Disney Company's Operations

At one time, a "Disney" film was one which was appropriate for the entire family, from grandparents to grandchildren, and Mickey Mouse was recognized as a lovable character lacking the worldliness or sarcasm of Warner Brothers' signature character, Bugs Bunny. However, the Walt Disney company now bears little resemblance to the animation studio formed by Walt Elias Disney in the early part of the twentieth century, and the company now participates in nearly every segment of the entertainment market, including theme parks and resorts, on an international scale.

When Michael Eisner came to the Disney company in the mid-1980s, the company was drifting with a lack of focus that characterized its performance since the death of its founder in the mid-1960s. Eisner, and Frank Wells, brought new visions to the organization which included shifting the company's mission from one of providing family entertainment to a mission of providing entertainment for all audiences, and embracing new technology across the entire product line. In addition, new brands were introduced, new markets were opened, and the company moved from "just" providing content to being a participant in the network television business, as well. The result is a company which Disney himself would likely not recognize, but which possesses some of the most valuable brands and logos in the world. This research examines the organization, marketing strategy and financial performance of the Burbank-based c

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llywood Pictures was added to the company's portfolio to release other "adult" pictures; Hollywood Records handles recorded entertainment. Eisner also returned the company to the tradition of releasing animated films; these were overseen by Katzenberg in the early years of the duo's tenure at Disney. Movies such as Little Mermaid, Aladdin, and Beauty and the Beast gave the company not only much-needed revenue and a return to its animation tradition, but also provide vast new opportunities for merchandising. Eisner oversaw the opening of Disney Stores, which are the first merchandising outlets owned and operated by the company outside the parks, and watched the company's stock and his own compensation soar from the time he assumed leadership (Flower, 1991, p. 265). This transformation of the company means that Eisner has his share of critics as well as his share of admirers; in addition to the changes he has wrought at the company, this is due also to the unique relationship that the American public has with the Disney organization. Mickey Mouse and Disney are considered by many to be a part of the American identity and even those who are not investors or Disney fans can be interested in the workings of this company and its c

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