Disneyland Resort Paris: Mickey Goes to Europe
Disney believed in magic. Disney is a common household name. In fact, some toddlers can recite the name of their favorite characters from their favorite Disney movie. It is not uncommon to see adults watching a Disney movie, and I would venture out and say most Americans have been to Disney Land or Disney World once in their life. Needless to say, Disney is part of the American culture. However, translating the success that Disney has had in the United States to another country can present a lot of challenges. As we will see, in this case, Disney did not do their homework when it came to planning this project in Europe. Some of the challenges that the company had were their makings such as hubris management and a lack in understanding their customer’s cultural differences When a company enters a foreign market, the company’s management team should work hand in hand with managers from the home country to have a better understanding of what the culture is like. In this case, I feel that Disney did not do that. One telling point is that Disney changed its leadership from American to French some fifteen times. The second point about the leadership of Disney was that the American and French leadership styles were often confronted. Another point is that the company did not have the support of Francois Mitterrand, the French president. Disney failed to understand and meet their customer’s cultural needs. Understanding
Introduction The Walt Disney Company is an American diversified multinational mass media corporation. It is the largest media conglomerate in the world in terms of revenue. It generated US$ 42.278 billion in 2012. Disney was founded on October 16, 1923, by Walt and Roy Disney as the Disney Brothers Cartoon Studio, and established itself as a leader in the American animation industry before diversifying into live-action film production, television, and travel. The Walt Disney Company operates as five primary units and segments: The Walt Disney Studios or Studio Entertainment, which includes the company's film, recording label, and theatrical divisions; Parks and Resorts, featuring the company's theme
The case “Euro Disney: First 100 days” talks about the issues faced by the Walt Disney Company when expanding to international borders. The case begins with the history of Disneyland and then describes the reasons behind its success and expansion to various states across the country. It then describes the success of Tokyo Disneyland, first Disney theme park outside America and the factors affecting it.
In addition, the politicians’ negative publicity and the cultural leaders’ unfriendliness toward the Euro Disney theme park caused the company to close down one resort hotel and laid off 5000 employees. Taking this into account the Euro Disney marketers should have anticipated peoples’ resistance toward the Theme Park and should have changed their positioning in
The Disney Corporation is a leading diversified international family entertainment and media enterprise with five business segments: media networks, parks and resorts, studio entertainment, consumer products and interactive media. (Disney Corporate, 2009). This company did not become one of the leading corporations in the world without hard work, an extreme dedication to the mission and core values of the organization, and the successful application of the four functions of management: planning, organizing, leading, and controlling. Many internal and external factors may have a direct impact on the four functions of management like: globalization, ethics, and innovation.
The Walt Disney Company is a media and entertainment corporation that is centered in the United States but also spans across North America, Europe, Asia- Pacific, and Latin America. Disney has five main components in which it operates, which includes media networks, parks and resorts, studio entertainment, consumer products, and interactive.
Culture difference will influence the number of tourists and the acceptance level of customers. Euro Disney followed the brand policies to the English instructions only, no wine providing in the theme park, high price of ticket, and standardized merchandise and food items,consequently wide spread dissatisfaction among the customers. When a new brand enters different cultures, it is inevitable for customers in new market to repel it or spend much time to accept it,so the new brand should be brought closer to local culture by providing a platform to interact with the brand in customer’s terms. Also culture different will bring different consumption patterns, Europeans are likely to spend reasonable price on entertainment, so the price of Euro-Disney will be too high to accept and decrease the number of tourists in Euro-Disney. Different culture has different drinking and eating habits,Euro-Disney forbad drinking wine in lunch time,but most French like to drink wine when they enjoy their meal. All of these elements deriving from culture difference will influence the revenue of Euro-Disney and even result in the failure of Euro-Disney.
The Walt Disney company is considered to be one of the world 's multi-national conglomerate in terms of revenue. It was founded in 1923 by Walt and Roy Disney initially named the Disney Brothers Studio. The initial foundation of the company was based on cartoons and animation. The biggest status of success was the establishment of the most recognizable characters in the world Mickey Mouse. Fast forward nearly a century later The Walt Disney company is an empire and leading name in family entertainment along with a diverse amount of other entertainment and media options. This company has significant reach in many markets.
As we know, Disneyland is very success in U.S. when the first Disneyland built in Anaheim, California on 17 July, 1995. After some debate about the site for a European theme park, Michael Eisner and Jacques Chirac signed a contract for the building of s Disney theme park at Marne-la-Vallee, a region of sunflower and sugar-beet farmland and small villages located twenty miles east of Paris (Janis, F., 1998, P.247). However, the European Disneyland was not as such success as they expected. This essay going to regards the main issues in opening the Euro Disneyland and compare the French cultural with American cultural by using Hofstede’s cultural Dimensions and Trompenaars ‘s cultural dimensions. This essay will then end by
The wonderful world of Disney is alive and well all over the world, in the United States, China, Japan and Paris, bringing in an impressive 2.2 billion dollars and boasted a record number of nearly 134.4 million visitors worldwide, according to Themed Entertainment Association. (Themed Entertainment Association, 2014) Disney Paris, unlike other Disney parks, has not seen the same kind of success, due to a variety of issues, including cultural, financial, and business related decisions they did not factor well into the European market. It was not until Disney (US) bailed Disney Paris out, not once, but many times, before profit was seen by the popular European attraction.
With over 100 categories of products, Disney has developed several different product lines which contain numerous products (Disney, 2016). These product lines stretch from cruses, to amusement resorts, from cosmetics to clothing, and movies to video games and TV channels. Disney has developed a very large and wide diversification strategy that allows them more stability and strength in times of hardship.
Euro Disney could not modify the main theme of other Disney parks to create something unique for Europeans. Restaurants were not prepared according to the European eating habits and one of the biggest mistakes was not selling alcoholic beverages in the park which has very close connection with French culture. Customers had to leave the park to buy those from outside.
5. Tokyo’s overwhelming success encouraged Disney to conquer the European market. They felt that they were able to evoke international appeal of the Disney concept and it would not be a hard task to wet their feet in Europe.
"Cultures are dynamic and change occurs when resistance slowly yields to acceptance so the basis for resistance becomes unimportant or forgotten"[2]. Which means that on the part of the European community we are certain to see compromise, but over a period of time. Disney too has to reconcile with the environment it has settled in. We read in the case that Disney does ultimately mend its ways. Making room for continuous change is the best way to go about ones business.
A conglomerate is a large company that owns several media products. The conglomerate I have chosen is Disney/ ABC. headquartered in Burbank, California. It is one of the largest media conglomerates in the world in terms of revenue. Disney was founded on October 16, 1923, by Walt and Roy Disney as the Disney Brothers Cartoon Studio (SEGD 2014). Widely known and bringing in a lot of revenue, this company continues to grow.
The main problem of the Euro Disney was that all calculations made by Walt Disney Company were based on parks in the USA and Japan considering Europe as a mass of people rather than many countries with different languages and cultures. Americans see theme parks as a destination where you can stay between 4 and 6 days. In Europe, Euro Disney was seen as a part of the experience when traveling to Paris. The cost was also a problem for the park. A night in a hotel inside the park costs as much as a high quality hotel in the French capital. So, given that the park was located 40 minutes by car from Paris, visitors preferred to spend a night in the romantic city of Paris.