Preview

Hong Kong Disney Case Study

Satisfactory Essays
Open Document
Open Document
1122 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Hong Kong Disney Case Study
Tuyen Tran
BAD 345-03
9/9/2014
Hong Kong Case Study

Hong Kong Disney land was an optimistic business idea that was supposed to further propel the Disney brand into the Asian market. After a successful operation in Tokyo Japan Disney thought that the Hong Kong market would follow suit. However, Hong Kong Disney was not the success Disney had hoped and was losing costumers and money early on and was not seeing any profits. Disney was not sure why locals and tourists were coming to their park and tried many promotions and strategies to get locals, mainland tourists and oversea tourist to their park. The park was frequently operating at half its capacity. Other issues the park was having was employees complaining of long work hours, not getting paid for overtime and too little break periods. Customers also thought the park was overpriced, way too small and was very crowed. A big reason why Disney was going downhill was its neglect for many issues that faced the company in Hong Kong. First was the size of the park issue that hurt Hong Kong Disney. It was smallest of all the parks with only 42 acres for rides. It had the exact same rides as the park in Anaheim California but just a smaller version. This hurt them as Many Hong Kong residents had visited other Disney parks around the world and got the smallest version possible. I kind of feel this was a slap to the face of Hong Kong. By making a smaller park this mean longer wait times and over crowd might be an issue. The people of Hong Kong are notorious for not liking to wait in lines. The employee treatment was also critical in why Disney was doing badly. Since Disney was an American company I believed people thought they should have had better standards for their employees similar to the employees in America. This was not the case as Disney took advantage of their employees with demanding work schedules and long hours. This treatment led to bad press and unhappy employees. Employee happiness is

You May Also Find These Documents Helpful

  • Satisfactory Essays

    The Walt Disney Company were faced with cultural problems in opening theme parks outside the U.S. They wanted Mickey Mouse to grow international bounds in their foreign theme parks. The other countries did not want the American icon Mickey Mouse as a representation of their culture. They had to develop new attractions, lower admission prices and a massive marketing campaign to increase attendance. Disney had to learn and understand culture in the countries so it can appear universal, events, trends, and cuisine was their expressing their message. They had to understand the culture such as the fourth floor was passed over at all hotels because of a culture belief that the number four was bad luck in Hong Kong. One of the Disneyland ballroom…

    • 161 Words
    • 1 Page
    Satisfactory Essays
  • Satisfactory Essays

    Another problem associated with international marketing in Chinese market for Disney Walt would be dealing with wage disparities. In China there is cheap labor that means low wage rates. However, if Disney Walt brings its US employees to China they would not only misunderstand the tastes and preferences of the locals but they will also face high cost of accommodation and food.…

    • 332 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    As we all know Walt Disney is an American icon, and has been since the 1930s (Ferrell, Hirt, & Ferrell). With the popularity of the company in American, that made the company want to expand to other countries. The two Walt Disney parks were started first in California and second in Florida (Ferrell, Hirt, & Ferrell). Walt Disney seen how well they were doing, and decided to spread the business to Paris and France 10 years later. There was also a Disney that opened in Hong Kong in 2005 (Ferrell, Hirt, & Ferrell).The Disney parks that were opened in the other countries were not performing well.…

    • 802 Words
    • 4 Pages
    Good Essays
  • Powerful Essays

    World: Out with the Old and in with the New? International Journal of Management Research and Emerging…

    • 4503 Words
    • 19 Pages
    Powerful Essays
  • Powerful Essays

    Hong Kong Disneyland, a 310-acre amusement park, is a joint venture between the Hong Kong government, who possesses 57 percent of the project, and Disney. The project is an adaptation of the American Disneyland but on a smaller scale. The aim of the project is to provide a family vocation resort to this financial based city. Though the project brings significant economic values to the city by creating new jobs and attracting visitors, it also suffers criticism. The major issues focus on the pollution, consumption of endangered animals, and labor issues.…

    • 1161 Words
    • 4 Pages
    Powerful Essays
  • Powerful Essays

    Introduction: The Walt Disney Company is on the threshold of a new era. Michael Eisner has stepped down from his position as CEO and turned over the reigns to Robert Iger. A lot of turmoil has been brewing through the company over the last four years; many people are hoping that this change in leadership will put Disney back on the road to success. Issues began around mid-2002; when declining earnings, fleeing shareholders, and falling network ratings were met with a financial lawsuit against copyrights regarding Winnie-the-Pooh. Then in 2003, Roy Disney (nephew of the creator) resigned from the Walt Disney board. His cited concern was over Eisner’s management style, timidity in investing, unclear succession plan, and a “creative brain drain” of the company. Soon after, Stanley Gold, a longtime financial adviser to the board, followed Roy Disney out the door. Both shareholders were determined to show their muscle to get Eisner out of the CEO chair. While in the other corner were the strategic business partners, Pixar and Miramax, which were frustrated with the unfair treatment and dealings of Eisner. Eisner’s excessive filtering and approval process has affected the employees ability to shine in the realm of creativity. After several years of fighting, Michael Eisner agreed to step down in January of 2005. Eisner left in his wake business partners who were fed up with trying to deal with Eisner’s demands; board members and employees who lost their faith in the ability to have a vision of the future; and customers who were lacking in their support of the Disney brand.…

