...Ethics and Compliance Paper for Disney Corporation Team A FIN 370 July 13, 2011 Steven Russell Ethics and Compliance Paper for Disney Corporation The role of ethics and compliance that Disney Corporation commits to in accordance to their financial standards promotes conducting their business with the highest standards of business ethics, rules, laws, and regulations, which Disney Corporation has adopted Code of business conduct and Ethics for Directors Code. Directors have guidelines that consist of four basic guidelines such as, representing the interest of shareholders of the Walt Disney Company, display commitment, high standards of integrity, and independence of judgment, devote time, and energy to guarantee the diligent performance of his or her responsibilities, and complying with every condition of this code. Another major responsibility that Disney Corporation commits to is integrity in the company’s financial statements; compliance with all legal and regulatory requirements; qualifications and independence of the Company’s independent auditors; and performance of the company’s internal audit function (The Walt Disney Company, 2009). The Disney Company will review with management all financial reporting issues, which includes analyses of any effects of alternative GAAP methods on the financial statements. Disney Company’s internal control has an effective system that promotes the reliability of financial and operating information, which complies with applicable...
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...The Walt Disney Company MBA 648 Company Research Project Megan Burke, Candace Longo, Irini Pertesis Table of Contents Executive Summary3 Products and Services4 Financial Planning and Analysis6 Operating Performance of the Firm6 Financial Statement Analysis 7 Financial Forecasting………..………………………………………….…………………...11 Sustainable Growth Rate………...………………………………………………………....13 Additional Funds Needed…………………………………………………………………...13 Cost of Capital……………………………………………………………………………….14 WACC………………………………………………………………………………………..14 Dividends and Stock Policies………………………………………………………………….15 Objectives of Business Corporations 16 Working Capital Management: 19 Cash and Marketable Securities Management: 21 Accounts Receivable Management…………………………………………………………….26 Financing Activities…………………………………………………………………………...26 Overall Analysis………..……………………………………………………………………….27 Executive Summary “I knew if this business was ever to get anywhere, if this business was ever to grow, it could never do it by having to answer to someone unsympathetic to its possibilities, by having to answer to someone with only one thought or interest, namely profits. For my idea of how to make profits has differed greatly from those who generally control businesses such as ours. I have blind faith in the policy that quality, tempered with good judgment and showmanship, will win against all odds.”—Walt Disney...
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...Disney Financial Statement ACC/300 March 16, 2015 Prof Brandy Havens Disney Financial Statement Debt and Investments The Walt Disney Company reported debt in a number of ways on their financial statements. The first place debt securities are shown is under Current Liabilities on the Consolidated Balance Sheet. The Current Portion of Borrowings, at $2,342 billion, lists that portion of debt that is due to be paid within the next year. The second place that debt appears on the Consolidated Balance Sheet is under Borrowings. Disney shows over $12.676 billion in long-term debt. Therefore, Disney’s total borrowings are approximately $14.8 billion. Upon further analysis, nearly 92% of Disney’s debt includes the issuance of U.S. medium-term notes with a weighted-average coupon rate of 2.73% and maturities that occur from 2015 through 2023. Additionally, Disney indicates another $5.9 billion in other long-term liabilities. According to Disney’s 10k filing, “Other long-term borrowing instruments are omitted pursuant to Item 601(b)(4)(iii) of Regulation S-K. The Company undertakes to furnish copies of such instruments to the Commission upon request” (The Walt Disney Company. 2014). The balance sheet also shows Investments as part of the reporting of Assets. For the fiscal year ended 2014, Disney reported $2.696 billion in investments. Nearly 92% of the investments are shown as “Equity Basis” investments. More specifically, Disney reports that the equity investments...
