International Marketing: Disney's Strategies and Challenges

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This report, submitted by a student, analyzes Walt Disney's international marketing strategies. It begins with an executive summary and outlines the rationales and objectives of the study, focusing on entry modes such as collaboration and partnership, and the application of culture theory. The report details Disney's strategies for entering international markets, including the use of collaboration with companies like Oriental Land Company and the French Government. It also examines the advantages of these collaborations, such as risk-sharing and knowledge transfer. Furthermore, the report explores Disney's approach to culture theory, including HR policies, employee training through the Disney University, and the creation of a distinct Disney culture. Limitations, both short-term (COVID-19 impacts) and long-term, are also discussed. The report concludes by summarizing the key findings and providing references to support the analysis, offering a comprehensive overview of Disney's international marketing efforts and the challenges it faces.
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

COURSEWORK FOR INTERNATIO
NAL MARKETING
MODULE TITLE:
INTERNATIONAL MARKETING
MODULE NUMBER : 661762
- A19 - T3A
M
ODULE LEADER: Dr. SULTANUL CHOWDHURY
STUENT NAME : LAM HIU YAN

STUDENT NO : 637940
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Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

Table of Content

1.
Executive Summary ............................................................................................... 3
2.
Rationales of Study ................................................................................................ 3
3.
Objective ................................................................................................................ 4
3.1 Mode of Entry
.................................................................................................. 4
3.2 Culture Theory
................................................................................................. 4
4.
Strategy .................................................................................................................. 5
4.1
The strategy for the mode of entry ............................................................ 5
4.1.1 Collaboration
......................................................................................... 5
4.1.2 Advantage of using the Collaboration.
.................................................. 6
4.1.3 Partners
hip ............................................................................................ 7
4.2
The strategy for the Culture Theory........................................................... 7
4.2.1 HR employees and training policy
........................................................ 7
4.2.2 Create the Disney’s Culture
.................................................................. 8
5.
Limitation ............................................................................................................... 8
5.1 Short Term
................................................................................................ 8
5.2 Long Term
................................................................................................ 9
6.
Conclusions ............................................................................................................ 9
7.
References ............................................................................................................ 10
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

(Souce: Google)

1. Executive Summary

Walt Disney is one of the famous entertainment
companies which based on
American over 90 years.
In this paper, analyses on how Walt Disney to face the
challenges of obstacles to the international trading world.
Collaboration is one of
the suitable methods for entry mode which involve the investment into the

foreign country directly. It can share the risk, profits and the knowledge and

technology for developing the new products. Also, working as partnership is the

faster and easi
er way to complementary advantages to each other’s. Moreover,
developed the Disney University is the key of the global entity to recruit

different national employees and provide the on job training to them. And create

the own Disney’s culture is the best i
dea to attract more global customers to keep
the hit rate.

Therefore, Walt Disney is one of the successful
examples by using two
difference international marketing theories to solve the issues when explored

their business into the international
market.
2. Rationales of Study

Walt Disne
y is one of the famous brands which based on American. It was a premier
entertainment company over 90 years. As
an international company in the world, Walt
Disney always
faces many challenges such as social culture disparity, economic
disparity,
political and legal disparity. (Humanities, 2017; Walt Disney, 2020)
Nowadays, Walt Disney got many competitors
in difference type of business, such as
Marvel
Studio, Universal Studios, DreamWorks Animation & Illumination
Entertainment
etc. For fight with all the competitors and the difference challenges on
the international trading world, Walt Disney should have a marketing stra
tegic and
action plan to
prevent all the risk which will interrupt on their business. (Miller, 2013;
Leibache
r, 2018; Quitoriano, 2019)
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

In this paper,
study on Walt Disney how to face the challenge of obstacles to the
international trading world
.
3. Objective

3.1 Mode of Entry

Walt Disney started their business with the cartoon character
s at the beginning. In the
early 1950s, Walt Disney tried to design a large amusement park to increasing their

reputation and profit for the business. Also, Walt Disney hoped that the theme park

have the value to entertain the adults and child. B
ut Walt Disney was hard to keep the
hit
rate for their characters as long time while they only focus on their business in
America
n. Also, the number of visitors was not easy to maintain during the non-peak
seasons.
(History.com, 2009; Kim, 2015; Brown, 2019; Walt Disney, 2020)
T
he entertaining products are the main income for the Walt Disney to satisfy with
different tastes and preferences for the customers. Also, Walt Disney faced the risk for

their products which can
be attracted by other countries. Walt Disney is hard to
control the quality of the products
and for foresees the profit. (Brown, 2019; Panda,
2019)

