Disney & Pixar Merger

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Category: Business and Industry

Date Submitted: 10/23/2013 02:08 AM

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As a shareholder of Pixar, I think Pixar should merge with Disney but only if the best talents from both companies are retained in the merged company. Pixar is the best in the animated film making business in terms of technology and corporate culture, which is evident in the total box office collections generated by their films as compared to those by its rivals. Whereas Disney has a large budget capability, huge distribution network and a successful marketing strategy of selling animated character toys and merchandise. For Disney, success in the animated film is crucial. Pixar can continue to focus on innovative ways of creating animated films and Disney can take care of the distribution and marketing. Both are financially sound as far as production of movies is concerned. Merged company can combine the best of two and the outcome will be amazing. Both together can be hugely successful in the animated movie business. Share prices will rise, giving shareholders greater incentives and dividends. As a shareholder, I will benefit if both the companies merge.

Core Competencies of Pixar

What makes Pixar so successful in the animated film industry? It has the perfect blend of creativity and technology. Its culture inspires innovation throughout the organization. It hires employees only if they are extremely qualified and they fit in the organization's culture and share the same vision. Pixar’s corporate culture is based on three principles. First, everyone has the freedom to communicate with anyone. Second, always maintain the highest standards in the projects. Third, continue to learn from the latest innovations and technological advancements. Pixar also has the technology superiority as compared to its rivals. Its own proprietary computer animation technology to generate exceptional 3D images and backgrounds enables Pixar to make films faster than its competitors and at a lesser cost. Additionally, it owns 10 years of proprietary software technologies, namely...