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...Walt Disney World Company is an international media and entertainment conglomerate. Disney has integrated itself within global culture as a premiere theme park and resort service. Its high quality of standards, unsurpassed customer service, and originality make it like nowhere else in the world. The Walt Disney World Company manages 5 theme park and resorts around the world. Having two based in North America, and with the other 3 based in Europe and Asia. Having been ranked in the top 100 public companies in the world according (Forbes.com, 2014) Disney is seen as having anything but financial difficulty. That however is not the case for one of its prestigious theme parks. Since opening in 1992, Euro Disney, or currently recognized as Disneyland Paris, has become one of the largest tourist attractions in all of Europe. Though touted as one, if not the happiest places on earth, financially it is not much but a mirage. Euro Disney has not turned a profit since 2008, and has already had to be bailed out on 3 other occasions over its 2 decade existence. To many investors, this does not surprise them that it is happening a fourth time. Euro Disney has followed the same cycle that all products go through. This is known as the International Product Life Cycle Theory. Much like the regular product life cycle, the international theory adds on three stages, new product, maturing product and standardized product. In 1992, Euro Disney would have been going through the new product stage...
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...Control Mechanism: Walt Disney Company Whitney Leung Tony Saludas Wendy Sanchez Jim Stickell MGT 330 Jack Land “The management function of monitoring performance and making needed changes” is control (Bateman). Control is the fourth and final function that completes the management process and will help guarantee success in an organization. This process will help management ensure that an organization’s will use all necessary resources to achieve their goals effectively and efficiently. The Walt Disney Company and their associated offices have continuously over the years committed to produce creative entertainment experiences made for every family across the world. Today, this major corporation is split into four different business segments in the following categories: media networks, parks and resorts, studio entertainment, and consumer products. (The Walt Disney Company) Since founded in 1923, The Walt Disney Company use control mechanism to maintain regulated guidelines and procedures to achieve their goals effectively and efficiently. This paper will examine, and compare and contrast four types of control mechanisms the Walt Disney Company used: (1) budgetary controls, (2) marketing control, (3) bureaucratic control cycle, and (4) management audits to determine the effectiveness of each by examining the positive and negative reactions to these controls in order to explain how these control mechanisms affect the four function of management. Budgetary...
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...90-years, the name Walt Disney has been a world dominant leader in the family entertainment industry. From humble beginnings as a cartoon studio in the 1920s to today's global corporation, The Walt Disney Company continues to proudly provide quality entertainment for every member of the family, across America and around the world ("The Walt Disney Company", n.d.). Over the years The Walt Disney Company has diversified into four major business segments: Studio Entertainment, Parks and Resorts, Media Networks and Consumer Products. Diversification of products and services is a strategy that The Walt Disney Company clearly centered on in order to ascertain a competitive advantage in the entertainment industry. Over the years it has expanded into a household name and entertainment power house. It is for this reason brand has a loyal customer base and for most there is no substitute. Marketing Scope The Walt Disney Company’s largest and most value creating synergy it their marketing and advertising strategy. Despite the high prices of the Disney theme parks and resorts the number of visitors are unmatched by their competitor’s. The one of the main reasons behind the company’s success is their marketing strategy is interrelated. The Studio Entertainment, Parks and Resorts, Media Networks and Consumer Products are able to promote and market each other’s products/services through one another. The Walt Disney Company is the world's largest media corporation, encompassing movies...
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...The Walt Disney Corporation is one of the largest, and most continually profitable, entertainment conglomerations in the world. Disney became the juggernaut that it is today because of their ability to foster the imaginations of their employees, and the shrewd business sense of men like Michael Eisner, and Walt Disney himself. There are many entertainment companies that have success that stems from their ability to market their brand to children. Disney's continued domination comes from the knowledge that, to be the most profitable, you must create “timeless family entertainment.”. As Walt Disney said, “Your dead if you aim only for kids. Adults are only kids grown up, anyway.” Walt Disney was a semi-successful cartoonist at a young age when his creation “Oswald, The Lucky Rabbit” became a hit in 1927. However, he was muscled out of the “Oswald” franchise when his distributor hired his animators away from him. Disney was not aware that, according to his contract, he did not own the rights to the cartoon rabbit. Disney made sure that with his next creation, Mickey Mouse, that no one would be able to capitalize on his creative property. He had a profitable swing in 1928 with “Steamboat Willie” and the subsequent licensing of his cartoon's imagery on a pencil box. With the earnings he made, the Disney company had a financial stability it never previously had. This allowed Walt and company to focus on the bigger picture, and the ability to chase more lucrative ventures. Walt...
