Walt Disney Company has successfully used related diversification to create value by
A)sharing activities.
B)sharing activities and transferring core competencies.
C)transferring core competencies.
D)efficient internal capital allocation and restructuring.

Question

Quizplus · Accepted Answer

Walt Disney Company has successfully used related diversification to create value by sharing activities and transferring core competencies. By leveraging their strong brand and media networks, they have entered various business segments such as theme parks, movie production, and retail stores, and have applied their core competencies in animation, story-telling, and customer experience design to create synergies and competitive advantages across these businesses. For example, the success of Disney's films can lead to increased merchandise sales at their retail stores and theme parks, while the feedback and data collected from customers at their theme parks can inform and improve their future movie productions. By sharing activities and transferring core competencies, Disney has been able to reduce costs, increase revenue, and strengthen their overall competitiveness.

Walt Disney Company Has Successfully Used Related Diversification to Create