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Walt Disney Theme Parks - Case Study Example

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Walt Disney Company, founded in 1922, is one of the oldest and largest entertainment companies in the United States. It has also expanded its wings to Europe and Asia. The company began with a small animation studio in Hollywood and is now one of the three largest entertainment and media companies worldwide (Wasko, 2001)…
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Over the years, the company has not only grown to great heights in achieving major market share in the entertainment industry but it has also defined the American entertainment culture. The financial stability of the theme park division have served as a critical counterweight to the volatility to the media and studio entertainment divisions (Thomas, 29). The aim of this paper is to analyze how a successful 'old economy' company has adapted to changing technologies and has used the internet to further expand its business.

Although the company is now a diversified one that encompasses almost all aspects of the entertainment business (film production and distribution, cable television, publishing) as well as merchandise retailing, I will focus on its main division in which it has developed a niche market, that is theme parks. This paper is divided into two parts: 1) Part I will discuss the company's business strategy in the theme parks division and will undertake a SWOT analysis for the division and 2) part II will discuss the internet business strategy for theme parks in detail, including those for customer segmentation, acquisition, integration with overall marketing strategy, technical infrastructure and handling of data acquisition, management and use as well as social and regulatory issues.

When the concept of Disneyland was thoug. Over the years, it has taken the shape of carnivals and amusement parks, offering joy rides, games, inexpensive food and even vacation stay. The Disneyland was initially an extension of the already established Disney brand but now the brand has become synonymous to the theme parks. Disneylands now house restaurants and hotels and are major tourist destinations, complete with campsites, deluxe villas and even a cruise line.Disney earned revenues of $25.

4bn in 2000 from its various business - film production (Walt Disney, Touchstone, Hollywood, Miramax, Merchant-Ivory), film distribution (Walt Disney Theatrical Productions Buena Vista International), video/ DVD (Buena Vista Home Entertainment), theme parks (Caifornia Disneyland, California Adventure, Walt Disney World in Florida, Tokyo Disneyland, Disneyland Paris, Disney Vacation Club, Hong Kong Disneyland), television networks (ABC with 10 stations and 3,400 affiliates, ESPN, Walt Disney, Buena Vista, Touchstone, radio (ABC Network, with 21 stations and 21,000 affliliates), cable television (ESPN network, Disney chcannel, The History Channel, Toon Disney), magazines (Discover, Disney Adventure, FamilyFun, FamilyPC and ESPN The Magazine Media Networks), children's books and a number of licensees and 728 Disney stores selling merchandises.

The Internet business of Disney includes GO Network (which wound up after the dot com bust), disney.com, espn.com, abcnews.com, family.com, abc.com, The Disney Catalog (Wasko, 2001). Yet, the business that comes to mind the most when one thinks of Walt Disney Company is its theme parks. The Disney parks have become the most visited vacation spots in the world.

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