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Euro disney: the first 100 days description.

The Walt Disney Co. theme parks historically have thrived on the basis of a formula stressing excellent customer service and a magnificent physical environment. The formula has proven successful in Japan, as well as the United States. With the controversial opening of Euro Disney in France, however, there has become reason to doubt the international appeal of the formula. The case documents issues involved with Euro Disney. Examines the transferability of a successful service concept across international boundaries.

Case Description Euro Disney: The First 100 Days

Strategic managment tools used in case study analysis of euro disney: the first 100 days, step 1. problem identification in euro disney: the first 100 days case study, step 2. external environment analysis - pestel / pest / step analysis of euro disney: the first 100 days case study, step 3. industry specific / porter five forces analysis of euro disney: the first 100 days case study, step 4. evaluating alternatives / swot analysis of euro disney: the first 100 days case study, step 5. porter value chain analysis / vrio / vrin analysis euro disney: the first 100 days case study, step 6. recommendations euro disney: the first 100 days case study, step 7. basis of recommendations for euro disney: the first 100 days case study, quality & on time delivery.

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Case Analysis of Euro Disney: The First 100 Days

Euro Disney: The First 100 Days is a Harvard Business (HBR) Case Study on Technology & Operations , Texas Business School provides HBR case study assignment help for just $9. Texas Business School(TBS) case study solution is based on HBR Case Study Method framework, TBS expertise & global insights. Euro Disney: The First 100 Days is designed and drafted in a manner to allow the HBR case study reader to analyze a real-world problem by putting reader into the position of the decision maker. Euro Disney: The First 100 Days case study will help professionals, MBA, EMBA, and leaders to develop a broad and clear understanding of casecategory challenges. Euro Disney: The First 100 Days will also provide insight into areas such as – wordlist , strategy, leadership, sales and marketing, and negotiations.

Case Study Solutions Background Work

Euro Disney: The First 100 Days case study solution is focused on solving the strategic and operational challenges the protagonist of the case is facing. The challenges involve – evaluation of strategic options, key role of Technology & Operations, leadership qualities of the protagonist, and dynamics of the external environment. The challenge in front of the protagonist, of Euro Disney: The First 100 Days, is to not only build a competitive position of the organization but also to sustain it over a period of time.

Strategic Management Tools Used in Case Study Solution

The Euro Disney: The First 100 Days case study solution requires the MBA, EMBA, executive, professional to have a deep understanding of various strategic management tools such as SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.

Texas Business School Approach to Technology & Operations Solutions

In the Texas Business School, Euro Disney: The First 100 Days case study solution – following strategic tools are used - SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis. We have additionally used the concept of supply chain management and leadership framework to build a comprehensive case study solution for the case – Euro Disney: The First 100 Days

Step 1 – Problem Identification of Euro Disney: The First 100 Days - Harvard Business School Case Study

The first step to solve HBR Euro Disney: The First 100 Days case study solution is to identify the problem present in the case. The problem statement of the case is provided in the beginning of the case where the protagonist is contemplating various options in the face of numerous challenges that Disney Euro is facing right now. Even though the problem statement is essentially – “Technology & Operations” challenge but it has impacted by others factors such as communication in the organization, uncertainty in the external environment, leadership in Disney Euro, style of leadership and organization structure, marketing and sales, organizational behavior, strategy, internal politics, stakeholders priorities and more.

Step 2 – External Environment Analysis

Texas Business School approach of case study analysis – Conclusion, Reasons, Evidences - provides a framework to analyze every HBR case study. It requires conducting robust external environmental analysis to decipher evidences for the reasons presented in the Euro Disney: The First 100 Days. The external environment analysis of Euro Disney: The First 100 Days will ensure that we are keeping a tab on the macro-environment factors that are directly and indirectly impacting the business of the firm.

What is PESTEL Analysis? Briefly Explained

PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in Euro Disney: The First 100 Days case study. PESTEL analysis of " Euro Disney: The First 100 Days" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.

How to do PESTEL / PEST / STEP Analysis? What are the components of PESTEL Analysis?

As mentioned above PESTEL Analysis has six elements – political, economic, social, technological, environmental, and legal. All the six elements are explained in context with Euro Disney: The First 100 Days macro-environment and how it impacts the businesses of the firm.

How to do PESTEL Analysis for Euro Disney: The First 100 Days

To do comprehensive PESTEL analysis of case study – Euro Disney: The First 100 Days , we have researched numerous components under the six factors of PESTEL analysis.

Political Factors that Impact Euro Disney: The First 100 Days

Political factors impact seven key decision making areas – economic environment, socio-cultural environment, rate of innovation & investment in research & development, environmental laws, legal requirements, and acceptance of new technologies.

Government policies have significant impact on the business environment of any country. The firm in “ Euro Disney: The First 100 Days ” needs to navigate these policy decisions to create either an edge for itself or reduce the negative impact of the policy as far as possible.

Data safety laws – The countries in which Disney Euro is operating, firms are required to store customer data within the premises of the country. Disney Euro needs to restructure its IT policies to accommodate these changes. In the EU countries, firms are required to make special provision for privacy issues and other laws.

Competition Regulations – Numerous countries have strong competition laws both regarding the monopoly conditions and day to day fair business practices. Euro Disney: The First 100 Days has numerous instances where the competition regulations aspects can be scrutinized.

Import restrictions on products – Before entering the new market, Disney Euro in case study Euro Disney: The First 100 Days" should look into the import restrictions that may be present in the prospective market.

Export restrictions on products – Apart from direct product export restrictions in field of technology and agriculture, a number of countries also have capital controls. Disney Euro in case study “ Euro Disney: The First 100 Days ” should look into these export restrictions policies.

