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th0raway 2 hours ago

Disney has an especially difficult problem, as optimizing for revenue for an org might actually lower total revenue for the entire company. See how many movies do badly because people expect them to see them in D+ quickly. A company this complicated need a very special kind of leadership, along with creative teams that reliably deliver hits. Now the batting average is way worse than it needs to be, and a lot of the leadership is just uninterested on the bigger problems, and more focused on personal strip mining. How many RSUs you get becomes more important than making sure the stock ever goes up (and it's not going up)

byoung2 an hour ago | parent [-]

In some ways that “problem” is an escape hatch for Disney. Other studios have to write off huge losses for underperforming movies (and Disney definitely does this too). But even a flop can drive Disney+ subscriptions, park visits, merchandise purchases, hotel stays, cruise bookings, etc. Star Wars is an excellent example, even though many of the Disney era movies underperformed (it’s hard to say flop), Disney has made back more than the purchase price of Lucasfilm, the budgets of all movies and shows, and construction costs of 2 Galaxy’s Edge lands and turned a profit. They’re like Costco in that way where the food court doesn’t need to profit as long as they sell memberships.