walt disney parks and resorts worldwide, inc

WaltDisneyParksandResortsWorldwide,Inc.

BackgroundGuide

EagleMUNC

BostonCollegeModelUnitedNationsConference

Chairs: KevinFritz

[email protected]

[email protected]

Website: www.EagleMUNC.org

March18-20,2016


WaltDisneyParksandResortsWorldwide,Inc. Introduction WelcometoEagleMUNCIV,executives!MynameisKevinFritz,IamasenioratBostonCollegeintheCarrollSchoolofManagementstudyingFinanceandMarketing,withaminorinInternationalStudies.Iamhonoredtobethechair of your committee this year, and can’t wait to provide you with themost innovativeexperienceontheModelUNcircuittoday.I’mabigbelieverthateveryonecanstillbeakidontheinside,soIloveeverythingaboutDisney,andthiscommitteeissomethingI’vepersonallydreamedofdoingforalongtime.I have been heavily involved in Model UN at BC during my time on campus. During myfreshmanyear,IwasacrisisstafferatthefirsteverEagleMUNC,andhadtheprivilegetoserveontheSecretariatduringmysophomoreand junioryears.Thisyear, Iamthedirectorofourcommunity outreach program, the Eagle Global Leadership Initiative, and am also chairingbecauseit’ssomethingI’vealwayswantedtodo.InadditiontoModelUN, I’malso thePresidentofWZBCSportsRadio,aswellasaWinstonCenter Ambassador. I’m originally from Dix Hills, NY, and am a huge New York sports fan(sorry,everyonefromMassachusetts!).Myco-chairisStevenVanegli,whoisafellowNewYorker,businessschoolstudent,andmostimportantly,aclosefriendofmine.SteveoriginallyhailsfromWantagh,NewYork,andisalsomajoringinbothMarketingandFinance.StevejoinedModelUNduringhistimeatBostonCollege,andservesontheboardoftheEagleGlobal Leadership Initiative as our Finance Coordinator. He is heavily involved with theMarketingdepartmentoncampus,workingasa researcheron themanyconsumerbehaviorstudiestheyconductduringtheyear.Outsideofschool,Stevecanfrequentlybefoundarguingaboutbaseballandfantasysports,whichhewillclaimtobethebestat(althoughtheevidenceisdisputable).We can’twait tomeet each of you at EagleMUNC IV, and provide an incredible experiencethroughouttheweekendintheDisneycommittee!

Sincerely,

KevinFritzandStevenVangeli‘16ChairandCo-Chair


SomeImportantInformationaboutthisCommittee

Thiscommitteewillfunctionabitdifferentlyfromwhatsomeofyoumayexpectfroma

standardModelUNcommittee,aswehopetobringyouthemostauthenticexperiencethat

willsimulateahigh-levelcorporatemeeting.Asyourchair,IwilltakeonthepersonaofRobert

Iger, the Chief Executive Officer of the Walt Disney Company. Steve, your co-chair, will

representBobChapek,ChairmanofWaltDisneyParksandResorts.Ourrolewillnotonlybeto

moderate the debate, but also provide occasional guidance and opinions, as we are the

ultimateoverseersofthecompany.

Additionally, bear in mind that you are not representing countries, but rather

individuals.Extensiveresearchonthehistoryofthepersonyou’rerepresenting,theircurrent

position, and public statements made by them will be crucial towards success in this

committee.Additionally,anunderstandingoftheWaltDisneyCompanyasawhole,thetheme

park/hotel industries, and the financial statements of the Walt Disney Company (available

online)willbebeneficialaswell.Therestofyourfocusshouldstemfromthetopicspresenting

intherestofthisguide.Goodluck,thecompanyisdependingonyou.


