As a result of the licensing contract between Walt Disney and Oriental Land Corp., Tokyo Disneyland was conceptualized. A second project was subsequently proposed and Oriental Land Corp is looking into how feasible this upcoming project is. This Tokyo Disneyland: Licensing vs. Joint Venture case study discusses the possibility of an equal partnership through Joint Venture between OL and WD in their 2nd theme park project.
Harvard Business Review (HKU420-PDF-ENG)
August 10, 2005
Case questions answered:
- Is the Tokyo Disneyland Sea Park project feasible for Oriental Land Corporation?
- Is it really possible to share an equal partnership through a Joint Venture between OL and WD in their 2nd theme park project?
- Or should they stick to the licensing as a “Master-Slave” relationship approach?
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Tokyo Disneyland: Licensing vs. Joint Venture Case Answers
This case solution includes an Excel file with calculations.
Highlights of Oriental Land Corporation
- Date of Incorporation: July 11, 1960
- Nature of business: Theme Park Company
- The Market Leader in the Theme Park Industry of Japan
- Number of Visitors Annually: 17 Million
- President: Toshio Kagami.
Overview of the Economy of Japan
- During 1997, the condition of the Japanese economy was very weak.
- The Nikkei 225 Index, a stock market index of the Tokyo Stock Exchange, demonstrated that the price was continuously falling over time.
Theme park industry in Japan
Porter’s 5 Forces of Competitive Position Analysis
Strategy Analysis – Tokyo Disneyland
- Innovating continuously new features for attracting and retaining customers.
- Using Walt Disney’s technology for building a theme park using a licensing strategy.
- Implementing studies on the Japanese people while making innovations rather than introducing Disney’s new concept.
- Opening hotels near the theme parks to increase visitors and revenue.
- Making negotiations for going into a joint venture with Walt Disney to
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