Part - A
Question 1. Which strategic action Disney took in terms of consumer focused initiative? Give examples.
Disney had global recognition and an association with fun and family, but senior managers and strategists now understood that they need to truly understand the cultures of their host nations.
They see that consumer always attract with their culture oriented place. Because in case study we see that in most of the Disneyland they try to focus as per the area or their cultural values. So for that they apply different strategies for increasing their business in non-american markets of the disney.
For example
In early stage of Disney opening in Paris, we find that Disney was accused of ignoring French culture and criticised for exporting American imperialism in its European venture. The issues regarding language, alcohol consumption and pricing of tickets and merchandise damaged the Disney brand.
From the above negative things they do some measure changes. First, the name euro Disney was changed to a more nationalistic Paris Disneyland, so that the French would be more receptive to it. They implement some strategies like,
• Focus on hiring an outgoing and friendly Disney cast
• Increased training
• The placement of additional Disney characters throughout the park. They include the French culture.
• Remove the ban on alcohol in the theme park.
• Lowering the corporate Disney premium on admission, merchandise, hotels and food
• Relaxing Disney’s hierarchical management
Lessons the company should have learned Through past experiences Disneyland and its management teams have most certainly learnt the importance of culture and national differences in working styles, consumer preferences, laws and public expectations and that before initiating any international project the studying of the host countries culture is the outmost priority. Having a person in its top management, which already knows the language, the culture and the way of life in the welcoming country can be helpful. Nevertheless, this is not sufficient. To work in a cross-culture environment, the company has to be open to new suggestions and be prepared to learn from new foreign employees and consumers alike. Moreover, to satisfy the local customers, cultural differences should be included in major final decisions. For instance, the price politic should be adjusted to the local expectations. The same goes
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.
Other than that, each park is designed and structured towards the country’s culture. As operations exist outside the United States, Disney had to consider and accept the cultural differences between their home market of the United States and different international markets. A key theory that assisted Disney in global expansion to Shanghai, China is the understanding of Hofstede’s cultural factors which focuses on six cultural dimensions; power distance, individualism/collectivism, masculinity/femininity, uncertainty avoidance, long-term/short-term orientation, and indulgence/restraint (Steers, 2016). “Hofstede compares culture to the “software of the mind” that differentiates one group or society from another.” (Steers, 2016). Figure 1 illustrates the cultural differences between China and the United States through Hofstede’s six cultural dimensions.
The Disney Corporation has had both positive and negative effects on American society. Disney has majorly affected both the youth and adults in America by way they interact with each other, what they expect from each other, and how parents bring up their youth in harsh and unrealistic expectations according to Disney. Disney has fostered a strong sense of imagination in the past, present and future youth of America. This sense of imagination is necessary to the development of children when it comes to success in life and self-confidence. The Disney Corporation knows how to work it’s audience for a profit and mastering that skill has allowed Disney to accumulated billions by advertising and selling fantasies to young children and their parents. It’s also these very ideas that influence what Americans believe our government and policies should be founded on. In “The Mouse That Roared” the author states “Education is never innocent, because it always presupposes a particular view of citizenship, culture, and society. And yet it is this very appeal to innocence, bleached of any semblance of politics, that has become a defining feature in Disney culture and pedagogy” (Giroux 31) This quote defines Disney at large. Disney has created the idea of ‘imagination’ in American society and perpetuates it in everything America does and influences everything America stands. In everyday American life, politics and business, The Disney Corporation has a hand in it.
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.
Globalization. Walt Disney Products and Services are found all over the world in different forms and areas. Disney has focused on growth internationally in the last few years. As a global brand, Walt Disney International provides oversight of the company’s
The Walt Disney Company’s business model is to create value by providing family entertainment to people all over the world. The company owns television networks and various production studios as well as many different parks and resorts that provide families with the opportunities of creating memories. The company also offers consumer products and interactive programs that provide families with further entertainment. By offering consumer products like toys, DVD’s, books, and many others, the company goes into the customer’s home and provides permanent entertainment. The company’s eleven parks and forty-four resorts are spread all over the world and provide the company with customer value
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
Disney has become a marketing goliath and the #1 entertainment company in the US. They have been able to develop a creativity-driven philosophy that over time was tempered by financial responsibility and that benefitted from powerful synergies between its divisions. From the very beginning, Disney has been synonymous with innovation within the children’s entertainment industry, from their introduction of animations with synchronized audio, full-length animated feature films and then later into theme parks and on-ice and Broadway shows. One important element of Disney’s success was the extent to which they integrated and expanded into different
Walt Disney once said, “All our dreams can come true, if we have the courage to pursue them.” Walt Disney was one of the most successful entrepreneurs of all time, a man who took a dream and pursued it, making a worldwide famous company, Walt Disney World. This paper will look at the history, financial situations, and marketing strategy of Walt Disney World. As Walt would say, “Sit back and enjoy!”
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.
"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.
This paper will analyse a recent period of strategic change at The Walt Disney Company which began in 2005 with the appointment of current CEO Robert Iger. The company began to experience halted growth during the late 1990s. The former CEO Michael Eisner had been successful himself in the late 1980s in changing the company during what is known as the Disney