A CASE STUDY ON EURO DISNEY

(A)

PRESENTED BY
Anurag Gupta
Ankita Banik
Ankit Mehrotra
Arti Kumari
Anjusha Kumari
 INTRODUCTION
 About Walt Disney
  Establishment and growth of Disney land in us
 Japanese experience
 Initial planning of Euro Disney
 Problems faced by Euro Disney
PROBLEMS IN EURO DISNEY
 Management hubris
 Culture differences
 Environmental and location factors
 French labor issues
 Financing and the initial business plan
 Competition from U.S. Disney parks.
 wrong planning for Euro Disney

1. Eisner was obsessed with maintaining Disney’s reputation for its

quality and was convinced by the designers that Euro Disney
would have to brim in competing with great monuments and
cathedrals of Europe.
2. There were mistakes on the project plans as for instance, Disney
has allowed companies built hotels to house visitors and that
Disney merely collected royalties from the park and not having
equity ownership stake.
3. The business performance was not that great and stable and it
does not have ample assumption to the European market
4. There has been severe European recession as well as high
interest rates and strong French currency value.
5. The initial plan in  a way, was not comprehensive and accurate in
providing solutions to the arising Disney problems
To be conti………
7. It does not go with the standards of changes ideals and
concepts as the application was typical in details.

8. There were also shortcomings with Disney’s financial

planning indicating that Euro Disney was just a cornerstone
of a huge real estate development plan.
  
  
Recommendations to deal with the problems of Euro Disney

1. There is a need for Disney to take control of the management

decisions and analyzing issues and problems based on their own
practice and not to use same team to analyze the problem.
2. There is also the imperative need to understand and execute
appropriate plan of actions that will bridge the gap of cultural
differences.
3. Focus on useful market tactics such as by having promo discounts
for families on weekends.
4. There is a need to achieve good operations management by means
of implementing strategies that fit in to the European culture
5. Disney can implement and apply flexible labor systems that will be
adaptable to the situation, and is accepted by the French laborers.
6. In lieu to the environment and location factors, Disney can choose
such locations that have strong sales magnet.
To be continue…..

7. Disney can implement and apply flexible labor system that

will be adaptable to the situation, and is accepted by the
French laborers.
8. The financial and initial business plan must undergo precise
review.
Lessons learnt from Disney’s problems with Euro
Disney
1. The lesson to always have precise business planning before
deciding on the actual process of the project.
2. The value of finance planning control is also a lesson and
that in every aspect of business operations.
3. Every business environment factors has to be precisely
reviewed and should be equipped with positive thinking and
right business motivation.
4. A business paradigm that is flexible and dynamic that knows
how to bend with the blows.
 SWOT ANALYSIS
4. Disruption.
3. Diversification
2. Popular brand name OPPORTUNITIES
1. Global localization think global, act
1. Global standardization
STRENGTHS local.
2. Character of national and regional
appeal

SWOT
WEAKNESS
1. High sunk cost.
Global
Competitors : National, Regional and
2. Excessive Research and
development. THREATS
3. High investment.
4. High risk factor
THANK YOU