Skip to main content
Case Study Undergraduate 794 words

Walt Disney Company Strategy: Restoring ROE and Creativity

~4 min read 5 sections Business · Strategic Analysis
Abstract

This memo-style case analysis examines the strategic challenges facing the Walt Disney Company, focusing on a sustained decline in return on equity (ROE) and the loss of key creative talent. It identifies three strategic alternatives: reinvesting in creative culture and talent retention, maintaining the current course given recent improvements in theme parks and broadcasting, and divesting underperforming business units. The paper recommends that Disney prioritize talent retention and creative freedom as the most sustainable path to long-term profitability, arguing that the company's historical competitive advantage rests on its ability to nurture and commercialize original ideas.

Key Takeaways
  • Case Overview and Purpose: Memo purpose and Disney's strategic situation
  • Financial Performance and Underlying Weaknesses: ROE decline, talent loss, and division struggles
  • Creative Talent Loss as a Core Problem: Disney losing creative edge to talent exodus
  • Strategic Alternatives: Three options: creativity, steady course, divestiture
  • Recommended Strategy and Implementation: Recommendation to reinvest in creative talent
✍️ How to write this paper — guide, tools & examples ▾

What makes this paper effective

  • The memo format is appropriate to the assignment: it frames recommendations in a professional business context, simulating real executive communication.
  • The paper identifies a clear root cause — talent loss — and traces it logically through to financial outcomes, giving the recommendation a well-grounded rationale.
  • All three strategic alternatives are presented evenhandedly before the recommendation is made, demonstrating balanced analytical thinking rather than advocacy from the outset.

Key academic technique demonstrated

This paper demonstrates strategic alternatives analysis, a core technique in business case writing. Rather than jumping to a conclusion, the author enumerates distinct options — reinvestment, steady-state, and divestiture — evaluates each against observable evidence, and then selects and defends a recommendation. This structured approach mirrors real-world strategic planning frameworks and signals graduate-level business reasoning.

Structure breakdown

The memo opens with a situation summary that grounds the reader in financial context (ROE decline, talent void). It then isolates the creative talent problem as the central driver of underperformance. Three strategic alternatives follow in sequence, each assessed for feasibility and risk. The conclusion commits to a specific recommendation and closes with implementation guidance. The flow is tight and executive-appropriate.

Essay 794 words

Case Overview and Purpose

The purpose of this memo is to outline the case of Walt Disney Company: The Entertainment King and to identify the strategic alternatives available to Disney. The best alternative for restoring return on equity (ROE) growth is to tap back into what made Disney great in the first place: creative ideas that are nurtured and brought to market.

4 Sections Hidden · 575 words
Financial Performance and Underlying Weaknesses130 words
The company has been suffering from a decline in ROE, which is currently below 10%. The rebound Disney experienced last year was almost entirely due to…
Creative Talent Loss as a Core Problem110 words
Disney's success has always depended on exceptional creativity combined with the business acumen to leverage that creativity effectively. The business sense remains, but it is apparent that Disney has…
Strategic Alternatives195 words
There are several strategic options available to Disney in the coming years.
Recommended Strategy and Implementation140 words
It is recommended that Disney focus on the first option. Losing key talent is beginning to hurt results, and this ongoing…

Already a member? Log in

Unlock the rest of this paper

135,000+ research papers · AI writing tools · Plagiarism & AI detection

Monthly

$12.99Per month

Renews at $12.99/month until canceled

Start Monthly
Best value

Annual

$99Per year

Renews at $99/year until canceled

Start Annual
  • Unlimited AI writing tools
  • Plagiarism and AI text detection tool
Secure checkout

Plan details

Unlimited AI writing tools are for individual, non-automated use and are subject to our Terms of Service and abuse-prevention measures.

TextChecker scans: 3 during the 7-Day Pass, or 5 per month with Monthly and Annual.

Prices exclude applicable tax.

Key Concepts in This Paper
Return on Equity Talent Retention Creative Culture Strategic Alternatives Theme Parks Film Division Synergies Divestiture Horizontal Diversification Corporate Strategy
Cite This Paper
PaperDue. (2026). Walt Disney Company Strategy: Restoring ROE and Creativity. PaperDue. https://www.paperdue.com/study-guide/walt-disney-company-strategy-roe-creativity-56943

Always verify citation format against your institution’s current style guide requirements.