...Map of Disneyland Hong Kong & its competitors 10 4.2 Porter’s 5 Forces 11 4.3 Porter’s 5 Forces Overview 14 5. Objectives 15 6. Strategy 15 6.1 Ansoff Growth Matrix 16 6.2 Position 17 6.3 Reposition 18 6.3.1 Sun Tzu Art of War Strategy 19 6.3.2 Attack Overview 23 Contents 7. Proposed Activities & Budget 24 8. References 28 Executive Summary Based on the case study ‘Export of American Fantasy World to the Chinese’, the authors critically analyzed the internal and external environment of Disneyland Hong Kong. Outlining the key strategic issues that the company has to deal with and providing recommendations of what Disneyland Hong Kong could do in order to once again achieve competitive advantage. 1. Introduction Disneyland Hong Kong having opened for over 10 years is still facing major problems until today. Over the years Disneyland Hong Kong constantly dealt with issues regarding social responsibility, negative publicity and competition with Ocean Park. Despite its current situation, Disneyland Hong Kong had a much bigger threat on its way - the opening of the Disneyland Shanghai. One of the major problems that Disneyland Hong Kong is facing today is the issue with its positioning, as its brand image is constantly being tarnish by the lack of social responsibility and negative publicly. This the report aims to analyze the current situation in Disneyland Hong...
Words: 5971 - Pages: 24
...Case Study: HONG KONG DISNEYLAND George Koduah UMUC Case Study: HONG KONG DISNEYLAND George Kofi Koduah, UMUC AMBA 660, May 2013 The Hong Kong Disneyland case study is an example of the global necessity for profitability and brand recognition across international boundaries. The case sheds light on the important roles of culture, legal, economic and practical management strategic decision-making in the success of Multi National Companies. Disney’s strategic mode of entry into the Hong Kong market and the marketing mix and strategies employed for operations are analyzed against the cultural, economic and competitive conditions prevailing on the Hong Kong leisure landscape. Alternative strategies have been suggested taking into consideration the nature of the brand, competition and the society in which it has to operating. Analysis The two major issues and management problems Strategy/mode of entry: Disney’s major challenges for entering the Hong Kong market centers on its strategic mode of entry into the Hong Kong leisure market and failure to device appropriate marketing systems that will make it acceptable and profitable. According to Daniels, Radebaugh, & Sullivan (2013) strategy is “management’s idea on how to best attract customers, operate efficiently, compete effectively, and create value that builds and sustains a company’s position within its industry (p. 809). Globalization and the need to broaden product and market coverage for increased profit and...
Words: 2505 - Pages: 11
...The Walt Disney Company is an American institution closely identified with Mickey Mouse and world-famous theme parks. Hong Kong Disneyland was the Walt Disney Company's third international theme park outside America, after Tokyo and Paris. Interesting enough, both the Hong Kong and Paris theme parks had its chief replaced in less than a few months after the park's opening, if these corporate moves were anything but indicative. In September 2006, the Hong Kong theme park announced it had missed its first year attendance target of 5.6 million. Often criticized as the smallest Disneyland in the world, the Hong Kong theme park had been tipped as a "stepping stone" for the American company's entry into mainland China. If it was indeed to serve as a prototype for another Disneyland in China, it would be critical for the management of Hong Kong Disneyland to come up with a recovery plan and realign its strategy to improve its image, boost attendance and deliver its revenue target. This case can be used to explore what could be done to enhance the smooth delivery of the American fantasy in the alien culture of the Middle Kingdom. (Bennett Yim Josephine Lau). Moreover, Hong Kong Disneyland is one of the world largest entrainment businesses of the world. During the 1920s and 1930s Disney just had studio and theme park but at the end of the 20th century it had several TV networks, several theme park a cruise lines, malls, airports, hotel resorts and so many other entrainment units which...
