Unit 2 Case Study: Hong Kong Disneyland
Margaret Taylor
MGT 614: Global and Transnational Management
Dr. Laura Mays
Tiffin University
May 26th, 2013
UNIT 2 CASE STUDY 1
Introduction
The purpose of this paper is to analyze the management strategies of Hong Kong Disneyland ,and the issues that have arisen. Hong Kong an amusement park built by the Disney Corporation and the Hong Kong government and opened in September 2005. The Disney Corporation was created in 1923 and become a global entertainment company. Disney owns 43 percent of the park and invested US$314 billion plus (Phatak et al., 2009, p. 154) while the Hong Kong government owns 57 percent and invested HK$23 billion. (Phatak et al., 2009, p. 148) Disney 's business model is to bring magic and enjoyment to their customers through their products. The theme park is one of four business segments. The four segments are studio entertainment, customer products, media networks, and parks and resorts. In 2005, ' ' The Parks and Resorts division also enjoyed 5% increase in revenue. ' '( Phatak et al., 2009, p.151) Disney decided to make another international resort after two global resorts were created: Tokyo Disney and Disney Paris. The case goes over how Disney wanted to create something better and learn from mistakes of previous parks. Many wondered if HKD would be as successful as Tokyo Disney or would be a flop similar to Disney Paris. Disney had to change many of their core ideas of a theme park because of their experiences of Disney Paris. There were many cultural issues that happened in Paris that Disney did not want to happen in Hong Kong, such as work environment, The French opinion on American companies, and allowing alcohol which is a part of French culture. Identification of the company’s strengths and weaknesses There are many strengthens of the
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