Foreign Direct Investment Policies – Government policies favors local companies over international policies, Disney Euro in case study “ Euro Disney: The First 100 Days ” should understand in minute details regarding the Foreign Direct Investment policies of the prospective market.

Corporate Taxes – The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Corporate taxation can be divided into two categories – taxes on profits and taxes on operations. Taxes on profits number is important for companies that already have a sustainable business model, while taxes on operations is far more significant for companies that are looking to set up new plants or operations.

Tariffs – Chekout how much tariffs the firm needs to pay in the “ Euro Disney: The First 100 Days ” case study. The level of tariffs will determine the viability of the business model that the firm is contemplating. If the tariffs are high then it will be extremely difficult to compete with the local competitors. But if the tariffs are between 5-10% then Disney Euro can compete against other competitors.

Research and Development Subsidies and Policies – Governments often provide tax breaks and other incentives for companies to innovate in various sectors of priority. Managers at Euro Disney: The First 100 Days case study have to assess whether their business can benefit from such government assistance and subsidies.

Consumer protection – Different countries have different consumer protection laws. Managers need to clarify not only the consumer protection laws in advance but also legal implications if the firm fails to meet any of them.

Political System and Its Implications – Different political systems have different approach to free market and entrepreneurship. Managers need to assess these factors even before entering the market.

Freedom of Press is critical for fair trade and transparency. Countries where freedom of press is not prevalent there are high chances of both political and commercial corruption.

Corruption level – Disney Euro needs to assess the level of corruptions both at the official level and at the market level, even before entering a new market. To tackle the menace of corruption – a firm should have a clear SOP that provides managers at each level what to do when they encounter instances of either systematic corruption or bureaucrats looking to take bribes from the firm.

Independence of judiciary – It is critical for fair business practices. If a country doesn’t have independent judiciary then there is no point entry into such a country for business.

Government attitude towards trade unions – Different political systems and government have different attitude towards trade unions and collective bargaining. The firm needs to assess – its comfort dealing with the unions and regulations regarding unions in a given market or industry. If both are on the same page then it makes sense to enter, otherwise it doesn’t.

Economic Factors that Impact Euro Disney: The First 100 Days

Social factors that impact euro disney: the first 100 days, technological factors that impact euro disney: the first 100 days, environmental factors that impact euro disney: the first 100 days, legal factors that impact euro disney: the first 100 days, step 3 – industry specific analysis, what is porter five forces analysis, step 4 – swot analysis / internal environment analysis, step 5 – porter value chain / vrio / vrin analysis, step 6 – evaluating alternatives & recommendations, step 7 – basis for recommendations, references :: euro disney: the first 100 days case study solution.

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Euro Disney: The First 100 Days Harvard Case Solution & Analysis

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euro disney the first 100 days case study solution

Walt Disney Co. theme parks historically thrived on the basis of a formula, adding a great service and a great physical environment. The formula has proven effective in Japan and the United States. With the opening of the controversial Euro Disney in France, however, did not reason to doubt the international circulation of the formula. With the case of issues related to Euro Disney. Considering the possibility of transferring the successful concept of services across international borders. "Hide by Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony Source: HBS Premier Case Collection 23 pages. Publication Date: August 13, 1992. Prod. #: 693013-PDF-ENG

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Harvard Case - Euro Disney: The First 100 Days

"Euro Disney: The First 100 Days" Harvard business case study is written by Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony. It deals with the challenges in the field of Service Management. The case study is 23 page(s) long and it was first published on : Aug 13, 1992

At Fern Fort University, we recommend a multifaceted approach to address Euro Disney's challenges during its first 100 days. This strategy focuses on improving customer service , operational efficiency , and marketing effectiveness to enhance the overall customer experience and drive business growth .

2. Background

Euro Disney, a joint venture between The Walt Disney Company and a consortium of French investors, opened its doors in April 1992. The park was envisioned as a European version of Disneyland, offering a similar immersive experience with cultural adaptations. However, the initial months were marred by challenges including low attendance, operational inefficiencies, and cultural misunderstandings.

The main protagonists of the case study are:

  • Robert Fitzpatrick: The CEO of Euro Disney, tasked with navigating the park through its initial challenges.
  • The Walt Disney Company: The parent company, providing expertise and resources but also imposing a strict corporate culture.
  • French Investors: Holding a significant stake in the park, concerned about its financial performance and potential cultural impact.

3. Analysis of the Case Study

Strategic Framework: The case study can be analyzed using the Service Profit Chain framework, which highlights the interconnectedness of service quality, employee satisfaction, customer loyalty, and profitability.

Key Issues:

  • Customer Service: The park's initial service quality was subpar, with long queues, inconsistent service, and cultural insensitivity.
  • Operations Strategy: Operational inefficiencies led to delays, overcrowding, and a negative impact on the overall customer experience.
  • Marketing Strategy: The marketing campaign failed to effectively target European audiences, resulting in low attendance and revenue.
  • Cultural Misunderstandings: The park's initial approach lacked sensitivity to European cultural norms and preferences.
  • Financial Performance: The park's financial performance fell short of expectations, leading to concerns among investors.
  • Service Quality: The park's service quality was hampered by inadequate training, lack of employee empowerment , and inconsistent service standards. The SERVQUAL model could be used to identify specific gaps in service quality.
  • Operations: The park's operations strategy lacked flexibility and adaptability to changing demand. Process analysis and service system design could be employed to improve efficiency.
  • Marketing: The marketing campaign lacked cultural sensitivity and failed to effectively communicate the park's value proposition. Customer journey mapping and service marketing mix strategies could be implemented to target European audiences.
  • Culture: The park's initial approach lacked consideration for European cultural norms and preferences. Organizational culture and diversity and inclusion initiatives are crucial to foster a welcoming environment.
  • Financial Performance: The park's financial performance was impacted by low attendance, operational inefficiencies, and marketing inefficiencies. Business models and financial analysis are essential to address these challenges.