Words: 3955 - Pages: 16
...W Hong Kong compare with Hong Kong Disneyland Hotel Table of content Introduction3 Hotel backgrounds4 Facilities and services 6 Room types and room rates8 Amenities9 Target markets11 Conclusion14 Referencing15 Introduction Hotel always labeled into different level to identify the level of service hotel is provided. In this report, we are going to compare same level hotel but different type in Hong Kong. One is W Hong Kong which is the winner of Traveler Choice and Certificate of Excellence in 2013, another one is Hong Kong Disneyland Hotel which has established as a premium world class vacation destination. Although they are in the same level, the type of the hotel is totally different. Therefore, we want to follow this direction to compare the difference of two hotels, such as the feature of hotel what are the selling point of hotel, what product and service they have conducted. First of all, we will base on the basic information and ownership of two hotels. Secondly, to compare the service and product they have. For example, for the facilities do they have swimming pool, laundry etc. For the service do they have same special offer like reward program. For the product, what about the room type, room rates and amenities inside guest rooms. Finally, one is theme park hotel another one is business hotel that their target markets will be huge difference, so we want to though the market segments and characteristics of them to contrast the different of target market...
Words: 2634 - Pages: 11
...Hong Kong Disney Land Marketing Plan Executive Review Hong Kong Disneyland (HKD) vision is to be Asia’s premier resort destination creating magical memories for our guests, cast and community HKD resort’s mission is to inspire happiness and deliver a world class experience through creativity, great leadership and a passionate cast HKD has made a start that was not as successful as expected in the beginning of 2005, as the annual attendance was 5 million short of the expectations. This unsuccessful start was partly due to some misunderstandings of the Chinese culture, some operational problems that resulted in long queues and dissatisfied employees along with dissatisfied customers as well, which resulted in a negative publicity about HKD In 2006, HKD aims to achieve an annual attendance of 12 million visitors and to turn around the negative publicity that occurred in 2005. These optimistic goals will be achieved by modifying the product offer, the way it is offered and the employee offering it. Also corrective measures should be taken to improve HKD publicity Situational Analysis Macro environment Analysis Political/Legal Situation: Hong Kong is a Chinese Special Administrative Region which gives the opportunity of implementing the policy of "one country, two systems". The government is economically liberal but currently lacks universal suffrage except for District Council elections and Legislative council seats for geographical constituencies Hong Kong Legislative...
Words: 5914 - Pages: 24
...Hong Kong Disneyland – Case Discussion MSBC650 – Integrated Marketing Communication Hong Kong Disneyland Outline of Discussion Plan I. Overview a. Hong Kong 1997 – 1999 b. Disneyland i. America ii. France iii. Japan c. Disneyland in Hong Kong II. SWOT Analysis a. Strengths i. Appeal to Chinese culture ii. Communications conducted in three different languages b. Weaknesses i. Crowd control problem ii. Replaced chief in less than five months after opening iii. Poor working conditions c. Opportunities i. Growing population of youth and growth of middle class ii. Hong Kong economy had a notable rebound in 2004 d. Threats i. Ocean Park competition ii. 2,000 theme parks built in China between 1994 and 1999 III. Questions a. HKD had mechanisms in place to adapt to local Hong Kong culture, yet these means appeared to be ineffective. Why? What areas, in terms of Cultural adaptation, still need further improvement? b. What can HKD do to alleviate the problem of Chinese guests often not knowing the norms of international behavior when traveling abroad? c. Identify two issues challenging HKD’s current operations, and propose corresponding solutions. d. What would be some foreseeable challenges if Disney...
Words: 1806 - Pages: 8
...report analysis of Hong Kong Disneyland. This analysis will examine the effect of the national culture of the Hong Kong in relation to the business operation and other several various factors of that affects the business conduct of chosen industry. The industry chosen by the writer is Hong Kong Disneyland (Disney, for brevity). Hong Kong Disneyland was a theme park built and operated by a new-joint venture company, the Hong Kong International Theme Parks Ltd. (HKITP), as formed by the Hong Kong Special Administrative Region Government and the Walt Disney Company. The author uses Disney as the subject of the paper as it is a new in the business industry. It has been conducting business since the year 2005, hence, assessment and analysis about the company is still few. This report will give a brief background about Disney. The analysis portion applying the different methods for strategic analysis in order to examine the remote and close environments of the subject company will follow the background. The paper will use some cultural theories in order to provide a comprehensive background as to the cross cultural awareness of the company with the culture of a state. BACKGROUND Hong Kong Disneyland is built and operated by a new-joint venture company, the Hong Kong International Theme Parks Ltd (HKITP), as formed by the Hong Kong Special Administrative Region Government and the Walt Disney Company. It is the fifth (5th) Disneyland style Park, which located...
