Disney COO Thomas Staggs Steps Down

[Josh Hendy]

As to the future ... it is a fact of business that the larger that any organization becomes, the more overstretched it becomes and the more deaf and unresponsive to its original customers. It's a circle of life thing ...

It's not fun to think about but LoL's speculations may come to pass.

And I think it'll be ok in the long run. Other theme park chains have gone through ownership changes, like Universal, Busch Gardens and even Sea World, and they haven't shrunk or started to suck badly, they've continued to evolve and expand at a significantly faster pace than WDW. They haven't been outrageously monetized in order to make up for their parent companies' mistakes.

 

[Eoghann]

And I think it'll be ok in the long run. Other theme park chains have gone through ownership changes, like Universal, Busch Gardens and even Sea World, and they haven't shrunk or started to suck badly, they've continued to evolve and expand at a significantly faster pace than WDW. They haven't been outrageously monetized in order to make up for their parent companies' mistakes.

I'm not sure that's entirely true of Busch Gardens. I've seen some pretty negative things about the way those parks have been run.

 

[rteetz]

At the time of the Marvel buyout Perlmutter was the largest shareholder. I believe he is now #3 behind Jobs and then Lucas.

Perlmutter is an odd one. He's obsessively private (try finding a current photo of him anywhere online) and he refused a seat on the Disney board. I don't think he would be interested in a public facing role of any sort. Even with his recent political losses regarding Marvel films you have to assume he has substantial influence when he wants to though.

Yeah he seems to be an interesting character.

 

[luisov]

It is a shame that the Disney family is no longer involved in the company. It is incredible how much Roy E. was actually able to accomplish whenever a bad decision was made.

 

[rteetz]

It is a shame that the Disney family is no longer involved in the company. It is incredible how much Roy E. was actually able to accomplish whenever a bad decision was made.

I agree but when there's really only grandchildren and great grandchildren left I guess that's what happens. Ron Miller is still around of course but as a former CEO he doesn't have much say either. As far as I know the Disney family member still gets all the park access they want though.

 

[Josh Hendy]

I'm not sure that's entirely true of Busch Gardens. I've seen some pretty negative things about the way those parks have been run.

I haven't been there for over five years but I really enjoyed BGT and it seems like their ongoing policy is ... same park ... with another great coaster added every couple of years. Not sure about the Virginia park.

I don't know who owns them but they don't appear to be distracted at all by things like cable tv subscribers, blockbuster IP franchises or foreign (mal) investments.

If TWDC was broken up I think you would see a similar resumption of focus on entertainment and value in the theme parks.

 

[Eoghann]

I haven't been there for over five years but I really enjoyed BGT and it seems like their ongoing policy is ... same park ... with another great coaster added every couple of years. Not sure about the Virginia park.

I don't know who owns them but they don't appear to be distracted at all by things like cable tv subscribers, blockbuster IP franchises or foreign (mal) investments.

If TWDC was broken up I think you would see a similar resumption of focus on entertainment and value in the theme parks.

They were sold to Blackstone Group a private equity firm who in turn spun them off as a public company in the form of SeaWorld Entertainment. So while much more focused than Disney they still operate at the whims of the market unfortunately. And they do regularly add coasters, but they have pretty much pulled back on anything other than coasters.

 

[Boski]

BGW is a fantastic park that is incredibly well maintained and themed. The rides are the biggest pull (especially for the thrill seekers) but the shows they provide are pretty good. Nothing compared to Disney but they also don't have the IP that Disney has to work with.

 

[TsWade2]

It is a shame that the Disney family is no longer involved in the company. It is incredible how much Roy E. was actually able to accomplish whenever a bad decision was made.

I know. They're cowards!

 

[TsWade2]

never mind.

 

[manning]

President Obama will be available in 2017! Obama goes to Hollywood all the time and he visits Hawaii quite often as well. Emerging markets ? Disneyland Teheran or Disneyland Guantanamo? Obama knows resort life and golf courses......Let me be clear.......April Fools Day was three days ago......

I think he is in charge of parks.

 

[manning]

"I will make Disney great again!

I will build a new park and make Universal pay for it!

As to specifics on how I will make Disney great again, trust me... oh, by the way, I make GREAT deals... I will hire the top people. The best people. They will be so good you can't even imagine."

Sure... but your post insinuated that Staggs left because of Disney being some sinking ship or going to suffer a downturn and all evidence points to the contrary. Staggs left cause they wouldn't guarantee it. They wouldn't guarantee because of various potential reasons (enemies on the board, Shanghai overruns, Iger changing his mind, something else). In other words, Stagg quitting was like a general leaving the army because he got passed over for the 4th star. HE chose to the leave, but he was never going to get to where he wanted.

Maybe he did or maybe he didn't.

 

[lockedoutlogic]

Maybe he did or maybe he didn't.

Staggs didn't "walk away" due to lack of guarantee...

You don't "walk away" after being tapped as a 50 mil a year CEO due to semantics on contracts...

Amateur hour if you think that.

He was the victim of a board room scapegoat/assassination...

Honesty - not a huge loss...except they have another stale CEO who can't figure out how to golf hanging around...again.

 

[manning]

I have no trouble believing that most of their customers are stupid. The world proves the overwhelming stupidity of the human race to me on a daily basis.

More seriously though I think the quality and pricing will eventually be an issue. But more MK style in the other parks? No I think that's what a lot of their customers actually want.

I have lost count of the Epcot is boring, Animal Kingdom is just a zoo etc. complaints that I've heard over the years.

Hmm you might have something there!

 

[mcd2745]

It is...and I don't like to go this route because it sounds so preachy/whiney.

But it really is a REAL thing. And Bob Iger has become the problem...just like the last guy.

He's drunk off the control, manipulates a puppet board, and operates with no checks at all.

If this Shanghai thing is a disaster...he should be fired for it. He pushed it. If ESPN crashes/can't go subscription...he should be fired for it. He rode it into the ground without response.

But that wouldn't happen...the board room would laugh and look the other way.
Remember what got Eisner out (he needed to go)...it wasn't stock analysts...it was one heavy hitter with a single, loud voice. And...Diane Disney behind the scenes not supporting him (a weird partnership indeed)

That can't happen anymore. They are gone.

You know...since the the moment the word of Staggs departure came out, I've thought it was no-brainer that Iger will just stick around longer. We've already seen a number of articles that pretty much say the same thing. But as I think about it more, I'm thinking it may be a lot less likely than than I thought. For years, he's run the place like a guy who knew he wasn't sticking around much longer. Although, in fairness, so does just about every other CEO. The only thing that matters is the next quarterly earnings report - the hedge fund & pension fund managers who control most CEOs demand it. So while the board will almost certainly try to convince him to stay...why would he? He knows the issues that are likely crop up as a result of his short-term focus the last several years.

 

[lockedoutlogic]

You know...since the the moment the word of Staggs departure came out, I've thought it was no-brainer that Iger will just stick around longer. We've already seen a number of articles that pretty much say the same thing. But as I think about it more, I'm thinking it may be a lot less likely than than I thought. For years, he's run the place like a guy who knew he wasn't sticking around much longer. Although, in fairness, so does just about every other CEO. The only thing that matters is the next quarterly earnings report - the hedge fund & pension fund managers who control most CEOs demand it. So while the board will almost certainly try to convince him to stay...why would he? He knows the issues that are likely crop up as a result of his short-term focus the last several years.

You're right...and that's why he should already be gone