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Best In France

Best In France. Christie MAIN Jichun MAO Guillermo MONTERO A. Yuka HATA. Walt Disney Company. Theme Park Openings 1955 - Disneyland in Anaheim, California 1971 – Disneyworld in Orlando, Florida 1983 - Disneyland Tokyo 1992 - Eurodisney Paris 2002 – Walt Disney Studios Park, Paris. 100%.

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Best In France

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  1. Best In France Christie MAIN Jichun MAO Guillermo MONTERO A. Yuka HATA

  2. Walt Disney Company • Theme Park Openings • 1955 - Disneyland in Anaheim, California • 1971 – Disneyworld in Orlando, Florida • 1983 - Disneyland Tokyo • 1992 - Eurodisney Paris • 2002 – Walt Disney Studios Park, Paris

  3. 100% L.A. Florida 100% Tokyo License Agreement Only Paris 39% Walt Disney Company • Percentage Ownership of Theme Parks

  4. Euro Disney • Euro Disney S.A. • Indirect 99% owned subsidiary of The Walt Disney Company • Operations • Euro Disney SCA • EDL Hotels SCA • ED Resorts SCA • ED Resorts Services SCA • Euro Disney S.C.A. • Supervisory board • Oversees Management

  5. Euro Disney S.A. • Disneyland Resort Paris • Disneyland Park • Walt Disney Studios Park • 1943 hectares of undeveloped land • Master Plan for development of Eastern Paris

  6. Financial Key Figures (Euros in millions) (Euros in millions)

  7. Financial Key Figures 2 Breakdown of Revenues by Activities – Disneyland Paris

  8. Why Europe? • Success of existing parks in North America and Asia • High percentage of European visitors in Anaheim and Orlando • Two potential locations studied: • Barcelona • Paris

  9. Why Paris? • Number one tourist destination in Europe • Government offered a great deal • Government wanted to expand Paris to the east • Use Disney as anchor • Favorable price tag for property and loans • Favorable tax regime and financial incentives • Good potential transportation infrastructure • Highway • TGV • RER

  10. Product • Family entertainment destination • Theme Park • Resort • Master Plan • 30 year plan signed with French government in 1987 • Development of major tourist destination and center of economic activity for East Paris • Includes theme park, real estate development, hotels, golf course.

  11. Adaptation to Product • Necessity to continually add new attractions to encourage revisit • Walt Disney Studio Park added in 2002 • Attractions in French and English • Newest attractions in German, Italian, Dutch, and Spanish. • Grooming Guidelines • No showy jewelry, conservative hairstyle, no sideburns • Food Habits • Assumed French wanted long leisurely lunches • French actually prefer fast food • Public Transportation • Closing time adjusted to 11pm to match RER closing times. • Alcohol served in park • First and only park to serve alcohol in Magic Kingdom. • Assumed Europeans were used to weather • Ended up covering queue, terraces, restaurants

  12. Key Constraints • European mindset • Prefer educational activities for children • Idea of theme park vacation is new • Competition • Abundance of short holiday destinations • Other theme parks • (Actually help rather than hurt Disneyland, by perpetuating the idea of a theme park vacation) • Huge capital investment • The heavy pressure of payback • Company is profitable (EBITDA), but operates under huge debt ceiling • Unpleasant weather • Hours of sunshine in Florida/California (?) • Long and cold winter

  13. Clientele • Target Europeans living within a 2-hour plane ride of Paris • Majority unfamiliar with theme parks at time of park opening

  14. Company Values • “Cast Member” satisfaction • Work experience should be as pleasurable as guest visits • Personal and professional growth • Community relations/volunteerism • Environmental responsibility • Exceptional customer service

  15. Company Values • Disney has an aggressively friendly culture • Clashes with French culture • Not used to good service

  16. Challenges • American customer service style • disarming to French/Europeans guests • Unnatural for French employees • Necessity for multiple language proficiency • French aversion to conformity • Disney’s “clean cut” policy requiring short hair, no earrings, etc.

  17. Adaptation of HR (1) Recruitment • Selection extremely important • Key to maintaining Disney experience • Challenges • Not an “Employer of Choice” • Relatively far from Paris • High turnover • Multiple language requirement

  18. Adaptation to HR (2) • Orientation • Less knowledgeable about Disney • Europeans do not grow up with Disney like Americans • Educate employees on the history of Disney and their parks • Instill an appreciation of Disney tradition • Ongoing • Motivational activities • Focus on employment experience • Try to make work as much fun as visiting the park • Exceptional benefits package

  19. Key Benefits • Employment • 20,000 direct employees • 50,000 employed because of Disneyland Paris’ presence • Economics • Huge contribution to the development of East Paris • Disney brand extension • European idea of Disney no longer limited to movies and Mickey Mouse. • Most visited attraction in France. • Europe’s leading tourist destination (Annual report 2002) • Theme parks are a growth business in Europe

  20. We would like to thank… • Greg Morley • Director Human Resources • Paul Osterhout • Executive Producer, Vice President

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