Disneyland in Hong Kong

Case Brief: Disneyland 1.) How accurate was the projection of visitors to the park? Estimated attendance: 2005 – 5.6 million Actual attendance: Sept. 12, 2005 (opening day)-5.2 million In its first year, Disneyland in Hong Kong were 400,000 short of its target of 5.6 million projected visitors Estimated attendance: 2008: 7.1 million Actual attendance: 8.2 million In order to attract more visitors, the park has announced to add four new attractions, apart from the already-announced it’s a Small World, in 2008.

2.) Did Disney realize the projected income from the J.V.? Hong Kong Disneyland Resort is owned by a joint venture company, Hong Kong International Theme Parks Limited that is partially owned by shareholders, the Hong Kong Government and The Walt Disney Company. Total investment in Hong Kong International Theme Parks Limited is over HK $14 billion, with the Hong Kong Government holding a majority of shares in the company and The Walt Disney Company holding the second largest share.

3.) What strategy would you suggest for Disney to create more value: 1) increase ownership; decrease or sell-out? Based on reviews, Hong Kong Disneyland could increase their standards on several things. Hong Kong Disneyland’s poor performance is not a reflection of Chinese distaste for theme parks. Just down the street in Hong Kong, local theme park Ocean Park has been beating up on Disney with more visitors. Food quality is one of the major concerns that need to be improved. Size also needs to be renovated. Many tourists who have visited the other Disneyland’s say that the one in Hong Kong doesn’t compare to the