1 SOCIOLOGY Euro Disney which is owned jointly by a consortium of over 60 banks along with the Walt Disney Company is a new theme park situated in the outskirts of Paris, France (Boga & Efeoğlu, 2016). Disney chose France over 200 other locations for setting up this theme park which ultimately seemed to be a big failure resulting in a great financial loss over $1 billion and significantly impacting the brand’s image. Until 1922, Walt Disney has experienced an unrivaled growth and success in the entertainment business industry, however choosing Paris, France as their new operational destination marked the initiation of bad luck for the company. A detailed analysis of this situation highlighted significant problems like unsuitable climate of Paris and clash with major events like Olympics that was held in 1922 (Hall, 2014), the very year in which Euro Disney opened, thus significantly impacting the attendance of the visitors. However the most significant factor attributing to this huge failure was Disney’s inability to recognize the existence of Cultural difference in Europe. Despite of the existence of significant cultural difference between America and Europe, Euro Disney was completely build around American Culture. The Euro Disney advertisements significantly upheld the glitz and glamour of the European culture significantly ignoring what actually the European Entertainment market demanded. It was extremely foolish on part of Disney to think that the Europeans would take a notice of leather wallpapers when the general crowd often cannot get their regular usual breakfast or wine. Measures like imposition of strict dress codes at Euro Disneyland which unabashedly depiction of American taste and culture such as Short hair, banned bear and moustaches altogether seemed to be a direct insult to the French family traditions and culture (Kaynak & Herbig, 2014). Serving American food instead of
2 SOCIOLOGY focusing on local cuisines, forcing Americana over the employees and staffs of the region altogether impacted for this significant failure of Euro Disney and proved the significance of cultural proximity in business operations.
3 SOCIOLOGY References: Boga, S., & Efeoğlu, I. E. (2016). A Case Study on Cross-Cultural Differences: A Failure Story. InInternational Business: Concepts, Methodologies, Tools, and Applications(pp. 1103- 1142). IGI Global. Hall, M. (2014). Extracting culture or injecting nature? Rewilding in transatlantic perspective. InOld World and New World Perspectives in Environmental Philosophy(pp. 17-35). Springer, Cham. Kaynak, E., & Herbig, P. (2014).Handbook of cross-cultural marketing. Routledge.