Disney’s first and most important resource is its creativity-driven culture. The enterprise was born out of a character Walt Disney created. As Eisner described it, managing creativity is Disney’s most distinctive corporate skill and a driving force behind most its activities. This is evidenced by emphasis on creation and significance/independence that has been given to “Imagineers” to come up with new ideas free from external pressures and constraints. It is noteworthy to recognize that spending was readily approved if necessary to achieve creativity. In addition to creativity, the company’s thorough knowledge and understanding of the family entertainment industry coming from its successful track record and history is a critical resource. Disney has been able to build a strong brand of wholesome and family-friendly image, which is closely aligned with Walt Disney’s original philosophy of creating a universal timeless family entertainment. While the Disney brand is widely recognized as wholesome, it is associated with family, rather than “kids only.” Understanding how to meet the needs of adults and children alike and creating an experience that families could enjoy together sets Disney apart from competitors and serves as a concrete base for business expansion into related industries.
Most of businesses Disney entered early in its corporate life are well-aligned with Disney’s critical resources. Emphasis on creativity encouraged vertical and horizontal expansion in content production, and itself benefited from the growth as a result as well. For example, moving from full-length animated film to live action movie production (and entering cable TV business later on) made sense because the company was able to leverage on numerous ideas generated within the company and monetize more of those ideas. Entering distribution business (Buena Vista Distribution) also made sense because Disney could benefit from the company’s own pool of talent and invest back into the...
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