    • 5238 Words
    • 21 Pages
    Powerful Essays
  • Better Essays

    Disney Case Study

    • 2508 Words
    • 11 Pages

    In July 1923, Walt Disney and his brother Roy started their film business but they got their first real break in 1928. Walt produced Steamboat Willie, the first cartoon with sound and also introduced a new star Mickey Mouse. In the decades it followed, Walt became an extraordinary filmmaker, a motion picture innovator and pioneer. The name “Walt Disney” became universally known as the symbol of the finest family entertainment. The business activities of the company are in four segments: (1) theme parks, (2) films, (3) consumer products and (4) real estate development.…

    • 2508 Words
    • 11 Pages
    Better Essays
  • Better Essays

    In view of the management experience and success achieved of two native Disneylands and the Tokyo Disneyland, the Euro Disney was full of high hopes and expectations by the Disney managers. However, the Euro Disney has experienced numerous frustrations at the begining. It was not until November, 1995 when the Euro Disney for the first time announced its very first annual operating profit (“The History”, 2006).…

    • 1353 Words
    • 6 Pages
    Better Essays
  • Better Essays

    Disney Analysis

    • 1393 Words
    • 6 Pages

    Growth in the theme park industry is a challenge in today 's market. Theme parks will not grow if they don 't diversify their resources. The Walt Disney Corporation is a nation wide multi-varied entertainment company which is a household name to millions of people throughout North America. Michael Eisner who is Disney 's chairman and chief executive officer knows that his company will have to diversify in order to meet his targeted growth rate of 20%. Eisner wants to follow one of Walt Disney 's famous quotes which is "We cannot hit a homerun with the bases loaded every time we go to the plate. We also know the only way we can even get to first base is by constantly going to bat and continuing to swing" In order for Disney to meet this 20% target Eisner knows he will need to look at new industries and overseas expansion to be successful.…

    • 1393 Words
    • 6 Pages
    Better Essays
  • Powerful Essays

    negative media coverage both before and after the launch. The park suffered a major blow…

    • 16122 Words
    • 65 Pages
    Powerful Essays
  • Good Essays

    Disney was overly ambitious, and had made serious strategic and financial miscalculations. It relied too heavily on debt, just as interest rates started to rise. It assumed a real estate boom would continue, allowing it to see some properties to pay off its debts. It made mistakes in the park itself, including cost overruns, a no-alcohol policy (in a country where a glass of wine for lunch is standard), too few bathrooms, and a mistaken assumption that the French would not want breakfast at the hotel restaurants.…

    • 696 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Disney Case Study

    • 2630 Words
    • 11 Pages

    Walt Disney Company is a $27 billion a year Global Entertainment giant which is an American based company started by Walter Disney in venture with his brother, Roy O Disney in 1923. In 1928, Walt Disney created Mickey Mouse for which Walt wanted to call his character “Mortimer” but his wife convinced him to be called as “Mickey Mouse” and since then Mickey has been a classical hit for Walt Disney. In 1937 Disney presented their first feature full length Musical animated movie called “Snow white and the seven dwarfs” which is still a huge hit and will remain in the hearts of its consumers forever.…

    • 2630 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    Disney Case Study

    • 3459 Words
    • 14 Pages

    Table of Contents Introduction................................................................................................................................3 Disney’s Current Published Mission Statement ........................................................................3 Proposed Mission & Vision .......................................................................................................4 Disney’s External Threats and Opportunities ............................................................................5 Competitive Profile Matrix ........................................................................................................5 External Factor Evaluation ........................................................................................................6 Disney’s Internal Strengths and Weaknesses ............................................................................8 Internal Factor Evaluation..........................................................................................................9 SWOT Analysis .........................................................................................................................9 Strengths:................................................................................................................................9 Weaknesses: .........................................................................................................................10 Opportunities:.......................................................................................................................10 Threats:.................................................................................................................................10 Recommended Strategies and Objectives ................................................................................10 Strategy…

    • 3459 Words
    • 14 Pages
    Powerful Essays
  • Good Essays

    Hong Kong Disney

    • 1153 Words
    • 5 Pages

    In this case analysis I will first show the requirements the company had for its financing. Then I will provide an analysis of the main pros and cons for Chase in connection with the deal. Lastly I will show how both affected the pricing as well as the execution of the deal. In order to build the new Disneyland in Hong Kong a new non-recourse object, Hong Kong International Theme Parks Ltd (HKITP) was formed.…

    • 1153 Words
    • 5 Pages
    Good Essays
  • Satisfactory Essays

    The venture into Hong Kong by Walt Disney was a simple example of a large successful western company not doing its homework. The case presents a clear picture of the importance of understanding a foreign market thoroughly before doing business there. Several factors led to an unsuccessful first year of operations and a majority of these factors could have been avoided with a better cultural understanding in the planning stages. One of the culture differences that was obvious to Disney was the fact that the children are not familiar with the Disney characters. Disney has established its brand and is a marketing poster child in the United States, however this advantage goes out the window in a country such as china that has sheltered itself from the outside world until recently. Disney thought that making a meager attempt at introducing the characters before the launch of the park would help, however familiarity isn’t synonymous with brand attachment. As listed in Global Marketing Management by Kotable & Helson, “Cultural Distance” is one of the six external criteria for choosing a mode of entry into a foreign territory, which was not accounted for by Disney. Cultural distance also recognizes the fact that different cultures have different expectations. This was also the case with China. As stated in the case, “for the tourists of Mainland China, going to Hong Kong means a shopping experience, and so they choose the cheaper alternative to Hong Kong Disneyland…” The case goes on to allude to the fact that the culture in China is one about dollars and cents – when a Chinese person spends his/her money, they are more interested in what they are physically getting. This is very…

    • 1118 Words
    • 3 Pages
    Satisfactory Essays