Importance of Marketing within Disney Theme Park - Case Study Example

Disney Goes Global xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Name xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Course xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Instructor xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx Date Disney goes Global Importance of marketing within Disney Theme Park With increased globalization and competition, marketing is gaining increased prominence and is defined as a process that all organizational functions participate and as an orientation that every person in the company shares. According to Caslione and Andrew (2000), marketing plays a critical role in the company success and this is evident Disney goes global case study. Disney has been viewed to expand its offering both locally and international and thus creating awareness of its products across the globe. From the case study, it is quite evident that the role of marketing goes beyond company wide market orientation to a marketing orientation that coexists with the marketing function. According to Caslione and Andrew (2000), a market is normally defined as a group of potential client and existing clients who will use the company product and services. When Disney theme park in Tokyo was built, its first year saw about 10 million visitors with over 10 million visitors visiting every year since its opening. Change and Rosenzweig (2001) maintain that, for Disney Theme park, marketing is a continuous process that assists in providing what their clients’ needs while at the same time responding to change such as technology, globalization and competition. According to Caslione and Andrew (2000), the success of any organization normally rest on solid reputation. Disney Theme Park marketing has enabled the company build brand name recognition that customer across the globe associate with. From the case study, Disney Theme park continues to market itself in various countries across the globe enabling the company reach high expectation and thus its reputation over years amidst increased competition stands in a more firm ground (Chang and Rosenzweig 2001). As the reputation of Disney from one country to another increased, the company expands its business across the globe and thus increased sales. Change and Rosenzweig (2001) maintain that, the theme park and resorts by Disney have operations have developed a reputation for delivering unique customer experiences and excellent customer service. Additionally, Disney has built its reputation through active participation in community programs. Here, Disney Paris has been involved in investing in transport thus improving accessibility of the park. Disney constant opening of theme parks in numerous countries has enabled it to embrace the 21st century changes thus enabling the company to become more dominant and profitable. Change and Rosenzweig (2001) maintain that, these changes have enabled the organization to develop a customer centric model that assists in the shaping of the wants of today’s demanding clients. The strategies adopted by the company in recent years According to Emmons (2002), there are various strategies that have been adopted by Disney such as Competitive position, product as well as market development and STP to ensure success in their operations and performance. Based on the company targeting, the company has its products and services for the upper high class and higher middle class. For instance in the Asian countries, the company focuses on the middle classes whereas in Europe and United states the company targets the upper class. According to Cooper (2000), Disney products are normally popular among kids and so Disney is largely involved in enhancing the children segment so as to achieve high volume of sales. According to Emmons (2002), the Disney Theme parks are located in the different metro cities due to the fact that children in these cities are more aware of the company upcoming products as well as product. Disneyland in France is located in Paris also in China; Disney is expected to open a theme park in Shanghai China in 2016. Disney also has enhanced its positioning strategy. The company has been involved in rebranding its products so as to meet its customer needs, From the case study, Walt Disneyworld resort in Florida was rebranded Disney resort containing parks, hotels and down town. The Disney Resort attracted more than 6.3 million visitors. Normally, an organization follows a market or product development strategy for a recent brand when it expands the potential market through new users. New users can be found in new demographic segments such as age and new geographical segments. Disney is enhancing its geographical segments through penetrating in global markets such as Tokyo, France, California and Shanghai. According to Cooper (2000), the company uses the market development strategy to increase its market potential amid increased competition in the entertainment and leisure industry. Clearly, for an organization to enhance its competitive positioning strategy in today globalized business environment it needs to understand the countries socio-cultural backgrounds and develop produces that are their socio-cultural beliefs. According to Cooper (2000), dDespite the fact that Disney Company highly reflects on the American values, the company has incorporated certain local customs of a given area. Further in the case study, despite the fact that Disney Company operates in a highly competitive market that has high and raising the operational costs, Disney resorts operations have a reputation for delivering unique customer experiences as well as excellent customer service. According to Cooper (2000), changes in the global economic conditions have enabled the company to have a stronger competitive positioning strategy. Here, the company is largely involved in expanding its developing markets of Hong Kong, China, India and Russia so as to offset some of the western markets such as the United States economic problems. Importance of branding to case study company success It is quite evident that an organization brand is one of the most important marketing tools that ensure the success of a product. Clearly, radiant branding has and continues to become increasingly important to the popularity and longevity of products in today’s’ business environment (Hudson and Hudson 2006). For Disney theme parks, brand is regarded as long tem company assets and valuable due to their role in promoting the company product. Evidently, branding as well as globalization are both expanding and growing business ventures. As globalization continues to impact the business environment, companies such as Disney have realized the importance of positive branding in today competitive world. Disney is at the forefront of worldwide entertainment branding (Clavé 2007). From the case study, Disney has positioned its themes parks to attract young adults, young children and families’ teenagers. Therefore, Disney has developed a brand in that it is a premiere leader in family entertainment. Clearly, Disney success can be linked to the company ability to speak both adults and children. Evidently, the company speaks to young children through constructing as well as relieving elements of live experiences while providing adults with reflective fantasies about their past (Hudson and Hudson 2006). According to Hudson and Hudson (2006), one way that the company uses it branding is by creation and cultivating of strategic alliances. For instance, the case study mention that Disney and the French Government made a partnership that saw great investment in the transport industry and as a result improved of accessibility to the Disneyland Paris. Further, the company involvement in global outreach strategies has enabled it to create a global brand image (Hudson and Hudson 2006). Hsieh (2002) maintains that, this global brand image has enabled the company to market their products and