Book SummaryDisneyWar, by James B. Stewart

1-Page Summary1-Page Book Summary of DisneyWar

Disney experienced a substantial transformation during the period when Eisner was at the helm.

Michael Eisner's approach to guiding Disney and his historical methods of management.

This section explores how Eisner began his career by crafting innovative and cost-efficient concepts, keenly identifying prevailing cultural trends, and his determination to replicate such successes at Disney. The authors portray a leader with a clear vision, who believed that the company's distinguished brand and untapped assets presented an ideal opportunity for revitalization, with potential for growth in multiple areas such as film, television, and additional sectors like home entertainment and network services.

In his executive capacity at Disney, Eisner applied his well-cultivated ability to discern prevailing cultural currents and his approach of producing films with strong, sellable ideas while adhering to set budgetary limits, abilities he refined while at Paramount and ABC.

Stewart emphasizes the significant impact Eisner had on revitalizing Paramount Pictures, working alongside Barry Diller, by overseeing the production of hit movies that garnered both critical praise and financial success, such as "Saturday Night Fever," "Grease," "Flashdance," and "Footloose." Eisner's strategy, later identified as "high-concept," emphasized the creation of unique and readily marketable concepts, steering clear of the conventional Hollywood approach that often relies on substantial financial investment and A-list stars for film creation. The story recounts the event where Eisner's experience of being stopped for exceeding the speed limit in Beverly Hills led to the inspiration for the movie "Beverly Hills Cop." Michael Eisner, recognized for his willingness to fund significant cinematic projects like the renowned Indiana Jones series, always applied rigorous fiscal oversight, particularly by mandating that James L. Brooks keep the "Terms of Endearment" budget under $7 million. Michael Eisner's talent for identifying and nurturing creative individuals was underscored by his partnerships with visionaries such as Jeffrey Katzenberg, which bolstered his position as a formidable force in Hollywood's artistic community.

Eisner's impact extended beyond film projects to include television production during his tenure at Paramount. The television department played a pivotal role in producing a number of beloved series for the network, including "Taxi," "Happy Days," "Laverne & Shirley," "Angie," and "Mork & Mindy." Eisner's achievements in film and television made him a prime candidate for leadership positions at top studios; yet, the authors emphasize Disney's unique corporate environment and its resistance to integrating newcomers, which posed a significant obstacle for him.

Eisner embarked on a mission to rejuvenate the inactive Disney studio, concentrating on expanding its reach into the realms of live-action cinema and TV broadcasts, leveraging Disney's fame, and exploring new opportunities in home video and cable TV.

When Eisner assumed control of Disney, he took the helm of a company that was grappling with outdated views of family entertainment, dealing with rising costs, and facing aggressive takeover attempts. The authors describe how Eisner sought to revitalize the company, focusing on his push to amplify Disney's reputation by producing a greater number of live-action films and TV shows. Eisner sought to expand the variety of in-house ideas, emphasizing the significant untapped opportunities particularly in the home video and cable television markets for theatrical films. He also recognized the potential for profit through the expansion of the theme park sector, but at first, he tapped into the expertise of the current team, directing his attention to enhancing the movie division that was not meeting expectations.

Upon assuming leadership at Disney, Eisner initiated a transformation of the corporate structure, introducing a new cadre of leaders from his former Paramount team, cutting costs, and reorganizing the studio to reflect the efficient, profit-driven model he had established at Paramount. He recognized the limitations of the Disney brand in attracting a broader demographic and endorsed Ron Miller's effort to establish Touchstone Pictures, which was focused on producing movies for an adult audience. He employed a strategic move by rescheduling the once-canceled "The Wonderful World of Disney" to Sunday evenings as a means to rival "60 Minutes" and to boost its waning audience numbers.

During Michael Eisner's tenure, Disney initially thrived but subsequently encountered a period of reduced expansion.

The text scrutinizes the early triumphs realized under the leadership of Eisner, Wells, and Katzenberg, highlighting the financial impact of increased ticket prices at theme parks, the growth of the home entertainment sector, and a string of hit films. However, this period of growth eventually plateaued as the unit responsible for producing feature films with real actors faced challenges in maintaining its financial success, while Eisner redirected his attention toward expanding the amusement park domain and seeking out new business takeovers.

Disney's initial financial success was propelled by heightened expenses at their theme parks, expansion in their lodging services, and strong profits from the distribution of classic animated movies for home entertainment, in addition to a string of prosperous theatrical releases including the notable film "Three Men and a Baby."

Stewart highlights the...

DisneyWar Summary The growing conflicts and struggles for dominance involved Eisner along with his top executives.

This part delves into the intricate interactions that Eisner had with his senior management team, particularly emphasizing the disputes he had with Jeffrey Katzenberg and Michael Ovitz, underscoring his reluctance to delegate authority and his failure to foster a sense of trust and fidelity. The book portrays a CEO whose potential for innovation becomes diminished by the contentious environment he fosters, which often results in the sidelining of those who played a role in his achievements.

The strained interactions between Eisner and Jeffrey Katzenberg.

Stewart delves into the complex relationship between Eisner and Katzenberg, charting its evolution from a productive alliance to a contentious and public split over the course of nineteen years. While the authors acknowledge their combined talents and early triumphs at Disney, particularly in revitalizing the animation division, they ultimately attribute the decline of their teamwork to the growing resentment Eisner felt towards Katzenberg's increasing ambitions and seeming insubordination. The writers argue that this split resulted in substantial monetary challenges that paved the way for DreamWorks to rise as a formidable...

DisneyWar Summary Disney aimed to expand and diversify by enhancing its amusement park business, assimilating recent acquisitions, and embarking on the creation of live-action films.

During Eisner's tenure at the helm, Disney pursued growth by focusing on three key areas: enhancing and growing its theme park resorts, producing live-action films, and actively engaging in strategic corporate acquisitions. The authors highlight the challenge of balancing Eisner's ambitious growth strategies for Disney with the need to maintain financial stability and encourage creativity in the constantly evolving entertainment industry. Stewart depicts the process as flawed and prone to mistakes, ultimately undermining the very aspects of Disney's legacy that Eisner sought to bolster.

Disney's theme parks played a crucial role in its success and simultaneously fostered an environment ripe for creative disagreement.

This part of the examination delves into the financial importance and the way in which Disney's amusement parks stand as quintessential symbols of the company's brand. The authors highlight the economic effects of raising prices, enlarging hotel facilities, and introducing new features, while also emphasizing their periodic nature and susceptibility to economic fluctuations. Stewart highlights a significant dispute where Eisner's drive to integrate notable...

DisneyWar Summary As Eisner's tenure at Disney drew to a close, he faced a growing number of challenges and his influence steadily waned.

This section explores the waning influence of Eisner and the growing challenges he faced as the company's fortunes declined, public scrutiny intensified, and the board of directors, which had once been compliant, began to carefully exercise its oversight responsibilities. Notably, the authors Roy Disney was instrumental in galvanizing a shareholder revolt, leveraging the broad discontent among different groups within the company, which considerably weakened Eisner's grip on the corporation.

Roy Disney's growing discontent as a shareholder prompted him to adopt the role of a dissenting investor.

The narrative details how the once strong alliance between Roy Disney, Stanley Gold, and Michael Eisner, which was crucial to Eisner's rise to power, gradually eroded over time. Eisner's increasingly solitary position, combined with his unpredictable and frequently confrontational management style, and above all, his failure to navigate Disney successfully into the digital age, resulted in a leadership void which Roy E. Disney leveraged, presenting himself as the defender of discontented investors who demanded Eisner's ousting.

Roy voiced apprehensions about the direction in...