3.2 Culture Theory

Walt Disney is the famous local brand in
America; they aim to entertain people
and give
the inspiration to people according to the storytelling and the creative
minds in the world. As we known, the mother tongue of Walt Disney was English

and their story mostly base on American cult
ure to develop. However, it is only
can get the empathy for the people who living in American. It i
s hard to get the
attention and the empathy from foreign people such as Europe, Asia, and South

Africa etc. Also, Walt Disney Theme Park are all over the world, they need to

recruit different national people to acting the Disney characters and using the ow
n
Disney’s languages to act the cheaters as real as they can. Under the difference

culture and language, it is difficult to maintain the Disney brand image to the

people when facing the disparity in culture.
(Humanities, 2017; Walt Disney,
2020
)
In the 20 Century,
people increasing to use multi-media to enjoy the film,
television program and technology products. Base on the culture transforming

change, Walt Disney faced the diversity threatens on their products whatever
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Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

movies, television program
or the side products in the theme park. Walt Disney’s
Theme Park is critical income for their business, the traditional facilities such as

roller coaster, pirate ship or tea cup are not attractive anymore during the culture

transforming change. Also, anoth
er entertainment company rise up and started to
build their theme park like Unive
rsity Studio, legoland etc. All of them are focus
on technology products and services. So that the technology trend also is the threat

for Walt Disney to maintain their hit ra
te on for their products. (Miller, 2013; Total
Assignment Help, 2016
)
4. Strategy

Walt Disney aims to be the one of the world who leading producers and the

providers of entertainment and information. To achieve the mission, Walt Disney

should have a successfu
l strategy plan and improvement plan to enhance the
measures and prevent all the risk and competitor.
(Nakajima, 2016; Walt Disney,
2020
)
4.1The strategy for the mode of entry

W
alt Disney faced the threats to the high competition in entertainment and media
industry. Different locations presented the important threat from severe

competition and ethnic groups for those theme parks and film production

development.
(Robles, 1988; Manzano, 2009; QuickMBA, 2010; Kim, 2015)
4.1.1
Collaboration
Collaboration
is one of the suitable methods for entry mode which involve the
investment into the foreign country directly. There might in
volve two different
compan
ies, especially from two different countries, they work together and decide
to
corporate a new business or products. It will help the business to go into the
other
country. (Lichtenthaler, 2013; Wein, 2017; Puthusserry, Khan and Rodgers,
2018
)
As Walt Disney foreseen that
it is hard to keep the high reputation, build up the
brand image
and increasing the profit if only run the business in America. So that
Walt Disney decided to work with another country, such as Japan and
Europe. In
1983, Walt Disney started the first international theme park in Tokyo, Japan. Walt

Disney worked with The Oriental Land Company which is the local company in

Japan.
Walt Disney granted full ownership to Oriental Land Company but Walt
Disney collected
the fee of licensing from the sales of the ticketing and in-park
purchasing income for the return.
(Wein, 2017)
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

A successful trial for the first
Collaboration with Oriental Land Company, it
attracted a huge number of visitors. When Walt Disney saw the inc
reasing
attendance from the Tokyo Disneyland, it encouraged them to open another

international theme park in other country. In 1992, Walt Disney opened the second

international park in Paris, Europe.
But this time, Walt Disney decided to
corporation with F
rench Government and kept a part of the ownership for the
theme park.
(Nakajima, 2016)
(Source: The Motley Fool)

4.1.2 Advantage of using the
Collaboration.
According to the
collaboration, it proved that it is one of the successful market
entry strategies to
explore the business to go into other countries. Also, work
together
can share the risk, profits and the knowledge and technology for
developing the new products.
In the cases of Walt Disney, using collaboration to
explore the business into international marketing was successful. It cause their

characters to be more famous and international, also it bring a good return for the

benefit and the profits to Walt Disney.
(Lichtenthaler, 2013; Puthusserry, Khan
and Rodgers, 2018)
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

