...Yvonne Garcia The case of "Conflict at Walt Disney Company: A Distant Memory?" has impacted the evolution of the digital world throughout the years. The success of this organization is due to involvement of external partners and the collaboration of senior management. However, Disney’s continued success was not always free of any corporate turmoil. Michael Eisner left the company with heavy criticism and many dysfunctional conflicts among various members of his own Board of Directors and with subsidiary companies that Disney owned. Michael Eisner had multi-fronted conflicts with the Weinstein brothers of Miramax, Steve Jobs of Pixar and with two of Disney’s board members, Roy Disney and Stanley Gold. These conflicts were dysfunctional. The definition of a dysfunctional conflict plainly explained by Ivancevich, Konopaske & Matteson (2011) is “any confrontation or interaction between groups that harms the organization or hinders the achievement of organizational goals” (p. 311). Eisner was accused by the two board members of micromanaging and making one-sided decisions. The root of their accusation was really Eisner’s growth of power as the CEO and the Chairman of the Board, as well as his success at maximizing his shareholder value in Disney. Eisner’s also fought with Harvey and Bob Weinstein founders of Miramax on the financial details related to Disney's purchase of Miramax Films. The Miramax executives’ growing frustration with Eisner was based on the fact that Eisner was...
Words: 620 - Pages: 3
...you describe the conflict between Michael Eisner and the Weinstein brothers, the two board members (Disney and Gold), and Steve Jobs? Was it functional or dysfunctional? Ivancevich (p. 311) defines functional conflict as a confrontation between groups that enhances and benefits the organization’s performance’ while he defines dysfunctional conflict as any confrontation or interaction between groups that harms the organization or hinders the achievement or organizational goals. Though, a point the Ivancevich makes (p. 311) is that in most cases, the point at which functional confrontation becomes dysfunctional is impossible to identify precisely. My opinion is that the conflict was mostly dysfunctional, though, with some degree of functional conflict. They were functional in that even though the conflicts existed between Eisner and the Weinstein brothers and with Steven Jobs, the company was successful despite these widely publicized issues. Eisner, did lead the company to 67th in the Fortune 500 ranks and to a value of $40 billion; with his actions in the early ‘80s, he turned the company around with several company acquisitions. Also, even though the conflicts were high profile in the media, Disney was still very, very successful. Yet, I still feel there was much dysfunctional conflict as who knows how much more successful the company could have been if the conflict had not existed. Also, I am sure they lost employees and company leaders due to the conflicts as many of the employees...
Words: 298 - Pages: 2
...A Case Study on 02/11/08 02/11/08 Agenda ► About Disney ► Divisions of Disney ► A bit of History ► About the CASE ► SWOT Analysis ► Its Current Executive Management ► Recommended Organizational structures Model 1 Model 2 Model 3 02/11/08 About Disney ► ► ► ► The Walt Disney Company (most commonly known as Disney) (NYSE: DIS) is one of the largest media and entertainment corporations in the world. Founded on October 16, 1923 by brothers Walt and Roy Disney as a small animation studio Today it is one of the largest Hollywood studios and also owns eleven theme parks, two water parks and several television networks, including the American Broadcasting Company (ABC). Disney's corporate headquarters and primary production facilities are located at the Walt Disney Studios in Burbank, California, USA. The company is a component of the Dow Jones Industrial Average. It had revenues of $31.9 billion in 2005 02/11/08 Continued….. ► On June 12, 2006 Disney Mobile phone service is launched ► On January 23, Disney announces a deal to purchase Pixar Animation Studios in an all-stock transaction worth $7.4bn ► In July 2006, the Disney film Pirates of the Caribbean 2 is the highest grossing movie in opening weekend history at $135,000,000 USD ► Employees: 133,000 (2006) 02/11/08 Divisions of Disney 02/11/08 Divisions of Disney Media and Entertainment American Broadcasting Company Buena Vista Distribution Buena Vista...
Words: 1003 - Pages: 5
...Introduction: Euro Disneyland is a foreign venture of very successful American company known as Walt Disney Company which was established in 1923.The organization has been very successful over the years operating in USA, California and Florida and also expanded its business in Japan and Europe. Their operation in Europe widely known as Euro Disneyland was not successful for various reasons which include planning , cultural differences etc. Evaluating some of the areas that went wrong in case of Euro Disney: Walt Disney, a highly successful organization of US, comes up with a theme park, Euro Disney located outside of Paris, France. The Walt Disney Company was one of the American organizations which expand its business to the foreign soil. Doing a very successful and profitable business throughout US, California and Florida, the company established its first foreign venture Tokyo Disneyland, another winning and profitable business of Walt Disney. Being successful from Tokyo Disneyland, the company decided to further expand abroad and enhance its foreign presence, Euro Disney comes forward. But in case of Euro Disney, the company made some wrong steps in decision making which in turn experienced numerous complications from its inception. Below some areas are discussed critically that went wrong in case of Euro Disney. Location or area and environment selection were wrong in first place. Though French suggested to building the Euro Disneyland into the East Paris despite the...
