The Walt Disney Company – Direct to Consumer Business Segment (Disney+     & Hulu)  Expansion into Mexico’s SVOD Market Threats: - Competition such as Netflix and Amazon     already have expanded

The Walt Disney Company Direct to Consumer Business Segment (Disney+ & Hulu)

Expansion into Mexico’s SVOD Market

Threats:

  • Competition such as Netflix and Amazon already have expanded to over 190 countries

  • Political corruption very prominent

  • Mexico has a very low poverty line

  • Need to cater to Spanish language & culture

  • Digital infrastructure/ connectivity to the internet still growing within the country

Weaknesses:

  • Currently Disney+ & Hulu currently or will only operate within the United States

  • Subscriptions to services are a luxury item

    • Countries with negative economic conditions will boast less buyers

  • Less amounts of original content available compared to Netflix & Amazon

Opportunities:

  • Will be the only streaming provider of all of its owned content

  • Can package Hulu and Disney+ together as a bundle for a cheaper price to draw more customers

  • No major government regulations regarding streaming content

  • One of the largest Latin American streaming countries

  • SVOD industry projected to increase revenue by $150 million by 2023

Strengths:

  • Major brand recognition for the company as a whole as well as the entertainment brands owned (Marvel, Lucas Film Ltd., Pixar, etc.)

  • Extremely large and diverse portfolio

  • Prior experience with global expansion within other business segments

  • Competitive edge for subscription prices of both Disney+ & Hulu