Tomahawk, WI 8/12/2013 (Basicsmedia) – When talking about The Walt Disney Company (NYSE:DIS), one image that the mind conjures immediately you hear this name is stability. The company has been in existence for such a long time, and here it is with us, in the 21st Century doing what it knows only too well how to do. Many companies in the entertainment and media industry have come up after Walt Disney, but are no longer in existence after collapsing, or merging, or undergoing acquisition by others. Therefore, what makes Walt Disney such a stable company, in an unstable industry?

How Many Subsidiaries Does Walt Disney Operate?

In terms of businesses, Walt Disney has a diversified portfolio, therefore, it has no choice but to pursue stability at all fronts and aspects of its operations. Anyone taking a close look at how Walt Disney operates will notice its remarkable business model. People who have studied this massive company in the past, all point to this model and say that it is responsible for the performance of the company over the years, regardless of how many managerial changes it goes through. This is important for a company which operates;

  • Media networks
  • Parks and resorts
  • Studio entertainment
  • Consumer products and
  • Interactive media

Which Walt Disney Division Is The Most Profitable?

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Image shows Walt Disney Divisions and how they account for its operating income. Image is from www.beta.fool.com

Let’s take a look at the diagram above and see how the company gets its operating income. A perusal of the diagram shows that the media networks bring in more operating income to Walt Disney than the others. This is admirable since it is one of the segments or divisions of Walt Disney which is more synonymous with the business. It is still followed by the parks and resorts division. The division in charge of consumer products has also been performing quite well and brings in a substantial amount in operating income, based on this FY2011 diagram.

Is Walt Disney Prepared for the Future?

Walt Disney acquired PIXAR in 2006, thus ensuring that it is a major player and one of the most easily r recognizable brands in the entertainment industry. It has even embraced the latest technology, as would be expected of a company which prides itself in being the market leader in the media and entertainment industry, by making its feature films available on iTunes. It has even launched an official fan club where people from all walk of life and who love Walt Disney, can share their experiences and ways they think the company can improve its services to the public in general.

Walt Disney has never been caught behind the times. It has always been served by a team of able leaders whose expertise in the market is unrivalled. The company always appoints top executives who understand the direction which the industry is taking, thus are well suited to advice DUIS accordingly and drive it forward, thereby ensuring that the company is not left to lag behind. I believe that the company is in quite stable hands, and its financial health or status is the envy of many companies, within and without the industry. It offers long term return on investments.

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