Euro Disneyland Cultural Challenges Faced by Disney Company Discussion

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MGT672 Decision Theory within the Glo

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Euro Disneyland (100 Points) 

This week you were introduced to several decision-making tools in the course content. Using the Decision Matrix Analysis ( https://expertprogrammanagement.com/2017/09/decision-matrix-analysis/) along with the Decision Matrix Analysis video ( https://youtu.be/j2HtqQjyt5s ), make the following decisions relative to the case study about Euro Disneyland (p. 262):

The first section of your paper should be an explanation of this process and how you decided on each of the factors in the matrix.

  1. List all of the cultural challenges posed by Disney’s expansion into Europe. (Side of matrix.)
  2. Next, list the variables that influenced these challenges. (Top of matrix.)
  3. Decide on a score (1-5) for each of these challenges according to the relative importance of the factors. Multiply each of these scores by 2 to find the weighted scores for each option/factor combination.

Next, respond to the following questions in the rest of your essay: 

  1. Using Hofstede’s four cultural dimensions as a point of reference noted in the case, what are some of the main cultural differences between the United States and France? 
  2. In managing its Euro Disneyland operations, what are three mistakes that the company made? Explain your response with examples.
  3. As a conclusion, reflect on your overall thoughts on this case. 

Review the grading rubric to see how you will be graded for this assignment.

Required

Recommended

Course Materials Required: Luthans, F., & Doh, J. P. (2018) International management: Culture, strategy, and behavior (10th ed.) McGrawHill Education, New York, NY ISBN 13: 978-1259705076 