services providing great help in maintaining as well as maintaining cultural objects. Further, the global brand image by Disney has enabled the company reach large audiences worldwide. For instance, in 1983 Tokyo Disneyland received ten million visitors as compared to 2011 where 14 million people visited the park. Increase in the number of visitor visiting Disney land increases yearly (Hsieh 2002). From the case study, the Disney Company can be considered as a market oriented organization. This implies that the company sales do not depend on aggressive sales force but rather on a customer willingness to purchase a product or service. Hsieh (2002) maintains that, the company branding understand that parents take their children to the theme parks and therefore ensures that their products are attractive to both the parents and children. According to Carson (2004), increased audiences in its theme parks implies that the company brand image are continuously designed to guarantee new and fun products that will attract, excite and amaze their clients across the globe. In additional to it’s well defined and structured strategies such as competitive positioning and market development, the brand name and image have enabled the company to have the ability to sell their product easily across the globe. Carson. (2004) maintain that, the brand is aimed in improving entertainment ensuring that its clients experience fun and excitement from their services and products. Finally, it is quite evident from the case study that Disney source of a stronger competitive advantage is in the company ability to set itself apart as well as above competitive brands. Evidently, the company name generates a positive and strong association that set itself apart from other entertainment companies (Carson 2004). Marketing mix strategies adopted by the company According to Emmons (2002), marketing mix is defined as the combination of tactics that are largely used by organizations to achieve its objectives through marketing its services and goods to a particular target group (Emmons 2002). From the case study, Disney marketing strategy is focused on 4P’s namely; price, promotion, product and place. For the company, marketing is all about anticipating, satisfying and identifying customer needs, this is achieved through ensuring the company services continue to meet customer needs. Emmons (2002) maintain that, Disney is engaged in opening new theme parks in different countries and due to its efficient services visitor visiting the park increase each year. For instance, in 2005, the company opened the Hong Kong Disneyland by 2011; the park had received 5.9 million visitors which is 13.5% from the previous year making this park ranked as the 15th most popular theme park across the globe. Currently, Disney has thirteen theme parks across the globe and therefore it services are well known to its existing and potential clients (Emmons 2002). Based on place, Disney is involved in creating numerous global outreach strategies. According to Cooper (2000), Disney recognizes the fact that many individuals do not have the opportunity to travel to the United States to visit Walt Disney World and therefore it is constantly involved in developing theme parks across the globe to capture new market as well as adapt them to local cultures. The theme parks that enhance global outreach strategies are Tokyo Disney, Hong Kong Disneyland and Disneyland Paris (Clavé 2007). It is quite evident with global expansion; the company aims at increasing its marketplace and thus expanding its brand. Additionally, establishing theme parks globally enhances regional competitions especially in the tourism industry (Cooper 2000). This therefore implies that that the theme parks established by Disney are not only mean an entry of a new entertainment service but a more rigorous industrial management model. Cooper (2000) maintains that, Disney widely focuses on long term partnership to ensure it is effective in its promotion. From the case study, Disney does not own 100% of the shares in their global theme parts. In some they hold 51% and in other more than the 51%. The fact that Disney does not hold 100% of the shares in their global theme parks show the company ability to build long term brand relationships as opposed to tactical deals (Cooper 2000). Also, the company is involved in enhancing its promotional mix through the different activities that communicate its services and products benefits and features thus persuading its existing and potential customers to purchase its services and products (Cooper, 2000) Further, in its goal to reach to the children and encourage their parents to visit the company theme park for a family experience. Finally, as part of its marketing strategy, Disney largely believes in innovation as a way of staying ahead of competition while at the same time building its business operations. With increased technological advances, the company has adopted technology in its promotion as defined in its future plans (Cooper 2000). Role technology has played in relation to the company’s development According to Anand, Manz and Glick (1998), with increased globalization, business environments are becoming increasingly competitive where market boundaries have become larger and barriers to entry no longer exists. According to Anand, Manz and Glick (1998), in order for organization to not only become competitive but also profitable; businesses are constantly adopting technology in their processes. Mitchell and Zmud (1999) maintain that, technology is providing organizations with basic and progressive company tools that enable them in improving their efficiency and financial performance. According to Anand, Manz and Glick (1998), Disney identifies the changes in technology as well as change in consumption patterns. Communication is considered to be an essential part in the business environment and technology gives an organization the required resource to communicate effectively and quickly. Andolsen (1999) maintain that, communication changes consumer patterns and therefore the ability of Disney to communicate effectively has enabled the company grow strongly in profitability. Through communication in their website, the company has been in a position to understand both the public and consumer preferences and tastes for leisure and entertainment. Andolsen (1999) maintain that in its positioning, Disney invested in technology in establishing modern theme park to communicate about the preferences of teenagers in the field of leisure and entertainment (Griffith 1999). Griffith (1999) maintains that, one of the main roles of technology is that it creates electronic storage which protects company important record and data. It is quite evident that secure maintenance of customer data and records is crucial to business integrity. Disney identifies the need to ensure stored customer data is electronically protected so as to maintain its organizational integrity (Jarvenpaa and Leidner 1999). Mitchell and Zmud (1999) maintain that, Storage system that is backed up by technology keeps customer data safe through allowing certain people in the organization access, add and change the data. Technology has enabled Disney Theme Park to store as well as maintain a huge amount of historically data and thus enabling its employees to gain immediate access to the data they need (Jarvenpaa and Leidner 1999). The company needs to understand that secured storage of customer data plays an important role in tracking customer information. Additionally, effective storage of data ensure the company is in a position to track its profitability over time and thus maximizing return on investment as well as identifying areas it needs to improve. Disney recognizes that advances in technology give competitor the main opportunity to develop more existing opportunity (Jarvenpaa and Leidner 1999). References Anand, V., Manz, C. C., & Glick, W. 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