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...The Walt Disney Company: A Corporate Strategy Analysis Written by Carlos Carillo, Jeremy Crumley, Kendree Thieringer and Jeffrey S. Harrison at the Robins School of Business, University of Richmond. Copyright © Jeffrey S. Harrison. This case was written for the purpose of classroom discussion. It is not to be duplicated or cited in any form without the copyright holder’s express permission. For permission to reproduce or cite this case, contact Jeffrey S. Harrison (RCNcases@richmond.edu). In your message, state your name, affiliation and the intended use of the case. Permission for classroom use will be granted free of charge. Other cases are available at: http://robins.richmond.edu/centers/center-‐for-‐active-‐business-‐education/research/case-‐network.html November 2012 "Walt was never afraid to dream. That song from Pinocchio, 'When You Wish Upon a Star,' is the perfect summary of Walt's approach to life: dream big dreams, even hopelessly impossible...
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...Course Project Walt Disney and Netflix Michael Wilson Keller Graduate School of Management Managing Organizational Change HRM 587 Professor Swift Course Project Walt Disney and Netflix Course Project Proposal For my course project I choose Walt Disney and the Netflix companies. I choose these two companies because I believe they are both going through significant changes in the way they are offering forms of the entertainment they provide. How they respond to the external forces that are requiring them to change has been different based on their resources and the demand their customers have. One company has many years of providing entertainment to many generations who value their judgment delivering quality products through many different mediums. The other company is new to the entertainment providing industry and has changed how businesses in that industry think about what their customers need based on the changes in the new technology developed in the past few years. For Walt Disney the changes will be how to maintain a quality relationship with the generations of customers who have purchased their movies in different formats that are no longer adaptable in the newest technology. Can they convince the owners of the video tapes that ownership of their products in other formats is still the answer? For Netflix the changes include a system that goes against the need to own the products, but trust that they will provide the entertainment they want when and where...
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...Financial Statement Review Elisha Cervantes ACC 561 Seth Fargen November 16, 2015 Financial Statement Review The Walt Disney Company is the corporation chosen for the financial statement review. The Walt Disney Company (Disney) “operates through five business segments: Media Networks, Parks & Resorts, Studio Entertainment, Consumer Products and Interactive Media” (Forbes, 2015, p. 1). These segments include television and cable networks, radio networks, Resorts, motion picture studios, and retail stores (Forbes, 2015). Walt Disney is one of the largest corporations and brands in the world. Net Income Walt Disney reported a net income of $8,004 million in 2014 and net income of $6,636 million in 2013 (The Walt Disney Company, 2014). The net income increased in 2014 compared to the net income in 2013. Investors of Walt Disney found the increase in net income important because it shows Walt Disney is increasing profits by making positive decisions for the company. Money-zine.com states, “Perhaps the single most important measure of a company's profitability is net income. That's because generating profits is the most important responsibility that for-profit companies have to their shareholders” (Money-zine.com, 2015, p. 1). Stakeholder’s Equity The ending balance of stockholders’ equity for Walt Disney in 2014 was $44,598 million. Labor unions are interested in the stockholders’ equity to sponsor "proposals that would increase their negotiating leverage...
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...The Fluidity of Disney. Gender Norms & Racial Bias in the Study of the Modern “Disney” The Walt Disney Company, commonly known as Disney, is an American diversified multinational mass media corporation headquartered at the Walt Disney Studios in Burbank, California. It is the world's second largest broadcasting and cable company in terms of revenue, after Comcast. Disney was founded on October 16, 1923, by Walt Disney and Roy O. Disney as the Disney Brothers Cartoon Studio, and established itself as a leader in the American animation industry before diversifying into live-action film production, television, and theme parks. The company also operated under the names The Walt Disney Studio, then Walt Disney Productions. Taking on its current name in 1986, it expanded its existing operations and also started divisions focused upon theater, radio, music, publishing, and online media. In addition, Disney has created new corporate divisions in order to market more mature content than is typically associated with its flagship family-oriented brands. The company is best known for the products of its film studio, the Walt Disney Studios, which is today one of the largest and best-known studios in Hollywood. Disney also owns and operates the ABC broadcast television network; cable television networks such as Disney Channel, ESPN, A+E Networks, and ABC Family; publishing, merchandising, and theatre divisions; and owns and licenses 14 theme parks around the world. It also has a...
