EXPANSION ANALYSIS

Expansion Analysis

 Currently the Walt Disney Company has closed on their 2019 – 2020 fiscal year and have been hit hard by the coronavirus pandemic. The company has announced the layoffs of over 28,000 employees across its parks, experiences and consumer products divisions. (Stevens, 2020). Net income in 2020 compared to 2019 has decreased by over $10 million dollars with operating expenses at $3 million dollars over the previous year. This ratio of income vs operating expenses will not be able to sustain the company and the layoffs were indicative of this. 

Outsourcing to India could be an excellent choice for the company. Currently the company is already outsourcing a bulk of their IT support to India and expanding this outsourcing could be crucial for the company’s success. 

    As the pandemic continues and the changes in how the population consumes entertainment, outsourcing can save the company millions of dollars while still providing excellent customer service to its clients. Outsourcing recommendations would include reservation specialists, customer service personnel, and Disney Vacation Club sales specialists. All these positions can be remote and can be handled anywhere in the world, while providing excellent customer service. Outsourcing these positions would give the Walt Disney Company an edge in being ready for their customers’ needs as the world slowly eases back into travel and vacationing while cutting labor costs by millions of dollars.