Problem Solving Activities Essay Example | Topics and Well Written Essays - 500 words

Problem Solving Activities - Essay Example ESPN is the largest source of money for Disney and  is believed to be the worlds most valuable media asset. According to www.forbes.com , the company is worth more than $40 billion as of 2012. Therefore one may beg to ask where all this money for ESPN comes from. According to bloomberg.com, the companys revenue hit a $9 billion in 2012 above any other cable network in the world and was projected to hit $11 billion as of the end of 2013 due to increased subscriber charges. Apart from being a sports channel, the company also broadcasts news relating to sporting events and its websites gives fixtures for the next sporting events. This ensures that its customers do not miss scheduled sporting events. One of the major sources for ESPNs money is the customer subscriptions. This is executed worldwide where the moment cable TV customers access the channel, the provider gets revenue which is paid by the customer. For example, many DSTV subscribers are able to watch ESPN at different channels through customer subscriptions, the company gets substantial revenue which enables it manage its day to day operations. Monthly subscriptions make up the largest source of revenue for ESPN standing at almost 60% of the total revenue for the company. In 2012, the company charged the cable TVs the largest amount of money per subscriber regardless of whether the subscriber watched the channel or not. At 4.6 dollars per subscriber, it was the highest in US and the charges continued to increase by up to 17.9% in 2013 meaning that the money generated will continue to increase for 2013. The other source of money for ESPN comes from advertising. In advertising, the company has up to three avenues for making advertising money. These are digital advertising, magazine advertising and television advertising. Of these, television advertising is expected to net up to $4 billion in 2013 the largest share, followed by digital adverts at 700