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.
Mitsuru Misawa
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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