HistoryoftheWaltDisneyCompany

EarlyHistory

In1923,KansasCitynativeWalterE.DisneymovedtoLosAngelestoopenacartoon

studiowithhisbrother,Roy.Afteranumberofearlyfailures,hecreatedacartooncharacterin

1928namedMickeyMouse,whobecameaninstanthit,starringinthefirstfilmtoemploya

newlydevelopedconceptknownasSynchronizedSound,calledSteamboatWillie.Thesuccess

ofMickeyMousefilmsandcartoonsenabledDisneytoquicklygrowhiscompany,and

reorganizeintoanewcorporationcalledWaltDisneyProductions,Ltd.TheWaltDisney

Productionsincludedanumberofsubsidiaries,mostnotableWaltDisneyEnterprises,thefirst

merchandisingdivisionofthecompany.1

SteamboatWillie,19282

Ahallmarkmomentintheearlyhistoryofthecompanycamein1937,withtherelease

ofWaltDisney’sfirstfeature-lengthfilm,SnowWhiteandtheSevenDwarfs.Thismovie

becamethehighest-grossingreleaseofthetime,andWaltDisneycapitalizedontheprofits

fromSnowWhitebybuildinganentirelynewfilmstudioinBurbank,California.TheBurbank

1"TheWaltDisneyCompany."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/The_Walt_Disney_Company>.2"SteamboatWillie."AnimationBegins.Wordpress,n.d.Web.


studiobecametheheadquartersofDisney’scompany,whichremainstruetothisday.Disney

producedanumberofhitmoviesthatremainfamoustothisdayintheyearsbetweenSnow

WhiteandtheoutbreakofWorldWarIIin1941.

Followingthewar,whichwaslargelyspentmakingpropagandafilmsfortheAmerican

government,WaltDisneyProductionsreturnedtoitscorecompetencyofanimatedfilms,and

quicklyproducedmorehitssuchasPeterPanin1953.However,WaltDisneyhadplansto

expandhisbusinessevenfurther.In1954,WaltpartneredwithABC(whichisactuallyownedby

theWaltDisneyCompanytoday)toproducethefirstrenditionoftheWonderfulWorldof

DisneyTVseries,ashowsimplyentitledDisneyland.Thepurposeoftheshowwastounveil

plansforabrandnewamusementparkconceptsettoopeninAnaheim,California,acity

locatednearLosAngeles.WaltDisneynamedtheparkDisneyland,anditopenedthenextyear

in1955.

DisneyEnterstheAmusementParkIndustry

WaltDisney’sOpeningAddressatDisneyland,19553

3"DisneylandOpeningQuote."Pinterest.N.p.,n.d.Web.


Disneylandbecameamajorsuccessforthecompany,asitreliedonanumberoffactors

thatenableditswidespreadsuccess.Firstoff,Disney’smanyfamousmoviesandcartoonsat

thetimewerewell-known,andthisallowedthecompanytothemetheparkaccordingly.While

manyotheramusementparksatthetimesimplyrelieduponbasicridessuchasFerrisWheels

orCarousels,Disneylandofferedamoreimmersiverideexperience,combiningAmusement

ParkattractionswithDisneymovies.AfewearlyexamplesincludePeterPan’sFlight,aride

basedonthepopularmovie,andtheMadTeaParty,aspinningridebasedofftheAlicein

Wonderlandmovie.4

AnotherfactorintheearlysuccessofDisneylandwasinnovation.Fromthestart,

Disneypushedanumberofconceptsthatwererevolutionaryatthetime,andeventually

becamestandardinthethemeparkindustry.Theideaofhavingacentraliconforapark(the

castle),themed“lands”,andeffectivelyisolatingDisneylandfromtheoutsideworld(thepark

wassurroundedbygates/trees)areallcommonplacetoday,butwerebrandnewin1955.

Disneylandalsoofferedsomeincrediblenewtechnologytoguests,suchasthefirstdaily-

operatingMonorailintheWesternhemisphere,andtheuseofaudio-animatronicstoproduce

life-likeroboticsonrides.

ThefinalkeyfactorinDisneyland’searlysuccesswasthatitwasaplacewherethe

entirefamilycouldhavefun.AnissuethatoftenplaguedearlyAmusementParksinAmerica

wasthatparkseithercateredtoyoungkids,leavinglittletodoforadults,ormainlyhadrides

thatscaredyoungeraudiencesaway.Aboveall,WaltDisneywantedhisamusementparktobe

4Wallace,David."14OriginalDisneylandAttractionsThatAreStillAroundToday."Disneyrama.N.p.,20Nov.2008.Web.<http://www.disneyorama.com/2008/11/14-original-disneyland-attractions-that-are-still-around-today/>.


aplacewherefamiliescouldhavefuntogether,andthisremainstruetoday.5Allthreeofthese

factorsarestillextremelyimportanttoDisneytoday,astheyrepresentsomeofWaltDisney

ParksandResorts’corecompetencies.