Words: 1847 - Pages: 8
...multinational mass media and entertainment company, founded in Burbank, California in 1923 by two brothers Walt and Roy O. Disney. The companies success can be attributed to the ability exceed customer’s expectation and deliver magical moments to the audience. The main core value of the company can be identified in the cast members, who are considered the main bridge to deliver the company’s core values. As well to support cast members the company equipped the park with new technologies, the process not only reduce waiting time but also increase customer’s satisfaction. However the company initially face some globalization issues due to the lack of communication between corporate and regional offices. Walt Disney today in order to avoid culture clash has enabled local office globally distributes to compare and contrast the local customs and demands. The company in order to financial grow and reaming the leader in this...
Words: 3137 - Pages: 13
...Susan Sung, M.S. Chairperson of the Committee _______________ Chao-Chang Wang, Ph.D. Chairperson of the Department of Applied English Department of Applied English Ming Chuan University Kweishan, Taoyuan, Taiwan June, 2010 Abstract Disneyland is a fascinating worldwide industry, and also the most successfully run theme park in the world. When it comes to theme parks, Disney will be the first thing that comes to everyone’s mind. Because of the great success of Disney, researchers want to look into the reasons why it is so important and so attractive to the entertainment industry. For example, Disney’s Asian theme parks usually would apply local customs and festivals into their programs. And by doing so, it draws more local tourists to attend the events. Disney always pays attention to these cultural factors and uses them to its advantages. Plus, the special programs such as using stars to endorse the event also help attract younger generation. Although there are lots of elements that help make Disney into a worldwide industry, researchers focus on the cultural part. Thus, researchers apply the method of data-collecting, and comparison of different theme parks of Disney to come to the findings that culture does play an important...
Words: 7612 - Pages: 31
...study to learn more and more. Secondly, we would like to thank Mr. Zhang and Edward. Thank you for taking time to find interviewees of our interview. You are busy with your own job, but you still use your private time to help us. You also share your experience about contacting skills with us. Last but not the lease, we are thankful to our families and friends who were helping and supporting us during this writing period. Li Zhu & Dan Xu Jö ping University nkö 2010 i|Page Master Thesis Master’s Thesis in Business Administration Title: Marketing Strategic Change in Expansion of Disneyland Authors: Li Zhu & Dan Xu Tutor: Tomas Müllern Date: August 2010 Key Words: Theme Park, Disneyland, Marketing Strategy, Strategic Change Abstract Problem: The international theme park industry is growing but is also facing a series of bottleneck problems. Disneyland as one of the most famous theme parks, is trying to expand its kingdom to China. With the success and failure of the three previous...
Words: 29146 - Pages: 117
...1.-What factors contributed to Euro Disney’s poor performance during its first year of operation? What factors contributed to Hong Kong Disney’s poor performance during its first year? The primary reason for the failure was its high cost. Hotel rooms at the park were charging rates comparable to luxurious hotels. People found it cheaper to fly to Disney World Florida and get an additional benefit of enjoying the weather. The Gulf war in 1991 also had a negative and during the same period, Europe was facing a recession. The French, for some reason, did not like the American culture while Disney tried to enforce this culture. The world fair in Spain and the Olympics in Barcelona in 1992 attracted holiday visitors hence, EuroDisney did not have many guest visiting it that year. Hong Kong Disneyland faced different issues. Firstly, people were not familiar with the characters since Disney was banned for 40 years in China. The park was small, with just a few rides compared to other Disneyland's, therefore customers were not interested. Despite these issues, it fared better since it incorporated a lot of Chinese culture. 2. To what degree do you consider that these factors were (a) foreseeable and (b) controllable by EuroDisney, Hong Kong Disney, or the parent company, Disney? Since the cost of Disney World Florida was cheaper, customers preferred to fly to the US. This meant that prices in Paris could also be controlled. There were several other mistakes made...
