Disney And Pixar: Horizontal Merger

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Horizontal mergers occurred when firms want to eliminate their competition. Companies will buy their competitors' companies to gain control of their competition by having the advantage of their recourse and populations beneficial to their firm, but merges can be beneficial or unbeneficial to the agencies.
These historical film makers Disney and Pixar are a prime example of the horizontal mergers they both are on the same line of the animation business. Mickey and Nemo are well known cartoon characters in the animation world. As we all know Mickey is part of Disney and Nemo is a portion of Pixar these two corporations have operated together in several animation movies such as Toy Story, Finding Nemo, Cars and various movies. In 2006 Disney CEO Robert Iger was delighted to announce the deal Disney had made by Pixar, for 7.4 Billion dollars Disney had bought Pixar. Former CEO of Apple, Steve Jobs became the biggest shareholder of Disney, and being one of the largest shareholders, he also became a board member at Disney. …show more content…
“According to CNN Money the film’s makers collaboration has brought total gross revenue of over 3.2 Billion dollars worldwide.” Walt Disney has had the opportunity to enhance the audience experience as movie goers ever since Pixar came on board, also allowing them to gain access to 3D capabilities to involved there audience with the scene .Pixar has benefit of Disney classical financial safety.
These two companies Disney and Pixar are an example of horizontal merger and how much benefit they can gain by
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