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MGT672 Critical Thinking Writing Rubric - Module 6 Exceeds Expectation Content, Research, and Analysis 21-25 Points Requirements Exceeds Expectation Includes all of the required components, as specified in the assignment. 21-25 Points Content Exceeds Expectation Demonstrates substantial and extensive knowledge of the materials, with no errors or major omissions. 25-30 Points Analysis Exceeds Expectation Provides strong thought, insight, and use of the Decision Matrix, as well as other concepts and applications. 13-15 Points Sources Exceeds Expectation Sources go above and beyond required criteria, and are well chosen to provide effective substance and perspectives on the issue under examination. Meets Expectation Below Expectation Limited Evidence 16-20 Points Meets Expectation - Includes most of the required components, as specified in the assignment. 11-15 Points Below Expectation - Includes some of the required components, as specified in the assignment. 6-10 Points Limited Evidence Includes few of the required components, as specified in the assignment. 16-20 Points Meets Expectation - Demonstrates adequate knowledge of the materials; may include some minor errors or omissions. 11-15 Points Below Expectation - Demonstrates fair knowledge of the materials and/or includes some major errors or omissions. 6-10 Points Limited Evidence Fails to demonstrate knowledge of the materials and/or includes many major errors or omissions. 19-24 Points Meets Expectation - Provides adequate thought, insight, and use of the Decision Matrix, as well as other concepts and applications. 13-18 Points Below Expectation - Provides poor thought, insight, and use of the Decision Matrix, as well as other concepts and applications. 7-12 Points Limited Evidence Provides little or no thought, thought, insight, and use of the Decision Matrix, as well as other concepts and applications. 10-12 Points Meets Expectation - Sources meet required criteria and are adequately chosen to provide substance and perspectives on the issue under examination. 7-9 Points Below Expectation - Sources meet required criteria, but are poorly chosen to provide substance and perspectives on the issue under examination. 4-6 Points Limited Evidence Source selection and integration of knowledge from the course is clearly deficient. MGT672 Critical Thinking Writing Rubric - Module 6 Mechanics and Writing Demonstrates college-level proficiency in organization, grammar and style. 5 Points Exceeds Expectation Project is clearly organized, well written, and in proper format as outlined in the assignment. Strong sentence and paragraph structure; contains no errors in grammar, spelling, APA style, or APA citations and references. Total points possible = 100 4 Points Meets Expectation - Project is fairly well organized and written, and is in proper format as outlined in the assignment. Reasonably good sentence and paragraph structure; may include a few minor errors in grammar, spelling, APA style, or APA citations and references. 3 Points Below Expectation - Project is poorly organized and written, and may not follow proper format as outlined in the assignment. Inconsistent to inadequate sentence and paragraph development, and/or includes numerous or major errors in grammar, spelling, APA style, or APA citations and references. 1-2 Points Limited Evidence Project is not organized or well written, and is not in proper format as outlined in the assignment. Poor quality work; unacceptable in terms of grammar, spelling, APA style, and APA citations and references. © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Chapter 6 Organizational Cultures and Diversity © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Learning Objectives • Define exactly what is meant by organizational culture, and discuss the interaction of national and MNC cultures • Identify the four most common categories of organizational culture that have been found through research, and discuss the characteristics of each © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Learning Objectives (continued) • Provide an overview of the nature and degree of multiculturalism and diversity in today’s MNCs • Discuss common guidelines and principles that are used in building multicultural effectiveness at the team and the organizational levels © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Deloitte: Key Findings regarding Culture and Global Leadership • Cultural diversity – Lies in the eye of the beholder – Positively contributes to professional and personal enjoyment of the project and project outcome – Indirectly encourages project members to rethink their usual working habits and expectations – Dominance amongst team members reduces bias to interact with people who have common characteristics © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Advantages of Global Virtual Teams Working virtually can reduce team process losses associated with any cliques commonly experienced by face-to-face teams Having members span many different time zones can literally keep a project moving around the clock Cohesive teams that are capable of quickly solving complex problems and making effective decisions provide a competitive advantage © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Organizational Culture • Pattern of shared basic assumptions that: – Is learned by the group as it solves problems of external adaptation and internal integration – Have worked well enough to be considered valid – Are to be taught to new members as the correct way to perceive, think, and feel in relation to those experiences © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Characteristics of Organizational Culture • Observed behavioral regularities, as typified by common language, terminology, and rituals • Norms, as reflected by things such as: – Amount of work to be done – Degree of cooperation between management and employees © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Characteristics of Organizational Culture (continued 1) • Dominant values that the organization advocates and expects participants to share – Include high product and service quality, low absenteeism, and high efficiency • Philosophy that is set forth in the MNC’s beliefs regarding how employees and customers should be treated © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Characteristics of Organizational Culture (continued 2) • Rules that dictate the dos and don’ts of employee behavior – Relate to areas such as productivity, customer relations, and intergroup cooperation • Organizational climate or overall atmosphere of the enterprise – Reflected in the participants’ interaction with others, behavior with customers, and perception of how the higher-level management treats them © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Interaction between National and Organizational Cultures • Diagnosing Organizational Culture for