The main entrance to Walt Disney World Orlando Florida

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For the past month, this blog has taken an in depth look at The Walt Disney company and the analytics that surround it.  In the first week, the Walt Disney Company business was described and compared to its fiercest competitors. Following that discussion it was quite clear that Disney is well ahead of its competitors but that they should keep an eye out to protect their interests. To add to the success of Disney, an argument was made in favor of the expansion of the Disney retail business into India. With a booming retail market and Disney’s global resources, this decision was an easy one. To succeed in this venture, a Data flow diagram was presented outlining the logistics behind the retail expansion. The decision to venture into India was supported through quantitative and qualitative analysis. Mumbai was targeted as the primary location based on several factors including technological infrastructure, available transportation and shipping routes and local economy.  In addition, Mumbai is an entertainment and fashion hub.

During the second week of the block, promotional events were discussed. Disney’s plans to hold a special promotional event for its Annual Pass holders and DVC members was presented. Using trips to the Hawaiian Aulani Resort as a grand prize, it was estimated that nearly 1 million guests were eligible to participate. Probabilities were then calculated to confirm that there is no bias in the selection of the winners.  After a geographical analysis, it was determined that the events should be held in both Disneyland California and The Walt Disney World Resort in Florida. Utilizing the Bayesian Paradigm, the probability of where the selected winner may reside was calculated. Based on a cost analysis, the event is expected to garnish $13 million dollars in revenue from new pass and membership sales.


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The success of Disney does come with its issues. One of those being overcrowding and how to maintain the quality product that the guests have learned to expect. In the third week of the blog this was the problem that was analyzed. Focusing on crowd levels and consumer sentiment, the recommendation to expand upon the parks was proposed. Giving higher levels of capacity numbers, increased revenue and positive guest sentiment would allow Disney to comfortably entertain a crowd explosion for years to come. Additionally, the expansion would keep all eyes on Disney and away from the plans of expansion that were presented for Universal Studios.

Every effort should be made to grow the market share and protect itself from competitor advances. To better organize the company to deal with the massive expansion and growth, the operation must be streamlined and effective. It was proposed that Disney utilize a Growth Operational Strategy including accurate forecasting, product reliability and competitiveness. Finally, a deep dive was taken into the corporate 10k to see where all the money comes from and goes and determined that borrowing capital for the expansion was the recommended method of financing the projects. It proved that borrowing money was very inexpensive vs damaging the corporate cash flow and liquidity.

The ROI is also a vital aspect of the expansion. A sales analysis was conducted to determine appropriate marketing strategy, target audiences and pricing. Animal Kingdom was the only expansion that stood to be questioned. A decision tree for this project as well as the calculation of Expected Monetary Value supplied the information to make the decision clearer. The Avatar expansion was recommended to go forward as the worst case loss was not enough to overcome the positive gains especially with Disney in position to take a moderate risk.


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Everyone is looking forward to the first Disney released Star Wars movie.  The films stands to be the top grossing movie of all time with licensed merchandise sales in the Billions.  A definite revenue stream in the making.  During merchandise runs prior to the films release, the Disney vendor started to show signs of deteriorating quality. As important to Disney as quality is, a plan was outlined to find and alleviate the problems going forward so that these issues would be corrected in time for the major film release and merchandise demands. A set back in the large Disney Consumer goods segment would not be tolerated. To stop the forecasted deterioration form progressing, it was recommended that the vendor implement an In Process Quality Control process to find, document and analyze defects as well as utilize control charts and dashboards to monitor the process. The proposed process was compared to the Deming criteria and proved that it would be a major asset in the Total Quality Management initiative. The process was mapped out and validated in a process flow diagram showing all of the recursive test points bringing continuous improvements to the process. Finally, Six Sigma was discussed in relation to the Disney implementation and how it was implemented it over four phases as well as the benefits that were gained.

This Blog has been very educational and informative in its creation. I have appreciated the effort, research and new skills that it has provided over the past month. The Walt Disney Company is a massive enterprise and this blog has touched on only a small portion of it. A high level of respect must be given to the organization for its undeniable ability to succeed, survive and always give the guest an unpatrolled experience. Have a Magical Day!!!


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