23 Nov 2022

59

Disneyworld Resort: Management Structure, Features, Impact of Tourism, Marketing and Profitability

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Academic level: College

Paper type: Research Paper

Words: 1641

Pages: 6

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The Disney world resort is commonly known as Walt Disney World or Disney World. It is an entertainment complex located in the state of Florida near Orlando and Kissimmee. The resort belongs to the Walt Disney Company and its establishment projects back to 1971. Disney world resorts encompass a number of segments and sections which include theme parks, water parks, themed resort hotels, non-Disney hotels, golf courses, camping resorts and entertainment hubs. Boha (2015) notes that the resort covers approximately 25,000 acres of land. In this regard, this paper seeks to evaluate the management structure of Disney world resort, its outstanding features and impact on tourism, and development on the surrounding location, the marketing and profitability structures of the resort, and the main clientele the resort serves. 

Management Structure 

Disney world resort thrives under the stewardship of a leadership team which is greatly determined to develop the most respected entertainment spot in the world. The creativity brought by the leadership team is geared towards fostering innovation with a blend of the latest technology to tap the native market as well as expand to the global markets. The management structure of Disney world resort aims to direct all the business segments encompassed in the premises through the most senior person, the Chairman and chief executive officer. Also, the resort has senior executive presidents who head the financial sector, communications, human resources, financial planning and tax department ( Penner, Adams & Rutes, 2013) . Notable presidents head the departments of Disney Media Networks, which collaborate with the ESPN and ABC companies. According to a 2016 report, Disneyworld overhauled its management structure by giving the general executives and managers’ prerogative over geographical locations other than heading traditional categories such as food and beverages ("Orlando Sentinel,"2018) . Particularly, the reshuffling saw eighteen managerial positions becoming executive ones. The plan did not, however, interrupt the vice presidents in charge of individual themes in the resort. Additionally, this management structure aims to achieve a holistic approach to management by ensuring the overall guest experience is not altered through overwhelming the leaders with excessive territorial control. In these efforts, the new plan indicated that a general manager would head a specific hotel rather than how they oversaw multiple resorts in the past. 

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Outstanding Features of the Resort 

Disney World resorts have an intriguing organizational structure which focuses on capitalizing on competent delivery within their business divisions or segments. In this structure, managers observe the simultaneous growth of the business divisions and their subsidiaries such as the marvel studios. These efforts are realized through Disney’s corporate structure. Inclusive of their market research is the PESTEL and PESTLE analysis, which is influential in determining the current market environment and the strategic decisions that can be made to influence the productivity of the resort at large. Disneyworld resort thus embraces business diversification which is integral to making the company stand out in the market. Particularly, the organization is keen on establishing business type divisions, functional groups for centralization and geographical divisions (Williams, 2018) . To realize an outstanding business division, the resort cuts across a myriad of business activities such as media networks, parks and resorts, studio entertainments and consumer products and interactive media. Moreover, for the resorts functional groups, they aim at achieving interdivision relations by incorporating the use of specific beneficial units across other divisions that can benefit from the same. For instance, from the studio entertainment segments, characters from new movies may be allocated sessions in the resorts amusement parks, or such expertise is applied in the consumer product and interactive media segment. Finally, the establishment of geographical divisions is crucial for the resort in the realization of local, domestic and regional market control. The factors entailed in the geographical position of Disneyworld resort majorly influence the mass media, entertainment and parks and resorts industries (Williams, 2018) . This is, for example, the social-cultural factors that are involved in multinational businesses. Therefore, structuring the organization to suppress the geographical shocks that are likely to affect the productivity of the business is essential. Specifically, geographical features in Disneyworld resort are formulated to address market issues that are related to the United States and Canada, Europe, Asia, Latin America and others. 

Impact of Tourism and Development of the Area 

In the contemporary world, tourism is greatly influenced by the development of recreational facilities that blend a variety of consumer activities and expectations. Just like any other facility of similar stature, Walt Disney World is a destination for numerous tourists visiting Florida to experience the exquisite experience of the resort. In a 2014 report, Orlando in Florida had the biggest number of visitors in the United States. The visitors were estimated to make more than 62 million visits to the land. Adopting the theme parks greatly entices tourists to seek the fulfillment of their vacation where they can find a package of services offered within a single territory to minimize the vacation time while receiving top-notch tourism experience. The Orlando Sentinel reports that in 2014, three combined theme parks registered more than 72 million visits ("Orlando Sentinel", 2018) . Also, regarding the development of the resort, there is a great indication of how the venture was influential to the area. Indeed, the resort sits in reclaimed swampland which back in the 1960s would barely guarantee development and increment in tourists’ attraction. Engineers had to move close to 6 million cubic meters of earth to establish the recommended drainage systems. In developing the first theme parks, for instance, Bay Lake was drained and filled with clean water. Thus, the efforts realized by Disneyworld resort are tremendous and could not materialize under the stewardship of a single person. To the Orlando community, the economic impacts brought about by the inflow of the tourists is undoubtedly influential in shaping the cities growth and development without forgetting the social-cultural growth brought about by the haven. Social interactions within Florida are impactful in determining the progress of the American nation at large, while still establishing normative coexistence of persons from different races by virtue of involvement in recreational activities attributable to Disneyworld resort. 