Strategic Application (DOCSA) – Set of proprietary cultural-analysis techniques and programs that help identify the dimensions of organizational culture – Proposed by Hofstede © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Table 6.1 - Dimensions of Corporate Culture © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Table 6.1 - Dimensions of Corporate Culture (continued) © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Interaction between National and Organizational Cultures (continued) • Even in the presence of multinational alliances, partners will bring different organizational cultures with them • Difficult for an MNC with a strong organizational culture to break into foreign markets – Unfamiliarity with divergent national cultures © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Steps to Integrate Organizational Cultures Two groups have to establish the purpose, goals, and focus of their merger Mechanisms are developed to identify most important organizational structures and management roles Groups have to determine who has authority over the resources Identify the expectations of all involved parties and facilitate communication between departments and individuals in the structure © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Determining Organizational Culture • Important aspects – General relationship between the employees and their organization – Hierarchical system of authority that defines the roles of managers and subordinates – General views that employees hold about the MNC’s purpose, destiny, goals, and their place in them © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Figure 6.2 - Organizational Cultures © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Family Culture • Strong emphasis on hierarchy and orientation to the person – Results in a family-type environment that is power-oriented and headed by a leader who is regarded as a caring parent • Management assumes a parental relationship with personnel – Ensures proper treatment of employees and their continued employment © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Family Culture (continued) • Characterized by traditions, customs, and associations – Bind the personnel together – Make it difficult for outsiders to become members • Can catalyze and multiply energies of personnel and appeal to their deepest feelings and aspirations • Foreign to most managers in the United State © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Eiffel Tower Culture • Strong emphasis on hierarchy and orientation to the task • Jobs are well defined, employees know what they are supposed to do, and all activities are coordinated from the top – Culture is narrow at the top and broad at the base • Relationships are specific, and status remains with the job © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Eiffel Tower Culture (continued 1) • Managers seldom create off-the-job relationships with employees • Operates like a formal hierarchy, which is impersonal and efficient – Each role is described, rated for difficulty, complexity, and responsibility and has a salary attached to it – Jobs are awarded to the best fit between role and person © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Eiffel Tower Culture (continued 2) • Learning involves the accumulation of skills necessary to fit a role, and organizations: – Use qualifications in deciding how to schedule, deploy, and reshuffle personnel to meet needs – Employ assessment centers, appraisal systems, training and development programs, and job rotation to manage personnel • Ill-equipped to handle things when changes need to be made © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Guided Missile Culture • Strong emphasis on equality in the workplace and orientation to the task – Work-oriented culture where the work is undertaken by teams or project groups • Egalitarian and task-driven • Changes can happen quickly – Loyalty to profession and project are often greater than loyalty to the organization itself © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Motivation in Guided Missile Culture • Tends to be more intrinsic – Team members become enthusiastic about, and identify with, the struggle toward attaining their goal – Helps minimize both intragroup and intergroup conflicts © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Incubator Culture • Strong emphasis on equality and personal orientation • Little formal structure – Based on the premise that an organization’s role is to serve as incubators for self-expression and selffulfillment of their members • Participants confirm, criticize, develop, and find resources for, or to help complete, the development of an innovation © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Incubator Culture (continued) • Creates an environment where participants thrive on an intense, emotional commitment to the nature of work • Changes are fast and spontaneous • Motivation remains highly intrinsic and intense • Leadership is achieved and not gained by position © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Table 6.3 - Summary Characteristics of the Four Corporate Cultures Characteristic Family Eiffel Tower Guided Missile Incubator Relationships between employees Diffuse relationships to organic whole to which one is bonded Specific role in mechanical system of required interaction Specific tasks in cybernetic system targeted on shared objectives Diffuse, spontaneous relationships growing out of shared creative process Attitude toward authority Status is ascribed to parent figures who are close and powerful Status is ascribed to superior roles that are distant yet powerful Status is achieved by project group members who contribute to targeted goal Status is achieved by individuals exemplifying creativity and growth Source: Adapted from Fons Trompenaars and Charles Hampden-Turner, Riding the Waves of Culture: Understanding Diversity in Global Business, 2nd ed. (New York: McGraw-Hill, 1998), p. 183. © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Table 6.3 - Summary Characteristics of the Four Corporate Cultures (continued 1) Characteristic Family Eiffel Tower Guided Missile Incubator Ways of thinking and learning Intuitive, holistic, Logical, lateral, and error analytical, correcting vertical, and rationally efficient Problem centered, professional, practical, and crossdisciplinary Process oriented, creative, ad hoc, and inspirational Attitudes toward people Family members Human resources Specialists and experts Co-creators Ways of changing “Father” changes course Change rules and procedures Shift aim as target moves Improvise and attune Ways of motivating and rewarding Intrinsic satisfaction in being loved and respected Promotion to greater position, larger role Pay or credit for performance and problems solved Participation in the process of creating new realities Source: Adapted from Fons Trompenaars and Charles Hampden-Turner, Riding the Waves