...discussion, a member requested the Research and Library Services Division to provide information on the financial arrangements relating to Tokyo Disneyland, Disneyland Paris and Hong Kong Disneyland. As such, the purpose of this fact sheet is to provide the Panel with information on these three theme parks in terms of their ownership and the financial arrangements for the construction project. 1.2 This fact sheet originally intended to study the operational statistics of the three theme parks. According to the Tourism Commission of Hong Kong1, both the Government and the Walt Disney Company (Walt Disney) are bound by the confidentiality provision under the current agreement not to disclose any commercially sensitive information of Hong Kong Disneyland, including the gain or loss from the operation of the theme park. Against this, this fact sheet only lists the key operational statistics of Tokyo Disneyland and Disneyland Paris for comparison. 1 See Tourism Commission (2009). page 1 Research and Library Services Division Legislative Council Secretariat FS30/08-09 2. Tokyo Disneyland Overview 2.1 Tokyo Disneyland opened on 15 April 1983 at a cost of US$1.4 billion (HK$10.9 billion)2. It is located on a reclaimed site about 10 km from downtown Tokyo. Tokyo Disneyland is privately owned by Oriental Land, a land-reclamation company in partnership with Mitsui Real Estate and the Keisei Railway Company. 2.2 Talks between Walt Disney and Oriental Land started in the...
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...of Entry Subtitle: The Case of Disney By, Carlos Gonzalez Hernandez This thesis was written as a part of the master program at NHH. Neither the institution, the supervisor, nor the censors are -through the approval of this thesis- responsible for neither the theories and methods used, nor results and conclusions drawn in this work. International Modes of Entry: The Case of Disney 1 Abstract The case of Disney’s theme parks represents an opportunity to test major internationalisation theories in a setting of large investments with little chance for reversal of commitments. The purpose of the research is to study the benefit of different entry modes dependent on Disney’s Theme Parks value-generating resources and capabilities while conditioned to certain local industrial and institutional conditions in foreign markets. Five major theories and frameworks were used to analyze all four Disney’s ventures abroad. This resulted in 20 individual hypotheses analyzed. Results indicate that Disney followed a predictable internationalisation process in the cases of Tokyo, Hong Kong and Shanghai, but that it went off-path in the Paris one. In successful cases Disney followed a cautious approach, involving local partners to transfer and adapt the “Disney Experience”. In the case of Paris the company decided to enter the market alone, which neglected the unique needs of the local market. Page | 2 International Modes of Entry: The Case of Disney Table of Contents 1 2 3 4 ABSTRACT...
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...Case Study Project Report ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- Where in the World is Disney? ------------------------------------------------- ------------------------------------------------- Project Team Members: ------------------------------------------------- ------------------------------------------------- Melike Yoldas: 3809324 ------------------------------------------------- Matthew Rawnsley ------------------------------------------------- Alex Baird : 3912569 ------------------------------------------------- Rhianon Damas : 3798429 ------------------------------------------------- Tom O’Dea : 3925731 ------------------------------------------------- Poh Yueng Zhen ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- ------------------------------------------------- Executive Summary ------------------------------------------------- ------------------------------------------------- The following report was developed to determine the most logical, if any, location for the establishment for a new Disney theme park...
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...Project Proposal- Part 1 Angela Alvarado 1. For my research project I am going to review some Disney movies and the general media as in television shows and commercials, and take note of how many sexual innuendos or subliminal messages run throughout them. 2. My direct interest in doing this specific topic is to see if there are any innocent Disney films, and When is the right age to expose sexual content to children, when do they become mature enough to notice what’s sex. 3. In order to get the research information I need, I am going to spend some of my nights watching various Disney movies, and different typical television shows and commercials that air on abc family. I am also going to observe my little cousin watch various Disney movies with me, and abc family shows in order to see what their reaction is to them. In order to this I do need to invest in a new vhs player since mine is broken at the moment. 4. My plan for this project is to observe, first I am going to watch a few Disney movies on my own and take note of sexual innuendos or subliminal messages I may find. Then I plan on watching the same movies with my little cousin in order to see what they think of the movies or if they notice anything basically how it affects them. Then after our movie night another time I’ll watch some shows with them that would be on the abc family network and also see what their reaction is to that. 5. I predict that I will find a lot of subliminal messages throughout...