Marketing and Profitability of the Resort 

To achieve better satisfaction levels, Disneyworld resort embraces user experience strategies to market their products and services. Typically, there are few places in the world where parents, children, or the old and the young could have fun without limits, but Disneyworld manages to capture this art. By amplifying the user experience to greater levels, the resort is able to attract more users into the kingdom if not provoking new entrants to feel the same experience. While this strategy works well for the Disney parks and resorts, other departments benefit from user experience by defining the services to blend with what the customers anticipate completely. This marketing strategy is great in such a diverse multinational ( Matusitz & Palermo, 2014 ). Additionally, to blend this strategy with better tracking and projections, Disneyworld use live data to determine the changes that can be developed. For instance, Google analytics is one platform that Disney world uses to capture clientele data but even more essential is their focus on converting the collected data into actionable strategies. Another notable marketing strategy is how the Disney cast and team celebrate their journey. Being a hub of all recreation activities, the fun entailed is projected to the customers through what they see and conceptualize. Indisputably, Disneyworld casts are the marketers of their organization since they blend their life in the actual description of what they intend to pass on to the customer segments. This is profound especially in the contemporary world where most professionals lack the enthusiasm, vision and the passion of redefining their positions. Additionally, Disney world registers gradual profitability especially after the slotting of the theme parks. In a report made in 2018 through Orlando Sentinel, the family entertainment giant reported the first quarter’s revenues at $15.35 billion, which was 4 % higher than quarterly revenues registered in 2016. The theme parks were attributed to the profitability of the organization by generating $5.2 billion of revenues in the quarterly fiscal analysis. This exceeded analysts’ projections of $ 4.87 billion for the same period. Again, in a 2018 Forbes report, it was noted that Disney’s 11 theme parks provided a third of $45 billion revenue and a 20.7% of $10.7 billion operating profit (2018)

Main Clientele 

Disneyworld resort is a family entertainment giant that aims at blending numerous recreational activities to serve multinational families and races. By providing an avenue for universal coexistence, Disney world resort hubs activities that intrigue persons of varying ages. To demystify the resorts greatest market segment, an ideal family comprises of the parents and children. Children getting introduced to fairy tales, princess and grand adventures will find this therapy at Disney land ( Wasko, 2013) . In addition, parents get an avenue to re-discover and re-enchant the worldly magic that was previously availed to them through televisions and other viewership channels. While families remain to be the biggest participants of the Walt Disney adventures, the resort is open for every person, organizations, movements, or groups in pursuit of recreational fun. Various packages define the cost of visiting a segment in the Disney world, and these charges vary from one segment to the other. Again, the choice of the activities the clientele desires to participate in Disneyworld is subject to their preferred theme parks and the activities entailed therein. 

Conclusion 

Disney World Resort is a significant family entertainment facility in the state of Florida which encapsulates a number of strategies to guarantee business progress and sustainability. In this regard, the resort maintains a robust management structure headed by a chairman and chief executive officer. Vice presidents and general manager follow spearheading the activities of the different theme parks found in the premises. After restructuring the management in 2016, the resort segment has ample management processes for optimized customer experience. Also, Disneyworld resort has an outstanding organizational structure which entails diversifying their business through market research. These efforts correspond well with the resorts, business type divisions, functional groups for centralization and established geographical divisions. Moreover, Disneyworld resort has numerous impacts on Florida tourism sector through the increased inflow of visitors in Orlando city. This is crucial in improving the city’s economy and socio-cultural engagements. The resort backs up its marketing strategies based on the concept of user experience, live data processing, and the resorts cast representing enthusiasm, passion, and vision through their daily tasks. Also, the resort has reported immense profits within its developmental years, and analysts indicate that theme parks are most influential in realizing this kind of profit. Disneyworld resort main clientele is family units from around the globe. The nature of the resort's activities captures the scope of a planned vacation other than momentous recreation, so any person, corporate, group or movement seeking to unwind, travelling to Disney world resort is quite an excellent decision. 

References 

Bohas, A. (2015). Transnational Firms and the Knowledge Structure: The Case of the Walt Disney Company.  Global Society 29 (1), 23-41. 

Forbes. (2018). Retrieved from https://www.forbes.com/sites/csylt/2014/07/14/the-secrets-behind-disneys-2-2-billion-theme-park-profits/#458831a2584f 

Matusitz, J., & Palermo, L. (2014). The Disneyfication of the world: a grobalisation perspective.  Journal of Organisational Transformation & Social Change 11 (2), 91-107. 

Penner, R. H., Adams, L., & Rutes, W. (2013).  Hotel design, planning and development . Routledge. 

The future is bright for the electricity sector. Here's why. (2018). Retrieved from https://www.weforum.org/agenda/2017/01/why-the-future-is-bright-for-the-electricity-industry/ 

Wasko, J. (2013).  Understanding Disney: The manufacture of fantasy . John Wiley & Sons. 

Williams, A. (2018). Walt Disney Company’s Organizational Structure for Synergistic Diversification - Panmore Institute. Retrieved from http://panmore.com/walt-disney-company-organizational-structure-synergistic-diversification 

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StudyBounty. (2023, September 15). Disneyworld Resort: Management Structure, Features, Impact of Tourism, Marketing and Profitability .
https://studybounty.com/disneyworld-resort-management-structure-features-impact-of-tourism-marketing-and-profitability-research-paper

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