DisneylandGrows

Disneylandquicklyexpandedduetoitsearlysuccess,undergoingamajorexpansionin

1959,whichincludedtheopeningofDisneyland’sfirstrollercoaster,theMatterhornBobsleds.

Additionally,Disneyofficiallyenteredthehotelindustryin1956,withthedelayedopeningof

theDisneylandHotelnexttothepark.

TheMatterhornBobsleds,Today6

DuetothefinancialsuccessoftheDisneylandoperation,itwassoonconsolidatedinto

theoverallWaltDisneyCompany(Disneylandwasoriginallyundertheownershipofanother

corporationheldpersonallybyWaltDisney,calledWEDEnterprises).Thisconsolidation

providedtheframeworkforwhatisknowntodayasWaltDisneyParksandResorts,aswellas

5MacDonald,Brady."DisneylandOpeningDay."LosAngelesTimes.LosAngelesTimes,17July2015.Web.06Oct.2015.<http://www.latimes.com/travel/la-tr-d-disneyland-opening-day-20150712-story.html>.6"MatterhornBobsleds."Disneyeveryday.N.p.,n.d.Web.


WaltDisneyImagineering,whichisthedesignteamforallofDisney’sridesandattractions.7It

quicklybecameapparentthatDisney’smodelforthemeparksandhotelswasasuccessfulone,

andplansweredrawnupforfurtherexpansioninanotherlocale.

WaltDisneyParksandResorts

Disneydeterminedthatthemostsuitablelocationforasecondamusementparkwould

becentralFlorida,nearOrlando.Thecompanyembarkedonamassivelandpurchasing

project,amassing40squaremilesinLakeBuenaVista,Florida.WaltDisney’svisionforwhat

hecalled“TheFloridaProject”wasmuchbolderthanDisneyland-heenvisioneditasaplace

wheremultipleamusementparks,hotels,andevenamodeltowncouldbeconstructed.Walt

Disneypassedawayin1966fromlungcancer,justayearafterhisplansinFloridawere

announcedtothepublic.WaltDisney’sbrother,Roy,tookoverthecompanyandannounced

thattheFloridaProjectwouldofficiallybecalledWaltDisneyWorld,intributetohisbrother.

DisneyWorldofficiallyopenedin1971,withaparkcalledtheMagicKingdom,Disney’s

ContemporaryResort,Disney’sPolynesianVillageResort,andtheFortWildernessCampground.

Expansiontookofffromthere,asgolfcoursesbecameapartofDisneyWorldby1974,a

shoppingdistrict(theprecursortoDowntownDisney)openedin1975,andDisney’sfirstwater

park,RiverCountry,openedin1976.8WaltDisneyalsoleftbehindaclearideaforasecond

amusementparkinFlorida,whichopenedin1982-theEPCOTCenter.

7"RetlawEnterprises."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/Retlaw_Enterprises>.8"WaltDisneyParksandResorts."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/Walt_Disney_Parks_and_Resorts>.


OpeningoftheEPCOTCenter,19829

ParksandResortsBecomesaMajorSegmentoftheCompany

Themid-1980swereatimeofmajorchangeintheWaltDisneyCompany.In1983,Walt

DisneyParksandResortsexpandedoverseas,withthegrandopeningofTokyoDisneylandin

1983.Thenextyear,MichaelEisnerbecameCEOoftheWaltDisneyCompany,andusheredin

yearsofsignificantgrowth,particularlyintheParksandResortssegment.Eisnerledthe

companyuntil2005,andislargelyresponsibleformakingWaltDisneyParksandResortswhat

itistoday.PlansforathirdparkinDisneyWorldwerequicklydrawnupafterEisner’stenure

began,andtheseplanswereradicalbecauseitsignaledashiftinDisney’scorporatestrategy-

thethirdparkwastobecalledTheDisney-MGMStudios,andcontainedanumberofattractions

licensedfromMetro-Goldwyn-Meyerstudios.DisneyWorldexperiencedanumberof

importantadditionsintheclosingyearsofthe1980s,includingthegrandopeningofTyphoon

9"1982EPCOT."FindDisney.N.p.,n.d.Web.


