What Factors Contributed To Eurodisney's Poor Performance?

Walt Disney Company was officially launched EuroDisney SCA (known as Disneyland Resort Paris) on April 1992 and Hong Kong Disneyland on September 2006. Both theme parks were located at the strategic places; EuroDisney is located near river Marne Which 20 miles East of Paris. It was the biggest and most lavish theme park that Walt Disney Company had build bigger than its other theme parks around the world. Meanwhile, Hong Kong Disneyland was build according to the feng shui principles. However, both Disneyland parks were having its poor performance during the first year of operation. EuroDisney has suffered a loss of $900 million by summer of 1994 while Hong Kong Disneyland only received 5 million visitors (short of its targeted 5.6 million).

What factors contributed to EuroDisney’s poor performance during its first year of operation ? What factors contributed to Hong Kong Disney’s poor performance during its first year ?

Factors contributed to EuroDisney’s poor performance during its first year of operation are because of the high rates of its hotel rooms which is much more expensive than other top hotels in Paris. For comparison, the price ranged from $110 to $380 a night at the Newport Bay Club while a room in a top hotel in Paris cost between $340 and $380 a night. The airfare wars and currency movements resulted the trip to Disneyworld

Even though, Europe has recently united as the European Union, they have been strongly distinct and independent cultures for centuries. In this case, Disney was failed to understand the French national character, their insecurities over cultural invasion and their deep commitment to maintaining their identity and liberty. The French culture was so different from American. The American managers always believe that their ways are always right without respect to other’s culture, values, and