Preview

The solution of DISNEYLAND RESORT PARIS

Good Essays
Open Document
Open Document
531 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
The solution of DISNEYLAND RESORT PARIS
What is main problem? The most important problem?
How do you think culture impact the problem?
What factors other than culture that cause the problem?
For this case, what would you do moving forward in the future?(solution) should be flexible and the most created part. Solutions should match the problem.

1.The main problem is that the Disney Paris was struggling to be profitable under Europe’s multi-culture background which is underlined by the specific French culture.

Tokyo Disneyland was the profitable Disneyland in the world, everything that worked well in the US was positively received in Tokyo despite the obvious culture distance. But unfortunately, when the Euro Disneyland opened in 1992 in Paris, the story did not follow the Tokyo script. The Decreased Revenues coupled with an investment burden that was hard to carry, put an end to the optimism and euphoria. Financial difficulties had plagued the resort since it opened, crippling its ability to invest and creating urgency for short-term cash flow.

So how to adapt the multicultural business environment in Europe especially the cultural in France to make Disney Resort Paris became a profitable company is the most difficult challenge.

2.Culture is the core factor cause the problem. Euro Disneyland (now Disneyland Resort Paris) is the first multicultural park. Some people see Disneyland Resort Paris as a bastion of American Culture imperialism in Europe. Dominique Cocquet, Executive VP of Development and external Relations, said “In the beginning, on the French side, there was some easy and non-rational anti-Americanism”. It is predictable that the Euro Disneyland experienced the cultural shock in France.

As the largest Western European country, France is a nation that takes immense pride in its history and prominent culture. Such cultural identities play a crucial role in French business culture. When encountered the foreign culture especially come from America French people have a kind of

You May Also Find These Documents Helpful

  • Good Essays

    In order for Disneyland Paris to keep running successfully, it has to look at the main factors that can affect its business. The main factors should be analysed by the developing company to be more aware of how to manage their target market. Disneyland Paris has many target markets which the main one is “Disney family” so they need to think through what kind of products that they have to offer to this type of customers and how they’re going to market it. This type of customers “Disney family” is a really important because it’s such a large target market and so therefore the market team needs to be more aware of how they’re going to take advantage of this large market.…

    • 718 Words
    • 3 Pages
    Good Essays
  • 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
  • Powerful Essays

    Disney Theme Parks

    • 2251 Words
    • 10 Pages

    As the well-known multinational enterprise, Walt Disney company has achieved a great success in its oversea project. The company set up Disneyland in Japan, France and China successively. But it carried out different policies according to different areas. The report will analyze the motivations of setting up abroad. And define…

    • 2251 Words
    • 10 Pages
    Powerful Essays
  • Good Essays

    That is what led to another issue in France at the Walt Disney park and it was the admission price to the park was high. When reconstructing, Disney wanted to come up with ways that made the people comfortable, and want to come back. The changes they initiated was they reduced the price, change the name, and they started to focus on the culture differences in…

    • 802 Words
    • 4 Pages
    Good Essays
  • Good Essays

    Walt Disney paper

    • 1102 Words
    • 3 Pages

    Since opening in 1992, Euro Disney, or currently recognized as Disneyland Paris, has become one of the largest tourist attractions in all of Europe. Though touted as one, if not the happiest places on earth, financially it is not much but a mirage. Euro Disney has not turned a profit since 2008, and has already had to be bailed out on 3 other occasions over its 2 decade existence. To many investors, this does not surprise them that it is happening a fourth time. Euro Disney has followed the same cycle that all products go through. This is known as the International Product Life Cycle Theory. Much like the regular product life cycle, the international theory adds on three stages, new product, maturing product and standardized product. In 1992, Euro Disney would have been going through the new product stage of the cycle. A theme park of the magnitude that Disney has to offer would have been completely different than anything already existing. In this sense, it was innovative in what it had to offer. This allowed Disney to uniquely place their product within the European marketplace. Eventually over the next couple decades, demand for the Disney product slowly started to decline. This is the company entering into the mature product stage. There are many factors that can go into this transition,…

    • 1102 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Euso Disney Stakeholders

    • 859 Words
    • 4 Pages

    Euro Disney S.C.A is a French public company that owns the well-known Euro Disneyland Paris. I have chosen to study this company because it was the subject of many controversies .The French society considers that by encouraging the American brand ``Walt Disney`` will unfortunately lead to `cultural imperialism`. French media and labor unions mounted protests against ``Walt Disney`` because the American managers tried to enforce specific rules without taking into consideration cultural differences. A journalist in the French newspaper ``Le Figaro`` wrote, “I wish with all my heart that the rebels would set fire to Euro Disneyland."[i] It is not easy at all to import a brand especially when USA and France have different cultural and economical backgrounds, codes, regulations and laws. I find it challenging to understand how Euro Disney S.C.A succeeded to pursue its goal and what assurances they gave to its stakeholders as the environment becomes more and more volatile.…

    • 859 Words
    • 4 Pages
    Better Essays
  • Powerful Essays

    Disneyland Paris is facing problems since they first started up. They expected amount of visitors wasn´t reached and they expected a lot more French visitors in comparison with visitors from other countries…

    • 2659 Words
    • 11 Pages
    Powerful Essays
  • Good Essays

    Management Problems in Disneyland While setting up new Disneyland’s internationally, the management came across several cultural problems especially in France and Japan these were very severe. Here some examples of the problems, which occurred in Euro-Disneyland in Paris and Tokyo. Firstly, there was a lack of understanding and appreciation of cultural differences between the U.S. and the French working and management styles. The…