4. Recommendations

Short-Term (First 100 Days):

  • Service Training: Implement comprehensive service training programs for all employees, emphasizing customer service , cultural sensitivity, and employee empowerment .
  • Service Recovery: Establish clear procedures for handling service failures and implementing service recovery strategies.
  • Customer Feedback: Implement mechanisms to collect and analyze customer feedback, leveraging customer relationship management (CRM) systems.
  • Process Analysis: Conduct a thorough process analysis to identify bottlenecks and inefficiencies in park operations.
  • Service System Design: Re-design park layout and flow to improve efficiency and reduce wait times.
  • Service Capacity Management: Implement service capacity management strategies to better manage demand and optimize resource allocation.
  • Target European Audiences: Develop a targeted marketing campaign that resonates with European audiences, considering cultural preferences and values.
  • Service Marketing Mix: Utilize the service marketing mix to effectively communicate the park's value proposition and attract visitors.
  • Public Relations: Engage in proactive public relations efforts to build positive relationships with European media and communities.
  • Cultural Sensitivity Training: Provide cultural sensitivity training for all employees to enhance their understanding of European cultural norms.
  • Cultural Adaptations: Adapt park offerings and experiences to better align with European preferences.
  • Cost Reduction: Implement cost-reduction measures to improve financial performance, focusing on operational efficiencies and marketing optimization.
  • Revenue Enhancement: Explore strategies to increase revenue, such as introducing new attractions, special events, and merchandise offerings.

Long-Term (Beyond 100 Days):

  • Service Innovation: Continuously innovate and introduce new service offerings to attract and retain visitors.
  • Service Differentiation: Differentiate Euro Disney from competitors by focusing on unique experiences and cultural adaptations.
  • Service Ecosystems: Develop partnerships with local businesses and attractions to create a broader service ecosystem.
  • Employee Empowerment: Empower employees to make decisions and solve problems, fostering a culture of employee engagement .
  • Diversity and Inclusion: Promote diversity and inclusion within the organization to create a welcoming and inclusive environment.
  • Organizational Change Management: Implement change management strategies to ensure smooth transition and adoption of new initiatives.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core Competencies and Mission: The recommendations align with Disney's core competencies in entertainment, storytelling, and customer service, while also considering Euro Disney's mission to provide a unique and immersive experience.
  • External Customers and Internal Clients: The recommendations prioritize the needs of external customers (visitors) and internal clients (employees) by focusing on improving service quality, operational efficiency, and employee satisfaction.
  • Competitors: The recommendations address the competitive landscape by focusing on differentiation, innovation, and marketing effectiveness.
  • Attractiveness: The recommendations are expected to improve financial performance by increasing attendance, revenue, and profitability.
  • Assumptions: The recommendations assume that Euro Disney is committed to long-term success and is willing to invest in the necessary resources to implement these changes.

6. Conclusion

By implementing these recommendations, Euro Disney can overcome its initial challenges, improve customer satisfaction, enhance operational efficiency, and drive business growth. The park can leverage its unique position as a European destination and capitalize on the global appeal of Disney's brand to become a successful and profitable venture.

7. Discussion

Other Alternatives:

  • Closing the park: This option would be a drastic measure and would likely result in significant financial losses and reputational damage.
  • Selling the park: This option would relinquish control of the park and could potentially lead to a loss of the Disney brand identity.

Risks and Key Assumptions:

  • Cultural resistance: Implementing cultural adaptations may face resistance from some stakeholders.
  • Financial constraints: Implementing these recommendations may require significant financial investment.
  • Competitive landscape: The competitive landscape in the European theme park industry may evolve, requiring ongoing adaptation and innovation.

8. Next Steps

  • Develop a detailed implementation plan: This plan should outline specific actions, timelines, and resource requirements for each recommendation.
  • Establish key performance indicators (KPIs): Track progress towards achieving the desired outcomes, such as customer satisfaction, operational efficiency, and financial performance.
  • Regularly review and adjust: Continuously monitor the implementation process and make adjustments as needed to ensure success.

By taking these steps, Euro Disney can transform its initial challenges into opportunities for growth and success.

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Case Description

The Walt Disney Co. theme parks historically have thrived on the basis of a formula stressing excellent customer service and a magnificent physical environment. The formula has proven successful in Japan, as well as the United States. With the controversial opening of Euro Disney in France, however, there has become reason to doubt the international appeal of the formula. The case documents issues involved with Euro Disney. Examines the transferability of a successful service concept across international boundaries.

