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The Walt Disney Company |
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The Walt Disney Company, founded by Walt Disney, is one of the world's premier entertainment conglomerates, with annual revenues of $27 billion. Associated in consumer's minds as a family entertainment company, the company is run by CEO Michael Eisner who over the past two decades turned the company around since its dismal earnings in 1984 when he took the helm. After a long string of success, however, the company has stalled and Eisner was recently removed as the Chairman of the Board at a stockholder's meeting of over 3000 shareholders. The main problem is that Disney earnings have declined annually since 1997 and the stock is currently trading at 1994 levels. Many blame Eisner's leadership as the cause behind Disney's stalled performance, despite his having turned the company into a moneymaker for the first dozen years of his leadership. The shareholders who gave a no vote to Eisner, ousting him as Chairman of the Board, argue that company is not efficiently operating. Forced into retirement, Roy Disney maintains the company is overextending itself by extending its brands, including acquisition of cable channels, international theme parks, and others. As he said at the shareholder meeting, "Branding is something you do to cowsàwhen there's nothing original about your product," (Orwall, Steinberg and Lublin 2004, A1). Disney President Robert Iger insists management effi
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Category: Business - T
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