Oli Analysis for Disney Into China

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The Walt Disney Company penetrated into Chinese market by first launching the Hong Kong Disneyland in 2005. It has been operated by Hong Kong International Theme Parks, a company jointly owned by the Government of Hong Kong and Disney. Entry mode: Joint Venture---an option between a licensing agreement(Tokyo) and a WOS(wholly-owned subsidiary, horizontal FDI,Paris),with its own advantages and disadvantages.

Ownership advantage

1,The Walt Disney Company has products and production processes to which other companies do not have access e.g. A)copyright(knowledge capital)&reputation
Under the Berne Convention for the Protection of Literary and Artistic Works, the signatory states are required to provide copyright protection for a minimum term of the life of the author plus fifty years, but they are permitted to provide for a longer term of protection. (The United States did not become a Berne signatory until 1988, but had previously provided for the minimum copyright term the convention required in the Copyright Act of 1976.)

The Walt Disney Company created numerous classical animation images which all enjoy copyrights.In other words, Ownership advantage relating to the possession and exploitation of monopoly power,which undoubtedly created an entry barrier.

B)resource&capability

Pixar Animation Studios---a subsidiary of The Walt Disney Company, is an American computer animation film studio based in California. The studio is best known for its CGI(Computer Graphics Interface)-animated feature films. Pixar has produced thirteen feature films, beginning with Toy Story (1995). It was followed by A Bug's Life (1998), Toy Story 2(1999), Monsters.Inc. (2001), FindingNemo (2003), The Incredibles (2004), Cars(2006), Ratatouille (2007), WALL-E(2008), Up (2009), Toy Story 3 (2010), Cars 2 (2011), and Brave (2012). Twelve of the films have received both critical and financial success.The sudio has earned 27 Academy Award,seven Golden Globe Awards, and...
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