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Referrences & Bibliography for SWOT Analysis | SWOT Matrix | Strategic Management

1. Andrews, K. R. (1980). The concept of corporate strategy. Harvard Business Review, 61(3), 139-148. 2. Ansoff, H. I. (1957). Strategies for diversification. Harvard Business Review, 35(5), 113-124. 3. Brandenburger, A. M., & Nalebuff, B. J. (1995). The right game: Use game theory to shape strategy. Harvard Business Review, 73(4), 57-71. 4. Christensen, C. M., & Raynor, M. E. (2003). Why hard-nosed executives should care about management theory. Harvard Business Review, 81(9), 66-74. 5. Christensen, C. M., & Raynor, M. E. (2003). The innovator's solution: Creating and sustaining successful growth. Harvard Business Review Press. 6. D'Aveni, R. A. (1994). Hypercompetition: Managing the dynamics of strategic maneuvering. Harvard Business Review Press. 7. Ghemawat, P. (1991). Commitment: The dynamic of strategy. Harvard Business Review, 69(2), 78-91. 8. Ghemawat, P. (2002). Competition and business strategy in historical perspective. Business History Review, 76(1), 37-74. 9. Hamel, G., & Prahalad, C. K. (1990). The core competence of the corporation. Harvard Business Review, 68(3), 79-91. 10. Kaplan, R. S., & Norton, D. P. (1992). The balanced scorecard--measures that drive performance. Harvard Business Review, 70(1), 71-79. 11. Kim, W. C., & Mauborgne, R. (2004). Blue ocean strategy. Harvard Business Review, 82(10), 76-84. 12. Kotter, J. P. (1995). Leading change: Why transformation efforts fail. Harvard Business Review, 73(2), 59-67. 13. Mintzberg, H., Ahlstrand, B., & Lampel, J. (2008). Strategy safari: A guided tour through the wilds of strategic management. Harvard Business Press. 14. Porter, M. E. (1979). How competitive forces shape strategy. Harvard Business Review, 57(2), 137-145. 15. Porter, M. E. (1980). Competitive strategy: Techniques for analyzing industries and competitors. Simon and Schuster. 16. Porter, M. E. (1985). Competitive advantage: Creating and sustaining superior performance. Free Press. 17. Prahalad, C. K., & Hamel, G. (1990). The core competence of the corporation. Harvard Business Review, 68(3), 79-91. 18. Rumelt, R. P. (1979). Evaluation of strategy: Theory and models. Strategic Management Journal, 1(1), 107-126. 19. Rumelt, R. P. (1984). Towards a strategic theory of the firm. Competitive Strategic Management, 556-570. 20. Teece, D. J., Pisano, G., & Shuen, A. (1997). Dynamic capabilities and strategic management. Strategic Management Journal, 18(7), 509-533.

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Euro Disney: The First 100 Days

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Euro Disney The First 100 Days Case Study Solution

Posted by John Berg on Feb-16-2018

Introduction

Euro Disney The First 100 Days Case Study is included in the Harvard Business Review Case Study. Therefore, it is necessary to touch HBR fundamentals before starting the Euro Disney The First 100 Days case analysis. HBR will help you assess which piece of information is relevant. Harvard Business review will also help you solve your case. Thus, HBR fundamentals assist in easily comprehending the case study description and brainstorming the Euro Disney The First 100 Days case analysis. Also, a major benefit of HBR is that it widens your approach. HBR also brings new ideas into the picture which would help you in your Euro Disney The First 100 Days case analysis.

To write an effective Harvard Business Case Solution, a deep Euro Disney The First 100 Days case analysis is essential. A proper analysis requires deep investigative reading. You should have a strong grasp of the concepts discussed and be able to identify the central problem in the given HBR case study. It is very important to read the HBR case study thoroughly as at times identifying the key problem becomes challenging. Thus by underlining every single detail which you think relevant, you will be quickly able to solve the HBR case study as is addressed in Harvard Business Case Solution.

Problem Identification

The first step in solving the HBR Case Study is to identify the problem. A problem can be regarded as a difference between the actual situation and the desired situation. This means that to identify a problem, you must know where it is intended to be. To do a Euro Disney The First 100 Days case study analysis and a financial analysis, you need to have a clear understanding of where the problem currently is about the perceived problem.

For effective and efficient problem identification,

  • A multi-source and multi-method approach should be adopted.
  • The problem identified should be thoroughly reviewed and evaluated before continuing with the case study solution.
  • The problem should be backed by sufficient evidence to make sure a wrong problem isn't being worked upon.

Problem identification, if done well, will form a strong foundation for your Euro Disney The First 100 Days Case Study. Effective problem identification is clear, objective, and specific. An ambiguous problem will result in vague solutions being discovered. It is also well-informed and timely. It should be noted that the right amount of time should be spent on this part. Spending too much time will leave lesser time for the rest of the process.

Euro Disney The First 100 Days Case Analysis

Once you have completed the first step which was problem identification, you move on to developing a case study answers. This is the second step which will include evaluation and analysis of the given company. For this step, tools like SWOT analysis, Porter's five forces analysis for Euro Disney The First 100 Days, etc. can be used. Porter’s five forces analysis for Euro Disney The First 100 Days analyses a company’s substitutes, buyer and supplier power, rivalry, etc.

To do an effective HBR case study analysis, you need to explore the following areas:

1. Company history:

The Euro Disney The First 100 Days case study consists of the history of the company given at the start. Reading it thoroughly will provide you with an understanding of the company's aims and objectives. You will keep these in mind as any Harvard Business Case Solutions you provide will need to be aligned with these.

2. Company growth trends:

This will help you obtain an understanding of the company's current stage in the business cycle and will give you an idea of what the scope of the solution should be.

3. Company culture:

Work culture in a company tells a lot about the workforce itself. You can understand this by going through the instances involving employees that the HBR case study provides. This will be helpful in understanding if the proposed case study solution will be accepted by the workforce and whether it will consist of the prevailing culture in the company.

