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Disney in asia, again.

Raymond H. Lopez , Pace University Follow

Originally submitted as Case Study no. 26 in the Lubin Business School Case Studies series.

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This case covers business strategies and financial concepts related to an international investment decision by one of the most well-known global public companies. The Walt Disney Company management team has decided on expansion of its theme park operations onto the Asian mainland. After years of exhaustive study, they have narrowed the decision down to two potential sites, Shanghai and Hong Kong. Analysis of data in the case should enable students to forecast revenues, expenses, and pro forma financial statements for operations at each location. Using discounted cash flow techniques, they should be able to calculate net present values (NPV'S) for each site and critically compare them from the perspective of each operating organization as well as from the perspective of The Walt Disney Company.

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Lopez, Raymond H., "Disney in Asia, Again" (2002). Case Studies . 3. https://digitalcommons.pace.edu/business_cases/3

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Disney: An APAC Localization Case Study

Disney, a name that enchanted the childhood of generations, continues to amaze the showbiz world with its incredible ability to remain relevant to film lovers everywhere. What is the company’s secret? How did it manage to remain centre stage when all the stories have been written, told, visualised, drawn, animated, etc., etc.? What can industry players learn from Disney’s success story?

In October 2021, the entertainment giant shed light on its expansion plans to Australia and the APAC region. In an interview with media platform Variety, Walt Disney Company’s Asia-Pacific President Luke Kang said, “We aim to create fifty original series and shows by 2023. OTT is quickly going mainstream and Disney Plus is well positioned to take part in that.”

Leaving no stone unturned, Disney plans to conquer the Australian and APAC markets with a slate of original content for Disney Plus addressing Disney lovers in Australia, Japan, South Korea, Taiwan, mainland China, Indonesia, and Malaysia.

All fifty shows are produced in local languages and span multiple genres ranging from documentary productions to action hero thriller series, romantic melodramas, mystery thrillers, and everything in between. The impressive diversity of content tailored to each region is about to reach the screens of millions of viewers across Asia-Pacific and Australia is Disney’s “most ambitious effort.”

In his interview with Variety, Kang also emphasised that “local language is a critical component in making sure that we are connecting with the consumer, not just in home markets, but also regionally.”

Disney’s exploits and failures in APAC: Focus on China

Was it enough could disney have done better.

Despite the staggering investment and the film-maker’s local endeavours – casting famous Chinese actors like Yifei Liu, Tzi Ma, Gong Li, or Jet Li, sharing the script with the Chinese authorities and removing scenes and lines that did not appeal to local test audiences – Mulan started on the wrong foot.

Faced with filmgoers and reviewers’ blistering criticism for its precarious character development, historical inadequacy of the costumes and makeup, and haphazard references to Chinese symbolism – the jade symbolises military bravery not filial piety, as implied by the Disney production – the movie seemed doomed.

In his paper From Kundun to Mulan: A Political Economic Case Study of Disney and China, Hongmei Yu, Chinese Associate Professor in the Department of Modern Languages and Literatures at Luther College, highlights that the movie is not even remotely faithful to the Chinese folk tale, which sees Mulan resume her homely attire in the end. Comparatively, Disney’s adaptation of the folk tale turns the heroine into a strong-willed, feminist figure.

Most importantly, Yu argues, humour is nowhere to be found in the traditional story, nor is the mischievous dragon, Mushu, or Li Shang’s warm welcome to Mulan’s family.

Although suffering from “Hollywoodization”, Mulan remains a “love letter” to China and its cinema-goers, repositioning Disney on the country’s movie map – even if only as a “no-go”. Shocking, intriguing to many, the movie saw more than 250,000 downloads in three days, on a pirated content site, after its Chinese cinema debut, according to South China Morning Post.

Yet, content piracy is not the only flaw the production suffers from. The architectural style of Mulan’s house emerged in China several hundred years after Mulan had allegedly lived and originated in southern China. In contrast, Mulan’s story is set in the northern part of the country. According to an online movie reviewer, the scenery is beautiful, “but it will make any Chinese person who has studied geography go crazy”.