4.1.3 Partnership

Walt Disney tried to work with other media company such as Pixar Animation

Studios and started with the first movie to enhance the value in the market. Toy

Story is the first mov
ie which is corporate with Pixar Animation Studios and the
characters that in the movie were very famous after the movie released. As Walt

Disney known that create more famous characters is the major factor to keep the

competitiveness in the entertainment industry.
Partnership is the faster and easier
way to create new characters. Also, it is the way
to complementary advantages to
each other’s.
(Manzano, 2009; Virginia's Community Colleges, 2012; Panda,
2019)

4.2The strategy for the Culture Theory

When Walt Disney
starting the business internationally, the culture disparity was
the critical threat that Walt Disney needed to fixed. In Walt Disney
parlance,
always enjoy the show as the
reasons of the employees are the actors. That’s why
Walt Disn
ey developed a unique and special language as a key to break through
the remarkable culture.
(History.com, 2009; Humanities, 2017; )
4.2.1 HR employees and training policy

Walt Disney was come from American and
the mother tongue of the language was
English. Then, l
anguage is one the problem when Walt Disney opened the theme
a
t the other countries, so Walt Disney decided to build the Disney University to
recruit the people who are good at performance and
give the training course for all
incoming employees.
(Humanities, 2017; Walt Disney, 2020)
Disney University is the key of the global entity to recruit different national

employees and provide the on job training to them.
The employees would get
many opportunities to learn about the heritage and tradition of Disney, personal

a
nd professional development. And the training program which includes training
the employees
to fit in all the characters’ movement, the tone of voice (different
languages)
and dress up like the characters such as Snow White, Cinderella,
Sleeping Beauty or
Mickey Mouse is the major reason to attract people to visit the
theme park.
It can make sure that they can provide a good performance in front of
the visitor in the park.
(Johnson, 2006; Mcgowan, 2018)
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Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

4.2.2 Create the Disney’s Culture

Walt Disney wants
to get the empathy from foreigners, they decided to make the
animations
which base on another countries’ culture and famous literary book,
such as Mulan (Asia),
The Hunchback of Notre Dame (Europe), Tarzan(Soult
Africa) etc. It is easier to attract peopl
e to enjoy the stories and focus on their
films.
(Humanities, 2017; Mathews, 2019)
(Souce: Google)

5. Limitation

5.1 Short
Term
COVID
19 is now affective to world wide’s travel industry, especially to threat with
theme park. During the COVID19 was highly contagious virus between people,

government requested all the theme park should be closed to prevent the COVID19

spread out. M
oreover, Walt Disney will face on the problem that there are no more
visitors to visit their theme park and affect their in
come for the sale of ticketing. Also,
they need to prepare more hygiene facilities in the park for the visi
tors when the
theme park re
-opens. It will cause them to spend a large of the budget to buy the high
quality sanitary products for the visitors. It will be hard to balance the profit under the

sale of the ticketing was decreasing
. (Mumpower, 2020)
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

5.2 Long
Term
Started from the 20 Century,
Walt Disney aware that social media is the trend of the
platform to performance entertainment for people. They are facing the threats for the

people who were not interest
ed in visiting their theme park but virtual theme park by
using AR/VR system.
(Miller, 2013; Victoria, 2018)
6. Conclusions

In conclusion, Walt Disney is the successful example by using the culture theory

and mode of the entry theory to face the challenge of obstacles to the

international trading world
. Collaboration and partnership is the faster and easier
way to build the business into other countries. Also, Disney University is the key

to recruit different national people to work in their company.
Although, Walt
Disney may face difference challenges in the fut
ure, they will find the most
suitable marketing strategies to solve all the difficulties.
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

7. References

1. Brown, L., 2019. Walt Disney Company PESTEL/PESTLE Analysis
& Recommendations - Panmore Institute. [online] Panmore Institute.
Available at:
<http://panmore.com/walt-disney-company-pestel-pestle-analysis-r
ecommendations> [Accessed 8 July 2020].

2. Choice Reviews Online, 2000. Walt Disney and Europe: European
influences on the animated feature films of Walt Disney. 37(11),
pp.37-6093-37-6093.

3. Hackett, D., 1976. The International Expansion of U.S. Franchise
Systems: Status and Strategies. Journal of International Business
Studies, 7(1), pp.65-75.

