Tuesday, March 5, 2019
External EnvironmentThe Disney Comp each is renowned throughout the world as a leading media and fun accompany in the world. The external environs for this company is vast and has several(prenominal) effects on the companys operations and surgery and progress. The environment includes competitors such as News alliance and AOL Time Warner Inc, resources, engineering science, and the economic circumstances that bend the organization.With media and entertainment companies experiencing a roaring with a wider consumer and viewer base it is not easy to compete in the industry. Disney analyzes its general as well as its task environment soundly to fish for opportunities and threats. In the following text, we result identify two operate and two indirect forces have the potential to displace the company progress.Direct ForcesDirect forces or forces from the task environment include all those forces that argon closer to the organization. They organize day-to-day transactions wi th the company and have a major influence on the companys performance and basic operations. The forces which come down the stairs this category include customers, competitors, suppliers and the labor market. We would be analyzing customers and competitors.CustomersThe Disney customers are highly measurable for Disney. The bargaining power of customers is also high. The customers decide what price they are spontaneous to pay for a photo, what price they are willing to pay at the entrance of Disneys theme parks and lastly just now close importantly the unique customer experience they desire. Therefore customers, as recipients of Disneys services, determine the companys success and prox growth.If Disney slacks any one of these three crucial touch points it would lose its market divide to other rivals. Mottos for Disney, thus, revolve around the customers like one which reads Be so nice to the guests so that they cant believe it. Disney looks for chances to create supernatural moments for its customers and always making them smile. Customers are what make up Disney and if it wasnt for these customers Disney wouldnt have been where it is now.CompetitorsDisney faces a range of competitors both at a local and international level. Since the Disney Company has been able to tap a very(prenominal) typical niche in the industry and has a stronghold, the barriers to entry do know for the animated entertainment industry. Despite these barriers competition also exists. Disney has been able to spend a penny a mark in the movie business and the Network-television department where several powerful rivals do exist making it extremely risky.Moreover, new resume figures appear every day in television shows and in movie theaters overseas. The recent merger of AOL and Time Warner poses a great threat to Disney. Moreover, Viacom and fox Entertainment are other big competitors. In order to sentry duty its position as the leading media conglomerate, Disney must continuo usly invest in scientific and operational improvements.Indirect ForcesIndirect forces or forces from the general environment are forces that affect the organization indirectly. It embodies the outer layer of the organizational environment. These forces arent involved with the organizations day-to-day activities but do affect the organizations progress and performance overtime. These indirect forces include several dimensions like technological, international, socio-cultural, economic and legal-political but we will focus on technological and international dimensions.Technological DimensionThe Disney Company provides entertainment through animation and animation and technology have a very strong link. Superior animation is supported through superior technology therefore it is imperative for Disney to be up-to-date with technology. With scientific and technological advancements occurring at an astounding pace it is often hard for companies to keep up but it is crucial for them to do so. Newer competitors are using the latest world technology and providing customers with better experiences, Disney should do the same in order to maintain its position.International DimensionEvents occurring in other foreign countries also have a strong potential to affect Disneys progress. Since Disney operates theme parks in France, Japan, Hong Kong and USA and what is more operates its own cruise line as well, events and relations with other countries are of great importance. This international environment also provides new competitors, customers and suppliers and also forms social, technological and economic trends which Disney has to adapt to.ConclusionDisney is the worlds leading entertainment company but does face many challenges and threats within its environment in price of direct and indirect forces which have the potential to affect its operations, performance and future growth. It is imperative for Disney to analyze these forces carefully and flex its operations and s trategies in unity to them.ReferencesBookJones, G. R. (2007). Contemporary Management. 5th Edition, illustrated, revised. Mc Graw-Hill CompaniesWood, J. C (2002). Henri Fayol Critical evaluations in business and management. Illustrated edition. Taylor & FrancisOnline Journal/ArticleFine, J (2008). Disney Emerges a Winner. Business Week, Retrieved June 10, 2009.