Amity Business School

Presentation on
Euro Disney

Group Members
Yashpal Malik
Abhinav rajput
Nikhil chandra
Gaurav Shukla
Rachit Goyal
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Business undertaken By Euro

Disney
 Chairperson of Walt Disney- Michael Eisner
 Brought Disney from $1billion to $8.5 billion
company in 1984.
 Immensely fruitful Tokyo Disney land was
drawing more visitors in comparison to the
Disney Park of California and Florida.
 Maintenance of quality was the main
obsession.
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Euro Disney
 Setting up Euro Disney Outside the Paris
was the most lavish project.
 Europeans shown less acceptance
towards carbon copies of the american
Parks.
 $2.8 billion was the estimated cost of
construction.
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Japanese experiences
 It was most successful disneyland

 It attracted 16 million visitors ,i.e. more

than its American disneyland at florida and
california.
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Problems faced by Euro

Disney
• Management Hubris
• Cultural Differences
• Environmental and location factors.
• French labour issue.
• Financing and initial business plan.
• Competitons from U.S Disney parks.
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• The confidence of Disney was partly based on the

number of Europeans visiting US Disney parks
• All calculations treated Europe as a general mass of
people rather than many individual countries.
• The strategy was very greedy in buying all the
surrounding land so no one else could benefit from the
project. This is not going to promote any local support
and isolates the project from and other business support
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SWOT Analysis:

· Strengths:

o The name Disney that had been well know all over the world
o Financial strength from investors and profits in the other Disneylands
o The amount of capital that was very sufficient

· Weaknesses:

o Lack of research by the management

o Poor forecasting and calculations
o Tendency to believe that the Chairman would make it perfetc
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• Opportunities:
o To compete against the famous Eiffel Tower and Louvre Art
Museum
o Strategic location in which the park was surrounded by hotels
o The $500 million investment from a member of the Saudi royal
family 

· Threats:
o The Gulf War in 1991
o The world’s Fair in Seville and the 1992 Olympics in Barcelona
o Currency movements that made it cheaper to go to Disney
Orlando
o Cultural difference and historical conflict
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• · Environmental factors:
o The incident that happened during 1991-1992 such as The Gulf
War, The world’s Fair, and Olympics
o The ban on alcohol in the park that was not accepted by the
French

· Management error of judgement:

o Building expensive trams while visitors preferred to walk
o Belief that French don’t eat breakfast which were not true
o Disney emphasized on size instead of the entertainment value
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Question & Answers

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Q.What does Disney do wrong in its planning for Euro

Disney ?
Ans-
• Weak market research.
• Time for setting up the Euro Disney was not selected
rightly.
• Less understanding of the European Culture
• Environmental location
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Recommendations

• Flexibility and adaptability towards cultural

differences
• They should follow a practical approach
rather being overconfident.