This presentation is all about HKD that is Hong Kong Disneyland, its background, Hong Kong Tourism, Operations, Negative Publicity and HKD's Response.......:)

2. Hong Kong Disneyland
Team Members
• Sudhir Singh Rajput
• Yatish Mittal
• Amit Yadav
• Arun Joshi
• Anurag Shukla
• Vikrant Arora

3. ABOUT DISNEY
• The Walt Disney Company (NYSE: DIS)
Founded on October 16, 1923 as Disney Bros.
Studios
• By brothers Walter Elias Disney (1901-1966)
and Roy O Disney (1893-1971)
• Incorporated in 1938 as Walt Disney Productions

4. Disney Mission
Mission Statement
“the Walt Disney company is committed to
balancing environmental stewardship
with its
corporate goals and operations throughout the worlds”

5. Disney Vision
Vision Statement
“to make people happy”

6. Business Diversity
 TV Networks
 Motion Pictures
 Theatres
 Animation
 Park & resorts
 Media Networks
 Consumer Products

8. Hong Kong Disneyland
• Opening :- September 12, 2005
• Cast Member :- 5000
• A joint venture between The Walt Disney
Company and the Government of the Hong Kong
Special Administrative Region (HKSAR
Government).
• In 2006, Hong Kong Disneyland ranked among
the top five most popular places to visit in Hong
Kong.

9. Attractions
- Main Street, U.S.A.
- Pirateland
- Fantasyland
- Tomorrowland

10. Tokyo Disney Resort

11.  Disney opened its first non- U.S. park in Tokyo, Japan
in 15 April1983.
 Cost US$1.4 billion
 Joint venture between Mitsui and Keisei
 Financed by Oriental Land Co. to minimize the risk
 Disney was as licenser and designer
 Received US$100 million royalty
 Support and attendance

12. Disney Resort Paris

13.  France was the largest consumer
 It also named Euro Disney
 Came in operation in 1992 after a long
negotiation
 Avoid mistake
 Problems
-cost overrun
-No profit
 Added new theme park-Walt Disney Studio
 Loss-US$190million

14. Reason
 Primary language is French
 Recruitment and training process are not well
 Dress code
 Disney policy of banning alcoholic beverages

15. Different Outcomes
 Disney so successful in Tokyo and largely failure
in Paris
 Americana represented by Disney was an asset
in Japan but liability in France
 Revers cultural imperialism
 HRM requires happiest place on earth

16. US JAPAN FRANCE
PRODUCT
MICKEY MOUSE Sqeaky-clean ,all Safe and reliable Cunning , street
american boy smart detective
COWBOY Rugged , self - Quintessential Carefree , anti
reliant team player establish
individual
SOURENIRS Fun part of Use as a Tacky , waste of
experience mementos and money
gift giving ,
sembetsu

17. Hong Kong Tourism Industry
 Tourism is the fastest growing of the Four Pillar
Industries in Hong Kong.
 The industry is relatively labor intensive and thus is an
important driver for generating jobs. Between 2000
and 2009, 28.4% of the new jobs created were in the
tourism sector.

21. Tourism performance
 Economic significance of tourism in Hong Kong
– HK$52.3 billion value added, 3.4% of GDP
– Employs a workforce of over 190 000
 Total visitor arrivals in 2009: 29.6 million (+0.3%)
35
Visitor Arrivals (in millions)
30 Other markets Mainland
25
20
15
10
5
0
98 99 00 01 02 03 04 05 06 07 08 09

22. International Tourist Arrivals

23. Local Attractions
Victoria Repulse Open-air
Peak Bay Markets
Ocean Government Statue
Park House
Square

24. Victoria Peak

25. Victoria Peak

26. Repulse Bay

27. Statue Square

28. Open-air Markets

29. Government House

30. Ocean Park
 Occupied a quasi-monopoly position
 Founded in 1977
 Located near Hong Kong Central District
 Had an annual attendance of more than 4
million visitors
 Ranked one of the top amusement park in the
world by Forbes Magazine in 2006

31. Ocean Park

32. Ocean Park

33. Hong Kong’s Disneyland
 Disney initiated a conversation with the HKSAR
government in Aug 1998
 Initially planned to simply run the park on a
management fee and Licensing contract basis
 Created 18,400 jobs and was expected to increase
35,800 in 20 yrs
 3.4 million visitors attracted to the park
 Over a period of 40 years, it was forecast that HKD
would generate an economic benefit equivalent to KH
$ 148 billion

34. The Concluded Deal
 After a year of negotiation the final contract was
signed in December of 1999
 Hong Kong International Theme Park Limited(HKITP) ,
The joint venture formed between Disney and the
Hong Kong government in Dec 1999
 While Government developed the infrastructure,
Disney provided master planning, real estate
development, production development….
 Disney also set up a wholly owned subsidiary, Hong
Kong Disneyland Management Limited, to manage
HKD on behalf of HKITP

