disney invested approximately $4 billion to construct a disney theme park and resort near shanghai, china. what considerations were important to disney in choosing its approach to international business? check all that apply.
Disney’s key considerations were mainly about control, risk, and local adaptation. In this case, the important factors were:
- Maintaining control over brand and operations (protecting the Disney brand, guest experience, safety, and service standards).
- Managing political and regulatory risk in China by partnering with a local/state-backed entity rather than going in completely alone.
- The size and growth of the Chinese market , including the expanding middle class and rising spending on leisure and entertainment.
- The need for cultural adaptation/localization of the park (e.g., “Authentically Disney and Distinctively Chinese,” adapting design, food, and entertainment to Chinese tastes).
- A long‑term strategic presence in China to support broader media and merchandising (using the park as a flagship to strengthen Disney’s overall brand and other businesses in the country).
So, for a “check all that apply” style question, you would mark options related to:
- Control of brand/operations
- Risk sharing and regulatory/political environment
- Market size and growth potential
- Cultural adaptation/local responsiveness
- Long‑term strategic/branding benefits in China