Let me start off by saying I don't have an MBA , but after more then twenty years experience selling to the government (for various public companies that have revenues anywhere from 200 million to 20 billion a year) I can at least express my thoughts without being accused of having no experience or intelligence.
Everything I'm seeing here from reducing the hours for monorails to cancelling "ESPN The Weekend" and to the sudden annouce of park ticket prices points to internal strategies within the company to reduce costs by 10 to 15 percent, and increase existing revenues by three to five percent. Which shoud result in a margin gain of about seven to eight percent for this current fiscal year.
I can go on and on about the various ways and strategies I see being implemented to accomplish the above, not to mention moving executives around that have been successful in the above. But, I won't.
Every indication I have seems to say that revenues are down significantly in the last 180 to 270 days, and to meet Wall Street expectations of 4 to 7 percent growth on a yearly basis (expectations usually set by the way from major shareholders) I wonder if more significant cuts on one the way. Or, possibly sudden increases by four to six percent of food and beverages in the park or on-property rooms. Possible daily parades being reduced in number from seven times a week to maybe four. You might even see annoucements delaying for example the fantasyland expansion opening date by 90 to 180 days, or increased time to accomplish refurbishment (thus reducing attraction operating costs) or delay of expected refurbishment.
As I stated earlier, I'm just speaking my mind, but speaking it with concern about Disney Park trends that disturb me. What I dread is that the above cost cutting measures are being taken to increase revenue which increase reflected profits and thus increase purchase price of the parks.
Everything I'm seeing here from reducing the hours for monorails to cancelling "ESPN The Weekend" and to the sudden annouce of park ticket prices points to internal strategies within the company to reduce costs by 10 to 15 percent, and increase existing revenues by three to five percent. Which shoud result in a margin gain of about seven to eight percent for this current fiscal year.
I can go on and on about the various ways and strategies I see being implemented to accomplish the above, not to mention moving executives around that have been successful in the above. But, I won't.
Every indication I have seems to say that revenues are down significantly in the last 180 to 270 days, and to meet Wall Street expectations of 4 to 7 percent growth on a yearly basis (expectations usually set by the way from major shareholders) I wonder if more significant cuts on one the way. Or, possibly sudden increases by four to six percent of food and beverages in the park or on-property rooms. Possible daily parades being reduced in number from seven times a week to maybe four. You might even see annoucements delaying for example the fantasyland expansion opening date by 90 to 180 days, or increased time to accomplish refurbishment (thus reducing attraction operating costs) or delay of expected refurbishment.
As I stated earlier, I'm just speaking my mind, but speaking it with concern about Disney Park trends that disturb me. What I dread is that the above cost cutting measures are being taken to increase revenue which increase reflected profits and thus increase purchase price of the parks.
