The only way for any company to attract investors' attention is to hold a strong position in the market segment compared to its major rivals. This is key as it would be expensive and time consuming for the major competitors to replicate the success.
One good example is Disney (DIS, Financial) and its $4 billion acquisition of Marvel in 2009. Disney was well-characterized through many significant demographics. From Hannah Montana to the Disney princess toys, the company had a robust listing of brands for girls' toys and products; however, Disney’s contribution for the boys' market was relatively frail. But after the acquisition of Marvel, along with its staple of 5,000 comic book characters, the problem was solved very easily.
There are other examples implementing the same strategy in other industries. For instance, in the case of grocery stores, Kroger (KR, Financial) decided to acquire its huge rival Harris Teeter in 2014 instead of building up its own presence in the southeastern U.S.Ă‚
Disney’s 3D printing technology
Disney has been using 3D printing technology for several purposes across the company. In 2013 at one of the company’s popular attraction at its theme parks, guests could be digitally scanned and have their renderings put on a 3D-printed Star Wars’ Stormtrooper model.
3D printing technology is also used to manufacture exclusive costumes and props for movies. For instance, the company used Stratasys’ Connex 3D printer to create the armor costume for Korath in "Guardians of the Galaxy."
However, that was just a past story because now Disney has created its own exclusive 3D-printing technology. The company’s Printed Optics permits custom optical elements for display, sensing and lighting to be directly entrenched in the body of an interactive device. As per Disney, Printed Optics is part of the company’s long-term image for the manufacture of interactive devices.
Conclusion
While 3D printing is still relatively new for Disney and can't have any significant effect on the stock, it highlights the company's ability to diversify and keep growing. For this reason, I think Disney is a great long-term pick for investors.
Disclosure: I don't hold a position in any of the stocks mentioned in the article.