Lagoon,asecondwaterparkin1988,twomorehotels(Disney’sGrandFloridianResortandSpa,

Disney’sCaribbeanBeachResort),andeventuallyin1989,TheDisney-MGMStudios.10

The1990ssawevenmoregrowthforWaltDisneyParksandResorts,asthecompany

expandedintoEuropein1992withtheopeningofDisneylandParisinMarne-la-Vallée,France.

DisneylandParispresentedanewchallengetothebrand,asunlikealmostalloftheirprevious

amusementparkandhotelventures,theParisresortstruggledfinanciallyformanyyearsafter

itsopening.Thecompanylearnedanumberofimportantlessonsaboutforeigncultural

understandingfromthisexperience,andwaseventuallysuccessfulinFrance(DisneylandParis

isnowamorepopulartouristattractionthantheEiffelTower).

TheGrandOpeningofDisneylandParis,199211

10"WaltDisneyParksandResorts."Wikipedia.


FurtherexpansionoccurredinFloridaaswell,withtheopeningofDisneyWorld’sfourth

amusementpark,theAnimalKingdom,in1998.12WaltDisneyParksandResortsalsoreturned

toitsroots,announcingthelong-overduerebrandingandexpansionofDisneyland,which

includedanewamusementpark,DowntownDisneyarea,andtwonewhotels.Disney’s

CaliforniaAdventure,Disneyland’snewcounterpartpark,openedin2001alongwithDowntown

Disney,Disney’sParadisePierHotel,andDisney’sGrandCalifornianHotel.Thisaddition

immediatelyrebrandedDisneyland,whichhadonlybeenastand-aloneamusementparkand

singlehotelupuntilthatpoint,andthecompanybeganadvertisingtheentirepropertyasthe

“DisneylandResort”fromthatpointonwards.Disney’sCaliforniaAdventurealsoservesas

anotherimportantcasestudyonanareaDisneyinitiallystruggledinfinancially,andwas

forcedtoadoptwithmajorchanges-afteryearsofrenovationsandadditions,theparkhasonly

recentlybecomefinanciallysound.

Afterthenewmillennium,WaltDisneyParksandResortscontinueditsglobal

expansion.HongKongDisneylandopenedin2005,allowingtheDisneybrandtogrowinthe

all-importantChinesemarket.Thisregionissostrategicallyimportanttothecompanythat

plansforanotherDisneypropertyinChinaweresoonannounced,fortheShanghaiDisney

Resortwhichwillopenin2016.WhilesecondamusementparkswereopenedatbothTokyo

DisneylandandDisneylandParisin2001and2002,respectively,recentexpansionacrossthe

Disneypropertieshascenteredonimprovingexistingparks,andhotelconstruction.For

11"Disneyland-Paris."DisneyBlogs.N.p.,n.d.Web.12"WaltDisneyWorldTimeline."DisneyWorldTimeline.N.p.,n.d.Web.06Oct.2015.<http://www.orlando-florida.net/walt-disney-world/resources/timeline.htm>.


example,major“land”expansionshavebeenannouncedinrecentyearsattheMagicKingdom

andAnimalKingdominFlorida.

ExpansionBeyondAmusementParksandtheirSurroundingHotels

Inthepast20years,WaltDisneyParksandResortshasmovedtowardsinvestingin

areasoutsideoftheirtraditionalamusementparkandhotelcenters.TheDisneyCruiseLine

openedin1998,andhassincegrowntobecomeastrongsegmentoftheParksandResorts

business.Additionally,Disneyhasopenedanumberofresortsoutsideoftheiramusement

parkareas,inlocationssuchasHiltonHead,SouthCarolina,andKapolei,Hawaii.Finally,

DisneyhasdevelopedtheDisneyVacationClub(DVC),whichoriginallystartedin1991,to

becomeoneoftheirmajorbrand-loyaltyprogramsfortheParksandResortssegment.The

DisneyVacationClubisDisney’sversionofatimeshareprogram,wherememberspayannual

duesandcanstayinspecializedroomsatanumberofDisneyproperties,aswellaspartner

hotelsinotherlocations.13Disneyhasfocusedongainingasmuchshareaspossiblein

consumerspendingonvacations,andthishasledtoabroaderfocusonofferingavarietyof

traveloptionstocustomers.AgreatexampleofthisexpandedfocusisAdventuresbyDisney,

whichisacollectionoftripstoexoticlocationswhichareorganizedandguidedbyDisney

employees.