Only Disney could localize music

What made disney so much loved, what does disney have in its apac localization store.

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Cultural Challenges Faced by Disney in Asia and Lessons Learned from Hong Kong Disneyland

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Beyond Tokyo: Disney's Expansion in Asia lg ...

The first theme park introduced by walt disney and since that time lg ..., disney case study | decision matrix analysis lg ....

2015 Theses Master's

What Affects Theme Park Performance: A Comparative Case Study of Disney Theme Parks in East Asia

This study aims to find out what are the critical reasons that result in the significantly different performance of Hong Kong Disneyland and Tokyo Disney Resort, and what experience and lessons that the new Shanghai Disneyland can learn from. A comparative analysis is conducted from external and internal aspects between the two Disney theme parks in Asia. The results indicate that unfair financial arrangement and the small size of Hong Kong Disneyland have hefty impacts on profits while the Tokyo Disney Resort succeeds by providing a Japanized American Dream to Japanese visitors. Although there are other influential factors, the writer argues that the reason lies mostly in the financial arrangement and the small size of Hong Kong Disneyland. The two cases can provide experience and lessons to future theme parks in China, especially projects themed in international companies.

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     Case Study: Disney in Asia

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                                            Case Study: Disney in Asia

   A decision matrix helps us make rational decisions through the analysis of a number of similar options. Decision-making happens every day, and some require much thought while others are just simple. Complex decisions should be considered in light of a number of criteria (“Expert Program Management,” 2018). In this case, for example, establishing a Disney theme park in Asia, we need to weigh on the lifestyle of the people, the language of the locals, the weather of the country, the food and the cultural interests of the people.

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The cultural challenges I chose are not vastly different from those in Europe. In its expansion, plan one cultural challenge the company faces is the language. Just like in the case of Euro Disney, French did not use English as their first language, but rather it uses French. Many nations in Asia do not use English as their first language. This situation has a major problem for the American based company, which uses the English language in its all themes and characters. Another cultural change is cultural interest, which involves integrating the countries culture and festivals into the theme parks. This aspect of cultural interest did not come out of the Euro Disney very clearly though the company finds out ways to blend. Asian countries have a unique cultural interest, and the company has to find ways to incorporate them in the theme park. This is the only way the company will remain relevant in Asian countries. Another challenge, which was different from Euro Disney, was national festivals. The national festivals in Asia are prominent and important to the people. It has to put into consideration the incorporating of these events in their theme parks. The people’s lifestyle was not so much different from Euro Disney thought it was unique for the Asia Disney. The company faces the challenge of getting the insight of the people’s lifestyle. For example, Disney thought it was considerate through offering in its menu fin soup. They, however, did not put into consideration the reaction of the environmentalists in the region (Luthans & Doh, 2012). Another challenge was the weather, which was different from the euro Disney. Certain regions of Asia are rainy; for example, Hong Kong Disney is rainy; therefore, the spaces are more covered than other theme parks like in France, and so people still enjoy the attractions. In short, these Asian cultural challenges were not so much different from the euro Disney company since every region has its unique cultural difference, and therefore Disney theme park as a foreign company has to face cultural challenges slightly different in different countries.

The role culture play in the location of the choice of Disney theme parks is immense. As noted by Kemperman (2000), cultural variables such as gender language and time have a great influence on the location of the theme parks. The organizers of the business who aspires to go abroad for business have to consider the language of the people and other cultural influences as it has huge impact on the success of the company. These variables influence the arrangement and the design of the theme park. Investors have to put into consideration the elements such as time factor and gender. These cultural variables will spell out the kind of characters who can be in the theme parks. For example, children in Asia and America have different favorite cartoon characters. What is of major priority for the children is the location of the characters in and out of the theme park. It is worth noting that people in different cultures harbor different interest and meaning in theme parks. For example, some people harbor a view that theme parks are places of pure relaxation where they go with their families to spend time together. Others view theme parks as places for fun and enjoyment (Kemperman, 2000). Therefore, the design and location of the theme park will depend on that view. For example, the design and location of the theme park for relaxation will be different from the design and location of theme park meant for fun and enjoyment. It is also important to note that some cultural beliefs are restrictive and robust and, therefore, do not support the idea of leisure and pleasure. They restrict people from accessing television, and hence the children will have no idea of the characters in the children’s programs. Such restrictive and strong cultural beliefs are rare, and it would not be feasible for a company to open a theme park in that location.

