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Most assumptions made by the company were incorrect. The company clearly did not take into account facts and figures and there was no supporting evidence for the assumptions by the company (Johnson, Scholes, and Whittington). These have had a major impact on the company and its performance. A decision like starting in France was the right one and this was backed with clear figures and facts. However, the assumptions made by the company otherwise like, having a 350-seat restaurant at a hotel, when the demand was as high as 2,500 breakfasts was an incorrect decision. These have had a major impact on the overall company performance, human resources, and clearly on the finances of the company (Johnson, Scholes, and Whittington).
b) France and Disney
Three main events that have occurred in France have had a major impact on Disney’s success:
Each of these events has had a major impact on Disney and has led to issues and breaks in the success of the company.
The company needs to resolve the following:
Alternative Solutions:
For the success of any company in a new location, irrespective of the size, or nature of the business, it is crucial to have detailed market research. Here the company did do the market research in terms of the location, however, in terms of culture and customer needs, there was little research and more assumptions. Hence to have a more favorable experience in France, more detailed market research would prove to be more successful.
Disney had invested a lot of money into the project, hence investing a little more in market research and the needs of the people in the country would have been the best steps that the company could have taken while launching Euro Disney.
Evaluation and Recommendations:
Yes, France is an excellent choice for the company to open its branch. Considering the place, i.e. Paris, and the incentives that the government was providing the company, this was an excellent choice. Also, the location is best suited to meet the needs of millions as the location is easily accessible. Hence this is an excellent location for Euro Disney.
In retrospect of the case, the following recommendations can be provided:
Conclusions:
In conclusion, companies must focus on the culture of the locations in which they aim at working (Bucher). Hence the success of any business can be on market research, not only in terms of profitability but also in terms of culture and needs and expectations of the people in the locations.
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