CurrentIssues

Disneyvs.Universal(andothercompetitors)

Nineoftheworld’stoptenmost-visitedamusementparksonayearlybasisareowned

byDisney,withtheMagicKingdominFloridatakingthetopspot.However,Disney’stop

13"DisneyVacationClub."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/Disney_Vacation_Club>.


competitor,UniversalParksandResorts,hasrecentlyundergoneawaveofmajorexpansions

intheirparksaroundtheworld.UniversalcompeteswithDisneyParksinthreemain

geographicareascurrently-Florida,California,andJapan.Overthepastfewyears,eachof

theseparkshaveseensignificantgainsinattendance,withUniversalStudiosJapan’s

attendancegrowingby16.8%from2013to2014,andsimilargains(17%)attheIslandsof

AdventureparkinOrlandointhesameyear.Forcomparison,Disney’slargestgainsoutofany

oftheirparksaroundtheworldbetween2013and2014wereattheMagicKingdom,butonly

4%.14

AlthoughDisneycurrentlydominatestheattendancerankingsoverUniversal,whichis

theclear#2,UniversaliscurrentlyoutgainingDisneywhichshouldcausesomelong-term

concern.TheprinciplereasonattributedtotheseoutstandinggainsbyUniversalinrecent

yearsistheirsuccessfulexpansionaroundsomeoftheirkeyfranchises,suchastheSimpsons

andmostnotably,HarryPotter.TheWizardingWorldofHarryPotter,whichcostedacombined

(twophases)$456millioninFloridaand$442millioninJapan,hasbeenthecenterof

Universal’srecentexpansionandsuccess.

14"TheMostPopularThemeParksintheWorld."TheMotleyFool.N.p.,n.d.Web.06Oct.2015.<http://www.fool.com/investing/general/2015/06/13/the-most-popular-theme-parks-in-the-world.aspx>.


UniversalOrlando’s$456MillionAddition15

InlightoftheserecentgainsbyUniversal,Disney’sleadershipfromCEOBobIgerand

downhasrealizedtheneedformoreaggressiveexpansionofDisneyparkstocompeteinthe

yearsgoingforward.UniversalfoundsuccessbytakingDisney’sformulaofusingtheirtheme

parkstoenhancethebrandastepfurther,bydevotingentiresectionsofaparktojustone

individualfilmseries.ThisisanoptionDisneycouldpursueinitsparksaswell,andalreadyhas

beguntodo-CarsLandinDisney’sCaliforniaAdventureandPandora-TheLandofAvatarin

Disney’sAnimalKingdomaretwoexamplesofthis.16WiththerecentacquisitionsMarveland

Lucasfilm(StarWars),thisgrowthstrategycouldcertainlybeprofitable,andisclearlyonethe

corporationseesasviable-theconstructionofStarWarsthemedlandswasrecently

announcedforboththeDisneylandResortinCaliforniaandWaltDisneyWorldinFlorida,so

designingthese“lands”effectivelyisanimmediatepriority.

15"WizardingWorldofHarryPotterGrandOpeningGala."OrlandoInformer.N.p.,n.d.Web.16


AnotheravenueDisneycanpursueagainstUniversalisusingsizetotheiradvantage.In

everyinstanceofdirectcompetition,Disneyhasmoredevelopedandundevelopedlandthan

theirUniversalcounterpart,leavingmultipleopportunitiesformajorexpansionthatthe

competitioncannotmatch.Buildinganentirelynewparkononeormoreoftheirpropertiesis

certainlyanoptionforDisney,andifthisnewparkattractsenoughattention,itcanboost

attendanceattheotherDisneyparksintheareaaswellduetotheir“hopper”option.

AfinalareaoffocusforDisneyinregardstotheirrivalrywithUniversalisthemurky

stateofusingMarvelcharactersinDisneyorUniversalparks.Disneypurchasedthecomics

giantin2009,buthassincebeenrestrictedinitsuseofthesecharactersforridesand

attractions,particularlyinFlorida.ThisisduetothecontractbetweenUniversalandMarvel

thatwassignedbackinthe1990s(pre-Disneyacquisition),whichusheredinMarvelSuperHero

IslandatUniversal’sIslandsofAdventurepark,oneofthemainareasofthepark.Universal’s

contractwithMarvelgivesthemtightcontrolovertheusageofMarvelcharactersinthe

Orlandoarea(whereWaltDisneyWorldis),andmoreloosecontrolofuseofMarvelcharacters

atamusementparksanywhere.17DisneyhasbeenactivelynegotiatingwithUniversalovera

possiblebuy-outofthiscontract,sothisisapossiblewayforDisneytogaintheabilitytouse

Marvelcharactersactivelyintheirparks.Regardlessofwhetherabuy-outoccursornot,itisa

corporateprioritytofindasolutionthatwillenableDisneytofeatureMarvelinalloftheirparks

atwill.

