Question

What was limiting about the Disney brand? How could such a strong and valuable brand be so problematic? Give an example of a brand with similar limitations and explain how these limitations pose challenges for that organization

Answer 1

The nature is more dangerous and it do not have any kind. It made as past and history of many succesful people products and so on. There is a lifecycle for everything, during the process a product, or a company or a person has experienced all the stages, i.e. Introduction (starting) growth, maturity, stagnation and decline. It is the common factor for all. when it comes to companies (artificial person) and brands, may be the life span is higher, but at one point of time they may exit from the market.

Greatest products which were having more than 90% market share may exit from the market over a period of time. Best example is BAJAJ SCOOTERS, BSNL LANDLINES in India. they were market leaders during 1950s to early 1990s, but later they started declining. Now the situation is Bajaj Scooter was stopped its manufacturing and BSNL is fighting for survival.

A strong and successful brand name is the result and output of the excellent performance of the brand or producer interms of customer satisfaction. Till the time they met and overperform than customer expecations, those brands sustain as market leaders in the competitive world. The problem with these kind of brands are meeting over expectations of customers. As they were more successful brands, always customers expects new, innovative, more and more from the producer. It may possible upto some time, but may not possible throught the life of the brand or producer. In future some other competitor may enter in the same area, may overperform than the presenting player (Like DISNEY). Again the best example is NOKIA, the mobile revolution was started with Nokia. In its early days, most of the people were assumed that Mobile means NOKIA and NOKIA means a mobile. But after players like Apple, Samsung and others entered into the market, the brand was Erased from the market. (Now it is acquired by MICROSOT and running with MS- NOKIA is a different story.

the other live example for this discussion was- the largest US banker- LEHMAN BROTHERS- most the young students may not know how the journey was started, how it worked to become the largest banker in US and how it strugled and exit from the market. Reasons and market conditions may be different, but the lesson from all successful brands is the same, i.e. at one point of time, some one may takes the leadership position. I think the same with Disney also.