Q1: There are some ways that Disney can drop from producing revenue because they are not very profitable. The organisation can drop the sections from its business and concentrate more on its most profitable sources of revenue which include media networks and parks and resorts (The Walt Disney Company, 2015). The Key main areas that Disney needs to drop or downscale its focus include:
It is important to note that Disney should not drop the entire sectors. Instead it should focus on dropping only the least profitable sections. For instance under consumer products, the company can drop the publishing of children’s books, magazine and learning products, and enhance its focus on its comics (Busiek & Ross, 2008). This is because the comics are directly integrated with its main activity as well as source of income, motion pictures. The comics and Disney films are integrated in that they share and borrow themes from one another (Busiek & Ross, 2008). Another aspect of consumer products that can be dropped is competition and seasonality. This is because the consumer purchasing pattern with regards to the competition and seasonality is currently highly unpredictable (The Walt Disney Company, 2015).
With regards to interactive, the company can drop everything. The company’s branded entertainment and lifestyle content across interactive media are not very popular and that is why they are not as profitable as some of the organisation’s other business sections. That is why the company is considering merging the consumer product section with the interactive section (The Walt Disney Company, 2015). The studio entertainment, particularly the stage plays and musical recordings as well as licenses for live entertainment events are not very effective at promoting Disney as well as its products and services and that is why they need to be dropped (Busiek & Ross, 2008).
Q2: Additional revenue for Disney can be obtained through enhancing the gaming attributes of the marvel characters. Technology is rapidly evolving and Disney has always been a company that embraces change (The Walt Disney Company, 2015). Since its interactive business section is already not performing as well as the other business categories, Disney can launch its own gaming centres where individuals can and interact. The concept will be based on virtual reality where people will be selecting avatars and entering into virtual Disney realms where they will be able to interact with various marvel heroes, villains and support characters. The people will be able to control all the actions and activities of their avatars and to make the gaming interesting, they will engage in various challenges and missions (Busiek & Ross, 2008). The outcome of the games will always be unpredictable because they will be based on the specific actions of the individuals. Another aspect is that they can add additional features and powers to their characters based on the points that they accumulate while completing tasks and overcoming challenges. This will ensure that the people are in charge of their own heroes (Busiek & Ross, 2008).
For Smartphones, the concept can be modified to include applications that contain the avatars, and individuals will customize their own characters with specific limitations that ensure that they reflect the main marvel characters. The platform can be used to integrate users from different parts of the globe (Busiek & Ross, 2008). The application will make it possible for the users to develop their own challenges and missions. In the long run some of the ideas that the users contribute to the games can be incorporated into the themes and characters of Marvel’s motion pictures.