Individualism:This dimension reflects the degree of individuals is integrated into groups. With high Individualism score, there is a lack of sharing of responsibility; people are only look after themselves, family and perhaps a few close friends. In contrast, with low Individualism score, individuals are strongly loyalty to the groups and organisations and respect every single group member; also they regard themselves as a part of a group or an organisation.According to Hofstede (2003), Americans are more individualism than French; The United States got the highest Individualism score in the world which is 91 while France’s Individualism score is 71 which is also very high. American executives imposed a strict Appearance Code at Euro Disneyland which measures such as height, weight, hair style, makeups, and no beards and moustaches allowed. Disney’s Appearance Code was based on Walt Disney’s highly individualism culture, but it does not suit for French culture that well. A lot of French refused to work at Euro Disneyland due to the Appearance Code, a 28-year-old Parisian trumpet player refused to join cropped Disney brass band after he realised that he had to cut his ponytail.
Masculinity:This dimension indicates the distribution of culture values between the genders, such as assertiveness, competitiveness, materialism, relationships, ambition, quality of life, social supports and acquisition of wealth. High Masculinity scores reflects that the society is more emphasis on money, achievements and success, and male is tends to be the leader of the society. In a low Masculinity society, people concerns more about the quality of life and caring of others. They prefer equality between male and female.According to Hofstede’s four dimension model, US are more masculine that scores 62 while France scores 43 which are relatively low. The ambition to be successful and wealthy is the major motivation of Walt Disney Company to open the Europe market. It was found that masculine i.e. dominance and coherence culture are essential qualities of successful companies (Trigg & Trigg, 1995)
Uncertainty Avoidance:Uncertainty Avoidance refers to the degree to which people feels threatened by ambiguous, it also reflects the extent to which individuals attempt to minimizing uncertain situations by establishing more structure. The high scores on the Uncertainty Avoidance reflects the society prefer to avoid uncertainty and dissent whenever it is possible. Cultures with low Uncertainty Avoidance scores have a high tolerance for uncertainty and accept and enjoy the changing environment. People feel more comfortable with new things and taking risks than the people in high UA society. France’s Uncertainty Avoidance score is 86 which is much higher than US’s score of 46, French prefer to avoid uncertainties while Americans risks more and are more comfortable with rapid change.
Analysis the Mistakes Made During Euro Disney OperationsIgnored differences in living habitAlcohol was banned in the park at the beginning of Euro Disney operating. It was also no alcohol allowed in its parks in US and Japen as well, so they thought it would be alright for doing the same thing in the Euro Disney. Actually, French really loves and enjoys having alcohol during the meals. Thus, later on, the Walt Disney Company had to change its policy and allowed alcohol in the park later on.
Euro Disney also misunderstands the European food norms. Europeans do not enjoy the fast food as much as Americans do. But most of the restaurants in the park were fast food restaurant. For the breakfast, for example, Europeans prefer some hot food like bacon and eggs rather than just coffee and bread. Furthermore, another difference between Americans and Europeans is that Americans would like to eat food on hands and be comfortable to walk around the park while European prefers to be seated.
Moreover, the habits of vacations between US and France are quite different. Thus, the amount of the visitors was very low at Euro Disney. The Walt Disney Company was convinced that it would be able to ‘Americanize’ the European habits. Unfortunately for the Walt Disney Company, this was not the case (Burgoyne, 1995).Ignored French CultureBoth the French and American press noted that Disney's adjustments to French culture in Euro Disney were minor (Trigg & Trigg, 1995). Euro Disney provided all the messages to show about American’s power, history and its destiny. The spirit of Disney theme parks is to spread the American values all over the world, it did not respect Europe’s own culture and history, at least, it did not show the respect in the park. Euro Disney was even using English for advertising; it was also a major drawback. It is argued that the main reason for Disney’s failure is that it failed to realise that organizations are not separate, distinct entities capable of functioning outside their cultural,social and physical environments. Disney perceived that the surrounding environment is competitive and operated separately from it (Packman and Casmir, 1999). France is less masculine than America, thus, the ambition of American is one of the reasons that reduced the attendance of the park.
Ignored the differences in transportation preferences
The ignorance of the differences between American and French transportation preferences is another major reason for the poor attendance. Disney were assuming that Europeans would have the same habit as Americans, it was due to the insufficient research and analysis. Americans prefer walking and riding, while Europeans prefer to drive their own cars to the park but there is a shortage of parking spaces. It caused a massive environment which infects the attendance. Euro Disney was forced to reduce the space left for parking lots and to open more space for buses and bicycles that the Europeans were more willing to use (Keegan, 2002).The lessons the company should have learned:
Disney should realize that strategies that succeed in one country may not succeed in other countries (Hodgetts and Luthans, 2003, p.271). The succeed in the parks in US and Japan is not the guaranty to the succeed of Euro Disney. Disney should always consider about the difference situations and different cultures. According to the Hofstede’s Dimensions, before doing the business, comparing the difference between the two countries will be benefit for the result.
To respect of other’s culture is another way to success, Americans are too ambition to money and achievement while they are usually ignored to concern about caring others. The lesson Disney should have learned from this case is to put the customer on the first place but not their own feelings.
If Disney wants to consider a new market, the reseach should be directly toward the market situations. Even thought Disney is a great company, but it still needs to ensure objectivity in overseas evaluations. Also, Euro Disney’s high price result its poor attendance. Disney should have learned to consider to care about the consumers.
Conclusion:
This article illustrates how important of understanding cultural differences between the expatriate country and the host country. Misunderstanding the culture differences will result in a bad issue like the beginning of the Euro Disney.No matter how big and successful a company is, understanding cultures and values of other countries is the key to better result.
References:
Trigg, M.C & Trigg, D. (1995) Disney's European theme park adventure: a clash of cultures, Cross Cultural Management: An International Journal, 2, 2, 13-22
Packman, M.H & Casmir, F.L. (1999), Learning from the Euro Disney Experience: ACasestudy in international/intercultural communication, International CommunicationGazette,61, 6, 473-489 61: 473
Spencer, E.P. (1995) Euro Disney: What Happened? What Next?, Journal of International Marketing, 3, 3, 103-114
Forman, J. (1998) Corporate Image and the Establishment of Euro Disney: MickeyMouse and the French Press, Technical Communication Quarterly, 7, 3, 247-258
Burgoyne, L. (1995). Walt Disney Company’s Euro Disney Venture: A Study in Corporate Foreign Expansion. Hidden Mickeys, [Accessed on 12 Oct, 2011] Available at: http://www.hiddenmickeys.org/Paris/English/LynEuroDisney.html
Keegan, W. (2002). Euro Disney Case (A). Global Marketing Management, 7th edition, Prentice Hall, New Jersey, USA
