Topic Case study analysis (Beyond Tokyo: Disney’s Expansion in Asia) Students should answer the set of 4 questions that appear at the end of the case study which can be found starting on page 254 of...

BEYOND TOKYO: DISNEY’S EXPANSION IN ASIA 1
Running Head: BEYOND TOKYO: DISNEY’S EXPANSION IN ASIA
Beyond Tokyo: Disney’s Expansion in Asia
BEYOND TOKYO: DISNEY’S EXPANSION IN ASIA 2
Table of Contents
Introduction ..................................................................................................................................... 3
Cultural Challenges Pose by Disney’s Expansion to Asia.............................................................. 3
Influence of Cultural Variables on Location of Choice .................................................................. 4
Disney’s Shanghai Theme Park is Controversial............................................................................ 5
Recommendations of new Locations for Disney’s next Themes Park in Asia ............................... 6
Conclusion ...................................................................................................................................... 7
References ....................................................................................................................................... 8
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Introduction
This case is related to the success of Disney in Tokyo and its expansion in the vast Asian
market to grab available opportunities. According to the data available in the case, Disney
management had targeted China to open new Disney Park, as management seen it as a potential
country (Luthans & Doh, 2008). Shanghai and Hong Kong was the targeted area, but company
had to drop the plan to open park in Shanghai due to conflicts with community parties and high
corruption. Further, in Hong Kong, company management had to face several cultural challenges
and planned for a battle for the expansion of park.
The biggest issue faced by management of Disney was to cope with the culture
environment and it changed its strategies ultimately to align with the cultural variables to adopt
local culture. Another key issue faced by management of Disney was to select other Asian
ventures apart from Hong Kong and Shanghai for expansion of company. In addition, it was also
a critical problem for the management to forecast the success of company in coming time in
Asian market due to cultural diversity, economic ups and down and changing demands of the
social people (Luthans & Doh, 2008).
Cultural Challenges Pose by Disney’s Expansion to Asia
As Asia has a largest population and the numbers of theme parks in the country are
relatively, it is one of the attractive locations for Disney theme park for expansion. Company has
gain immense success in Tokyo, but the profitability of the theme park in Hong Kong is less than
Tokyo due to several cultural restrictions. Although the cultural environment of Asia is quite
difficult from the origin country of the company, but still company has seen immense
opportunities for the success, in Asian market.
One of the significant culture challenges pose by the company in Asia is related to the
languages. Disney management had decided to provide roof shelter place and use three different
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languages in the park English, Cantonese and Mandarin, which was not enough to attract the
people, as Asian people prefer to talk in their local languages. Park management was unable to
understand the requirements of the customers, as...