Euro Disney The First 100 Days Financial Analysis

The third step of solving the Euro Disney The First 100 Days Case Study is Euro Disney The First 100 Days Financial Analysis. You can go about it in a similar way as is done for a finance and accounting case study. For solving any Euro Disney The First 100 Days case, Financial Analysis is of extreme importance. You should place extra focus on conducting Euro Disney The First 100 Days financial analysis as it is an integral part of the Euro Disney The First 100 Days Case Study Solution. It will help you evaluate the position of Euro Disney The First 100 Days regarding stability, profitability and liquidity accurately. On the basis of this, you will be able to recommend an appropriate plan of action. To conduct a Euro Disney The First 100 Days financial analysis in excel,

  • Past year financial statements need to be extracted.
  • Liquidity and profitability ratios to be calculated from the current financial statements.
  • Ratios are compared with the past year Euro Disney The First 100 Days calculations
  • Company’s financial position is evaluated.

Another way how you can do the Euro Disney The First 100 Days financial analysis is through financial modelling. Financial Analysis through financial modelling is done by:

  • Using the current financial statement to produce forecasted financial statements.
  • A set of assumptions are made to grow revenue and expenses.
  • Value of the company is derived.

Financial Analysis is critical in many aspects:

  • Decision Making and Strategy Devising to achieve targeted goals- to determine the future course of action.
  • Getting credit from suppliers depending on the leverage position- creditors will be confident to supply on credit if less company debt.
  • Influence on Investment Decisions- buying and selling of stock by investors.

Thus, it is a snapshot of the company and helps analysts assess whether the company's performance has improved or deteriorated. It also gives an insight about its expected performance in future- whether it will be going concern or not. Euro Disney The First 100 Days Financial analysis can, therefore, give you a broader image of the company.

Euro Disney The First 100 Days NPV

Euro Disney The First 100 Days's calculations of ratios only are not sufficient to gauge the company performance for investment decisions. Instead, investment appraisal methods should also be considered. Euro Disney The First 100 Days NPV calculation is a very important one as NPV helps determine whether the investment will lead to a positive value or a negative value. It is the best tool for decision making.

There are many benefits of using NPV:

  • It takes into account the future value of money, thereby giving reliable results.
  • It considers the cost of capital in its calculations.
  • It gives the return in dollar terms simplifying decision making.

The formula that you will use to calculate Euro Disney The First 100 Days NPV will be as follows:

Present Value of Future Cash Flows minus Initial Investment

Present Value of Future cash flows will be calculated as follows:

PV of CF= CF1/(1+r)^1 + CF2/(1+r)^2 + CF3/(1+r)^3 + …CFn/(1+r)^n

where CF = cash flows r = cost of capital n = total number of years.

Cash flows can be uniform or multiple. You can discount them by Euro Disney The First 100 Days WACC as the discount rate to arrive at the present value figure. You can then use the resulting figure to make your investment decision. The decision criteria would be as follows:

  • If Present Value of Cash Flows is greater than Initial Investment, you can accept the project.
  • If Present Value of Cash Flows is less than Initial Investment, you can reject the project.

Thus, calculation of Euro Disney The First 100 Days NPV will give you an insight into the value generated if you invest in Euro Disney The First 100 Days. It is a very reliable tool to assess the feasibility of an investment as it helps determine whether the cash flows generated will help yield a positive return or not.

However, it would be better if you take various aspects under consideration. Thus, apart from Euro Disney The First 100 Days’s NPV, you should also consider other capital budgeting techniques like Euro Disney The First 100 Days’s IRR to evaluate and fine-tune your investment decisions.

Euro Disney The First 100 Days DCF

Once you are done with calculating the Euro Disney The First 100 Days NPV for your finance and accounting case study, you can proceed to the next step, which involves calculating the Euro Disney The First 100 Days DCF. Discounted cash flow (DCF) is a Euro Disney The First 100 Days valuation method used to estimate the value of an investment based on its future cash flows. For a better presentation of your finance case solution, it is recommended to use Euro Disney The First 100 Days excel for the DCF analysis.

To calculate the Euro Disney The First 100 Days DCF analysis, the following steps are required:

  • Calculate the expected future cash inflows and outflows.
  • Set-off inflows and outflows to obtain the net cash flows.
  • Find the present value of expected future net cash flows using a discount rate, which is usually the weighted-average cost of capital (WACC).
  • If the value calculated through Euro Disney The First 100 Days DCF is higher than the current cost of the investment, the opportunity should be considered
  • If the current cost of the investment is higher than the value calculated through DCF, the opportunity should be rejected

Euro Disney The First 100 Days DCF can also be calculated using the following formula:

DCF= CF1/(1+r)^1 + CF2/(1+r)^2 + CF3/(1+r)^3 + …CFn/(1+r)^n

In the formula:

  • CF= Cash flows
  • R= discount rate (WACC)

Euro Disney The First 100 Days WACC

When making different Euro Disney The First 100 Days's calculations, Euro Disney The First 100 Days WACC calculation is of great significance. WACC calculation is done by the capital composition of the company. The formula will be as follows:

Weighted Average Cost of Capital = % of Debt * Cost of Debt * (1- tax rate) + % of equity * Cost of Equity

You can compute the debt and equity percentage from the balance sheet figures. For the cost of equity, you can use the CAPM model. Cost of debt is usually given. However, if it isn't mentioned, you can calculate it through market weighted average debt. Euro Disney The First 100 Days’s WACC will indicate the rate the company should earn to pay its capital suppliers. Euro Disney The First 100 Days WACC can be analysed in two ways:

  • From the company's perspective, it can be analysed as the cost to be paid to the capital providers also known as Cost of Capital
  • From an investor' perspective, if the expected return on the investment exceeds Euro Disney The First 100 Days WACC, the investor will go ahead with the investment as a positive value would be generated.