of Culture: Understanding Diversity in Global Business, 2nd ed. (New York: McGraw-Hill, 1998), p. 183. © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Table 6.3 - Summary Characteristics of the Four Corporate Cultures (continued 2) Characteristic Family Criticism and conflict resolution Eiffel Tower Guided Missile Incubator Management Management by by job description subjectives Management by objectives Management by enthusiasm Turn other cheek, save other’s face, do not lose power game Constructive Improve task-related creative idea, only, then admit not negate it error and correct fast Criticism is accusation of irrationalism unless there are procedures to arbitrate conflicts Source: Adapted from Fons Trompenaars and Charles Hampden-Turner, Riding the Waves of Culture: Understanding Diversity in Global Business, 2nd ed. (New York: McGraw-Hill, 1998), p. 183. © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Multiculturalism and Diversity • Effect varies depending on the stage of the firm in its international evolution – Phase I - Domestic corporations – Phase II - International corporations – Phase III - Multinational corporations – Phase IV - Global corporations © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Figure 6.4 - International Corporation Evolution © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Figure 6.5 - Locations of International Cross-Cultural Interaction © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Impact of International Cultural Diversity Domestic firms • Affect neither the firm’s organizational culture nor its relationship with its customers or clients • Can be impacted only by domestic multiculturalism International firms • Strongly impact external relationships with potential buyers and foreign employees • Diversity focus is from the inside out © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Domestic Multiculturalism • Culturally distinct populations can be found within organizations almost everywhere in the world • Can be examined within the same ethnic groups – Example - Among small Chinese family businesses, the viewpoints of the older generation differ sharply from those of the younger generation © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Group Multiculturalism Homogeneous groups • Members have similar backgrounds and generally perceive, interpret, and evaluate events in similar ways Token groups • All members but one have the same background Bicultural groups Multicultural groups • Two or more members represent each of two distinct cultures • Composed of individuals from three or more different ethnic backgrounds © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Potential Problems of Diversity • Rooted in people’s attitudes • Include: – Erroneous perceptions caused by preconceived stereotypes – Inaccurate biases – Inaccurate communication or miscommunication • Result of using unclear words, manner in which situations are interpreted, and differences in perceptions of time © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Advantages of Diversity • Enhances creativity, leads to better decisions, and results in more effective and productive performance • Helps generate more and better ideas • Prevents groupthink – Social conformity and pressures on individual members of a group to conform and reach consensus • Enhances relationships with customers © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Figure 6.6 - Group Effectiveness and Culture © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Multicultural Team Effectiveness • Focus of attention must be determined by the stage of team development – Entry stage - Focus on building trust and developing team cohesion – Work stage - Focus is directed toward describing and analyzing the problem or task that has been assigned – Action stage - Focus shifts to decision making and implementation © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Multicultural Team Effectiveness Guidelines Select team members based on task-related abilities and not based on ethnicity Team members must recognize and be prepared to deal with their differences Team leader must help the group to identify and define its overall goal Distribute power according to each person’s ability to contribute to the task Provide the team with positive feedback on their process and output © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. In the International Spotlight - Nigeria • If you were a consultant for Filmhouse, how would you advise Kene Mpkaru regarding his next moves in Nigeria? • What specific aspects of the country would be positive for the company? What factors are negatives? • How would you deal with the wealth gap in the country? © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. In the International Spotlight - Nigeria (continued) • Would you advise Filmhouse to concentrate on Nollywood productions or would you try to attract Hollywood movies? © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Review and Discuss 1. Some researchers have found that when Germans work for a U.S. MNC, they become even more German, and when Americans work for a German MNC, they become even more American – Why would this knowledge be important to these MNCs? © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Review and Discuss (continued 1) 2. When comparing the negotiating styles and strategies of French versus Spanish negotiators, a number of sharp contrasts are evident – What are three of these, and what could MNCs do to improve their position when negotiating with either group? © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Review and Discuss (continued 2) 3. In which of the four types of organizational cultures—family, Eiffel Tower, guided missile, incubator—would most people in the United States feel comfortable? – In which would most Japanese feel comfortable? – Based on your answers, what conclusions could you draw regarding the importance of understanding organizational culture for international management? © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Review and Discuss (continued 3) 4. Most MNCs need not enter foreign markets to face challenges of dealing with multiculturalism – Do you agree or disagree with this statement? – Explain your answer © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. This document may not be copied, scanned, duplicated, forwarded, distributed, or posted on a website, in whole or part. Review and Discuss (continued 4) 5. What are some potential problems that must be overcome when using multicultural, diverse teams in today’s organizations? – What are some recognized advantages? – Identify and discuss two of each 6. A number of guidelines can be valuable in helping MNCs to make diverse teams more effective – What are five of these? © 2018 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner. 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Cultural Challenges Faced by Disney Company 1

