Euro Disneyland Case study

Running head : EURO DISNEYLAND CASE STUDY

Introduction

Walt Disney 's goal of expanding into non- traditional markets led to the opening of Euro Disney in 1992 . The long heralded venture was touted to be a financial success from the inception . Two years after opening expected returns have failed to match projected incomes and profits . A number of factors have contributed to this scenario overambitious projections played a big role in the disparity between what was contained in the prospectus and what the company achieved on the ground Analysts blame the Euro

Disney planning team for misleading stakeholders because financial figures were based on results from theme parks based in the US and Japan , not on serious studies undertaken in Europe (Robert , 1993 . In these markets , Disney operated as a virtual monopoly where gate charges and food prices were more or less determined by the management . In France , the Disney theme park could not be replicated because of social - cultural issues and economic concerns

Situation Analysis

The Euro Disney team made a number of assumptions in developing the model for Europe . There was a pervasive attitude that what worked in the US and Japan would definitely work elsewhere (Robert , 1993 . By failing to factor in cultural differences in the US and European markets , the management team overestimated the popularity of the concept and market reaction to the opening of the theme park . By adopting a more cautious approach , Euro Disney would have realized a number of its goals . The French people...