Euro Disney The First 100 Days IRR

After calculating the Euro Disney The First 100 Days WACC, it is necessary to calculate the Euro Disney The First 100 Days IRR as well, as WACC alone does not say much about the company’s overall situation. Euro Disney The First 100 Days IRR will add meaning to the finance solution that you are working on. The internal rate of return is a tool used in investment appraisal to calculate the profitability of prospective investments. IRR calculations are dependent on the same formula as Euro Disney The First 100 Days NPV.

There are two ways to calculate the Euro Disney The First 100 Days IRR.

  • By using a Euro Disney The First 100 Days Excel Spreadsheet: There are in-built formulae for calculating IRR.

IRR= R + [NPVa / (NPVa - NPVb) x (Rb - Ra)]

In this formula:

  • Ra= lower discount rate chosen
  • Rb= higher discount rate chosen
  • NPVa= NPV at Ra
  • NPVb= NPV at Rb

Euro Disney The First 100 Days IRR impacts your finance case solution in the following ways:

  • If IRR>WACC, accept the alternative
  • If IRR<WACC, reject the alternative

Euro Disney The First 100 Days Excel Spreadsheet

All your Euro Disney The First 100 Days calculations should be done in a Euro Disney The First 100 Days xls Spreadsheet. A Euro Disney The First 100 Days excel spreadsheet is the best way to present your finance case solution. The Euro Disney The First 100 Days Calculations should be presented in Euro Disney The First 100 Days excel in such a way that the analysis and results can be distinguished to the viewers. The point of Euro Disney The First 100 Days excel is to present large amounts of data in clear and consumable ways. Presenting your data is also going to make sure that you don't have misinterpretations of the data.

To make your Euro Disney The First 100 Days calculations sheet more meaningful, you should:

  • Think about the order of the Euro Disney The First 100 Days xls worksheets in your finance case solution
  • Use more Euro Disney The First 100 Days xls worksheets and tables as will divide the data that you are looking at in sections.
  • Choose clarity overlooks
  • Keep your timeline consistent
  • Organise the information flow
  • Clarify your sources

The following tips and bits should be kept in mind while preparing your finance case solution in a Euro Disney The First 100 Days xls spreadsheet:

  • Avoid using fixed numbers in formulae
  • Avoid hiding data
  • Useless and meaningful colours, such as highlighting negative numbers in red
  • Label column and rows
  • Correct your alignment
  • Keep formulae readable
  • Strategically freeze header column and row

Euro Disney The First 100 Days Ratio analysis

After you have your Euro Disney The First 100 Days calculations in a Euro Disney The First 100 Days xls spreadsheet, you can move on to the next step which is ratio analysis. Ratio analysis is an analysis of information in the form of figures contained in the financial statements of a company. It will help you evaluate various aspects of a company's operating and financial performance which can be done in Euro Disney The First 100 Days Excel.

To conduct a ratio analysis that covers all financial aspects, divide the analysis as follows:

  • Liquidity Ratios: Liquidity ratios gauge a company's ability to pay off its short-term debt. These include the current ratio, quick ratio, and working capital ratio.
  • Solvency ratios: Solvency ratios match a company's debt levels with its assets, equity, and earnings. These include the debt-equity ratio, debt-assets ratio, and interest coverage ratio.
  • Profitability Ratios: These show how effectively a company can generate profits through its operations. Profit margin, return on assets, return on equity, return on capital employed, and gross margin ratio is examples of profitability ratios.
  • Efficiency ratios: Efficiency ratios analyse how efficiently a company uses its assets and liabilities to boost sales and increase profits.
  • Coverage Ratios: These ratios measure a company's ability to make the interest payments and other obligations associated with its debts. Examples include times interest earned ratio and debt-service coverage ratio.
  • Market Prospect Ratios: These include dividend yield, P/E ratio, earnings per share, and dividend payout ratio.

Euro Disney The First 100 Days Valuation

Euro Disney The First 100 Days Valuation is a very fundamental requirement if you want to work out your Harvard Business Case Solution. Euro Disney The First 100 Days Valuation includes a critical analysis of the company's capital structure – the composition of debt and equity in it, and the fair value of its assets. Common approaches to Euro Disney The First 100 Days valuation include

  • DDM is an appropriate method if dividends are being paid to shareholders and the dividends paid are in line with the earnings of the company.
  • FCFF is used when the company has a combination of debt and equity financing.
  • FCFE, on the other hand, shows the cash flow available to equity holders only.

These three methods explained above are very commonly used to calculate the value of the firm. Investment decisions are undertaken by the value derived.

Euro Disney The First 100 Days calculations for projected cash flows and growth rates are taken under consideration to come up with the value of firm and value of equity. These figures are used to determine the net worth of the business. Net worth is a very important concept when solving any finance and accounting case study as it gives a deep insight into the company's potential to perform in future.

Alternative Solutions

After doing your case study analysis, you move to the next step, which is identifying alternative solutions. These will be other possibilities of Harvard Business case solutions that you can choose from. For this, you must look at the Euro Disney The First 100 Days case analysis in different ways and find a new perspective that you haven't thought of before.

Once you have listed or mapped alternatives, be open to their possibilities. Work on those that:

  • need additional information
  • are new solutions
  • can be combined or eliminated

After listing possible options, evaluate them without prejudice, and check if enough resources are available for implementation and if the company workforce would accept it.

For ease of deciding the best Euro Disney The First 100 Days case solution, you can rate them on numerous aspects, such as:

  • Feasibility
  • Suitability
  • Flexibility

Implementation

Once you have read the Euro Disney The First 100 Days HBR case study and have started working your way towards Euro Disney The First 100 Days Case Solution, you need to be clear about different financial concepts. Your Mondavi case answers should reflect your understanding of the Euro Disney The First 100 Days Case Study.