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...during its first year of operation? What factors contributed to Hong Kong Disney's poor performance during its first year? It was cheaper for European families to travel to Disney World in Orlando, FL. Not only was the trip to Orlando going to be cheaper, but it was almost guaranteed that the weather was going to be spectacular. People go on vacation to have a good time, but more importantly to enjoy the weather. People in Europe and around the world are not going to vacation at a spot where the weather is going to be unpredictable. France gets cold in the winter, therefore going to Disney World in Orlando would be more logical. It will be cheaper and the weather is going to be decent for whenever you choose to go. The French culture did not like the American Fairy-tale characters. The French had their own fairy-tale characters; one even has a park located near EuroDisney. Starting up a company internationally is an extremely hard task. Researching the culture of the country in which the company is going to be located is extremely important. When the plans to bring EuroDisney to Paris were finalized, they should have begun extensive research on the culture and history of France. By not doing that Disney may have insulted the French, but more so they hurt their chances of making money. The whole Disney idea was not sitting well with the French people. For example, during a trip to France in 1989 Michael Eisner was hit with eggs by a French columnist. When a culture shows...
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...important for Disney to work with the foreign governments where they want to open theme parks? While it may not always be a good idea for a business to work with foreign governments, it was the appropriate course for Disney to take. Certain aspects of the parks that were opened in Tokyo, Paris, and Hong Kong best evidence this. Tokyo, by every standard, is considered a success (Young & Liu, 2007). Its success led to the construction of a sister park, DisneySea. Regrettably, Disney opted to not take ownership of the park. By working with the government of Tokyo, Disney did not have to invest any capitol to open a park abroad. However, Disney forfeited exponentially higher profits for its equivalent in risk. Disney’s next venture, Disney Paris, was a collaboration with the French government. Similar to Disney Tokyo, it was important to work with the government for the purposes of immediate financial infusion. Unlike Tokyo’s government direct investment, the French government provided loans with interest rates (Young & Liu, 2007). The decision to work with the French government proved more important as construction costs went over by US$4 billion. This led to the French government restructuring Disney’s loan. It was crucial for Disney to work with the government of Hong Kong for several reasons. Like the previously mentioned Parks, Hong Kong helped financially. However, the scope of this park can be considered greater since it involved a land reclamation project. Additionally...
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...study rooms named as the MINORS’ KINGDOM. The name is chosen in order to position ourselves in the minds of our customers as aiming to decorate their children dreams and make their learning and development more fun, colorful and enjoyable. Our office is located in DHA phase, Sector C, Commercial area as a double story building. Names and address of Principals: Director: Ms. Amna Ghias Marketing Director: Ms. Noor Kazi CFO: Ms. Kisa Talib Design Assistant: Ms. Atruba Zafar Marketing Assistant: Mr. Moiz Khaid Consultant: Mr. Sareer Khan Nature of Business: Minors’ Kingdom is an interior decorating business focusing on children. We plan to invite our target market to decorate their children rooms with the best and the most appealing Disney themed furniture and all accessories. This also includes all the cartoons that are on air and are preferred by our clients. We not only offer pre-set packages to make rooms more fun but also facilitate our clients to customize on our website whatever characters, furniture and accessories they will like to choose from among a great variety offered by our team. We aim to provide the exact and best quality services to our customers at their doorsteps within time. Statement of Financing needed: In order to officially launch our business, we have calculated to raise a capital of Rs. 16, 47,400. It would be best if we raise it through debt to...