17"WaltDisneyParksandResorts."Wikipedia.


ExpansionDecisionsOutsideofParks

TheintroductionofgolfandashoppingdistricttoWaltDisneyWorldin1974begana

trendthathasescalatedtothisday-Disneyisalwayslookingforwaystoreachconsumers

beyondjustparksandresorts.IftheintroductionsoftheDisneyCruiseLineandAdventuresby

Disneyinthepastdecadesareanyindication,thecompanyconstantlystrivestofindnewways

toreachtheirconsumers.Thisissuecanbebrokendownintotwomainareas:theneedtonew

waystoentertainguestsonDisney’sproperties,andfindingnew/expansionopportunitiesfor

Disney’sventuresoutsideoftheirtraditionalamusementparkandresortproperties.Thisis

certainlythemostopen-endedofthemainissuesthisexecutivemeetingwilladdressat

EagleMUNC,socreativeideasareamust.

UnveilingtheShanghaiDisneyResort

ConstructionontheShanghaiDisneyResortbeganin2011,andthis$3.66billion

projectiscurrentlynearingcompletion,asitisscheduledtoopeninthespringof2016.Asthis

importantexecutivemeetingofWaltDisneyParksandResortsatEagleMUNCwillcoincide

withtheopeningofDisney’sShanghaiResort,theopeningandinitialmonthsoftheresortwill

beakeytopicatthemeeting.ShanghairepresentsamajoropportunityintheChinese

mainlandmarket,whichDisneywillhaveaccesstoafullthreeyearsbeforeUniversal,which

willdebuttheirBeijinglocationin2019.ToliveuptothemassiveprojectionsDisneyhasmade

fortheShanghairesort(whichincludesitquicklybecomingthemost-visitedthemeparkinthe

worldbyyearlyattendance),anumberofchallengesmustbenegotiated.

Thesheerquantityofexpectedvisitorsisablessingfinancially,butalsoacurseinterms

ofdesigningthepark.Chinaistheworld’smostpopulouscountry,andShanghaiisthethird-


largestcityintheworldbypopulation,makingcrowdcontrolanever-presentissue.OnNew

Year’sEvein2015,36peoplewerekilledindowntownShanghaiduetoastampede,and

Disneymusttakeeveryprecautionpossibletoensurethatsomethingofthissortdoesnot

occurattheresort.Beyondsafety,Disneyalsoneedstomakesurethatguestsattheparkcan

stillhaveanenjoyableexperience,evenonthemostcrowdeddays.Thisinvolveseverything

frommakingsurethereareenoughattractionsandeateriesrelativetothemaximumamount

ofgueststheparkcanadmit,tomoremicro-levelissuessuchasproperly-placesecurityand

janitorialstaff.

ArtistRenderingofShanghai’sFirstDisneyPark18

TheotherissueDisneymustkeepinmindthroughouttheopeningofShanghaiDisney

isrelationswithboththeiremployeesandtheChinesegovernment.Bothofthesearecommon

pitfallsofWesterncorporationsoperatinginChina,aspoormanagementoftheworkforcecan

leadtobadPR,strikes,oralow-qualityproduct,andpoorhandlingofrelationswiththe

18"ShanghaiDisneyland."DisneyParksandResortPromotionalMedia.N.p.,n.d.Web.


governmentcanquicklyleadtoalossofbusinessopportunities.Withthegrandopeningofthe

ShanghaiResortimpending,executivesofDisneyParksandResortsmustensurethatno

furtherdelaysoccurduetolabor(contractorscuttingcornersinconstructionledtoaprevious

delay),andthatrelationswithtopChineseofficials,suchasMinisterofCultureLuoShugang,

remainpositive.

