The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.

The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

Originally posted by syntax42

The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.

 

The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

This ^

There is currently no reason for Disney to buy a company like Blizzard atm. They aren't in direct company with Blizzard, and in most cases they operate in very different markets. Absorbing a company like Blizzard would severely increase Disney's expenses, without giving them much in return. Not a smart business decision in all honesty.

ILM was the smarter choice, because star wars is still a popular IP, it did company with Disney on multiple levels (especially in regards to the films / shows / and fx work), and by absorbing them Disney got not only a great IP, but also a great infrastructure, talent pool, and pipeline to use for other projects should they choose to.

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Originally posted by syntax42
The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.

 

The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

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Originally posted by syntax42

The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.

 

The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

True, evidence shows the majority of mergers show a loss of overall value, yet CEOs are incentivised to complete them and they play well to the egos at the top, and so they happen regardless.

I dont think they would want to tbh, they didnt buy marvel and lucas on the streangth of their games, they got them because of their movie success, Marvel is a very strong brand with many possible movies that could come out of it (and will if they remain as succesfull as they have been so far), Lucas not only has one of the most succesfull film franchises ever it has 2 (indianna jones), and then you have to consider all the merch that both marvel and lucas shift

Blizzard isnt even close to the same league tbh unless disney are thinking about making some serious moves into the gaming world, which I doubt considering they have said they will just outsource for gaming when asked about star wars games

Originally posted by Xiaoki

 

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Originally posted by syntax42
The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.

 

 

The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

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The why did Disney buy Lucas Film? You know, the event that started this debate?

 

Because lucas and marvel are merchandise kings, there are far more kids with spiderman/star wars bed clothes, lunchboxes, toys etc than there are with warcraft/starcraft/diablo fluff

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Originally posted by deakon

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Originally posted by Xiaoki  

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Originally posted by syntax42 The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.     The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

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The why did Disney buy Lucas Film? You know, the event that started this debate?  

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Because lucas and marvel are merchandise kings, there are far more kids with spiderman/star wars bed clothes, lunchboxes, toys etc than there are with warcraft/starcraft/diablo fluff

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Originally posted by Xiaoki

 

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Originally posted by deakon

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Originally posted by Xiaoki  

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Originally posted by syntax42 The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.     The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

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The why did Disney buy Lucas Film? You know, the event that started this debate?  

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Because lucas and marvel are merchandise kings, there are far more kids with spiderman/star wars bed clothes, lunchboxes, toys etc than there are with warcraft/starcraft/diablo fluff

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Uh, yes, Im quite aware of that. Read the post I responded to.

 

You asked why they did it, the answer is that lucas has a lot more avenues of income with very little overhead as most of the money comes from licensing rather than making the stuff themselves, the only real part theyre taking on themselves is the movie making which is already within their area of expertise

Blizzard is currently owned by Vivendi Universal: a global entertainment conglomerate that is an even bigger player in mass media than Disney.

Vivendi Universal and Disney are, quite frankly, too small to buy each other's assets and too big to be bought.  What might be possible is a merger between them, which might actually be a smart move given the nature of the mass media industry.

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Originally posted by deakon

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Originally posted by Xiaoki  

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Originally posted by deakon

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Originally posted by Xiaoki  

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Originally posted by syntax42 The bigger a company is, the more percentage of its budget is used for maintaining its size.  Administrative, legal, HR, and accounting must be able to handle the larger size of the company, and the complexities mergers bring.  Could Disney buy Blizzad?  Yes.  Would it make a more profitable Disney in the long run?  Probably not.     The goal of a merger is to buy a company that is underperforming or needs a lot of cash to kick of its next big profitable product.  Buying a company just to make yours larger doesn't make a lot of sense and rarely improves profit ratios.

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The why did Disney buy Lucas Film? You know, the event that started this debate?  

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Because lucas and marvel are merchandise kings, there are far more kids with spiderman/star wars bed clothes, lunchboxes, toys etc than there are with warcraft/starcraft/diablo fluff

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Uh, yes, Im quite aware of that. Read the post I responded to.  

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You asked why they did it, the answer is that lucas has a lot more avenues of income with very little overhead as most of the money comes from licensing rather than making the stuff themselves, the only real part theyre taking on themselves is the movie making which is already within their area of expertise

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I know what I said and it was in response to another post. Posts do not exist in a vacuum.

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Originally posted by Crazy_Stick
Blizzard doesn't fit Disney's aquisition profile. When you look at what they go after, it's usually some IP like Lucas Films that they can market on multiple fronts from movies and TV, books, toys, and games. Blizzard has some footprint outside the PC game world but not enough of one to fit Disney's desires. 

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Most accurate post.

I could see WOW itself becoming more Disney-like, and the developers certainly have tried to steer that way since original release, but...Blizzard itself doesn't offer much of anything, especially for a supergiant like Disney.

Originally posted by Beatnik59

Blizzard is currently owned by Vivendi Universal: a global entertainment conglomerate that is an even bigger player in mass media than Disney.

Vivendi Universal and Disney are, quite frankly, too small to buy each other's assets and too big to be bought.  What might be possible is a merger between them, which might actually be a smart move given the nature of the mass media industry.

dont know where you get that idea

Vivendi tried to sell Blizzard to Disney this past summer (as I previously posted)

http://www.vg247.com/2012/07/13/report-vivendi-may-have-sell-activision-shares-on-the-open-market/

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Originally posted by Nadia

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Originally posted by Beatnik59 Blizzard is currently owned by Vivendi Universal: a global entertainment conglomerate that is an even bigger player in mass media than Disney. Vivendi Universal and Disney are, quite frankly, too small to buy each other's assets and too big to be bought.  What might be possible is a merger between them, which might actually be a smart move given the nature of the mass media industry.

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dont know where you get that idea

 

Vivendi tried to sell Blizzard to Disney this past summer (as I previously posted)

http://www.vg247.com/2012/07/13/report-vivendi-may-have-sell-activision-shares-on-the-open-market/

 

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Vivendi talked to Disney to sell Activision Blizzard which is the holding company that owns Blizzard.

Activision Blizzard is a merger of Activision and Vivendi Games(which owned Blizzard) and includes a lot more video game developers than just Activision and Blizzard.