Killin’ the Villain at Disney

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Ding-dong, the glitch is dead. In a move that is long overdue, Disney (NYSE: DIS) is axing its model of producing low-budget direct-to-DVD sequels of its animated classics, the Motley Fool reports. In a DisneyToon studio shake-up that is no doubt influenced by last year’s infusion of Pixar’s craftsmen, Little Mermaid III will be the last of these home video titles.


Thank God!


Sure, the releases were lucrative, but I would argue that it cost Disney far more than it made. Don’t believe me? Hear me out.

Finding failure in success


Yes, I remember hearing former CEO Michael Eisner explain how Return of Jafar, the wildly popular direct-to-video Aladdin follow-up that kicked off the home video sequel practice, proved to be more profitable than Disney’s Pretty Woman live action hit four years earlier.



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