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Disney and 21st Century Fox: Reshaping Disney's Strategy for the Digital Age

Published 30 Nov 2018
Reference 6400
Topic Operations
Region Global
Summary

At the end of 2017, Disney announced it would acquire the majority of 21st Century Fox’s assets including its movie studio, TV production company, cable channels and regional sports networks. If approved, the deal would give Disney the scale and content to develop its own streaming service by 2019, when its contract with Netflix expired. The rise of streaming had contributed to the steady decline of cable-TV, DVD sales and cinema attendance in the US. The case discusses the transformation of the media landscape with the growth of digital. Was Disney’s apparent move away from “content is king” – its strategy since 1923 – recognition of the importance of distribution channels in the digital age?

Teaching objectives

. To understand the impact of digitalization on the restructuring of information chains . To assess the attractiveness of technology & operations strategies: vertical integration, horizontal dominance . To assess the importance of globalization in service industries, especially content management

Keywords
  • Competitive positioning
  • Industry analysis
  • Information chain
  • Distribution channels
  • Content management
  • Platforms
  • Service management
  • Digital transformation
  • Media and entertainment
  • Streaming services
  • Vertical integration
  • Entertainment
  • Horizontal dominance
  • Disney
  • Q11819