Business Administration

Names:
Gustavo Castro
Flavio Chimbo
Javier Martinez
Jeannine Villavicencio
Xavier Vivar
*

*Is the process of acquiring or merging with

industry competitors to achieve the competitive
advantages that arise from a large scope and size of
operations.
 *
* INTRODUCTION

Disney was born in the United States in 1923, its founder Walter
Disney, is a company that at first was closely related to the production
of animated drawings and films, among them, the famous "Mickey
Mouse", who continues being the Image of the company, all this is
directed to the same client.

Disney applies several strategies including the most important

diversification strategy and horizontal integration.
 *
* Cost leadership
* Focus, and - Horizontal
Diversification
* Differentiation. - Forward integration Take power over the
- Horizontal integration competition
- Others

Example:
Buy small companies to be
part of them and thus no
longer become a threat to
the company.
 *

* Rivalry between companies - Warner Bros.

Disney Greater prestige Has few competitors - Entertainment,
Competitors
- Six Flags.

* Potential Entry of New Competitors Disney

No problem with new
Because
- Do not offer the quality,
competitors - Variety of its products

* Potential Development of Substitute There is no substitute for Disney products and services.
Products

* Power of Negotiation of suppliers Have to offer High Quality Products.

- Quality,
* Power of Negotiation of Consumers Disney offers - service and
- The wide variety of products they offer.
 * OTHER STRATEGIES

Market development: Disney enters the new market in Japan, resulting in great benefits to the
company and opens a theme park in the European market.

Re-investment: The company had many assets in the box so it launches a re-issue of some of its films
generating a significant benefit.

Pure Conglomerate Diversification: The company acquires or applies this strategy because it is fully
engaged in a new business: the stock market, it also applies this strategy to acquire companies that
are outside its area that is the ESPN sports channel.
 WHY DID THE COMPANY DECIDE TO
DO THIS?
Because Disney wanted to develop
the brand and make it recognized in
all generations

WHAT STRATEGY DID THE

WHAT DID THE COMPANY COMPANY USE?
DO? Used the strategy of
New ideas and a permanent differentiation and
review of the product, development, because it
created something that was
reaping success after perceived in the market as
success. unique.

WHAT WERE THE ADVANTAGES OF YOUR

DECISION?
Development in the area of human resources
and all personnel
* Based on the above, the group can conclude that
starting with horizontal integration, as mentioned in its
definition, is when a company seeks to associate with
others or seize other companies through the purchase,
Disney was very intelligent not to focus To a single
niche market, Disney's cunning is to offer the same
customer all kinds of product, service and needs, in
this way has more profits and profits.
* Disney,identified with Mickey Mouse or Donald Duck,
thus becoming an icon on television, In schools through
its brand imprinted in their notebooks or in children's
entertainment centers.