You should be clear about the advantages, disadvantages and method of each financial analysis technique. Knowing formulas is also very essential or else you will mess up with your analysis. Therefore, you need to be mindful of the financial analysis method you are implementing to write your Euro Disney The First 100 Days case study solution. It should closely align with the business structure and the financials as mentioned in the Euro Disney The First 100 Days case memo.

You can also refer to Euro Disney The First 100 Days Harvard case to have a better understanding and a clearer picture so that you implement the best strategy. There are a number of benefits if you keep a wide range of financial analysis tools at your fingertips.

  • Your Euro Disney The First 100 Days HBR Case Solution would be quite accurate
  • You will have an option to choose from different methods, thus helping you choose the best strategy.

Recommendation and Action Plan

Once you have successfully worked out your financial analysis using the most appropriate method and come up with Euro Disney The First 100 Days HBR Case Solution, you need to give the final finishing by adding a recommendation and an action plan to be followed. The recommendation can be based on the current financial analysis. When making a recommendation,

  • You need to make sure that it is not generic and it will help in increasing company value
  • It is in line with the case study analysis you have conducted
  • The Euro Disney The First 100 Days calculations you have done support what you are recommending
  • It should be clear, concise and free of complexities

Also, adding an action plan for your recommendation further strengthens your Euro Disney The First 100 Days HBR case study argument. Thus, your action plan should be consistent with the recommendation you are giving to support your Euro Disney The First 100 Days financial analysis. It is essential to have all these three things correlated to have a better coherence in your argument presented in your case study analysis and solution which will be a part of Euro Disney The First 100 Days Case Answer.

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Euro Disney: The First 100 Days Case Solution & Answer

Home » Case Study Analysis Solutions » Euro Disney: The First 100 Days

The theme parks of Walt Disney Co. prospered historically based on a formula emphasizing customer service and beautiful physical environment excellent service. The formula has been tested in Japan and the United States. With the opening of Euro Disney controversy in France, however, became the reason to doubt the international importance of the formula. If documents problems with Euro Disney. Examines the transferability of a successful service concept across international borders. by Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony Source: HBS Premier Case Collection 23 pages. Release: Aug 13, 1992. Prod #: 693013-PDF-ENG Euro Disney: The solution of the case first 100 days

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EMBA Pro Blue Ocean Strategy for Euro Disney: The First 100 Days case study

The Walt Disney Co. theme parks historically have thrived on the basis of a formula stressing excellent customer service and a magnificent physical environment. The formula has proven successful in Japan, as well as the United States. With the controversial opening of Euro Disney in France, however, there has become reason to doubt the international appeal of the formula. The case documents issues involved with Euro Disney. Examines the transferability of a successful service concept across international boundaries.

Case Authors : Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony

Topic : technology & operations, related areas : supply chain, emba pro blue ocean strategy approach for euro disney: the first 100 days.

At EMBA PRO , we provide corporate level professional Marketing Mix and Marketing Strategy solutions. Euro Disney: The First 100 Days case study is a Harvard Business School (HBR) case study written by Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony. The Euro Disney: The First 100 Days (referred as “Disney Euro” from here on) case study provides evaluation & decision scenario in field of Technology & Operations. It also touches upon business topics such as - Marketing Mix, Product, Price, Place, Promotion, 4P, Supply chain. Our immersive learning methodology from – case study discussions to simulations tools help MBA and EMBA professionals to - gain new insight, deepen their knowledge of the Technology & Operations field, company, context, collaborators, competitors, customers, Marketing Mix factors, Products related decisions, pricing strategies and more.

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What is Blue Ocean Strategy and how it is relevant to "Euro Disney: The First 100 Days" case study?

Who invented blue ocean strategy and why it is called blue ocean strategy.

EMBA Pro Explainer - As a strategy concept Blue Ocean strategy was first introduced by W.Chan Kim and Renee Mauborgne, INSEAD Business School professors, in their book - "Blue Ocean Strategy - How to Create Uncontested Market Space & Make Competition Irrelevant"

It is called Blue Ocean Strategy (BOS) because it provides managers a toolbox to create, identify uncontested market space instead of competing in the prevalent market with cut throat competition and decreasing margins.  BOS makes competitors irrelevant & creates new consumer value propositions.

What is the cornerstone of Blue Ocean Strategy?

The cornerstone of Blue Ocean Strategy is - "Value Innovation" . Value Innovation places equal emphasis on both Value and Innovation. Disney Euro needs to not only redefine the value proposition it is providing to existing customers (clients) but also needs to create new value proposition for target segments (customers) that at present are not Disney Euro's clients. Value innovation can open up new uncontested market space for Disney Euro.

Four Critical Factors that Managers at Disney Euro can use for Value Innovation are -

Buyer Utility - It underlines the core values, features or utility Disney Euro's products or services deliver to the buyer. The benefits can be both perceived and real.

Price - In traditional scenarios competitors compete in the Technology & Operations following traditional approach of pricing - ‘Offer customer more for less’. This can provide serious challenge to company’s bottomline (profitability).

Cost - Managers at Disney Euro can use value innovation to overcome limitations suggested by Michael Porter (management guru, strategy guru) in his value cost trade-off as part of competition based strategy. Using Blue Ocean strategy Disney Euro managers can pursue both differentiation and low cost simultaneously.

Adoption - When innovation is pursued in isolation of the value then it can lead to very low level of adoption no matter how significant technological breakthrough is.

