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Table of Contents
1.0
Introduction.................................................................................................2
2.0
Question 3...................................................................................................3
3.0
1.0 Introduction
The Walt Disney Company is an American organization firmly related to Mickey
Mouse and world-celebrated amusement parks. Hong Kong Disneyland was the Walt
Disney Company's third worldwide amusement park outside America, after Tokyo and
Paris. Sufficiently intriguing, both the Hong Kong and Paris amusement parks had its
boss supplanted in under a couple of months after the recreation centres opening, if
these corporate moves were definitely not characteristic. In September 2006, the Hong
Kong amusement park reported it had missed its first year participation focus of 5.6
million. Frequently censured as the littlest Disneyland on the planet, the Hong Kong
amusement park had been tipped as a "going stone" for the American organization's
entrance into territory China. On the off chance that it was without a doubt to serve as a
model for another Disneyland in China, it would be basic for the administration of
Hong Kong Disneyland to think of recuperation arrange and realign its technique to
enhance its picture, support participation and convey its income target.
2.0 Question 3
What are some of the challenges Disney HK will face in implementing these
strategies? Suggest methods of dealing with these challenges.
Hong Kong Disneyland is the third theme part of Disney and part of
internationalization. From the experiences of Disney, it has shown that Disney has to
choose the right product to enter the right location of country or site at the right time
with or without any local adaptation. It is exceptionally urgent for Disney extension in
Asia particularly in Hong Kong due to the past business encounters with Japan and
Paris, made Disney did a considerable measure of systems in entering Hong Kong
market.
The challenges Disney HK will face:
Environments
Challenges
Government control In China, both domestic and foreign companies
have to operate under governmental control, which is quite different from
Political
the western counties. The international theme parks in China have a lot of
issues to do with government. However, the inefficiencies of a laissezfaire approach can also affect the marketing strategies of Hong Kong
Legal
Disneyland.
Piracy policy Disney was combating with copyright infringement and
protecting its image. The Chinese government has revised its Trademark
Law, Patent Law, and Copyright Law. The enforcement measures are less
than effective, and pirated American consumer goods, including Mickey
Mouse products, are openly sold to millions of Chinese. However, the
enforcement of the legal system in China was not fully utilized and made
Hong Kong was listed on United States International Privacy watch list.
Land policy The land in China is always belonging to government, but
companies can use it. The policy is if the companies paid the rent, it
should be used totally. There should not be free land for future ideas.
A long-standing smoking ban policy Smoking was only allowed in
restricted areas outside the main stream of traffic. The widen use of
Economic
regulates in resources.
High capital intensive investment - Land price in Hong Kong and
Disneys troubled consumer product and film business it was too risky
for Disney to finance the project by its own capital.
Competitive industry Competition in Chinese theme park industry is
getting increasingly furious. Not only in terms of an increasing number of
theme parks and other amusement parks, but also relative to other uses of
leisure time such as movies and internet bar. Moreover, the competition of
space and accessibility has never stopped.
Environmental issues The loss of a green belt, pollution caused by the
project, the threat to the endangered nepenthes (i.e. pitcher plants), white
Environment
dolphins and the loss of a probable historical site. The expense and natural
effect brought on by digging and transfer of the debased mud at the Cheoy
Lee shipyard that is essential before recovery work for the Disney site can
initiate.
Methods
Partnership with government From the experiences ownerships with
Tokyo Disneyland and European Disney, Disney took initiative to try out
the third model for Hong Kong Disneyland. They made partnership with
the government to guarantee uninterrupted financial and gain government
support to the construction of the project and in the parks initial years of
Political
Legal
attract more foreign direct investments especially Disney into the markets.
The Chinas government has strived to privatize its giant state-owned
enterprises and opening more sectors to foreign competition.
Agreement with SAR The SAR government had negotiated with
Guangdong officials with a view to increasing the quota of two-way
permits from 1,500 to 2,000 daily for Mainland tourists to visit Hong
Cultural
Kong.
A unique service standard and practice A Disney University in Hong
Kong would be established to provide on-job training and professional
development for each theme park employees. Disney has focused on the
establishment of Disneys management practice and motto, starting with
hiring, training and development of its cast members. This is because of
this can reduce prejudice toward the Mainlanders.
Increase awareness of language Hong Kong needs to patch up its
Environment
Disneyland.
Preventions In reply to the environmental issue, Hong Kong
Disneyland can follow the measures in United States California
Hong Kong Disneyland built up these methodologies which could struggle with others
and adjust the variable business sector.
In order to return the magic back to Disney in Chinese Market, it has to add in more
effort from management. First of all, staffs are the best sales force and must be well
managed otherwise employees morale is threatened. In order to recover and build up a
strong intellectual capital, a proper reward system should implement to increase
motivation. A good working environment should be provided and flexibility built into
working practices. It is important to increase employees relationship in order to ensure
they share the same values as Hong Kong Disneyland and provide the best visitor
experience. Moreover, employer branding can also attract and retain human capital, this
directly relate to HKDLs corporate social responsibility planning as CSR (Corporate
Social Responsibility) directly affects the image of the company.
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