Economic conditions and trends of the Walt Disney Company

With the economy still The Walt Disney Company, the biggest threat, the recent turbulence in financial markets activities negatively on economic activity in the United States and other regions of the world in Disney is concerned and has work on the application of some Disney products and services. might influence a decline in economic activity, demand for each of their society, bringing their total sales and profits. A steady decline ineconomic conditions could reduce the frequency and expense for one or more of the Disney Parks and Resorts, or purchase price of advertising on broadcast or cable stations or property, pricing, service provider, cable is used for programming cable, pay their theatrical performance and home entertainment releases and purchases of businesses with corporate branding. These conditions may also lead to those with which Disney is working to fulfill their obligationsDisney.

Changes in exchange rates of foreign currencies may also reduce the growth in international demand for their products, work or the cost of non-care in United States markets or to reduce the dollar value of U.S. revenue from other markets.

cultural and social values and trends

Each company creates entertainment or Disney Consumer Products, whose success largely depends on the tastes and preferences of consumers who frequently changeunpredictable ways. The success of their business depends on its ability to create and deploy consistent Filmed Entertainment, broadcast and cable programming, online materials, electronic games, theme parks, hotels and other resort facilities and consumer goods, preferences changing needs of broad consumer market. Many of Disney's businesses increasingly depend on worldwide acceptance of their offers and products outside the U.S., and the successthese services is thus the ability of Disney to successfully predict and adapt to changing tastes and preferences of consumers within and outside the United States.

For example:

The success of Disney's offer in the home entertainment market is partly due to consumer preferences for home entertainment formats, including DVD players and personal video recorder, and the availability of home entertainment and offers alternativesTechnologies, including Web-based distribution of entertainment offerings.

Technological developments offer consumers an increasing variety of entertainment choices and options, if consumers that Disney has not fully developed, rather than entertainment products it offers, sales are negatively affected their favor.

Political and legal questions

The success of Disney's business is heavily dependent on maintaining intellectual property in the entertainment industryto create products and services. New technologies like the convergence of computing, communications and entertainment devices, the falling prices of equipment that improves the technology, and broadband Internet penetration rate and have an easier time the unauthorized copying and distribution of digital their films, television productions and other creative works, and faster and enforcement of intellectual property increasingly demanding. Unauthorized use of intellectual propertyProperty rights in the entertainment industry is an important and rapidly growing problem. These developments require special Disney means to protect their intellectual property against unauthorized use and present a risk of higher losses, receipts from the unauthorized distribution of digital content and selling counterfeit DVDs and other items not authorized to spend.