Case study analysis- Disney

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The Three Problems Identified

From the case, several marketing problems have been identified. From a strategic viewpoint, the three major problems that are affecting the film industry are; rapidly increasing competition, lack of efficient marketing strategies, and intensive investment with huge risks. With regards to competition, the case reveals how film distribution has become challenging given the rising competition brought by the major studios and some smaller studios that are bringing significant competition to the existing studios within the constrained U.S market.

Concerning lack of effective marketing strategies, most of the studios are using the traditional theatre-based marketing approaches to launch and distribute their newly-released films. Such strategies are short-lived and confined to the local markets within the United States film industry. With regards to intensive investment with huge risks, Bergman pointed out that it is getting riskier to invest in big-budget films because even the experienced studios do not have the ability to capture audiences over a short period of time and assure investors of their returns.

Solutions to the Identified Problems

Competition— the U.S film industry has largely focused on their niche markets. Therefore, as observed in this case, the market has become saturated. It is high time the U.S top studios, and especially those with enough investment capacities to seek market penetrations in the emerging economies to ease the competition.

Ineffective Marketing Strategies— the ideas of launching and selling those physical videos is old-fashioned. Instead, the major and minor studios ought to have introduced massive online marketing channels. These may include using social media marketing for real-time marketing and the company websites for online purchases.

Intensive Investment with Huge Risks- To deal with this problem, the industry market leaders should establish ways of balancing between the exciting franchises and emerging film ideas. With such knowledge, it is uneasy for any filmmaker to invest in a shoddy film concept.


Lecturer’s Name, 2017, ‘MKTG303 Marketing Strategy: Introduction to Strategy Frameworks?’.