As stated in the book International Business, there are three major operating objectives that encourage businesses to engage in international business. These three objectives include expanding sales, acquiring recourses, and to minimize risk. I feel that Disney was motivated by all three of these aspects, and possibly others when deciding whether or not he should move more of his business abroad. After seeing how successful the two theme parks in the United States were doing, the next option would be to expand. By expanding the parks into five international parks, Disney’s theme parks outside the United States would reportedly exceed that inside the country. I think that Disney also wanted to diversify and to let others experience the unique atmosphere he had created at Disneyland, Magic Kingdom, MGM Studios, and Epcot.
The Walt Disney Company had to push through some obstacles along the way that were hindering its success. After investing millions of dollars into their Paris location, Disney ran into numerous problems. Many believed that the park would “contribute to the destruction of French Culture.” These early problems almost sent Disney into bankruptcy. After renegotiating and changing some of the parks policies, such as changing prices, eliminating the alcohol policy, and promoting Disneyland Paris, the park is now successful and making some profit.
After expanding Disney to Tokyo and Paris, there has been somewhat of a success. The Hong Kong Disney Land is making changes after seeing the backlashes of Disneyland Paris. Some improvements include, making the park a smaller scale, giving the hotels and restaurants a “strong Chinese flavor”, and improving things that went wrong at Disneyland Paris. Some other obvious pros to expanding internationally would be their sales expansion, resource acquisition and risk minimization.
Because this was the first offer for a Disney theme park outside the United States, I feel the Walt...
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