Words: 1596 - Pages: 7
...strategies(650s), logistics • International and local staffing policy. ??? DRS defines strategy as “Management’s idea on how to best attract customers, operate efficiently, compete effectively, and create value. Guides building and sustaining the company’s competitive position within its industry” (DRS, p. 809). What factors led to the disappointing performance of Hong Kong Disneyland? Factors leading to Hong Kong Disneyland’s poor performance include: high prices for tickets and food; small park size; inconvenient location too far from primary business and residential areas, product offering, product positioning, cultural gaps, staff issues, bad press, and overcrowding led to the disappointing performance of Hong Kong Disneyland. The case study also adds “lack of unique features, insufficient appeal to adults and missing Chinese elements (Farhoomand, p. 1) as possible reasons for the park’s lackluster performance. Marketing mix = product, price, promotion, brand, and distribution. DRS p. 623 Why did the management team repeatedly offend local people despite its awareness of the importance of observing local culture and customs? Why have the remedial actions taken by management been unsuccessful in revising the Park? What more do you think the Park can do to achieve a successful turnaround? What are some possible arguments for and against expansion, more capital...
Words: 398 - Pages: 2
...S HONG KONG DISNEYLAND w 907M13 Michael N. Young and Donald Liu wrote this case solely to provide material for class discussion. The authors do not intend to illustrate either effective or ineffective handling of a managerial situation. The authors may have disguised certain names and other identifying information to protect confidentiality. Ivey Management Services prohibits any form of reproduction, storage or transmittal without its written permission. Reproduction of this material is not covered under authorization by any reproduction rights organization. To order copies or request permission to reproduce materials, contact Ivey Publishing, Ivey Management Services, c/o Richard Ivey School of Business, The University of Western Ontario, London, Ontario, Canada, N6A 3K7; phone (519) 661-3208; fax (519) 661-3882; e-mail cases@ivey.uwo.ca. Copyright © 2007, Ivey Management Services Version: (A) 2007-08-27 September 12, 2006, marked the one-year anniversary of the opening of Hong Kong Disneyland (HKD). Amid the hoopla and celebrations, media experts were reflecting on the high points and low points of HKD’s first year of operations, including several controversies that had generated some negative publicity. At a press conference and interview to discuss the first year of operations, Bill Ernest, HKD’s executive vice-president, acknowledged that the park had learnt a lot from its experiences and that the problems had made it stronger. Ernest also announced that HKD attendance...
Words: 8333 - Pages: 34
...About Disneyland I. Walt Disney Company Walt Disney was a creative legend who transformed the way Americans spend their vacations. From his humble beginnings with the mouse he loved more than women, Disney turned his imagination into something tangible you can share with our family. Disneyland was the first theme park designed and opened by Walt Disney on July 17, 1955 at California. Walt Disney received several requests from fans to see his California studio. After visiting some theme parks with his children, he realized the opportunity to create a theme park for his fans. Although he wanted to build the park adjacent to the studios, there was not enough land to adequately create it. Instead, he bought 60 acres of property in Anaheim and started working with engineers to make his vision become a reality. The park was designed to give fans a place to experience the magic of Disney characters and creativity. Now Disney Land has grown into one of the world’s leading providers of family travel and leisure experiences. It has been in many countries all over the world. For this success, it has gone through a difficult process. To enter a new market, Disney Land must overcome many barriers: taxes, land for building, labor force and especially the cultural barrier. Each country has its own culture and different from the others. Our report is to focus on the way Disney Land acted to adapt to French Culture - a European unique culture and Hong Kong (China)...
Words: 5149 - Pages: 21
...Case Study Analysis The success of marketing a product or service in other countries is affected by the product itself and consumer demand. According to Weber (2002), when marketers are looking to export their products or services to other countries they need to understand the consumer’s demands, expectations, and tastes in the region. Not all consumers feel and think the same way. For example, consumers in Hong Kong have different historical and cultural views than Mainland China, although they may have similar cultural values (Weber, 2002). Consumers within these two regions may have different preferences and environmental standards. The same could be said for Japan. Therefore, when marketers are trying to enter other regions they must understand the region’s culture and behavior toward a product or service. Marketers must also understand demand factors of that region, such as economic and social. Case one: Japan to Apple’s iPhone: “No Thanks!” Although technology is used all over the world, different countries can provide many challenges when trying to introduce new technologies to them. Apple found this out when trying to introduce the iPhone in Japan. According to Frommer (2010), reasons the iPhone was not successful in Japan was because Apple failed to understand what the Japanese consumer expected of an iPhone and the competitive marketplace. Although the iPhone is successful in the United States, many consumers in Japan believe the phone’s technology is old and...
Words: 1152 - Pages: 5
