Walt Disney’s Corporate Strategy Chart
From 1957, this is a drawing of the synergistic strategy of Walt Disney Productions, or what Todd Zenger of Harvard Business Review calls “a corporate theory of sustained growth”.
The boxes on the chart have changed, but since the appointment of Bob Iger as CEO, Disney has seemingly doubled down on Walt’s old strategy with their increased focus on franchises.
Disney’s dominance can be boiled down very simply to one word: franchises. Or rather, an “incessant focus on franchises” in the words of former Disney CFO Jay Rasulo.
“Everything we do is about brands and franchises,” Rasulo told a group of financial analysts last September. “Ten years ago we were more like other media companies, more broad-based, big movie slate, 20 something pictures, some franchise, some not franchise. If you look at our slate strategy now, our television strategy, almost every aspect of the company, we are oriented around brands and franchises.”
Franchises are well suited to extend across multiple parts of a big business like Disney, particularly because it’s a repeating virtuous cycle: movies drive merchandise sales and theme park visits, which in turn drives interest for sequels and spin-offs, rinse, repeat, reboot.
I wonder if more tech companies could be using this strategy more effectively. Apple does pretty well; their various hardware (iPhone, iPad, Mac), software (iOS, OS X), and services (iCloud, App Store, iTunes Store) work together effectively. Microsoft rode Office & Windows for quite awhile. Google seems a bit more all over the place — for instance, it’s unclear how their self-driving car helps their search business and Google+ largely failed to connect various offerings. Facebook seems to be headed in the right direction. Twitter? Not so much, but we’ll see how they do with new leadership. Or old leadership…I discovered Walt’s chart via interim Twitter CEO Jack Dorsey.
Comments
Hello! In order to comment or fave, you need to be a current kottke.org member. If you'd like to sign up for a membership to support the site and join the conversation, you can explore your options here.
Existing members can sign in here. If you're a former member, you can renew your membership.
Note: If you are a member and tried to log in, it didn't work, and now you're stuck in a neverending login loop of death, try disabling any ad blockers or extensions that you have installed on your browser...sometimes they can interfere with the Memberful links. Still having trouble? Email me!
In order to comment or fave, you need to be a current kottke.org member. Check out your options for renewal.
This is the name that'll be displayed next to comments you make on kottke.org; your email will not be displayed publicly. I'd encourage you to use your real name (or at least your first name and last initial) but you can also pick something that you go by when you participate in communities online. Choose something durable and reasonably unique (not "Me" or "anon"). Please don't change this often. No impersonation.
Note: I'm letting folks change their display names because the membership service that kottke.org uses collects full names and I thought some people might not want their names displayed publicly here. If it gets abused, I might disable this feature.
If you feel like this comment goes against the grain of the community guidelines or is otherwise inappropriate, please let me know and I will take a look at it.
This thread is closed for new comments & replies. Thanks to everyone for participating!