The shanghai park has been very slow to get off to the ground due to controversies. Disney initially attracted to shanghai due to industrialization, commercialization, and a relatively large number of people. However, the corruption in government slowed the progress as it was put on hold in 2006(Luthans & Doh, 2012). It had to once again explore the potential in 2009. Also, Disney shanghai park was controversy emanated from food policies and security checks, which was started by a food ban lawsuit that had remained unresolved. The media had highlighted the theme park’s new rules and security entry procedures. The company had to respond due to public interest in its quest to improve on the safety of its customers and the vast experience of the park. The lawsuit was filed on the company on the dispute with park security, who denied the customer to bring in her snack to the park when she made a trip to the park. The complainant demanded to overturn of the food ban and the park compensation due to her loss. The Disney policy to have its staff check the visitor’s bags for items before entry was so much controversial to the locals who did not agree with it. The banning of outside food, alcoholic, and nonalcoholic beverages did not sit well for the visitors. The security screening of visitors, according to the company, was according to the law and not for fun (Rui, 2019). The company works closely with the local government to develop security entry procedures and monitor them to ensure compliance. When this policy was made public, it provoked heated debates and disputes online. The visitors online argued that the bag checks and the food ban policies were unfair and violation of privacy (Rui, 2019). The locals questioned Disney’s interests and financial motivation behind entry policies bearing in mind the overpricing of food and beverages supplied within the parks. The risks of the project were the imposition of these entry policies, which brought many issues up to litigation. If the company had to lose, the cases out of the disputes, which end up in compensation it, will significantly lose and would not be a good thing for its wellbeing . On the other hand, the benefit of the project was that the food prices o0f the shanghai Disneyland were acceptable compared with other Disney parks around the world. Supporters of Disney also welcome the strict security checks as a move to improve the safety of the theme park, to protect guests and guest experience.

In conclusion, Disney’s expansion in Asia cannot escape the embracing of cultural differences in the world. They must consider and take the cultural diversity aspect in its decision making regarding the theme park seriously. In its expansion plans, it will face the cultural challenges language, food, lifestyle of people, and cultural interest.it is evident that Disney, which is American based, uses English as their first language. It’s all characters and themes are in English. However,this is not so in the Asian countries since English is not their first language.it is imperative for the company to get the insight of the Asia language and appreciate it and use its characters and themes.it has to incorporate cultural interests of Asia in the theme park for the company to remain relevant in that region. The company has to take into consideration the important national festivals of the Asian people, which is the heart of their culture and identity. Disney has to integrate the Asian country’s festivals and cultures into the theme park. The company has to understand the lifestyle of the people in its expansion. Disney has to have in mind that the visitor experiences in Asia will be unique and have to understand very well and make adjustments if need be. The company has to listen to the complaints of the visitors and respond to them in a manner, which it does not hurt their relationships .it has to listen to all voices to optimize its operations to create magical moments and happiness that lasts a lifetime to its guests with friends and families.

                                                                    References

Expert Program Management. (2018). Retrieved 28 February 2020, from https://expertprogrammanagement.com/2017/09/decision-matrix-analysis/

Kemperman, A. (2000). Temporal aspects of theme park choice behavior. Modeling variety

seeking, seasonality, and diversification to support theme park planning. Collection Bouwstenen , 58 .

Luthans, F., & Doh, J. P. (2012). International Management: Culture, strategy, and behavior .

New York: McGraw-Hill.

Rui, Z. (2019). Disney responds to controversial security checks- China.org.cn. Retrieved 28

February 2020, from http://www.china.org.cn/china/2019-08/24/content_75133879.htm

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Disney in Asia Case Study

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make the following decisions relative to the case study: Disney in Asia.