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...SHANGHAI DISNEY: MILESTONE JOINT VENTURE Rita Lemoine Southern New Hampshire University Abstract This paper examines the significant collaborative efforts of both a U.S. multi-national corporation, The Walt Disney Company and its foreign socialistic counterpart, the Shanghai Shendi Group, Ltd. negotiation of an Equity International Joint Venture agreement. The paper will disclose the joint venture agreement, the financial structure, and funding arrangements for the construction of the Shanghai Disney Resort. Then a SWOT analysis will demonstrate the strengths, weaknesses, opportunities, and threats that could affect The Disney Company’s operations in China according to current economic, political, and legal policies regarding foreign joint ventures. Finally, an assessment of the cultural differences between the two companies in the form of managerial and leadership styles that could hinder the success of this joint venture. Keywords: Equity International Joint Venture, SWOT analysis, Cultural Dimensions SUMMARY OF THE WALT DISNEY COMPANY The Walt Disney Company, the leading producer of family entertainment for the past nine decades, beginning in October 16, 1923 when Walter Elias Disney “signed a contract with M.J. Winkler to produce” a series of cartoons, the early stages of The Disney Brothers Studios, founded by Walter Elias and Roy O. Disney. (Retrieved from “http://thewaltdisneycompany.com/about-disney/disney-history/1920-01-01--1929-12-31”). The...
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...paper introduces some thoughts about the Disney strategy choosing the place for its European park and about the beginnings of its operations; in some way related to cultural factors. It constitutes a personal answer to a case study placed in the book "International Marketing" 13/e by Philip C. Cateora and John Graham, McGraw-Hill 2007. Factors that contributed to Euro Disney's poor performance during its first year of operation. There are several different in nature factors that joined together and contributed to a disastrous beginning of operations. Most of them were management mistakes and others, although external factors, if considered, could have result in different management decisions leading to a better start. In my view these are the most important ones: The timing. EuroDisney opened in 1992, just when two other international events had place: the Olympics games in Barcelona and the World's Fair in Seville; both in Europe and relatively close to Paris. It's obvious that been unrepeatable events, available only for a certain limited amount of time they were a strong competition. A huge amount of people choose attend to these events instead visiting EuroDisney. Suffice it to say that more than 40 million people visited the Seville Expo during the 6 months it was open (versus 9 million EuroDisney visitors accounted for 1992 all year around). To add insult to injury, an economic recession was starting in Europe and Disney management failed to see the signs of it...
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...its first year of operation. The two factors include: market research and cultural competency. Within those two factors there were specific details that demonstrate where and why they failed poorly. There are listed below: * Instead of using French cartoon characters, American characters were used. * Europeans are known to enjoy drinking wine, but the park banned alcohol completely. * A misunderstanding regarding breakfast availability cause issues with the guest. * Disney was informed Europeans did not eat breakfast, which was not correct. * Pricing was an issue * Many Europeans believed the prices were too high and would not pay. * Other big events were occurring at the same time the parked open, which cause lots of issues as well At Hong Kong Disney, they had experienced the opposite of what EuroDisney experienced. Hong Kong tried to hard to make it fit. They conducted research and tried to make it work, but guest were disappointed. The park did not differ from other amusement parks in China and therefore consumers were not interested. They also used traditional Disney characters that no one knew of. 2. To what degree do you consider that these factors were (a) foreseeable and (b) controllable by EuroDisney, Hong Kong Disney, or the parent company, Disney? All the factors listed above could have been foreseen. It was obvious that not enough research was conducted prior to creating...
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...Euro Disney’s poor performance in the first year. Chinese people lack of knowledge of Disney characters. Size of the park. Not exciting or similar to Chinese amusements parks are the factors for the Disney venture’s loss in Hong Kong. Q2. These factors are foreseeable and controllable. The proper market research could avoid many of the factors. When exploring international markets the cultural aspects must be considered. For example French have their own cartoon characters, promoting them along with the existing Disney mark characters could bring the locals close to the project. Economic situation of the marketing segment should have been taken into consideration to avoid the migration of customers. There should be something exciting in such parks to draw the customers in a new launch. In Hong Kong this is the first mistake which is not addressed. Ignoring self-reference criterion and Ethnocentrism is what seems to me is the major fault. This can be rectified; it is evident from the Paris Disney improvement. Q3. Ethnocentrism is the main issue in Euro Disney development. The above factors depict the lack of knowledge on French culture. Assumptions on the Euro Disney proved wrong. I don’t understand how a company of this stature could ignore this. The success of Disney in many parts of the world doesn’t mean it could ignore the factual research. Q4. Cross culture marketing skill of Disney...
