netrashetty
MP Guru
Mutual of Omaha is a Fortune 500 mutual insurance and financial services company based in Omaha, Nebraska. The company was founded in 1909 as Mutual Benefit Health and Accident Association.[2][3]
ng. With its Motto, “The Place Where Dreams Come True”, the company is given people the chance of achieving their fantasies and making them real. The company is a joint venture of the Walt Disney and Hong Kong Government, sine the latter would want to enhance their tourism industry. However, the management have not been able to anticipate the problem because of its poor performance in terms of number of tourists visiting the theme park. Accordingly, the expectation of the investors have not been met as the number of visitors are still not increasing since its opening in September 2005. One of the reasons why this is happening is because of the unpopularity of the mainlanders with Disney characters. In order to solve such issue, the marketing department were appointed to determine and explore other reasons for this unpopularity. In this study, a survey was conducted.
This research study considered the use of both qualitative and quantitative research approach through the use of primary and secondary data. In this study, it has been found that the low popularity of the Disney characters among local residents was one of the reasons for its low profit. On the other hand, other reasons include the price of the ticket and restaurants in the theme park. In order to solve such issues, recommendations of management approaches that can be used were provided.
II. COMPANY BACKGROUND
Founded in 1922, the Walt Disney Company has been known for its production of quality entertainment for children and adults alike. From its previous developments, the company is now able to operate at the global level, with thousands of employees and shareholders worldwide. The Walt Disney organization is a highly diversified company operating within four major business segments including Media Networks, Studio Entertainment, Parks and Resorts and Consumer Products.
Walt Disney’s Media Networks is comprised of the organizations radio and television networks, international and cable/satellite broadcast operations, television program production and distribution as well as internet operations. The company’s Studio Entertainment business segment on the other hand, handles and creates the animated and live action motion pictures, musical recordings, live stage plays and television animation programs [1].
The Parks and Resorts segment operates the company’s four destination resorts within the United States, France and Japan. In late 2005 or early 2006, Hong Kong Disneyland is scheduled to open as Disney’s fifth resort. Finally, the Consumer Products business segment is in charge of license issuance of all the original character creations and intellectual properties to retailers, manufacturers, publishers and show promoters.
Hong Kong Disneyland was opened on September 12, 2005 and is under control of Hong Kong International Theme Part. This is a joint venture of Hong Kong Special Administrative Region Government and Walt Disney with shares 57% and 43% respectively. It can be said that at present time, there are not other Disney Park which is owned partly by the government. The aim of Walt Disney is make Disneyland closer to people as part of the international expansion strategy.[2]
The opening of Hong Kong Disney Land has marked the first Disney theme park in Mainland China and lasso the 11th Disney Theme Park in the world. It consists of four major parks which include the Main Street U.S.A., Fantasyland, Adventureland and Tomorrowland. Although it is said to have a total area of 126 hectares, it is still considered as the smallest Disneyland compared to other Disneyland's in the worlds. The company aims on expanding with new ventures, align with its continuous innovation management and operation to meet the needs of their target market..[3] The major target market of HK Disney are the local people of Hong Kong and Mainland China tourists.
However, the company’s expectation of competitive advantage has not been met which is to have 5.6 million visitors for the first year of their operation. During its first year, the market has only recorded 5 million visitors.[4] Both the sales and attendance expectations have not been achieved. The management is worried that if these trends will not change, then their promised performance from investors and bank lended will then be pushed for refinancing the US$294 million (HK$2.29 million) in debt taken out for the theme park.[5] To solve this issue, a market research will be conducted through survey questionnaire approach to determine the reasons for the low popularity of the theme park and Disney characters among visitors.
ng. With its Motto, “The Place Where Dreams Come True”, the company is given people the chance of achieving their fantasies and making them real. The company is a joint venture of the Walt Disney and Hong Kong Government, sine the latter would want to enhance their tourism industry. However, the management have not been able to anticipate the problem because of its poor performance in terms of number of tourists visiting the theme park. Accordingly, the expectation of the investors have not been met as the number of visitors are still not increasing since its opening in September 2005. One of the reasons why this is happening is because of the unpopularity of the mainlanders with Disney characters. In order to solve such issue, the marketing department were appointed to determine and explore other reasons for this unpopularity. In this study, a survey was conducted.
This research study considered the use of both qualitative and quantitative research approach through the use of primary and secondary data. In this study, it has been found that the low popularity of the Disney characters among local residents was one of the reasons for its low profit. On the other hand, other reasons include the price of the ticket and restaurants in the theme park. In order to solve such issues, recommendations of management approaches that can be used were provided.
II. COMPANY BACKGROUND
Founded in 1922, the Walt Disney Company has been known for its production of quality entertainment for children and adults alike. From its previous developments, the company is now able to operate at the global level, with thousands of employees and shareholders worldwide. The Walt Disney organization is a highly diversified company operating within four major business segments including Media Networks, Studio Entertainment, Parks and Resorts and Consumer Products.
Walt Disney’s Media Networks is comprised of the organizations radio and television networks, international and cable/satellite broadcast operations, television program production and distribution as well as internet operations. The company’s Studio Entertainment business segment on the other hand, handles and creates the animated and live action motion pictures, musical recordings, live stage plays and television animation programs [1].
The Parks and Resorts segment operates the company’s four destination resorts within the United States, France and Japan. In late 2005 or early 2006, Hong Kong Disneyland is scheduled to open as Disney’s fifth resort. Finally, the Consumer Products business segment is in charge of license issuance of all the original character creations and intellectual properties to retailers, manufacturers, publishers and show promoters.
Hong Kong Disneyland was opened on September 12, 2005 and is under control of Hong Kong International Theme Part. This is a joint venture of Hong Kong Special Administrative Region Government and Walt Disney with shares 57% and 43% respectively. It can be said that at present time, there are not other Disney Park which is owned partly by the government. The aim of Walt Disney is make Disneyland closer to people as part of the international expansion strategy.[2]
The opening of Hong Kong Disney Land has marked the first Disney theme park in Mainland China and lasso the 11th Disney Theme Park in the world. It consists of four major parks which include the Main Street U.S.A., Fantasyland, Adventureland and Tomorrowland. Although it is said to have a total area of 126 hectares, it is still considered as the smallest Disneyland compared to other Disneyland's in the worlds. The company aims on expanding with new ventures, align with its continuous innovation management and operation to meet the needs of their target market..[3] The major target market of HK Disney are the local people of Hong Kong and Mainland China tourists.
However, the company’s expectation of competitive advantage has not been met which is to have 5.6 million visitors for the first year of their operation. During its first year, the market has only recorded 5 million visitors.[4] Both the sales and attendance expectations have not been achieved. The management is worried that if these trends will not change, then their promised performance from investors and bank lended will then be pushed for refinancing the US$294 million (HK$2.29 million) in debt taken out for the theme park.[5] To solve this issue, a market research will be conducted through survey questionnaire approach to determine the reasons for the low popularity of the theme park and Disney characters among visitors.