Case Assignment #2
1.
What cultural challenges are posed by Disney’s expansion into Asia? How are these
different from those in Europe?
The cultural challenges posed by Disney’s expansion into Asia are language and
adaptation of traditions. English is not the primary language in most Asian countries.
Also, Disney would have to incorporate Asian traditions and festivities like the Chinese
New Year. The cultural challenges are not too different than those in Europe because
similarly, to the park in Paris there is a language barrier.
2.
How do cultural variables influence the location choice of theme parks around the world?
Cultural variables have a great influence on the location choice of theme parks around the
world because they are the factors that help determine if a park will be successful. These
variables include gender roles, religion, traditions, values, etc.
3.
Why was Disney’s Shanghai theme park so controversial? What are the risks and benefits
of this project? What do you think is the likelihood that it will “cannibalize” the Hong
Kong park?
Disney’s Shanghai theme park was so controversial because of the attraction the location
provided since it is more commercialized but due to a corruption scandal in the
Communist Party the project was put at risk of approval and potentially lengthening the
approval process. The risks for this project are that failure would signify a lost investment
and a potential bad reputation among other international parks. The benefit for this project
economic gain to Walt Disney Company and the Chinese government, plus it is setting a
standard for cultural integration to Disney international parks which would help improve
performance. I think the likelihood that it will “cannibalize” the Hong Kong park is big
since Hong Kong is losing money and not hitting projected numbers.
4.
What location would you recommend for Disney’s next theme park in Asia? Why?
I would recommend Singapore because it already is an established location for tourists to
visit from all around the world.