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...elaborates about the issues faced by the Walt Disney Company when expanding to international borders. It first begins with the history of how Disneyland became so successful and expanded to various states across the country. It then describes about its first international success namely the Tokyo Disneyland and the factors affecting it. The case then describes Disney’s decision of expanding into Europe. The various differences and problems faced in setting up of the amusement park. Some of the major issues in setting up of the park were: * Cultural differences between the European and the American market * Environmental and location factors for setting up the amusement park * Financing and initial business plan were not analysed thoroughly in synchronisation with external economic factors * French labour laws were not taken into account while inducting the workforce * Management issues such as different attractions in the park It was understood that the chief reason for Euro Disney’s failure was a lack of understanding of European culture on Disney’s part. Based on the understanding from the case following recommendations were made: * A study in history and an understanding of the European market place would have enabled the Disney executives to anticipate many of its problems. * The mantra “think globally, act locally” would have helped Disney in better catering to the local needs. For instance, Disney does not sell alcohol within the parks and...
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...Euro Disney: The First 100 Days The decision to open a theme park in France was not the best idea. There were many factors that proved to hinder the advancement of progress in regards to the European extension of Disney since its inception. The foremost would be that of the civil unrest that seemed to plague France at the time Euro Disney was scheduled to open. There were protests, transportation strikes, terrorist threats, etc. all which directly or indirectly affected the Euro Disney’s attendance. Also, the $10 million ad campaign seemed very costly, especially considering the fact that this was more than two decades ago. French critics seemed to be excessively harsh as well. On a positive note, it had a premier location. It was right outside of Paris, Paris being one of the most travelled to cities in the world. This creates the opportunity for a lot of traffic to come through Euro Disney. Also, Disney is a monument to the greatness of the US, so having that as the introduction into European culture is something to take pride in. The target market for Euro Disney was adults in their late twenties who had small children. They also had a share of the forty plus segment that have disposable income and usually take their grandchildren to the Disney themed activities. With this in mind, Euro Disney was developed for the kids as far as imagination was concerned, but provided a certain relief for the adults from the stress of the real world. An escape, if you will. The...
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...Disney Case Analysis 3. What sort of company did Eisner inherit? Provide a brief summary of the company at the time Eisner took over (discuss each of its business lines in 1-2 sentences that highlight the most important issues). Eisner inherited a family entertainment company that began as a nonhierarchical organization where no one had titles and everyone was on a first name basis. Walt’s theory was that you didn’t need a title because you knew if you were important. Disney’s philosophy was to create universal timeless family entertainment and believed in the importance of family life maintaining its adherence to the Disney formula for family recreation. The company believed and always aimed to provide an experience that the families would be able to participate in and take joy in together and always with a commitment to excellent in all facets of the business. When Eisner took over the company’s financial performance had deteriorated. Disney was incurring heavy costs trying to complete projects on time i.e. EPCOT center and Euro Disney and the Disney Channel. He viewed “managing creativity” as Disney’s most distinctive corporate skill and pursued with the development of synergy through vertical integration. With this philosophy, Eisner inspired and managed Disney. Disney mushroomed with Eisner’s extreme corporate vision which he targeted at an annual revenue growth target and return on stockholders’...
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...Assignment 2: Case Analysis Elizabeth Chan Professor Jung Wan Lee MET AD655 ABSTRACT The Walt Disney Company (NYSE: DIS) is a diversified and worldwide family entertainment company with operations in five distinct business segments: Parks and Resorts, Studio Entertainment, Media Networks, Interactive, and Consumer Products. For almost 90 years, the company has used its creative content to inspire, enchant, and entertain its global audience. The company operates in more than 40 countries, employs approximately 156,000 employees, and hires cast members from around the world (Global 500, 2013). Its top three industry competitors are Time Warner, Viacom, and CBS. The company reported revenues of $42.3 billion in 2012 and ranked 66th on the Fortune 500 list that year (Walt Disney Co/The, 2013). As a multinational company, the Walt Disney Company has become a popular name in many households around the world. This paper will analyze Disney’s international business environments and its global strategies, and explore other opportunities the company should take advantage of in order to strengthen its title of being a world leader in family entertainment. COMPANY OVERVIEW What is the business? The company was founded on October 16, 1923 by Walt and Roy Disney and was originally known as the Disney Brothers Cartoon Studio. The company started off as animation and production company, and became a leader in the American animation industry when it introduced Mickey Mouse to the world...
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