4. History.com, 2009. Disneyland Opens. [online] History.com.
Available at:
<https://www.history.com/this-day-in-history/disneyland-opens>
[Accessed 6 July 2020].

5. Humanities, J., 2017. Disney’S Impact On American Culture.
[online] Artificial Empires. Available at:
<https://artificialempires.wordpress.com/2017/02/21/disneys-impac
t-on-american-culture/> [Accessed 11 July 2020].

6. Johnson, M., 2006. The Walt Disney World College Program : What
It Is, What It Is Like, And How It Changed Me : An Honors Thesis
(HONRS 499). [online] Cardinalscholar.bsu.edu. Available at:
<http://cardinalscholar.bsu.edu/handle/handle/191034> [Accessed 6
July 2020].

7. Kim, J., 2015. Factors Influencing the Choice of Entry Modes in
International New Ventures. INTERNATIONAL BUSINESS
REVIEW, 19(3), p.171.

8. Leibacher, H., 2018. Disney And Pixar: A Long And Winding
Relationship – World Of Walt. [online] Worldofwalt.com. Available
at: <https://www.worldofwalt.com/disney-pixar-relationship.html>
[Accessed 5 July 2020].

9. Lichtenthaler, U., 2013. The Collaboration of Innovation
Intermediaries and Manufacturing Firms in the Markets for
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Technology. Journal of Product Innovation Management, 30,
pp.142-158.

10. Manzano, S., 2009. Entry Modes Into Foreign Markets. [online]
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<http://manzanosbusinessblog.blogspot.com/2009/02/entry-modes-
in-forein-markets.html> [Accessed 8 July 2020].

11. Mathews, R., 2019. How Disney Uses Language To Engage Its
Workers. [online] TLNT. Available at:
<https://www.tlnt.com/how-disney-uses-language-to-engage-its-wo
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12. Matusitz, J., 2010. Disneyland Paris: a case analysis demonstrating
how glocalization works. Journal of Strategic Marketing, 18(3),
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13. Mcgowan, S., 2018. Walt Disney World College Program Cast
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14. Miller, D., 2013. Analysts: Disney Layoffs Tied To Lucasfilm,
Marvel Acquisitions. [online] Los Angeles Times. Available at:
<http://www.latimes.com/entertainment/envelope/cotown/la-et-anal
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15. Mumpower, D., 2020. Here Are Some Of The Challenges Disney
Will Face In Re-Opening - Mickeyblog.Com. [online]
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<https://mickeyblog.com/2020/04/02/here-are-some-challenges-dis
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and Oriental Land. Journal of Global Tourism Research, 1(1),
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company/> [Accessed 12 July 2020].
Document Page
Student Number: 637940
Module Name: International Marketing
Title: Coursework for International Marketing
Word Count: 2555

18. Puthusserry, P., Khan, Z. and Rodgers, P., 2018. International new
ventures market expansion through collaborative entry
modes. International Marketing Review, 35(6), pp.890-913.

19. QuickMBA, 2010. Foreign Market Entry Modes. [online]
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<http://www.quickmba.com/strategy/global/marketentry/>
[Accessed 10 July 2020].

20. Quitoriano, G., 2019. Who Are The Biggest Competitors Of The
Walt Disney Company. [online] Quora. Available at:
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21. Robles, F., 1988. Entry Strategies for International Markets. Journal
of Marketing, 52(4), p.128.

22. Strategies for Reaching Global Markets. 2012. Virginia's
Community Colleges. [online] Available at:
<https://sites.google.com/a/email.vccs.edu/walt-disney-by-christion
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And Threats Faced. 2016. Total Assignment Help. [online]
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<https://www.totalassignmenthelp.com/free-sample/case-study-of-
walt-disney-company> [Accessed 5 July 2020].

24. Victoria, 2018. Challenges For The Walt Disney Company. [online]
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<https://studybayhelp.co.uk/blog/challenges-for-the-walt-disney-co
mpany/> [Accessed 7 July 2020].

25. Walt Disney, 2020. The Walt Disney Company. [online] The Walt
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<https://thewaltdisneycompany.com/> [Accessed 7 July 2020].

26. Wein, J., 2017. Disney Doesn't Own Its Tokyo Parks But Still Finds
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sset-in-asia/> [Accessed 20 July 2020].
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