35. “This is a happy marriage between a world-class
tourism attraction and a world class tourist
destination. We hope that Hong Kong Disneyland
will not just bring us more tourists, but also
wholesome quality entertainment for local
families as well”. – Stephen IP, Hong Kong
Secretary for Economic services

36. A Rocky Start
 4 weeks prior to the official opening, HKD invited
30,000 selected individuals per day to visit the
park to test the rides and other attractions.
 The firs problem noticed was that capacity limit
of 30,000 visitors may have been to high.
 The park faced another problem when inspectors
from the Hygiene department were asked to
remove their badges and caps .

37. OPERATIONS
1) Product Offerings :
• Ticket Price – HK$ 295 for weekdays & HK$ 350
for weekends & peak days.
• Special passes – HK$ 250 for child & HK$ 200
for seniors aged above 60.
• Ticket Booking – Via website & travel agencies.

39. Classic Attractions
Dumbo
Mad hatter Tea Space
Cups Mountain

40. Mainstreet USA
Steam train at
Main Street for
tour of the
park

41. Fantasy Land
• Sleeping beauty
castle
• Also include
Dumbo &
Winnie the
pooh
• Mickey, Minnie
& other popular
Disney
characters

42. Adventure land
• Includes Tarzan’s tree
house
• Festival of the Lion’s King
Show
Jungle river cruise

43. Tomorrow Land
• Includes
science fiction
& space
adventures.

44. HKD’S Hotel
Disney’s Hollywood Hotel
Hong kong Disneyland Hotel

45. 2) Marketing :
• HKD collaborated with Hong Kong govt. to
promote the park.
• A TV program „Magical world of Disneyland‟ was
broadcast in Hong Kong.
• HKD also launched a special TV channel on local
cable TV.
• HKD launched Disney theme on the apparel of
Giordano.

46. 2) Marketing :
• HKD outsourced a part of marketing to Color Life
magazine to feature the grand opening of HKD.
• Comp. donated 200 HKD umbrellas to
newsstands in Guangzhou to gain more publicity.
• HKD partnered with Communist Youth League of
China to run special events for children (Mickey
Mouse drawing competition).

47. 3) Human Resource Management :
 In April 2005 HKD launched one of the city‟s
largest recruitment event.
 Employees were referred as cast members.
 In Jan. 2005 HKD sent 500 cultural
representatives to Walt Disney World in Orlando
for a 6 month training.
 Hong Kong crew was trained as per the standards
set by Walt Disney.

48. 3) Human Resource Management :
Employees have opportunity to work in
various divisions like merchandising, food
& beverage operations, park operations,
custodial services, hotel operations.
Employees were provided with Handbooks
by HKD which included all the rules &
regulations.

49. 4) Local Cultural Responsiveness :
 Feng Shut masters were consulted for advice on
park layout & design.
 New construction always began with good luck
ceremony.
 A ballroom was constructed to be 888 sq. mt. as
8 was considered lucky no. & signifies good
fortune.
 The Hotels skipped 4th Floor as 4 was considered
unlucky by Chinese.

50. 4) Local Cultural Responsiveness :
Signs in the park were written in both
Chinese & English.
Adaptation was even in the toilets.
Restaurants offer a wide variety ranging
from American Burgers & French fries to
Chinese dim sum & sweet & sour pork.

52. Flaws in Ticket System
Offered Discount
Tickets
Which Can Be used
any day in given
Period of 6 months
except Special Days.
Which Leads to
Disaster for HKD.

53. Failed to learn the Chinese
culture and consumption habit
More than
300 claims
by travel
agencies.

54. Customers Complaints
Few Hong
Kong Themed
Attraction
Mistreated by
HKD’s
Employees
Lack of Safety

55. Statistics
Visitor
numbers
First year fell 20% in
- Park the second
attracted In 2007-
year to
5.2 millio 4.5 million
4 million
n
below Increased by In the
its 8% in the 2009/20
target third year- 10 - 5.23
of attracting a million
5.6 mill total of
ion 4.5 million

56. HKD’s RESPONSE
To tackle following problem :-
 Low park attendance
Limited attraction
Long queues
Disgruntled employees &
guests’ accounts of rude
treatment

57. New Promotions
 Ticket discounts for local customers (HK$ 50 / US$ 6.41)
 Ticket express package
 50,000 taxi drivers were invited to HKD free of charge in
given time
 50% discount to 3 family members or friends of taxi drivers
 “ One day trip Guide ’’ in Mandarin
 Launching free to air channel and endorsing the brand by
local celebs
 Local TVC, Testimonials, Enticing scene from inside HKD

58. Setting The Course For Eventual
Success

59. THANK YOU