Name: Su Han Program: M2 Luxury Management Food&Wine Title of the case: Samsung and theme park industry in Korea 1) “Is the Global theme parks industry an interesting industry to be in?” a) Rivalry among existing competitors Is the industry growing rapidly? Yes,because of the increasingly fierce competition and the maturity of the market. Concentration Do the 4 biggest players have together more than 80% of market share? Yes, because 4 biggest players which are The Walt Disney Company,Time Warner’s Six Flags Corporation, Paramount, Anheuser Busch and Cedar Fair have together more than 80% of market share. Diversity of competitors Are competitors all of approximately the same size? No,because it depends on the land …show more content…
Yes, they have. In some countries, where land was scarce, governments limited the area of the land that the developers could take up for theme parks. Park administration was dependent on the government for utilities such as power, gas and water. A typical period required for arranging government approval for a theme park could be as high as two to five years,depending on the country. Product differentiation Are there any proprietary product differences in the industry? Yes,because the theme park industry had three classes of inputs: the building and construction services that provided landscaping and architectural support; the hardware providers that supplied amusement machinery; and the software providers that supplied management know-how. Are there any established brand identities? Yes, because the park manager should work with tour operators and government tourist promotion boards to draw the tourist crowds to their parks. Theme parks spent about 10 per cent of their annual revenues for advertising. Radio, newspaper, yellow page (telephone book) advertisements, family and group discounts, and direct mail were the most common promotional methods. Do customers incur any significant costs in switching suppliers? No, because the customers don't care about the price. Access to channels of distribution Does a newcomer to the industry face difficulty in accessing distribution channels? Yes, because theme parks spent about 10 per cent of their
So promotion delivers all the important messages behind the product that Thorpe Park believe will attract the customer and also convince them into coming to the park to experience the ride.
Competing amusement parks has upgraded their attractions to attract more consumers and Disney is has recently strategizing this approach to a more concentrated perspective. This can ultimately lower their revenues until the plan is complete.
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 1955, the most charming place in the world was ‘Disneyland’ was open for the public. The idea was to create a magical place for the whole family. Ever since then, Disneyland theme parks have been growing and today Walt Disney Company owns 14 theme parks in the world.
The heart of Disneyworld was designed to be named “Experimental Prototype City of Tomorrow.” According to “History of Disney World” from lovetoknow.com, the park built its own energy plants, food centers, laundry, and their own airstrip to become the “self-sufficient and self-governed world” envisioned by Walt Disney. (Santiago, n.d.).
The Walt Disney Company has seen their share of success in taking their parks and resorts into global markets. “60 years ago, the first Disney theme park opened, in California and was the brainchild of Walt Disney himself, who was motivated by the lack of entertainment options available to him and his two young daughters.” (Forbes, 2016). Disneyland California penetrated the market rapidly, and its popularity led to the opening of Disney World in Florida, followed by global expansion in Tokyo, Paris, and Hong Kong. Their latest expansion came in June 2016, on a 963 acres’ site in Shanghai, China (Xu, 2012). After one year in operation, Shanghai Disneyland is outpacing their most optimistic projections, and the park’s
After Eisner invested tens of millions of dollars to update and expand attractions and park facilities, Disney recovered its investment with attendance-building strategies. By creating a range of complementary services and entertainment at the park, customers stayed longer and spent more money. A plan was also put in place to develop Disney’s unused acreage and further maximize the profitability of these assets. One result of the above measures was that attendance at Tokyo Disneyland increased by 50% from 10.2m in 1983 to 15.8m in 1991.
It is not seen as an amusement park with thrill rides, it is seen as a completely different world in the eyes of the consumer. If a new business spent the capital to create a theme park, it still has to build a brand to compete with a global media giant with more than 50 years of experience.
Today, the Walt Disney Company is highly diversified - it is divided into 5 major business segments: Studio Entertainment, Parks and Resorts, Media Networks, Consumer Products, and Internet & Direct Marketing. Since this paper stresses on only one strategic business unit of Walt Disney, Parks and Resorts, the following discussion of the elements of marketing mix will be with respect to this SBU only.
The Disney differences are “high-quality creative content, backed up by a clear strategy for maximizing that content`s value across platforms and markets”. Not only that, it also it is the undisputed long-lasting champion of all vacation destinations in general, and theme parks in particular. That reason is that they do it all right, and no one else comes close. For sure, Disney Difference will affect the company’s corporate, competitive and functional strategies in a positive way. The corporate strategy should include some questions like “would it work?” which means suitability, “can it be made to work?” which is
are one of the leading reasons people vacation to many destinations. The theme park market is
First this includes theme parks, hotels and resorts, and Disney’s cruise lines. Disney has parks, in numerous global cities. In 2014 Disney had an 18% increase in operations (Gamble & Turnipseed 2014).
The Walt Disney Company is known throughout the world as a leader in entertainment. The strategies that the Walt Disney Company have used include competitive advantage, a growth strategy, and a renewal strategy. When a person mentions a theme park, Disney is the first park that comes to mind. They were not the first theme park, but they have mastered the art of creating memories for adults and children alike. As a former employee of Disney I can vouch for the amount of effort that goes into
South Korea is one of the most homogeneous countries in the world, in which it has its own culture, language, and customs that are different from other Asian countries. In South Korea, the citizens greatly value hard work, filial piety, and humility in their daily lives. South Koreans are very proud people in which they pride themselves in their traditional culture and their financial success.
When I was my 15 years, I watched my first Korean dorama. Then I did not know how it would exert an impact on my fate and view of life. This was the world-famous “Boys over flowers”, which became an occasion of my acquaintance with the country of morning freshness. I strongly believe that my life transformed for better and blossomed after watching this Korean dorama was watched by everyone, from the youngest to the oldest. It drew me in this world – the world of Korean drama, Korean pop and Korean cinema. Knowledge about Korea was increasing more and more gradually and new sides of Korea were opened. I found out the country is famous not only of the Korean wave, Hallyu, but also of kimchi, various traditional food, colorful nature and combination of tradition and modernity. And some pieces of the Korean culture and language are quite similar