Critical Thinking: Cultural Challenges Faced by Disney Company

Student Name
Institution Affiliation
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Cultural Challenges Faced by Disney Company 2
SECTION 1
Introduction
Different companies have been subjected to various challenges during expansion
significantly when expanding to regions with other cultures. Disney company is not an
exception since cultural differences have been a significant challenge facing the company that
has threatened the company's survival after expanding to Europe. Although the company
made some mistakes before planning for expansion, there has been a way out. Overall, this
paper will discuss the various cultural challenges faced by Disney company, the variables
influencing such difficulties, the difference between the U.S. and France based on Hofstede’s
cultural dimensions, and the company's mistakes in managing its operations in Europe.
1. Cultural Challenges faced by Disney on its expansion to Europe
Disney’s expansion to Europe has been subjected to significant challenges that have
impacted its overall performance. Worthy mentioning, the primary challenge, which has been
a significant issue, is the considerable cultural distinctions between the United States and
China. According to the Decision Matrix, These cultural challenges have been evident,
particularly when there was limited attraction due to local regulations and small-sized parks
(Luthans & Doh, 2018). Similarly, extreme weather conditions have been a significant issue
for Disney, limiting its expansion, specifically currency differences, making prices so high
for the new customers. Besides, there were other various cultural challenges, mainly due to
lifestyle differences amongst the potential expansion nations, which was evident in the foods
and dressing consumed and eaten in those nations. Most importantly, the cultural challenges
were worsened by Disney's reality on operation in foreign countries that had very diverse and
different cultures from that in Europe.
2. Variable that influenced these challenges

Cultural Challenges Faced by Disney Company 3
Notably, in connection to the cultural challenges subjected to Disney's expansion to
Europe, remarkable variables impacted such challenges as defined from the top of the matrix.
For example, about the cultural variable, locating the parking area was the most challenging
choice to settle for (Luthans & Doh, 2018). Worthy mentioning, location a region for a park
is the most significant factor when deciding on any expansion plans since it determines
whether or not the project's objectives or goals will be achieved. Based on the top of the
matrix, for Disney’s expansion, deciding on a theme park, there were other considerations
which had to be made, for example, considering whether the customers of Disney will be
impressed by the theme kind and the way of accessing the park (Luthans & Doh, 2018).
Consequently, the park construction stakeholders had to consider how fast they will adapt to
the new change within their nations. Overall, this was amongst the topmost difficult decision
faced by Disney's expansion to Europe.
Another variable related to the cultural challenges on Disney's expansion to Europe
was the dress codes determined by the weather in most European nations, which are always
extremely hot. This was reflected by Disney's crew which in most times dressed lightly,
which in all cases contradicted the culture of the anticipated countries of expansion
(Bucurean, 2018). This resulted in Disney's customers becoming less attracted since they may
have judged the crew based on their dressing mode. Notably, this scenario is experienced
even in other nations where the mode of dressing becomes a basis for evaluating people from
different cultures without considering other factors. For example, people should always
understand that cultures are different as the people are different, and the same cultures define
what people eat, dress, value, or practice (Caratas et al.,2018).
Another most crucial variable is communication which is a major contributing factor
to the cultural challenges. Since Disney is located in the United States, and English is the
most used language for communication during all its operations, the expansion to Europe was

Cultural Challenges Faced by Disney Company 4
met by a significant drawback following the fact that most European nations rarely speak
English. In most cases, if they do, English is termed as second or even third lang...


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