With Disney having so many budget cuts...

[stingrock23]

Just think how much money Disney would have to spend on new attractions if they wouldn't have spent 2 billion dollars on the Fox Family channel.

that was just a really dumb decision.

I can see Eisner "Hey, let's spend a truckload on a fledgling cable station so that way we can make budget cuts galore at the parks!"

:lol: :lol:

 

[Clemster]

Originally posted by stingrock23
Just think how much money Disney would have to spend on new attractions if they wouldn't have spent 2 billion dollars on the Fox Family channel.

that was just a really dumb decision.

I can see Eisner "Hey, let's spend a truckload on a fledgling cable station so that way we can make budget cuts galore at the parks!"

:lol: :lol:

I'm sure there are many reasons (unknown to the mass) why Disney wanted Fox Family Worldwide. If what I know about the deal is correct then it gives Disney the chance to have a presence in areas of Europe and the most important thing to Disney is it's image and it needs to get that image into as many homes and kids 'n' parents lives as possible and if the purchase of the Fox Family network allows that then it's no suprise they bought it!

 

[EpcoTim]

The budget cuts are a way of streamlining the way they do business, less internal "waste" is sometimes the easiest way to a better profit margin. Adding new rides is a long term method along the same lines.

Either way, seems like they are back on track.

 

[HennieBogan1966]

Disney Budget Cuts

No, having been in the retail industry for the better part of 13 years now, I can tell you all that cutting payroll, (i.e. staffing) is always a companys' quickest and easiest way to put profitability back on the books. It's not "always" the best answer to a companies problems. Remind me why Disney needs to capture the European market?!!! They better worry about capturing the American market again, before they go on spending sprees to "branch" out. And by spending sprees I mean, the Angels, Ducks, Fox, ABC, etc., etc. I have always enjoyed the "service" provided by the castmembers at the Parks, and don't want to see that change. And it's okay if they don't build new 100 million dollar attractions. I and many others, will love the Parks just the same.

Sometimes what you're missing is right in front of you. It's all about the customer and the service you provide for those customers. That doesn't necessarily mean building expansive, yes expansive, hotels that the average family couldn't dream of staying in for a vacation.

Again, I don't beleive that Mr. Disney had envisioned $500 and up a night hotel rooms. I'm okay with Capitalism, but tell me if I'm wrong that attendance has steadily decreased over the last several years. I'm all for their making a profit. Sell your concessions, souvenirs, and the like. But shouldn't you make it possible for patrons to visit your establishment so they can purchase those items?

They wouldn't now be offering 7 nights for the price of 4 and the like if things were "right on track."

Just some crazy thoughts.

Brian

 

[JTFerret]

Well said The issue I have is that many decisions are being made in the short term that save money, but in the long term are not really in the best interests of Disney. One of Walt's greatest abilities was realizing that if you gave people the best you could offer, rather than the most cost effective, you would reap the greatest result.

 

[Michael72688]

Originally posted by ArsonWinter
It will be interesting.

Actually, imagine 2005. Now, to pay for that, there's going to be some drastic changes at the 'World. For instance, manditory purchases of on-ride photos! Or, a world where PotC has cardboard cut-outs!

Really, Disney Co. isn't poor, by any means. In fact, the only real reason why they're making such a big push for new attractions is that they're starting to feel the cold, evil sting that is IOA.

It's amazing what Disney can do with money, and it's amazing what they'll do with said money to sway more tourrists to the mouse.

haha, this is great, maybe Disney is finally starting to get the picture! haha :lol:

 

[Dayma]

People need to watch the economy and CNN/Money....

Its basic finance. They are simply stream lining everything. No extra money is spent now. Cut backs are simple and an easy way to cut overhead. Cutting back even an hour off restraunts and parks will save them millions. This is what the investors want to see. Dont forget that it is ALL about the stock holder and investors. They need to keep them happy. They need to show them that YES they are cutting costs which investors like but at the same time they are growing with new rides by taking out loans and getting sponsorships.

It is not unusual for companies to take advantage of the low interest rates. In fact some companies wait for times of hardship in the economy to expand since rates are low which causes them to save a ton of money. This causes projects that were once impossible to start more attractive...

Just my opinion