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...continues to be the essence of Disney, even as our businesses expand across borders and media platforms, it is the foundation for almost everything we do, the source of our strength and our success, and the fuel that will power us into the future” - Robert Iger, President and CEO - When we hear the word Disney, what is the first think that comes up in our minds? Most people think about Disney and relate it to magical, exciting and large attractions parks and hotels, and the famous Mickey Mouse. However, they missed to see how big and influential this organization really is. Walt Disney Company is one of the World largest communications organizations. Everyone knows Disney! It is everywhere in our lives, from TV, radio and movies, to parks, clothing, accessories and toys. Owning diverse media markets, Disney has build a tradition of culture and niche by efficiently managing its markets and products, allocating them among different cultures, age groups and preferences. In this report I will be analyzing some of the major managerial decisions within the Company, its influences over the market and the way it has established across the years in our culture. We are now about to discover all the financial numbers, facts, operational activities and responsibilities of the Walt Disney Company, the “Happiest Celebration in World.” Let the Magic of Disney to begin… A Little Bit of History Walter Elias Disney founded the Walt Disney Company in 1923 as a dream...
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...The Walt Disney Company SWOT Analysis BUS 206 April 1 2015 Matthew LaPorte The Walt Disney Company is one of the most famous entertainment corporations in the world today with a diverse portfolio including movies, television shows, theme parks, and merchandising. Some of the most famous icons in American pop culture have come from Disney, most famously their mascot Mickey Mouse. Entire generations of American children have now grown up watching and consuming Disney productions across different forms of media or going on vacation at the massive Disney theme parks in California or Florida. For these reasons, the Walt Disney Company remains a very interesting corporation The Disney Company got its start in 1923 when brothers Walt and Roy decided to start an animation company in Hollywood. Walt Disney has already had experience in animation, but his first few cartoons with his own company were failures. In fact, Walt almost lost control of his company when a rival lured away almost all of his employees after Walt refused to sell his company to his competitor. The Disney Company’s fortunes changed when Walt came up with the idea of Mickey Mouse and produced Disney’s first sound film Steamboat Willie. This cartoon was an immediate success, due in part to the fact that this was the very first animated film to have synchronized sound. The success of Steamboat Willie opened the doors for Walt Disney to produce numerous Mickey Mouse cartoons that found success and established...
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...Disney is very creative man to be known for following his dreams and visions. To continue, the Walt Disney Company started in 1923 in the rear of a small office occupied by Holly-Vermont Realty in Los Angeles. It was there that Walt Disney, and his brother Roy, produced a series of short live-action/animated films collectively called the ALICE COMEDIES. The rent was a mere $10 a month. Within four months, the ever-growing staff moved next door to larger facilities, where the sign on the window read "Disney Bros. Studio." A year later, in 1925, the Disney’s made a deposit on a Hyperion Avenue lot in the Silver Lake district of Los Angeles. Construction began on the new studio shortly thereafter. During the next 14 years, many changes took place at the Disney studio: Mickey Mouse was "born" in 1928, followed by Pluto, Goofy, Donald Duck, and the rest of the Disney gang. Furthermore, in 1937, Disney's innovative first full length animated feature, snow white and the seven dwarfs, was released to critical acclaim and worldwide success. In order to expand and meet the expectations of his audience, Walt saw a need to increase the size of his studio. With profits from snow white, he made a deposit on 51 acres of land in Burbank and began designing a modern studio specifically for the purpose of making animated films. Walt was personally involved with all aspects of designing the studio. From the layout of the buildings to design of the animators' chairs, nothing was left to chance....
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...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)...
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