Words: 2913 - Pages: 12
...Walt Disney Company; Maintaining the Happy Ending Paul G Webster II COM530 November 16, 2015 Aileen Smith Walt Disney Company; Maintaining the Happy Ending Section 1: Company Values and Culture Walt Disney Company’s (here on in denoted with WDC) espoused values are as follows; innovation, quality, community, storytelling, optimist, and decency. While very broad subjects, they continue to define them within their website (http://disneycareers.com/en/working-here/culture-diversity/). Innovation to the WDC means a constant desire to change and update new technology to stay ahead of the curve. Quality standards are set to the highest possible bar, ensuring a lasting product, whether it be a movie, theme park, or show. They cultivate an extensive community of employees, executives, and customers through positive ideas and a focus on “entertainment experience for all generations to share” (http://disneycareers.com/en/working-here/culture-diversity/). They are committed to creating stories that are not only timeless, but inspiring as well. They demand an uplifting attitude focused on their trademarked happy endings. Finally, decency is expected not only from how they treat and are treated by their employees, but also in how their products come along. These espoused values are well translated into their enacted values. They have created their own city, Celebration, Florida, based on these principles and created the first privately zoned and maintained city (Stringham, Miller...
Words: 993 - Pages: 4
...corrections to my work prior to submission”. NB: I also understand that under no circumstances should any part of this assignment be published, including on the Internet, or publicity displayed without receiving written permission from the school. Signature: Giuseppe Napoli Date: 16.11.2015 Executive Summary The Walt Disney is an American diversified multinational mass media and entertainment company, founded in Burbank, California in 1923 by two brothers Walt and Roy O. Disney. The companies success can be attributed to the ability exceed customer’s expectation and deliver magical moments to the audience. The main core value of the company can be identified in the cast members, who are considered the main bridge to deliver the company’s core values. As well to support cast members the company equipped the park with new technologies, the process not only reduce waiting time but also increase customer’s satisfaction. However the company initially face some globalization issues due to the lack of communication between corporate and regional offices. Walt Disney today in order to avoid culture clash has enabled local office globally distributes to compare and contrast the local customs and demands. The company in order to financial grow and reaming the leader in this...
Words: 3137 - Pages: 13
...Unit III Assignment Disney Case Study - Advanced Marketing What does Disney do best to connect with its core consumers? The Walt Disney Company, together with its subsidiaries and affiliates, is a leading diversified international family entertainment and media enterprise with five business segments: media networks, parks and resorts, studio entertainment, consumer products and interactive media. Disney products include television programs, books, magazines, musical recordings and movies. Disney’s CEO Bob Iger explained, “As a brand that people seek out and trust, it opens doors to new platforms and markets, and hence to new consumers. When you deal with a company that has a great legacy, you deal with decisions and conflicts that arise from the clash of heritage versus innovation versus relevance. I’m a big believer in respect for heritage, but I’m also a big believer in the need to innovate and the need to balance that respect for heritage with a need to be relevant.” Walt Disney recognized that brand loyalty begins with an authentic relationship and it believes that it costs much less to retain a customer than to find a new one. Walt determined that treating people visiting Disney’s parks not as just another paying customer, but as “guests in our own home.” He knew that if their guests understood and believed that everyone in the organization cared about them and their business, they would be loyal to Disney forever and that philosophy continues to this day. Whether...
Words: 1304 - Pages: 6
...FRANCE: A CASE STUDY OF THE EURO DISNEYLAND NEGOTIATIONS Lauren A. Newell* In 1984, The Walt Disney Company (“Disney”) was riding the wave of success from its newest Resort,1 Tokyo Disney Resort (“Tokyo Disney”),2 which attracted 10 million guests3 in the first year alone,4 and its thoughts turned to further international expansion—this time, in Europe. After careful consideration of potential locations and preliminary negotiations with two European governments,5 Disney decided in 1984 to launch Euro Disneyland (“Euro Disneyland” or “EDL”)6 in Marne-la-Vallee, France. The ´ realities of opening and operating EDL in France were far different than Disney’s expectations when it began negotiations—so much so that the Resort narrowly escaped bankruptcy.7 For an “entertainment empire”8 like Disney, this was an unprecedented * Assistant Professor of Law, Ohio Northern University, Pettit College of Law; B.A., Georgetown University, 2004; J.D., Harvard Law School 2007. 1 As used herein, “Resort” refers to a Disney resort property, consisting of (unless otherwise indicated), Parks, hotels, all entertainment facilities, and the transportation systems that connect them. “Park” refers to a Disney theme park, including (unless otherwise indicated) the park grounds, rides, and attractions, and surrounding resorts, hotels, and other Disney-affiliated entertainment facilities. 2 Tokyo Disney was Disney’s third Park and first international venture, located in Tokyo, Japan. See The Walt Disney Co.,...
