Monday, April 23, 2012

Corporate- The Tragedy of TRYING to work at Disney

I want to work at Disney. Those are words that I have said or typed so often over the course of the past year, but regrettably it doesn't get you very far. Realistically, I think we all know that the Walt Disney Company is a normal American company; it seeks to make a profit, it has competitors, it struggles with many of the same issues as other companies, etc. However, there is also something entirely unique about it; cast members often call it "magic", but there is something tangible to the company. Disney instills a feeling inside of you that isn't often found anymore. If you go to Walt Disney World, watch Peter Pan, or simply listen to a Disney story you are suddenly transported to a happier place.
  Now, over the course of the past year I have applied to numerous Disney professional (graduate) internships and have sought some full-time positions, and it has become quite the ordeal. I have found numerous problems in trying to get your foot at the door at Disney that don't necessarily need to be there.

1. Geography and School Status: It makes sense that Disney often recruits from its hometown graduate schools, such as UCLA for corporate jobs, but there are thousands of other schools in the country with students that really do want to work for Disney. The internships are posted online, so anybody can apply, but other schools resumes don't seem to make it very far. I'm aware that Disney is searching for the "best and brightest", but lets also be realistic and find the "committed and passionate". Disney's CEO's didn't go to the top tier schools either- Bob Iger went to Ithaca, Michael Eisner went to Denison, etc. I'm not saying these aren't great schools, but they're also not considered top tier. Our grandmothers all taught us not to judge a book by its cover, but it seems this lesson goes away when it comes to hiring...why is that?

2. Experience. As i'm pursuing my graduate degree (MBA) I have sent in my resume and applied to over 14 positions that are appropriate for an MBA. Thus far, I have been denied 6. It is unclear why I am "no longer in consideration (a fact you have to find out by logging in, they don't send you anything)", but it appears that it is due to a "lack of suitable experience". Perhaps I am confused, but isn't an internship supposed to be the first step towards getting the suitable experience??? If somebody is in school for a subject, such as business, then ANY BUSINESS INTERNSHIP should theoretically suffice. Internships should not require past experiences otherwise one won't be able to change careers easily. Now I know that reality states that there are thousands of applicants to a low number of positions, but prior experience in the field is really a silly barometer to gauge applicants.

3. Timeline. After applying to these internships, you play the waiting game...and this game goes on a LONG time. There's nothing on the website to tell you any expected dates, but if you're applying for a SUMMER INTERNSHIP then you'd reasonably expect to find out sometime before the start of SUMMER. Since graduate programs traditionally end in may and resume in August, the summer goes from mid-may to mid-august. Well, It is now late April, and I still have not heard anything about the positions that i'm still in contention for. Publishing a "We'll let you know by date" would be very helpful because simply waiting incessantly is the wrong approach. People have to make plans!

4. Networking Reality. Unfortunately, if you want to work at Disney, it's all about networking. The problem is if you don't know anyone who works there then you're in big trouble. I live in Texas, Disney has very little presence here, but I have still attempted to build a network of Disney employees. The problem here is that your submitted resume simply goes onto a pile that essentially becomes a black hole. Most likely, these resumes aren't actually being read, but are being automatically screened by contracted agencies to weed out applicants. An effective networker will have someone grab their resume and take it to the decision maker with a note saying "I want this one!". If you don't have that, then you're in trouble, and it becomes like pushing back the waves. Many businesses, especially in this fragile economy, rely on networking to fill positions, but this shouldn't be the only way. There has to be a way for people with no connection to the company to show their desires and qualifications.

Applying to full-time positions is not much better. Everything is a waiting game with very little certainty. I hope to one day work my way into this impenetrable fortress, but don't yet know how that will happen. For now, just crossing my fingers!

Thursday, April 12, 2012

Corporate- A Smart Purchase- Electronic Arts

Disney should buy Electronic Arts. Why should they do this you're asking? Think about Disney's video game plight (in fact there's a previous post on it). So let's give the bottom line up front: Disney needs help in video games and EA is a MAJOR PLAYER with SOLID FRANCHISES and LOYAL CUSTOMERS. Think about Madden football, NBA Jam, NCAA, FIFA, NHL, Rockband, etc. These are enduring games, not one hit wonders.
  Now look at Disney's current games- Epic Mickey is the biggest one and there are noticeable problems. So lets combine the two. If Disney should spend a significant amount of money anywhere, video games are a worthy place to do so. So lets look at some numbers- EA is a publicly traded stock on NASDAQ and brings in annual revenue of $3.6 Billion.
  EA represents what Disney's video games could be, but the beauty of this is that EA is no longer making the exciting games they once were. EA needs new fresh ideas and blood, Disney needs a known game producer with solid titles, so it's a perfect match. Is the price tag expensive? Yes. Is it worth it? Definitely. Disney can become the originator of great new games and compete with the best studios in the industry.

Tuesday, April 10, 2012

Corporate- A Smart Purchase- Sunglass Hut

 Disney should buy Sunglass Hut. Sound strange? It should. Nearly all acquisitions made by Disney have been entertainment based and Sunglass Hut is not an entertainment company, so you may be asking, why on earth would they buy an fashion accessory company? Let's look shall we:   
The basis: Think about how the business continues to grow through acquisitions- Disney bought Pixar to keep their movies fresh and exciting, the company bought channels in Russia and India to expand their television programming internationally, etc. The point here is that to successfully expand as a company, EACH of the COMPANY PILLARS must expand independently. We've seen the studios and television acquire, the parks and resorts continue to build, but consumer products expansion has been relatively limited. So, if we look at it from that perspective, what is needed is some product category that Disney can capitalize on to expand their current operations.

1) Sunglass Hut is a company that specializes in selling different types of high-end sunglasses. These glasses typically sell for $150-$350 and are located in nearly every mall across the country. As a company, Sunglass Hut has never made much profits and after its rapid expansion was voluntarily acquired by the Luxottica Group, the world's largest eyewear company based in Italy.  Both Luxottica Group and Sunglass Hut have been hit hard by the economy with Sunglass Hut only averaging revenue of $680 million currently. So this means they are available and can be purchased relatively cheaply.

2) Since Sunglass Hut is located in every mall in the country, Disney can acquire the company, and have them continue operations as they are. Disney already runs their Disney stores in most malls throughout the country, so they have the ability and knowledge how to run locations such as this.

3) Though Disney has no experience selling sunglasses, they would still succeed in these endeavors based on their management. Disney SHOULD get into the sunglasses business...why? Well for one thing, it's a small business with minimal competitors. Second, think about where the parks are located...all in sunny and hot environments. Disney can capitalize on their own geography and sell them accordingly. Why not? They sell their own ponchos when it rains...this would put them in charge of the elements.

4) Imagine every Downtown Disney with a Sunglass Hut. If people are willing to spend $350 on glasses at the local mall then they would spend a whole lot more at a Disney resort.

5) Disney is as much a consumer products company as it entertainment and Sunglasses are an easy way for Disney to smoothly transition more into the fashion/clothing market. The beauty of this idea is that the locations are already set up nationally and the brand is already identifiable. There is very little to lose in this situation!