Research and Development

Research and Development

Disney’s R&D division develops better ways of providing entertainment to their

guests. Walt Disney Imagineering Research & Development, Inc. is the research and

development arm of The Walt Disney Company, it is responsible for the creation,

design, and construction of Disney theme parks and attractions worldwide. They

The Walt Disney Company Case Study

54 FCU e-Paper (2016-2017)

design and building Disney theme parks, resorts, and other entertainment venues at all

levels of project development.

Technology (Bringing Innovation)

Disney Parks and Resorts is a typical example of the spirit of innovation. Much

of that innovation is driven by technology to create new and exciting experiences.

Their imagineers love Disney stories and experience, and used technology to make

them more interactive, and even more entertaining. For example, they use 3D

innovation with 4D to enhance the attraction and allow guests to experience the story

from a toy’s perspective. The guests can also experience Toy Story Midway Mania! at

Disney California Adventure Park.

7.4 Procurement

Disney is a unique and important customer to many of its suppliers, therefore it

has the ability to purchase with the lowest price while obtaining the highest quality of

its supplies. Procurement is a support function where the company can make the

greatest savings. This is due to the fact that capital expenditures for domestic and

international Parks and Resorts take up almost 70% of the total capital expenditures of

the company. Because of diverse business lines with their own business strategies,

Disney could not use standardization as their fundamental strategy for procurement

and supply chain management throughout the conglomerate. That being said, its

diverse business lines also bring opportunities for cooperation and generating

synergies among them. Procurement for Disney Parks and Resorts include activities to

maintain the optimum operating level cost efficiently. Some Disney parks products

can be found in others Disney parks, and the design can be use in others countries.

The Walt Disney Company Case Study

55 FCU e-Paper (2016-2017)

7.5 Inbound Logistics

Disney Park and Resort’s strategy is based on providing “customer experience”,

thus its inbound logistics would be quite unusual comparing to conventional

manufacturing industries.

Construction facilities, goods and warehouses

Disney Parks and Resorts have sustainable suppliers for their inbound, from

attraction construction to hotel, cruise and restaurant. Being a global brand, its goal is

to bring the best experience to visitors. Therefore, they customize by offering safe

rides, fresh foods, comfortable hotel, and etc.…from the very first inbound.


Animation technology and technology know-how are components that contribute

greatly to Disney Parks and Resorts. They are the key elements in bringing the

characters from films of Disney to life in Disney theme parks. The continuously

developing technology in Disney Parks and Resorts also gives customers special

experiences and convenience. For example, the magic band – small bracelets that has

chip connecting to park tickets, hotel rooms and credit cards.


Disney Parks and Resorts have teams of workers that are experts in their field.

Their duties are bringing visitors happiness and quality service. The thoughtfulness

within Disney’s employees towards their guests is one of their elements of success.

The Walt Disney Company Case Study

56 FCU e-Paper (2016-2017)

7.6 Operations

Construction and maintenance

The main active of Disney park and resort are constructing rides and attractions

which also including repairing and adding in new technology and appearance.

Creating events and trips

One of the biggest difference of Disney park and resort is their themes of cartoon

characters, stories,…from films or animation that they produced. They not only create

parade, music concert in special events annum in the park and resort but also voyage

in many periods all over the world.

Service (attractions, hotels, cruise, restaurant, and etc.)

As the master of service industry, good service is the most important things that

Disney wants to bring to their customers. Service in park, hotel, cruise and restaurant

contribute a large percentage to the different operation of Disney park and resort.

7.7 Outbound Logistics

We believe that Outbound logistics is not really applicable in the value chain of

Disney parks and resort. Outbound logistics is usually part of the value chain of

manufacturing and trading companies. Disney parks and resorts belongs to a specific

industry with a specific value chain.

7.8 Marketing & Sales

One of the strongest strength of Disney is integrating all of its business activities

to create this synergy that brings in profit, the product of the movie industry could be

The Walt Disney Company Case Study

57 FCU e-Paper (2016-2017)

have the effect of marketing for the theme park industry or Disney’s consumer

merchandises. In this analysis, we will be focusing on the marketing and sales

activities related to Disney Parks and Resorts.

Content Marketing

As we have mentioned before, Disney is an empire selling stories, imaginations,

and happiness. When you visit a Disney theme park, you see rides, restaurants, hotels

that are designed around a certain Disney movie or Disney character you have seen

before. In a way, we can say that Disney movies play heavy roles in marketing of the

parks. There are many examples, such as Tokyo Disney introducing their new

attraction based on “Finding Nemo” and “Finding Dory” in 2017, and Hong Kong

Disney’s new attraction “Iron Man Experience”.

Figure 9. Finding Nemo /Dory attraction/ride concept art

Figure 10. Finding Nemo

The Walt Disney Company Case Study

58 FCU e-Paper (2016-2017)

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