Words: 12089 - Pages: 49
...FRANCE: A CASE STUDY OF THE EURO DISNEYLAND NEGOTIATIONS Lauren A. Newell* In 1984, The Walt Disney Company (“Disney”) was riding the wave of success from its newest Resort,1 Tokyo Disney Resort (“Tokyo Disney”),2 which attracted 10 million guests3 in the first year alone,4 and its thoughts turned to further international expansion—this time, in Europe. After careful consideration of potential locations and preliminary negotiations with two European governments,5 Disney decided in 1984 to launch Euro Disneyland (“Euro Disneyland” or “EDL”)6 in Marne-la-Vallee, France. The ´ realities of opening and operating EDL in France were far different than Disney’s expectations when it began negotiations—so much so that the Resort narrowly escaped bankruptcy.7 For an “entertainment empire”8 like Disney, this was an unprecedented * Assistant Professor of Law, Ohio Northern University, Pettit College of Law; B.A., Georgetown University, 2004; J.D., Harvard Law School 2007. 1 As used herein, “Resort” refers to a Disney resort property, consisting of (unless otherwise indicated), Parks, hotels, all entertainment facilities, and the transportation systems that connect them. “Park” refers to a Disney theme park, including (unless otherwise indicated) the park grounds, rides, and attractions, and surrounding resorts, hotels, and other Disney-affiliated entertainment facilities. 2 Tokyo Disney was Disney’s third Park and first international venture, located in Tokyo, Japan. See The Walt Disney Co.,...
Words: 12089 - Pages: 49
...Eisner, chairman and CEO of the Walt Disney Company, was sitting down with Frank Wells, president and chief operating officer, and Gary Wilson, executive vice president and chief financial officer, to discuss Disney's prospects for the new year. These men were still basking in the glow generated by another record revenue- and profit-breaking year in Disney's history. Disney's businesses were performing at an unprecedented level, and confidence was high. The problem facing the trio who had engineered Disney's turnaround was how to maintain Disney's explosive growth rate and its return-on-investment goal of increasing earnings per share by 20 percent over any five-year period to achieve a 20 percent annual return on equity. Paradoxically, the very success of their strategy, which had originated to protect an underperforming Disney from the rampages of corporate raiders and the threat of takeover, was causing the opposite problem: how to maintain the company's explosive growth in a business environment where attractive opportunities for expansion were becoming increasingly scarce. The men were reflecting on how to develop a five-year plan that would cement the strategy that had led to their present enviable situation and make the 1990s the "Disney Decade." This case is intended to be used as a basis for class discussion rather than as an illustration of either effective or ineffective handling of the situation. This case was prepared by Gareth R. Jones,Texas...
Words: 10251 - Pages: 42
...Introduction: Ever since the concept of globalization has come into existence, the studies of cultural differences, dimensions and attitudes have began to take place and different scientists and observers started coming out with their own set of discoveries and observations (McGregor, 2004). The main reason behind cultural difference and dimensions started when workers of different countries started working together on unified projects and conflicts started arising between the people of different races and culture (Kotler, 2008). Keeping in view of such situations, Dutch Sociologist Gerard Hofstede came up with a study named as Geert Hofstede’s Cultural Dimensions in which he laid stress upon five aspects naming Power Distance Index, Individualism, Masculinity, Uncertainty avoidance index and Long term Orientation. The case study in this paper focuses more towards the cultural difference between employees of Disneyland that are located in different countries. Using Hofstede’s 4 culture dimension, highlighting main cultural differences between United States and France: Disneyland is an American Idea of a theme park which serves as a recreational place for children and families. This theme park originally started from Anaheim, California (United States) and later on after receiving massive response from visitors all around the globe, the directors of the company started off with opening similar type of theme parks with the same name of Disneyland in Orlando (US), Tokyo (Japan)...
