Open AccessWalt Disney and WarnerMedia: Lifelong Rivals or Future Partners?
Author(s) -
Xize Chen,
Ziyi Fang,
Xianchong Fu
Publication year - 2021
Publication title -
bcp business and management
Language(s) - English
Resource type - Journals
ISSN - 2692-6156
DOI - 10.54691/bcpbm.v16i.309
Subject(s) - rivalry , loyalty , business , marketing , public relations , advertising , management , political science , economics , macroeconomics
Walt Disney and Time Warner has been in a long-term rivalry in media industry. Despite the fact that Disney’s attempt to acquire Time Warner failed in 2016, it is still suspected that a conglomerate of Disney and Warner will emerge in the future. By taking a deep insight of companies’ business backgrounds and history of rivalry, the paper summarizes that whether this deal will happen remains inconclusive because of the potential resistance from the regulation institutions, AT&T and even the whole industry while it greatly benefits the two stakeholders, introducing an unprecedented, creative force to the industry. We also further infer the potential business strategies applied by Disney once it owns WarnerMedia. Using Porter’s Five Forces Analysis, we conclude that the combined enterprise will have to necessarily sacrifice some established styles, while they retain high customer loyalty, relatively threatening substitutes and high entrance barrier.