Disney Case Study Test Flashcards
What was the EuroDisney/Disneyland Paris theme park designed to do? And, when did it open?
The EuroDisney/Disneyland Paris theme park was designed to meet modern needs for recreation and entertainment. Opened in April 1992, this megaproject brought American-style entertainment to the people of Europe.
Why was attendance at Disneyland Paris lower than expected?
Attendance at Disneyland Paris was lower than expected for several reasons.
- Many French citizens feared that their culture would be damaged by this “American invasion.” In the first few years of operation, only three out of 10 visitors were French. In fact, on the park’s opening day, when admission was free, officials expected 500,000 people. Less than 50,000 people showed up.
- As the park was being built Europe entered a period of economic hard times. Many people simply did not feel that they could spend money on recreation of this type.
- Word got around that prices were too high. Most visitors felt that admission fees, meal costs, and price tags for souvenirs were about 20% higher than they ought to be. This discouraged people from attending or returning. As part of their move to increase attendance figures, park officials lowered prices for admission and restaurants.
What will the Phase II of the Disneyland Paris project include? And, when will the new section open?
Once the theme park began to make a profit, company officials started planning Phase II of the project. This new section will open in the early 2000’s. It will add an additional 17 km² to the total site and will include:
- 20,000 hotel rooms
- A convention center
- 3500 residential units
- Two golf courses
How much land did Disney Corporation buy outside of Paris and when?
Disney Corporation bought 23 km² of land outside of Paris in 1987.
Why was Paris chosen as the next location that Disneyland would be built?
Paris was chosen because it is one of the world’s most popular tourist destinations.
What were some of the things built during the first stage of construction of Disneyland Paris?
The first stage of construction called for seven theme hotels/buildings/structures:
- A “Main Street, USA” attraction
- A campground
- A golf course
- Homes for the park’s staff
How much money did the French government spend and on what did they spend it on?
The French government spent 7.5 billion dollars to improve local transportation and enlarge the water and sewage facilities as well as the electrical grid.
How many jobs did EuroDisney/Disneyland Paris create, and what were they for?
EuroDisney/Disneyland Paris created 12,000 jobs, such as running rides and attractions, repairing equipment, picking up garbage, serving in restaurants, tending cash registers, and the like. Many of these are seasonal part-time jobs.
Some of the more interesting jobs, though, are playing Disney characters. And, Donald Duck and Mickey Mouse are often played by women, because characters are small and women fill the costumes better.
How many visitors does Disneyland Paris need to attract a year and in a day to make a profit?
To make a profit, Disneyland Paris has to attract 11 million visitors a year, or about 50,000 per day.
Why did Disneyland Paris have much less attendance during the winter than in the summer?
In the summer, the daily figures are easily reached, but winters in the area are cold and damp, which results in attendance being much lower than in the summer. In fact, for the first several years of operation, attendance was a problem, and Disneyland Paris lost money.
When did Disneyland Paris reach a financial crisis, and how was it saved?
The company reached a financial crisis in 1994; some workers were laid off, and it even looked like the park would be forced to close. Fortunately, new investors were found. It was at this time that the name was changed from EuroDisney to Disneyland Paris, to try to get rid of the negative image that the park had gained.
When did Disneyland Paris’ attendance figures rise, and when did the park begin to make a profit once again?
After the financial crisis of Disneyland Paris in 1994, attendance figures rose over the next several years, and the park began to make a profit in 1996.