Disney Essay

516 WordsMar 12, 20153 Pages
Porter’s 5 forces Walt Disney movie: Supplier power: There is no real supplier power in the movie sector especially in the cartoon sector. In this field you have to provide your movies with a nice voice. Therefore there are extremely talented artists but you can replace them if necessary. Thread of substitutes: Not right now. Maybe with new technology; also play stations and other technical staff can substitute a movie at the moment. Buyer Power: There are thousands and thousands of potential customers. Disney has the money and possibility the do market researches and even there are organizations who try to take influence it is not possible. (Premise is that the product is good) So the buyer cannot influence the market. Entry Threat: Meanwhile movies are so expensive that it is really difficult to enter the market. But with the right advertising and a good idea, it is possible (like in nearly every market). Competition in the industry: There is high competition in the movie industry as a lot of companies have entered into this segment. Walt Disney toys: Supplier power: Supplier of toys has no power. Especially in the toy producing industry is a real big completion. So the Disney Company has the right to decide. Furthermore we think that it is not so difficult to gain the knowledge to produce the goods. Thread of substitutes: We think that especially the toys from Disney have a short living circle because they are only in demand before and after the movie. So there is no real threat of substitutes in the segment they are targeting. Buyer Power: The buyers cannot really influence or force Disney to do something. We think only in businesses with a few consumers (like the steel industry in Austria) the buyer has the power to bargaining. Entry Threat: There are so many toys that is definitely possible that the kids (or target persons)

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