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Transcript of Tokyo Disney
Disney's Expansion in Asia
Evanne Drucker, Hannah Hauserman, and Marina Polites
Hong Kong Disney
Shanghai Disney Resort
What Cultural challenges are posed by Disney's Expansion into Asia? How are these different from those in Europe?
Disney wanted a park in China because of its "impressive population and economic growth"
China has a growing Middle Class with disposable income
After surveying both Hong Kong and Shanghai, Disney was forced to open the park that was more easily approved by local officials - Hong Kong
How do cultural variables influence the location choice of theme parks around the world?
Why was Disney's Shanghai theme park so controversial? What are the risks and benefits of this project?
What location would you recommend for Disney's next theme park in Asia?
Government Control in Hong Kong
Government Control in Shanghai
Made Hong Kong Disneyland "officially" trilingual: English, Cantonese, and Mandarin
Songs and shows remained primarily English
Hong Kong SAR Government
Unwilling to expand the park to fit more attractions due to money and lack of attendance
Stalled the project forcing Disney to look elsewhere
Accommodations for "drizzly" climate
More coverage and rainproof spaces
Low visibility and high air pollution
The project in Shanghai was put on hold due to a corruption investigation in the Communist Party
A turn in the global economic crisis led China to agree to Disneyland in order to create 50,000 jobs
After over a year of negotiation, the project was approved in November 2009
What affects the location?
The governments ability to support Disney
Competition among different amusement parks
Accessible to the greatest number of people
Tried to serve local favorites such as shark fin soup
Did not plan for Chinese New Year and large influx of visitors
Had to turn away patrons with valid tickets
Cultural Challenges in Europe
French communists and intellectuals: "Mickey Mouse is stifling individualism and transforming children into consumers."
Farmers protested because the French government was going to sell the land without profit.
Launched an aggressive community relations program
Population: 4.6 million residents; 9.7 million tourists
Proximity to Indonesia and Malaysia
Healthy competition with Universal Studios
Strict Employee Code
Strict appearance code seen as an attack on individual liberty
Aversion to consistently smiling and being polite to park guests
Opened September 12, 2005
Smallest of the Disney Parks World Wide
Only 16 Attractions
Only 1 "classic" Disney Thrill Ride - Space Mountain
Joint venture between Disney and Hong Kong SRA Government
Lackluster Ticket Sales in its first year open to the public
Desperate need for expansion, but very little support for that move
Approved in January 2009
One of the Largest-ever Foreign investments in China
To be built in phases near the Shanghai International Airport
Set to open in late 2015
Direct competition with the Hong Kong Disney Resort
"Offer a much better experience for your money"
Estimated to be 6 times bigger than Hong Kong
More convenient for Mainland China Residents and Visitors
Another chance for Disney to lose money by not correctly entering into the new market
Chance to "re-do" what they did wrong in Hong Kong Disney
"Disney thinks that both parks will complement each other"
Shanghai is close to a number of major cities
Huge market at its disposal - Shanghai has 19 million residents alone
Poses the ability to make back lost money from Hong Kong: Disney is set to earn 5% of all ticket sales and 10% of all concession sales
With the Hong Kong resort still in operation, and Shanghai in the works, Disney poses the threat to tap into this foreign market and make huge profits
Is Asia truly ready for Mickey Mouse? Wait and see!
Why would Disney try again?
Took much longer to gain government support
"It would be a long-awaited mark of success for a communist nation"