Disney’s Sweet Spot

Disney’s Sweet Spot: Visit Disneyland

The popular theme park was established in California in 1955. Disneyland was considered the “mother of all amusement parks.” In the 1980s, Disneyland was extremely successful in the United States. When asked about the success of the business, a Disneyland executive said that Disneyland had a global reach from a marketing perspective because of the intrinsic power of the idea. Something that is intrinsic is something that is essential. The executive is saying that Disneyland is something that is essential to the lives of every person, not just people in the United States; this creates gives Disneyland a global reach.

disneyland

After the executives of Disneyland decided on Tokyo as a market, they had to decide on how to enter the market. They chose to export Disneyland instead of creating a joint venture or investing directly. Exporting involves entering a foreign market by selling goods produced in the company’s home country, often with little modification. The executives of Disneyland probably made the right choice by exporting the one in Tokyo because in order to run it, they would have to have a good understanding of the culture. By exporting Disneyland, Disneyland’s ownership made a specified commission on everything, and did not need to be physically present in Tokyo.

Tokyo is the 12th most highly populated city in the world with more than 8 million people. This is the main reason why Disneyland ownership chose Tokyo as the first foreign target. Another reason Tokyo was chosen was because of the attractiveness of an amusement park. Tokyo does not have as many fun attractions as the United States. By creating a Disneyland in Tokyo, the foreigners could get a taste of American fun without leaving their country.

When the 2nd foreign one was created, the ownership chose France over Spain. This is most likely because France has a higher population than Spain and the government of France is more flexible with foreign business. The French government allowed the United States executives to create a joint venture and take a 49% stake in the ownership of the foreign one.

Disneyland entered Tokyo through exporting. This allowed the ownership to earn commissions on the profits from the amusement park in Tokyo. This method allowed the ownership, which is in the United States, to remain there. Also, having a company from Tokyo run the amusement park in Tokyo makes more sense because that company will better understand the culture of the area.

Disneyland entered France through a joint venture deal with a European company. This was probably the best option for France because France is similar to the United States. The main languages used in the park would be English and French. It would be much easier to understand the culture of France than it would be to understand the culture of Tokyo.

Standardization in this case is keeping Tokyo the same as the Disneyland in the United States. This allowed the ownership to position the Tokyo Disneyland as a “foreign vacation.”

The one in France adapted a lot. The problem was that the French visitors of the park wanted it to be just like the United States. Originally, many of the restaurants in the amusement park were sit-down restaurants like those in France, but it was not very popular. Also, the merchandise stores had higher class items that could not be found in an amusement park in the United States. Also, the ownership added more attractions involving French history to generate more interest. There may have been too many changes because the French want to experience a little bit of American life instead of the same stuff they already have in France.

I wouldn’t expect Japan and France to have very different opinions because it is foreign to both of them. The people of both countries want the “American Experience”, so adapting to their cultures a lot is probably not the best idea.

The success in Tokyo can be attributed to the use of exportation. The company that runs the Tokyo version understood that their people would want an “American Experience”, so they kept Disneyland just like it is in the United States.

The one in Paris had many problems because of their adaptation. The French people don’t want to experience the same things they do everyday, so sit-down restaurants and French history are not things that should be in the amusement park. The park should be the same as the one in the United States.