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					Group 7
Company Overview
Motives and Fits of Partner
Alliance Structure
Problems and Future Direction
Key Success Factors
Recommendation
             • One of the leading media companies in the
               world
                  – Walt Disney Studio
                  – Theme Parks and Resorts
                  – Disney Consumer Products
                  – Media Networks: ABC and ESPN




             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
   • Established in 1986 by Steve Jobs

   • Computer graphics unit of Lucasfilm to be Pixar

   • An Academy Award-winning computer animation
     studio with technical, creative, and production
     capabilities




             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
                    Motive of Partners

                   Disney                                          Pixar

   Acquire core strengths of Pixar               Gain the benefit of being able to
                                                   produce the other lines of
                                                   products
   Increase its revenue

                                                  Increase productivity and more
   Decrease in competition                        sales


   Access to technology



             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
   What’s for Stakeholders?


       Revenue:
                 Get higher share price for stockholders


        Human Resource:
                Be able to exchange valuable human
             resource between Disney and Pixar



             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
             Pixar entered in to Feature Film Agreement with Walt Disney for Development and
  1991
             Production of three computer animated films while Disney do marketing and
             distribution

  1995       Toy Story launched and in the market and was successful.


             Pixar entered into Co-production Agreement with Disney and agreed to produce five animations.
  1997
             Disagreement when Toy Story2 would be launched.


  2004       Attempted to have a new agreement.

             Pixar negotiated Disney only do distribution, and Pixar would control entire products and get
             ownership over the films .

             Disney bought Pixar
  2006       Merged two companies becoming Disney-Pixar



             Motive & Fits                             Problem &            Key Success
Background                 Alliance Structure                                                Recommendation
             Of Partners                              Latest Situation        Factors
          Sales alliance:        the agreement of the two companies
             would be categorized as to increase sales.




          Investment alliance:          The motion will be invested
             by both Disney and Pixar, which split the cost equally and
             share 50/50 profit.




             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
   Main Issues
   -    Disney aborted the contracts in launching the Toy Story 2


   -    Partnership between Pixar and Disney ended with an acquisition by
        following possible issues:

              1.    Pixar thought it was not getting mutual benefits. Profit would be
                    split after recovered costs on marketing and distribution. Jobs tend
                    to charge the high share price.


              2.    Pixar can be successful without Disney because they have
                    technological skills and innovation in the company to produce
                    profit-generating films as they did in the past.




             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
  Latest Situation
    •   The combined Disney-Pixar company is operated by Ed Catmull as the
        President of the company, and John Lesseter as the Chief Creative
        Officer.


    •   15-year partnership has created a good collaboration between Pixar and
        Disney teams.


    •   The acquisition led the collaboration without barriers from different
        companies with different sets of shareholders.


    •   The combined can focus on the same goal that is to delight the millions
        of people worldwide especially family audience with creative stories,
        characters, and films.

    •   Disney-Pixar can develop its strategic priorities.
             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
   Share core strengths
                                                                           Tolerance
   to the alliance


                                           Trust



             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
        Lessons learnt from Alliance



                                           vs.

       Pixar Culture                                        Disney Culture

             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
                                 Pixar
             Work office is not a cubicle, but rather a habitat

   Main culture is egalitarianism,which emphasizes on
   teamwork.




             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
                              Disney
                          Hierarchy Management Style

   Aim more on making the profit instead of providing the
   quality animation




             Motive & Fits                       Problem &         Key Success
Background                 Alliance Structure                                    Recommendation
             Of Partners                        Latest Situation     Factors
Thank You for
Your Attention

				
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posted:8/6/2011
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