Final answer:
An analysis of The Walt Disney Company's diversification strategy involves assessing the company's performance, strategic position, and the external/internal environment, followed by recommending future strategies based on these insights.
Step-by-step explanation:
Analysis of The Walt Disney Company's Diversification Strategy
To analyze The Walt Disney Company's diversification strategy in 2018, we start by examining the company's current performance, which showcases its operational health and profitability. Next, we look into Disney's strategic position, including its market presence, competitive advantages, and synergies created through its diversified business units.
We must also consider the external and internal environments that Disney operates in. The external environment includes market conditions, competitor actions, and industry trends, where tools like the four-firm concentration ratio and the HHI from Table 11.2 provide insight into market competitiveness and industry concentration. The internal environment covers company culture, internal processes, and resources that can affect Disney's strategy implementation.
Finally, recommending a strategy for Disney would involve a synthesis of the performance, position, and environment analyses. Given that diversification has been key to Disney's success, the future strategy might involve further exploring emerging markets or technologies, enhancing digital offerings, or acquiring businesses to bolster current market positions.