Red Ocean Vs Blue Ocean Strategy

What is the difference between blue ocean strategy and red ocean strategy how can disney euro break out of the red ocean of bloody competition.

In the current business environment , Red Ocean is often defined as a competitive environment where industry boundaries are clearly defined, and existing and new players are trying to out-perform each other using Value-Cost Trade Off. This leads to cut-throat competition and race to the bottom, resulting in lower profitability and higher cost structure as component of total price.

Factors that are leading to Red Ocean of bloody competition -

Consumer behavior in the Technology & Operations is also fast evolving because of -technological innovationsgreater access to information, market transparency, and promotional incentives by competitors)

Globalization has also opened doors to suppliers from China, India, Vietnam, Indonesia, Taiwan, Brazil, and other emerging economies to compete in the high cost market such as United States & European Union.

Niche markets and local monopolies that company’s like Disney Euro able to exploit are fast disappearing. The organizations in Technology & Operations industry are required to continuously come up with new solutions.

Accelerated technological innovations and advances are improving industrial productivity, allowing suppliers to manufacture vast array of products and services.

Various product categories in Technology & Operations are becoming more similar, leaving organizations to compete only through pricing strategy.

Growing trend of commoditization of the products and services have also put pressure on companies such asDisney Euro.

Breaking out of Red Ocean of Bloody Competition

Examples of how blue ocean strategy can be used for disney euro case study.

Disney Euro can use following Blue Ocean Strategy (BOS) tools and techniques to overcome the red ocean of cut throat competition in Technology & Operations industry.

What is Eliminate-Reduce-Raise-Create Grid?

Eliminate-reduce-raise-create, mapping disney euro on blue ocean strategy canvas grid, six path framework for disney euro, strategy alignment.

Disney Euro BOS should have three critical qualities -- focus, a compelling tagline, and divergence .

The four actions of Disney Euro strategy canvas should be guided toward enforcing these critical qualities. Without these critical qualities, Disney Euro strategy is most likely to be muddled, undifferentiated, and hard to communicate with a significantly high cost structure. The four actions of creating a new value curve should be well guided toward building a company’s strategic profile with these characteristics. These three characteristics serve as an initial litmus test of the commercial viability of blue ocean ideas

Disney Euro Needs to Avoid these Six Red Ocean Strategy Traps

Trap 1 - Equating Market-Creating Strategies with Differentiation

Trap 2 - Making Existing Customers Happier

Trap 3 - Treating Market-Creating Strategies as Niche Strategies

Trap 4 - Confusing Technology Innovation with Market-Creating Strategies

Trap 5 - Equating Market-Creating Strategies with Low-Cost Strategies

Trap 6 - Equating Creative Destruction with Market Creation

5C Marketing Analysis of Euro Disney: The First 100 Days

4p marketing analysis of euro disney: the first 100 days, porter five forces analysis and solution of euro disney: the first 100 days, porter value chain analysis and solution of euro disney: the first 100 days, case memo & recommendation memo of euro disney: the first 100 days, blue ocean analysis and solution of euro disney: the first 100 days, marketing strategy and analysis euro disney: the first 100 days, vrio /vrin analysis & solution of euro disney: the first 100 days, pestel / step / pest analysis of euro disney: the first 100 days, case study solution of euro disney: the first 100 days, swot analysis and solution of euro disney: the first 100 days, agile management solution of euro disney: the first 100 days, references books on blue ocean strategy.

W. Chan Kim and Renée Mauborgne (2017) Blue Ocean Shift: Beyond Competing - Proven Steps to Inspire Confidence and Seize New Growth, Sep 26, 2017 W. Chan Kim and Renée Mauborgne (2015) Blue Ocean Strategy, Expanded Edition: How to Create Uncontested Market Space and Make the Competition Irrelevant, Jan 20, 2015 Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony (2018) , "Euro Disney: The First 100 Days Harvard Business Review Case Study. Published by HBR Publications.

Kotler & Armstrong (2017) "Principles of Marketing Management Management", Published by Pearson Publications.

M. E. Porter , Competitive Strategy(New York: Free Press, 1980)

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COMMENTS

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    Case Study Solution of Euro Disney: The First 100 Days . We write Euro Disney: The First 100 Days case study solution using Harvard Business Review case writing framework & HBR Technology & Operations learning notes. We try to cover all the bases in the field of Technology & Operations, Supply chain and other related areas.

  6. Euro Disney: The First 100 Days

    Loveman, Gary W., and Leonard A. Schlesinger. "Euro Disney: The First 100 Days." Harvard Business School Case 693-013, August 1992. (Revised June 1993.)

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    If documents problems with Euro Disney. Examines the transferability of a successful service concept across international borders. by Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony Source: HBS Premier Case Collection 23 pages. Release: Aug 13, 1992. Prod #: 693013-PDF-ENG Euro Disney: The solution of the case first 100 days

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    Euro Disney: The First 100 Days Case Report Submitted by: Pavni Question 1: Assess the pros and cons of Disney's decision to build a theme park in Europe. Do you think it was a wise decision to invest in constructing a new park near Paris? Answer 1: There are several pros and cons in Disney's decision to build a theme park in Europe. Pros 1.

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    EMBA Pro Blue Ocean Strategy Approach for Euro Disney: The First 100 Days . At EMBA PRO, we provide corporate level professional Marketing Mix and Marketing Strategy solutions.Euro Disney: The First 100 Days case study is a Harvard Business School (HBR) case study written by Gary W. Loveman, Leonard A. Schlesinger, Robert T. Anthony.