    • 1190 Words
    • 5 Pages
    Good Essays
  • Powerful Essays

    Euro Disney SCA formally launched its theme park to Europeans in April 1992 near river Marne, 20 miles East of Paris. It was the biggest and most lavish theme park that Walt Disney had built bigger than any of its Disney parks around the world. The location was chosen over 200 potential sites in Europe from Portugal through Spain, France, Italy and Greece. Disney Management expected Europeans to receive the theme park in the same behavior that their Japanese counterparts for Disneyland-Tokyo did for Mickey Mouse and other famous Disney characters but, in 1992, amount of visitors reached only 9.2 million and spent 12% less on purchases than the estimated $33 per head, and the projected attracting 11 million visitors and operating of S100 million during the first year of operation became a loss of $900 million by summer of 1994 since opening. Development Crisis looms and rescue was put on October 1994. The park's name was officially changed from Euro Disney to "Disneyland Paris", in order to more closely link the park with the romantic city of Paris, and to disassociate itself with the poor reputation that has become linked with the phrase "Euro Disney". The tide turnaround in 1996, Disneyland Paris became the most visited tourist attraction in France with 11.7 million (increase 9% from the previous year), being one of Europe's leading tourist destinations. Later entering Hong Kong, although, Disney was determined not to make the same cultural and management mistakes in China that had plagued Disneyland Paris, they don’t predict the coming hurdle in China that is limited knowledge of Disney characters and lore. However, plans to increase the capacity in China will help to promote awareness of the Disney name among the mainland Chinese population and cement ties with Beijing.…

    • 1756 Words
    • 8 Pages
    Powerful Essays
  • Good Essays

    Following on from the success of the DisneyLand theme park in Anaheim, plans to build a European version first started around 1975, nine years after Walt Disney died. Initially Britain, Italy, Spain and France were all considered as possible locations, though Britain and Italy were quickly dropped from the list of potential sites because they both lacked a suitably large expanse of flat land.…

    • 1230 Words
    • 5 Pages
    Good Essays
  • Good Essays

    Etch a Sketch

    • 679 Words
    • 3 Pages

    Disney made some very crucial mistakes. First they did not do their market research. It took them so long to open, that the research should have been going ongoing. They made their decisions based on assumptions. They assumed people would spend many days at the park, they assumed which days would be busier, and they assumed that the French would prefer French food, without alcohol. These were all incorrect assumptions. Determinants of demand include consumer tastes and preferences, market size, income, prices of related goods, and consumer expectation which should have been researched. Any change or wrong choice in any one of the above determinants can cause an alteration in the overall demand of a good or a service. The only correct assumption was the potential market of 327 million Europeans. All these wrong assumptions contributed to the losses of Disney.…

    • 679 Words
    • 3 Pages
    Good Essays
  • Satisfactory Essays

    IB207 case2

    • 410 Words
    • 2 Pages

    First, Euro Disney’s poor performance due to the management lacked on understanding of the cultural difference between two nations. Disney goes (very deep) into the American consciousness, its themes were chosen to appeal to a wide variety of American interests and tastes, its parks were filled with images of American culture, and its cartoon characters had become staples of the American youth experience. In conclusion, Disney is too "Americanized." Although Euro Disney did some work to adapt, it is not good enough to convince consumers. After all, since Paris is the culture capital of Europe, French think their culture being deserved more respect.…

    • 410 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    The major factors led Euro Disney’s poor performance was the lack of cultural consciousness and market survey. Euro Disney was built according to other American Disney parks without thinking about the culture difference. They used all American characters instead of French famous cartoon characters. Alcohol was prohibited in the park where enjoy drinking is a part of local culture. Costumers needed breakfast while they downsized the breakfast supply cause they were informed erroneously. Price policies were wrong so that costumers cannot afford it. Europeans vocation was not as long as Americans’ so they cut the hotel expense. In addition, the transatlantic airfare went down make it cheaper to go to Florida than costumers go to Paris.…

    • 1454 Words
    • 5 Pages
    Powerful Essays
  • Better Essays

    Disney in Tokyo and Paris

    • 1231 Words
    • 5 Pages

    Disney failed to realize that while its strategy in Japan worked for Japan, its Japan strategy was not going to work in Paris. Disney decided to photo copy their operation and learned that was not acceptable. In 1992, several unforeseen issues arose that Disney was not prepared to handle. There were transatlantic airfare wars and currency movements that lead people to avoid traveling to Paris. Also, Disney was expecting a flocking of French people to visit the park; yet again basing their assumptions on the performance of the Japanese park (Cateora & Graham, 2007).…

    • 1231 Words
    • 5 Pages
    Better Essays
  • Satisfactory Essays

    business term

    • 494 Words
    • 3 Pages

    Disney officials were optimistic about the project. Their U.S parks, Disneyland and Disneyworld, were extremely successful and Tokyo Disneyland was so popular that on some days it could not accommodate the large number of visitors. Simply put, the company was making a great deal of money from its parks. However, the Tokyo park was franchised to others and Disney management felt that it had given up too much profit with this arrangement. This would not be the case at Euro Disneyland. The company’s share of the venture was to be 49% ($160...…

    • 494 Words
    • 3 Pages
    Satisfactory Essays