TicketPrices

TicketpricesfortheMagicKingdominWaltDisneyWorldrecentlycrossed$100for

single-dayadmission,andthisisjustoneexampleofageneraltrendacrossWaltDisneyParks

andResorts.Increasesinticketpricesoverrecentyearshasprovedbeneficialtothecompany,

astheimprovedeconomicclimateandhigherdiscretionaryconsumerbudgetsthathave

resultedhasledtoagreatergeneralwillingnesstopayforDisneythemeparktickets.19Going

forward,thecompanyislookingintothefeasibilityoffurtherincreasesinadmissionprices,but

thisissomethingwhichmustbedoneverycautiously.Itisthegoaloftheexecutivemeetingat

EagleMUNCtodetermineadjustmentstoticketpricethatmaximizeprofit,whilenotcrossing

thelineofangeringconsumersorpricingoutreliablecustomers.

ImmediateOutlook

Overall,Mr.IgerisextremelyoptimisticabouttheprospectsfortheWaltDisneyParks

andResortssegment,butthisexecutivemeetingwillinvolveasolvinganumberofimportant

challengespresentedinthisguide,andbeyond.Everyexecutiveatthisgatheringcomesfrom

19"WaltDisneyCoQ32015EarningsResults•TheDisneyCruiseLineBlog."TheDisneyCruiseLineBlog.N.p.,04Aug.2015.Web.06Oct.2015.<http://disneycruiselineblog.com/2015/08/walt-disney-co-q3-2015-earnings-results/>.


animpressivebackground,anditisthesincerehopeofMr.IgerandtheentireDisney

CompanythatproperdecisionscanbereachedbyMarch20th,2016.

QuestionstoConsider

1. WhataffectcouldraisingorloweringticketpriceshaveforDisney?WhataffectwillthesechangeshaveonDisney’semployeesandthecompany’sbottomline?

2. WhataretheimplicationsoftheopeningoftheShanghaiPark?Canthisparkbeamodelforpotentialnewparks?

3. WhatrolewillDisney’srecentacquisitionofnewcompanieshaveonDisney’scorporateplansgoingforward?

4. HowwillDisneyremaincompetitivegiventherecentriseofitsmajorcompetitor,Universal?

WorksCited "DisneylandOpeningQuote."Pinterest.N.p.,n.d.Web."Disneyland-Paris."DisneyBlogs.N.p.,n.d.Web.MacDonald,Brady."DisneylandOpeningDay."LosAngelesTimes.LosAngelesTimes,17July2015.Web.06Oct.2015.<http://www.latimes.com/travel/la-tr-d-disneyland-opening-day-20150712-story.html>."DisneyVacationClub."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/Disney_Vacation_Club>."MatterhornBobsleds."Disneyeveryday.N.p.,n.d.Web."RetlawEnterprises."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/Retlaw_Enterprises>."ShanghaiDisneyland."DisneyParksandResortPromotionalMedia.N.p.,n.d.Web."SteamboatWillie."AnimationBegins.Wordpress,n.d.Web."TheMostPopularThemeParksintheWorld."TheMotleyFool.N.p.,n.d.Web.06Oct.2015.<http://www.fool.com/investing/general/2015/06/13/the-most-popular-theme-parks-in-the-world.aspx>."TheWaltDisneyCompany."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/The_Walt_Disney_Company>.Wallace,David."14OriginalDisneylandAttractionsThatAreStillAroundToday."Disneyrama.N.p.,20Nov.2008.Web.<http://www.disneyorama.com/2008/11/14-original-disneyland-attractions-that-are-still-around-today/>."WaltDisneyCoQ32015EarningsResults•TheDisneyCruiseLineBlog."TheDisneyCruiseLineBlog.N.p.,04Aug.2015.Web.06Oct.2015.<http://disneycruiselineblog.com/2015/08/walt-disney-co-q3-2015-earnings-results/>.


"WaltDisneyParksandResorts."Wikipedia.WikimediaFoundation,n.d.Web.06Oct.2015.<https://en.wikipedia.org/wiki/Walt_Disney_Parks_and_Resorts>."WaltDisneyWorldTimeline."DisneyWorldTimeline.N.p.,n.d.Web.06Oct.2015.<http://www.orlando-florida.net/walt-disney-world/resources/timeline.htm>."WizardingWorldofHarryPotterGrandOpeningGala."OrlandoInformer.N.p.,n.d.Web."1982EPCOT."FindDisney.N.p.,n.d.Web.

walt disney parks and resorts worldwide, inc

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