strategic-management

310 PART 5 • KEY STRATEGIC-MANAGEMENT TOPICS
Doing Great in a Weak Economy. How?
Walt Disney
When most firms were struggling in 2008, Walt
Disney increased its revenues from $35 billion in
2007 to $37 billion in 2008 with net income of $4.4 billion.
Fortune magazine in 2009 rated Walt Disney their
13th “Most Admired Company in the World” in terms
of management and performance.
Walt Disney is cutting carbon emissions from fuels
by half by 2012, and ultimately will emit zero greenhouse
gas emissions at its office and retail complexes,
theme parks, and cruise lines. Disney’s long-term goal is
to cut to zero the amount of waste it sends to landfills,
which totaled nearly 300,000 tons in 2006, much of it
from construction, through diverting some to recycling
centers, composting, and buying more postconsumer
recycled materials. Beth Stevens, senior vice president
of environmental affairs, said Disney has “not put a
definite time horizon” on taking emissions to zero and
may have to rely in part on technology that is still under
development to reach that goal. “We set those (goals)
because they were very aspirational,” Stevens said.
“We thought it was important . . . to communicate a
sense of commitment.” The environmental plan was
released in 2009 in its “corporate responsibility”
report.
“Current scientific conclusions indicate that urgent
reductions in greenhouse gas emissions are required to
avert accelerated climate change,” the report said.
“A successful response to these challenges demands
fundamental changes in the way society, including
businesses, use natural resources, and Disney is
no exception.” Disney works with Conservation
International on emissions reduction targets, and it
plans to have a third party monitor its progress through
annual audits. By 2013, Disney plans to reduce its electricity
consumption by 10 percent compared with its
2006 baseline.
The world’s number two media conglomerate
(behind Time Warner) has extensive assets in movies,
music, publishing, television, and theme parks. Walt
Disney’s TV holdings include the ABC television
network and 10 broadcast stations, as well as cable
networks including ABC Family, A&E Television
Networks (37 percent owned), and ESPN (80 percent).
Walt Disney Studios produces films through such
imprints as Walt Disney Pictures, Touchstone, Pixar, and
Miramax. Walt Disney Parks and Resorts is one of the
top theme park operators in the world, anchored by its
popular Walt Disney World and Disneyland resorts. In