Question: Please help me answer the 2 questions please. i will give a thumb up for you. thank you in advance. CASE STUDY Disneyland Resort Paris
Please help me answer the 2 questions please. i will give a thumb up for you. thank you in advance.
CASE STUDY Disneyland Resort Paris or Disneyland Paris for short, a wholly owned subsidiary of the Walt Disney Company opened in 1992. It all began due to the success of Disneyland, Walt Disney World, and Japan Several sites were considered in England, Italy . Spain and France. Both Italy and England were removed from further consideration due to a lack of a large enough plot of suitable flat land. Early on, Alicante in Spain was thought to be the preferred site because it had similar climate to Florida. However, a drawback was the Mistral strong winds that are prevalent in the Alicante area. Finally: Marne-la-Vallee, close to Paris was selected due to its central loca. tion and the fact that some 65 million people lived within a four hour drive or a two hour flight When the park opened 500,000 guests were expected but only 50,000 came, perhaps in part because some French people protested a dilution of French culture by the "invasion of Le Mickey." As time went on the park attracted some 25,000 visitors a day instead of an expected 60,000; COD- sequently, the stock price took a tumble, which indicated serious financial problems were likely to come. The financial problems were further exacerbated by a European recession and a fall in the value of the Dollar, that made loan repayments more expensive. By 1994, the park had serious financial problems. The Disney management met with bankers and explained that they would declare bankruptcy unless the banks restructured the 1 billion of loans. The banks quickly realized that if Disney walked away from the park they would be left with a huge plot of low-value land, Some of the challenges to the success of the park were: Disneyland Paris was perceived by many as an Americanization of French and European culture Just as in America, Disney did not offer wine-now, wine to the French is like water or apple pie to an American The accommodation and food and beverage offerings were too American. The hotel rooms were too small for the European market and instead of "snacking through the day, Europeans sit down for a served lunch at 1pm-this led to severe congestion in the food and beverage outlets Disney characters were thought to be diluting European culture. A breakdown of visitors showed that approximately 40% were French, 21% British, and 7% German. . Finally, Disney employed some French senior management, who made some changes The Euro Disney name was changed to Disneyland Paris to move away from the negativity associated Euro Disney and capitalize on using Paris, with its positive connotations The marketing strategies were changed to appeal to a multigenerational group including grandparents. Some of the pricing was reduced. Hotel occupancy was increased Guest care programs were offered to Disney associates to improve guest satisfaction. Questions 1. Congratulations, now that you have been promoted to senior management with Disney, so, what would you have done differently? 2. What suggestions do you have to improve the situation in the future
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