Critical Thinking Case Study: Disney in Asia
Disneyland is ranked first as the largest game city in the world, and it is one of the most famous and most attractive game cities ever for tourists. Disneyland cities are spread all over the world, as they have eleven entertainment cities in North America, Europe, and Asia, which can be visited in California, Tokyo, Florida, Paris, Hong Kong, and Shanghai. The idea to build the famous Disneyland city came when Walt Disney was taking his two daughters to small parks on the weekend, so his idea came to build a clean, safe and entertaining place that kids, adults and families can visit, and spend an enjoyable and useful time in it. Walt Disney started his project by building a modest mini-city in his work studio, but later it became clear that the place was too small, so he decided to build a bigger and wider game city, (Johnson, 1991).
This paper focuses on examining, excavating and clarifying a Disney in Asia case study. The paper is organized as follows. First, the paper will start looking at the application of a decision matrix analysis in the case study. Second, will discuss Challenges that Disney in Asia chose different than the challenges of Euro Disney, role of culture and location of Disney theme parks, reasons of being Disney Shanghai Park controversial and the risks and benefits of the project. Finally, the paper will shed light on the conclusion and reflection on the overall thoughts on this case. This paper
Decision Matrix Analysis
Matrix is a rectangular set consisting of a set of numbers, symbols, or phrases. It is called entries or elements, all arranged in rows and columns, and the shape of the array is divided into horizontal, vertical lines. Matrix calculations are often based on various techniques as they have the ability to solve many problems. There are many applications for these matrices, whether it is in mathematics or other sciences; it can be used through a compressed representation of a group of numbers in the matrix, and that is by relying on a set of alternatives for any process that requires complex calculations (Hajarian, 2014).
Decision Matrix
Criteria Score Total Score Total Score Total Totals
risk 2 4 3 6 5 10
Cost 2 4 4 8 4 8
Policies and culture 4 8 5 10 5 10
Weighted scores relative to the importance of the variables:
- Risk management: (2*2) + (3*2) + (5*2) =20
- Cost: (2*2) + (4*2) + (4*2) =20
- Policies and culture: (4*2) + (5*2) + (5*2) =28
The matrix helps us make rational decisions, which helps to follow them with great confidence. According to this matrix, risk, cost, and general policies were taken as the basic elements of the matrix. The highest score was to policies and culture which is 24. Each of them influenced the reality of business in the regions where work was done on Disney constructions in Asia. In terms of risk, Shanghai Disney was the most risky in terms of cost-cutting decisions for the ticket. In terms of public policies, Disney succeeded in both cases in following the general policies of the state and ending its papers despite the difficulties it faced and ending their belongings (Hajarian, 2014).
The general concept of culture is related to giving life meaning and value that affect general behavior, and is therefore a tool of strength and influence. Asia in general needs more investment in soft power, and as a result, China, for example, has started establishing “Confucius” institutes around the world to promote its culture, and finally the American White House has begun to develop what is known as smart power, which means the smart integration of power tools Solid and soft, (Johnson, 1991).
Difference Between Challenges Faced in Asia and Euro Disney Cases
The language; Most countries on the Asian continent do not communicate with native English, and this has been the greatest challenge for society. It was a challenge, because Disney is based in the United States. Determine and apply the English language to each of your subjects and characters. Another challenge due to cultural differences has been the inclusion of local cultures and festivals in their parks. Countries in the Asian region have different cultural beliefs and interests; The organization must consider integration into its theme parks to remain relevant and competitive in the market. In addition, Disney needed to take into account the importance of local festivals, because they are important to Asians.
Disney also faced the cultural challenge of understanding the lifestyle of the local population. For example, the company believed that the strategy of offering fin soup was a good move for locals, but did not take into account the views of environmentalists on the Asian continent. In Europe, there are also many delicacies and cuisines in the European region due to most countries, but in the Asian region, the gastronomic options were smaller in Europe. In Europe, theme park visitors found it difficult to get too close to the next person or to pressure people who left too much space between them. In Asian countries, this is normal because of the population.
Another challenge due to cultural differences was the hot climate in Asia compared to Europe, where the climate was cooler. In addition, the currency of Hong Kong and Tokyo was higher than in European countries, which made the ticket price much cheaper than in European theme parks.
However, some of the cultural challenges the organization faced in the Asian market were not significantly different from those at Euro Disney. For example, Disney society in France encountered a language problem in which a large part of the national population uses French as their mother tongue. However, the lifestyle of the local population was no different, but the organization found a way to incorporate different values and cultures. For example, in Hong Kong, the organization decided to use three languages at the theme park. Disney has also managed to adapt its various components to the needs of the local population. The locations of Hong Kong and Disney were chosen because of their large area, so that visitors could have fun without having to deal with the region’s rainy weather. The menu has been adapted to meet the needs of the local customer.
