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Disney Asia Essay

600 words - 3 pages

Bus 162 Team 4: Beyond Tokyo: Disney’s Expansion in Asia 1. What cultural challenges are posed by Disney’s expansion into Asia? How are these different from those in Europe? Answer: With its large population, and relatively low number of theme parks, Asia is a tremendously attractive location for Disney. Already, the company has been successful in Tokyo. While its park in Hong Kong has been less profitable, the company believes that further expansion into the region is worthwhile. However, the company faces a number of cultural challenges that must be overcome. Certainly language poses a problem for the company. At Hong Kong Disneyland, the company has chosen to be trilingual for example. In addition to dealing with language differences, Disney must also tailor other components to meet the local needs. The Hong Kong location includes more covered space to allow people to enjoy the park without ...view middle of the document...

In Asia, Disney has encouraged acceptance and desire for all things Disney by exposing the population to its characters, films, and other products over time. This type of strategy facilitates the company’s efforts to then market its theme parks and reduces the need to customize its products and services. Disney does adapt some aspects of its park to meet the needs of locals, but is committed to standardizing other elements across cultures. 3. Why was Disney’s Shanghai theme park so controversial? What are the risks and benefits of this project? Answer: Disney’s Shanghai park has been slow to get off the ground. Disney was initially attracted to Shanghai because of its commercialization and industrialization, and because it was relatively easy for large numbers of people to get to. However, government corruption slowed progress on the park, and it was formally put on hold in 2006. In 2009, Disney once again explored the potential for the park, this time presenting it as an opportunity for China to be the recipient of significant investment and new jobs. While Disney appears to have gotten the green light to go ahead with project, the company must still contend with an uncertain economic and legal environment for investment as well as the potential for cultural problems. In addition, there is concern that a park in Shanghai could cannibalize sales in the Hong Kong location, although Disney is currently downplaying those concerns arguing that the Shanghai location will primarily attract a different group of customers. 4. What location would you recommend for Disney’s next theme park in Asia? Why? Answer: Disney could consider exploring the potential in Singapore. Singapore has been a

target for significant foreign investment over the years, and offers a relatively welcoming environment in which to do business. In addition, because of the Western influences that already exist, the population may be more open to a Disney style attraction. Singapore also attracts nearly 10 million tourists each year, and is close to the more populous regions of Indonesia and Malaysia. Other possible locations include Malaysia or South Korea.

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