By the early 1930s Walt Disney faced a dilemma: his popular cartoon shorts about Mickey Mouse were starting to lose money. His competitors could afford to produce cartoons at a loss as lead-ins to their live action films; Disney, who did not have a movie studio, could not.
But he had another idea: he could produce a full-length film of his own. Only, instead of making a live action film, he could produce a full-length cartoon feature, running, say, for about 88 minutes. Good length. Sure, it might cost as much as $500,000. (Cue gasps.) He would need 300 artists. It had never been done before.
It’s safe to say that very few people thought this was a good idea. And that $500,000 turned out to be a very wrong estimate. It’s also very safe to say that this idea is why we have the entertainment megacorporation of Disney as it exists today.