner of numerous children’s favorite characters on a global scale. After recognition of the dominant role in the market for girls of village entertainment industry, Walt Disney recently launched Disney XD, a brand aimed at 6-14 year-old boy, audience but the researchers believe that global profits of up to $ 50 million. III)MARKETING MIX

1.Target Market

-Potential market: children need to see animation
-Available market : a collection of families with children, income, interest in the field of animation -The qualified available market: a collection of people in the market and have the desire to see the cartoons of Walt Disney. Standard segment of the market: market segments by age

•Children under 6 years of age: the cartoon picture simple, colorful, witty humor (Tom and Jerry, Donald Duck). •From 6 to 20 years: richer video content, the film revolves around the issue of ethics, formed in the subconscious good cultural values, discoveries, life experience, fun things of the outside world (Spiderman, Snow White and the seven dwarfs, the Little Mermaid) •Over 20 years old: film about big emotions, the higher moral values that people need to look to as environmental protection, against war ( Tarzan, Chicken Run )


Superior quality allows Walt Disney demanding higher prices , improvements can lead to higher prices and lower unit costs. These three factors together help to Walt Disney to create higher value by lowering costs or make a difference in the product compared to its competitors, allowing Disney to do better than its competitors .


-Children are always a concern and must be special educate seriously. Understand that Disney has introduced a form of entertainment that is animated in order to satisfy the needs of the children

Walt Disney brand stands for: imagination, healthy, fun and quality of American entertainment. In addition, the logo is a stylized version of signature of the founder, which gives it that is owned by Walt Disney Brothers Walt Disney Company logo is a symbol of quality and it makes the
customers have a loyalty to our brand. Keep people always “ mickey minded “

– Support Services enriched products:
Customer service is a key element in the product strategy . When customers see the Walt Disney movie in the theater, they may receive preferential services from companies such as discount movie tickets, programs attractive gifts for lucky audience. The company’s service aims to make cartoons become attractive. 4.Distribution

Distribution channels include:
•Indirect channels: Walt Disney Pictures & Television, a subsidiary of the Group, specialized in the production and acquisition of the plastic film and television for redistribution under the brand Walt Disney Pictures, Touchstone Pictures, Hollywood Pictures. In addition, Walt Disney film distribution and marketing through marketing companies and their distribution in the U.S. and key foreign markets •Direct channels: direct distribution Walt Disney tapes, video discs under its various brands for the U.S. domestic market. On the international market, company use both indirectly and directly distribution through the foreign issuer. Walt Disney development, production and distribution of animated films for various stations around the world, including the main TV channels, Disney Channel and cable broadcasters under two brands Walt Disney Television and Buena Vista Television.


The form of advertising:
•Ads on TV

•Outdoor Advertising

•Advertising through internet

•Public Relations



Disney – successful brand with famous animated character and loved throughout the world, such as Mickey Mouse or Donald Duck. And behind these success is a commercial art.Whenever referring to the American entertainment industry, people always mention Walt Disney – one of the world’s leading entertainment corporations with annual revenues of more than $ 2.2 billion. But perhaps few people know that the mighty Walt Disney Corporation today started out with just two mouse and 2 cartoon duck. Until now, when in the hands of thousands of vivid character animation, funny animal world still play an important role in creating attractive and great appeal of Disney. The marketing strategies has bring success to Disney are Disneyland, park simulates the animal world in Florida, USA and floatable park Mickey. We can say, thanks to the unique marketing strategies that Walt Disney had reversed the decrease in sales of the company began in 1980 and moved to strong growth and increased market share continuously in the following years. The index measuring perceptions and feelings Disney brand increased significantly, especially among younger customers.

Of course, not all companies have the financial resources to build the amusement parks such as Walt Disney, but the lessons from the Walt Disney very clear: The moment of relaxation and entertainment pleasure, if the connection with the brand, will contribute to building a successful strategy to attract customers in the business. In my opinion, Sets out a strategy for the company is not an easy thing, it is a process of research of administrators. When show a strategy for company, manager must to find out the external factors affecting the company and the possibility that the company may offer for that strategy to achieve the goal. A good strategy is a specific strategy clearly consistent with the trend of the ability of the company as set out strategy, the implementation of the strategy must always stand by the strategy that the company has made. The role of an administrator is very important in the process as well as the operation of a company because if administrators do not have a good view, wide, will make a resource is not used up the power, the other is to use the capabilities are not consistent
with a company with such a scale.

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Marketing environment and marketing mix of Walt Disney Analysis. (2016, Nov 07). Retrieved from

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