Why did Euro Disney Fail

The Glory that was Euro Disney

When you 've walked up the Rue la Paix at Paris

Been to the Louvre and the Tuileries

And to Versailles , although to go so far is

A thing not quite consistent with your ease

And--but the mass of objects quite a bar is

To my describing what the traveller sees

You who have ever been to Paris , know

And you who have not been to Paris--go

- HYPERLINK "http /www .giga-usa .com /quotes /authors /john_ruskin_a001 .htm " John Ruskin , A Tour Through France

Michael

Eisner , CEO of Disney Co . once noted , As Americans , the word `Euro ' is believed to mean glamorous or exciting . For Europeans , it turned out to be a term they associated with business , currency , and commerce . Renaming the park `Disneyland Paris ' was a way of identifying it with one of the most romantic and exciting cities in the world

This was maybe the reason why Walt Disney Company , a company renowned for its animated character , good films and theme parks , chose Paris for its second business venture outside the United States . In the 1980s Eisner was able to export Walt Disney Company to Tokyo , and it was a huge success . Eisner wanted to make his Paris venture as successful as Tokyo Disneyland , however , the venture turned out to be a failure earning more debts for the company than actual profits

What has gone wrong ? What were the actors which had lead to the failure of Euro Disney ? These are questions which make good learning questions for management students

This aims to answer the following questions

1 . Why did Disney choose Paris over the other sites in Europe that it was evaluating

2 . What were the external environmental factors that contributed to Euro-Disney 's failure in the early 1990 's and why

3 . What were the internal factors that contributed to Euro-Disney 's failure and why

The Beauty of Paris

In for us to know why Paris was the place chosen by Walt Disney for its business venture , let us first do a little background of this popular destination in the world

Paris , the capital city of France , is one of the most populated metropolitan areas in Europe (Stefan Helders , World Gazetteer . It is one of the world 's leading business and cultural centers today in fact Paris \is Europe 's biggest city economy , and is fifth in the World 's list of cities by GDP . It is also now known as one of the most popular tourist destinations

Paris has been a symbol for classical Romance . However , in addition to its rich cultural heritage , Paris is also a magnet for corporate France which is composed of innovative business companies , a motivated and skilled workforce and the political will to make business happen

According to the PARIS DEVELOPPEMENT , a project of the City of Paris and the Paris Chamber of Commerce and Industry , there are seven unique value propositions which makes it the right place to do business in , which...