Words: 7140 - Pages: 29
...1. What is the focal organization in this case, and what is the main issue it faces? While there were several different stakeholders within this case (the employees and city council of Anaheim chief among them), there were only two business organizations with a vested interest in the outcome. On one side was the world famous Walt Disney Company; on the other was the SunCal developer. Within the context of this case analysis, SunCal was the focal organization – the entity from whose perspective a stakeholder analysis could be conducted.As the focal organization has been identified, the question then becomes what is their interest/concern in the case (the main issue)? As the discussion case describes, SunCal purchased a 26-acre land parcel within the resort district which happened to be located on the same street as Disneyland. Given the high rent and median home cost detailed in the case, SunCal’s intent was to develop a 1,500 condominium apartment complex of which 15 percent of the units would be priced below market value which required approval from the Anaheim city council. The conflict arose when Disney challenged the right for SunCal to develop non-tourism buildings in the area; their argument was that the resort district was allocated for tourism projects/buildings and by allowing SunCal to proceed with their plans would open the flood gates for other organizations to follow (which would ultimately nullify the objective of the resort district). 2. Who are the relevant...
Words: 1211 - Pages: 5
...SLIDE 1. The Walt Disney Company. The Entertainment King. SLIDE 2. “All our dreams can come true, if we have the courage to pursue them.” Walt Disney SLIDE 3. Case question: Had The Disney magic begun to fade? SLIDE 4. About The Company SLIDE 5. Walt Disney Company is largest media and entertainment conglomerate Other ventures: -Studio Entertainment -Parks and Resorts -Consumer Products -Media Networks SLIDE 6. Walter Elias Disney SLIDE 7. • Walter Elias Disney was born on December 5, 1901. • In 1911 at school he met Walter Pfeiffer who came from a family of theatre aficionados, and introduced Walt to the world of vaudeville and motion pictures. • In 1917, Elias acquired shares in the O-Zell jelly factory in Chicago and moved his family back to the city, where in the fall Disney began his freshman year at McKinley High School and took night courses at the Chicago Art Institute. • He became the cartoonist for the school newspaper, drawing patriotic topics and focusing on World War I. Despite dropping out of high school at the age of sixteen to join the army, Disney was rejected for being underage. • After his rejection by the army, Walt and a friend decided to join the Red Cross. Soon after joining he was sent to France for a year, where he drove an ambulance, but only after the armistice was signed on November 11, 1918. SLIDE 8. • Hoping to find work outside the Chicago O-Zell factory, in 1919 Walt moved back to Kansas...
Words: 6473 - Pages: 26
...Executive Summary The Walt Disney Company (TWDC), together with its subsidiaries and affiliates, is a leading diversified international family entertainment and media enterprise with four business segments: media networks, parks and resorts, studio entertainment and consumer products. This executive summary summarizes the issues surrounding The Walt Disney Company based on its globalization efforts into a multinational corporation, its business power related to the exportation of “American imperialism”, its business ethics related to its theme parks and resorts, and its corporate governance problems under former CEO Michael Eisner. Many blame these kinds of changes in company values and mission to Michael Eisner. Globalization efforts made by The Walt Disney Company would prove costly when it made bad decisions based on naïve assumptions of the cultural acceptance of Mickey Mouse into Japan and France. Tokyo Disneyland emerged as the most profitable theme park, but with TWDC having no stake in the company; and Disneyland Paris, backed heavily by TWDC, had to be restructured only after two years of opening. Domestically, theme park safety had been compromised, all in the name of profit. An embittered declaration for Eisner’s resignation came in 2003 by ousted board member Roy E. Disney, nephew of Walt and last remaining active family member at TWDC, and his trusted friend, Stanley Gold, who resigned the board. Ultimately, Roy Disney helped lead a Disney shareholder revolt...
Words: 3475 - Pages: 14
...International Business Management Group Assignment (1) Submitted by Group (6) 9/19/2011 International Business Management, Group Assignment (1) September 19, 2011 1. What do you think motivated Disney to set up parks abroad, and what might be the pros and cons from the standpoint of the Walt Disney Company? Disney is motivated to set up parks throughout the world to expand its sales of merchandise goods as well as attendance to their theme parks. The management realized how successful they were in the US and that their resorts attracted a lot of foreign travelers. Realizing this allowed them to consider tapping into the global market, which would mean more profits and a more global company. In addition, with the expansion of the parks, Disney can play a role in spreading advertisements of their movies and the ideology that Disney is a Place of Dream and happiness. Disney is motivated to also acquire more resources by their expansion, for example, Disney wants to create a park in Shanghai so that it can facilitate in probably creating a Disney channel for the Chinese people. Lastly, Disney wants to minimize the risk of their parks in America in case they do poorly they can gain their profits in Asia or Europe. Pros from the standpoint of the Walt Disney Company can be shown the following. • Great reputation and worldwide brand recognition; lots of pride in making magic happen for guests and consumers. • • The culture is extremely collaborative...
Words: 1157 - Pages: 5