Role of Culture in the Location Choice of Disney Theme Parks
Cultural variables play an important role in choosing the location of Disney theme parks. Cultural aspects, such as gender, climate and language, have a huge impact on the location of Disney Company theme parks. Disney theme park organizers should consider the language of locals and other cultural collaborators. In addition to the arrangement of components at the Disney theme park, cultural variables also influence design. The company must take into account variables such as time and gender. These culture-related sticks influence the nature of the characters and the audience at Disney parks. For example, children in the United States and Asia have different types of favorite characters that they prefer as cartoon characters.
The location of Disney cartoon characters and theme parks is vital for children. People from different cultures have different interests and meanings at Disney parks. For example, some people see the theme park as a place of relaxation and recreation, where they need to spend time with friends, colleagues and families. The layout, location and design of the park are different from those designed for fun and entertainment. Other cultural values and beliefs are often restrictive and strong and discourage the idea of pleasure or leisure. These cultures prohibit members from accessing social media and television, so that children do not have knowledge or information about the different characters in the children’s program. Theme parks in these regions are rare and the store cannot open at Disney.’
The Controversy of the Shanghai Disney Park
Disney Shanghai Park was controversial because of different reasons. Firstly, Disney Shanghai took a long time so as to finish the agreements to start. Moreover, the ticket of Disney Shanghai was 25% less than other Disney in Hong Kong which lead the market to focus on Disney Shanghai. The risks and benefits of the project Disney Shanghai was that it reported a 36% profit than expected that it became a bigger threat of Disney Hong Kong.
What were the risks and benefits of the project?
About 150 industries will be closed to reduce pollution in Shanghai and allow the creation of a Disney theme park in Shanghai. Most were seminars of ten to twenty-five employees making chemical products to clothing. Most of the inhabitants saw these actions as an extermination of the entire community, to create a margin of economic growth thanks to the development of the Shanghai park. The risks associated with Shanghai Disney Park were that the failure of the project could result in the loss of investment allocated to the project . Walt Disney had allocated approximately $ 4.6 billion to expand and improve its expansion activities in the Asian market, developing its multi-activity theme park in Shanghai.
Another risk associated with the Shaghai Disney theme park was that if the project failed, the euro would have damaged the image and reputation of its former businesses in the United States and Europe. Disneyland, Asia, successfully in Tokyo and Hong Kong. The company’s brand has developed internationally. The Shanghai project poses a significant risk to the organization’s brand image and reputation. The development of the Disney park in Shanghai has many advantages. They understand; The success of the project will strengthen the company’s reputation worldwide. It is recommended that the company enter several international markets in the international market, with special success in the success of the Shanghai project. Another benefit is that the success of the Shaghai project will show that Walt Disney has learned from the challenges it has faced in other projects around the world. In addition, the project’s success could be learning from Tokyo, Paris and Hong Kong to improve its performance.
In 1995, Trigg and Trigg suggested that Disney has succeeded in using the characters of the novels that it produces in advertising for itself. Disney reveals an important fact that it planned to invade the Southeast Asian market, and expected a return from the international market amounting to two hundred and fifty million dollars, most of which comes from Asia. Indeed, Asia did not disappoint Disney’s expectations. Disney’s strategy relied on establishing offices and companies in the capitals of countries in this region, and on setting up a new market for the distribution of all Disney devices, devices, movies, CDs, video tapes, cassettes, and more. Disney made sure to display the movie “Aladdin” during the school holiday period, and that the movie not only be shown to young people, but also to young adults and adults. Disney also made sure to offer some free and discounted tickets, whether for individuals or families; the movie, (Trigg and Trigg, 1995).
Conclusion
Community culture is the prevailing information systems in society, acquired from multiple elements such as customs, traditions, and religion. This culture is one of the determinants of social relations between members of society, and it is considered binding in some respects, all of which complement their sources to form a reference directed to the various social activities. A specific position on the prevailing community culture, and there are positive fruits for adhering to the correct standards of community culture. Hence, it was necessary to pay attention to the soft powers of the cultural insertion of American society into Europe, (Johnson, 1991).
Soft power means the ability to influence others to get the results you want. In light of the global system, it is impossible for a country to influence and take its due position by using old methods such as threats of coercion or material inducements. So, the soft power that causes others to embrace your idea and believe in your cause, and thus do what you want and given the importance of this topic, international organizations according to Johnson in 1991. In addition, research centers issue annual reports in which the countries of the world are arranged according to their soft power according to the criteria that culture comes at the forefront, and the culture standard describes the state’s ability to reach globalization and the impact of its cultural production on culture now, (Johnson, 1991).
References:
Grayson, L. and Sheikholeslami, G. (2017), “Euro Disney or Euro Disaster?”, Darden Business Publishing Cases.
Hajarian, M. (2014), “Convergence of ADGI methods for solving systems of linear matrix equations”, Engineering Computations, Vol. 31 No. 4, pp. 681-690.
Johnson, R. (1991), “A Strategy for Service—Disney Style”, Journal of Business Strategy, Vol. 12 No. 5, pp. 38-43.
Trigg, M. and Trigg, D. (1995), “Disney’s European theme park adventure: a clash of cultures”, Cross Cultural Management: An International Journal, Vol. 2 No. 2, pp. 13-22.