• First, list all of the cultural challenges posed by Disney’s expansion into Asia. (Side of matrix.)
• Next, list cultural variables that influenced these challenges. (Top of matrix.)
• Decide on a score (1-5) for each of these challenges according to the relative importance of the factors. Multiply each of these scores by 2 to find the weighted scores for each option/factor combination.
• The first section of your paper should be an explanation of this process and how you decided on each of the factors in the matrix.

Next, respond to the following questions:

• How were the challenges you chose different than the challenges of Euro Disney?
• What role does culture play in the location choice of Disney theme parks?
• Why was the Disney Shanghai park controversial? What were the risks and benefits of the project?
• As a conclusion, reflect on your overall thoughts on this case.

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Explanation & Answer

Attached. 1 Disney in Asia Case Study Name Institutional Affiliation Course Instructor Date 2 Disney in Asia Case Study Different Asian Environmental Chinese Influx Preference of languages concerns during the New Local parks Year Language Food 4 4 Having to turn 10 down customers Lower turnout 8 Discussion Disney’s entry into the Asian market was an attempt of the company which had already taken the European market by storm to expand its operations to other foreign markets. Although there were massive opportunities to this respect, the company also faces many cultural challenges that resulted from different cultural variables. The first cultural challenge that Disney Asia faced was language differences that was caused by the different Asian Languages. However, the weighted score for this combination was 4 because Disney found a strategy that could help them solve the problem. They provided three different languages for their Asian market. Secondly, providing menus was also a challenge mainly because of environmental concerns from environmental activists. Despite Shark fin soup being the local favorite dish, Disney encountered a lot of protests from the environmentalists when they offered the menu, 3 thus forcing them to stop because of the negative publicity that it was attracting (CASE STUDY). Maintaining a good customer reputation is one of the most significant ways of maintaining a business (Erb, & Ong, 2017). Any company that seeks to attract new customers while also maintaining new ones must ensure that they meet the customers’ needs. This requirement posed a great challenge to Disney Asia as they had to turn down customers who had valid tickets. The cause of the problem was that Disney failed to project that China usually experiences influx during the New Year and, therefore, tend to visit parks during this time. This combination received the highest weighted score beca...

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Advancing the entrepreneurship ecosystem of India: A qualitative study with Chevening Fellows

• Published: 26 December 2023

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• Kamal Gulati 1 ,
• Amrik Sohal 2 ,
• Tharaka de Vass 2 &
• Nrupal Das 3  

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Using social cognitive theory as a guide, this research seeks to explain the perceptions of current and aspiring Indian entrepreneurs. A multiple case study approach using 19 interviews with intellectuals provided qualitative data to conduct a cross-case analysis of the two groups with the qualitative analysis software NVivo. Rare insights from current and aspiring opportunity-motivated entrepreneurial Chevening Fellowships from a predominantly necessity-motivated context offer valuable insights into entrepreneurship in India. The findings reveal what entrepreneurship means to established entrepreneurs, their motivation for embarking on the entrepreneurial journey, the skills they require to be successful, the challenges they face and their strategies to sustain are mostly different to what aspiring entrepreneurs believe how it would be. Compiled recommendations may help strengthen the entrepreneurial ecosystem, particularly in developing economy contexts, to help improve the 10% startup success rate.

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Acknowledgements

Authors gratefully acknowledge the support of Chevening fellows who consented to participate in this study, Chevening Secretariat, Foreign Commonwealth & Development Office, Prof. Richard Briant, University of Oxford, Prof. John Hoffmaire, Chairman, Oxford Pharmaceuticals, Ms. Sarah Fallon, Regional Director, Science and Innovation, British High Commission New Delhi, Ms. Supriya Chawla, Head Chevening Scholarships India for their support.

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Gulati, K., Sohal, A., de Vass, T. et al. Advancing the entrepreneurship ecosystem of India: A qualitative study with Chevening Fellows. Asia Pac J Manag (2023). https://doi.org/10.1007/s10490-023-09940-2

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