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DECISION-MAKING MATRIX OF EURO DISNEYLAND

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DECISION-MAKING MATRIX OF EURO DISNEYLAND

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DECISION-MAKING MATRIX OF EURO DISNEYLAND

Decision-Making Matrix of Euro Disneyland

Shadi Saleh Barrnawi Decision Making Theory within the Global Marketplace MGT 672

ECOM500 Saudi Electronic University

Dr. John Marangos

February 26, 2022

Decision Matrix for Euro Disneyland

Options

Criteria Weighting Choose to Adapt and Change Choose to Remain the Same

Score Total Score Total

Euro Disneyland was accused of being too American. It was accused of not taking into

account French culture as part of their entertainment.

2 4 8 2 4

Euro Disneyland lack of wine in its restaurant. In France, wine is considered a part of the culture

and a God-given right.

2 3 6 1 2

There was opposition from labor unions who believed that Euro Disneyland did not care about the workers in France and was not interested in improving the conditions of workers in

France.

2 2 4 4 8

French culture does not encourage advertising to children. It does not appreciate children-tar-

geted campaigns that Disney likes to use.

2 5 10 2 4

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Analysis of Weighted Decision Matrix

As seen from the table, Euro Disney faced four main challenges when they planned on initiating operations. The first challenge was the fact that the attraction was seen as too American. At the time, there was a lot of discussion concerning cultural imperialism, which means the im- position of someone's culture on another because the culture is better than others. Another cultural issue was the lack of the sale of wine in the restaurants at Euro Disneyland. The third challenge was the opposition to the theme park construction from organizations such as CGT. The fourth cultural issue is the issue of advertisement to children. After a keen analysis using a weighted decision matrix, using a universal value of 2 to weigh the options, the conclusion is that the best choice for the theme park is to adapt to the situation and make changes to reme-

dy the situation.

Cultural Differences Between France and the United States of America

Geert Hofstede pioneered one of the best ways to assess a difference in culture. Hofstede identified four crucial cultural dimensions when determining business compatibility with in- ternational cultures. These dimensions are individualism-collectivism, masculinity-femininity, power distance, time orientation, indulgence, and uncertainty avoidance (Hofstede, 2003). Both France and the United States of America have high rates of individualism-collectivism but differ in uncertainty avoidance, power distance, and time orientation. There are also significant differ-

ences in their approaches to individualism-collectivism in both countries.

Individualism-Collectivism, according to Hofstede, is the degree to which a community keeps its interconnectedness among its individuals (Hofstede, 2003). It measures individualism compared to cooperation in culture. France ranks high on the individualism scale, where people concentrate more on the individual than the group. French parents have higher control over their children than in other European nations (Hofstede Insights, 2021). In co- operation with the country's significant power imbalance, the culture in France offers a scenario where children in France are excessively dependent on their parents, and parents govern very many parts of their life. In contrast, the American culture focuses more on the collective. Though employees are expected to be self-reliant and independent, they are also encouraged to work in teams, with hierarchy being established as a convenience. In the spirit of coordina- tion, parents make decisions with their children, which means they have a say in many matters. Though both nations rank high in individualism-collectivism, they both have very different ap-

proaches.

Power distance deals with the extent to which inequality and power are viewed, with a high power distance index showing that the culture has a high value and respect for authority and bureaucracy when dealing. In contrast, a low power distance index favors decentralized respon- sibility, participation, and decision-making (Hofstede, 2003). America has a lower power dis- tance index. For example, children in families (Disney's primary customers) are involved in deci- sion-making. The American culture embraces equality and respects that everyone has a say in life. Even in corporate settings, it is normal for low-level executives to approach high-level exec- utives for discussions without respect for hierarchy. This is not the same in France, with a high power distance index. In the corporate world, company CEOs are rarely accessible. When it comes to families, there is respect for authority, the parents. They have the final say, and they say goes (Hofstede, 2021). The uncertainty avoidance index analyzes the saturation to which a society tolerates uncertainty. This is associated with a culture's tolerance of risk. American cul- ture loves and embraces risk as a part of the operation. In every facet of life, the risk is tak- en as a part of the operation, with many in the culture viewing every action as risk and there- fore uncertain.

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There is an acceptance of new ideas and experiences, especially in relation to food and cultural backgrounds. The French are very different in that they are not fans of surprises. The French prefer what is stable and what works compared to what does not work. Structure, planning, and coordination are paramount in French culture, and though they take risks, they

prepare a lot harder for uncertainty when compared to Americans (Hofstede, 2021).

Time orientation refers to how society views time horizons and their proclivity for long-term or short-term plans (Hofstede, 2003). American culture prefers to analyze the short-term and un- derstand the here and now. While Americans are concerned with the growth of the future and the organization's prosperity in the future, they focus more on the current and what is hap- pening in the now. The French are more pragmatic, instead preferring to focus on the future rather than what is happening at the moment. The French are very future-oriented and can

adapt when the situation shows the promise of bettering their conditions in the future.

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I N C L U D E D S O U R C E SI N C L U D E D S O U R C E S

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The only common ground between both cultures is that they are similar in indulgence. Hof- stede defines indulgence as the degree to which people tend to consume more than they hold restraint. Both cultures tend to be more indulgent in their pursuit of enjoying life. Both cultures value the importance of indulgence as part of recreation (Hofstede, 2021). The mistake that

Euro Disneyland Made

After analysis, it is clear that Euro Disneyland made one broad mistake. The failure of Euro Dis- neyland to understand the cultural differences associated with international business was the biggest mistake that they made. Euro Disneyland failed to assess several cultural differences that affected their operations. For example, they were unable to account for the issue of serving wine in the restaurant. In France, taking wine with food is seen as a God-given right, and the denial of this right by Euro Disneyland was not taken well by several clients. Cultural imperi- alism was another issue, as the theme park was seen as too American and failed to acknowl- edge French culture in its attractions, including its cuisine. Another mistake that Euro Disney- land made was advertising to children in France, where parents have more control over their children, as opposed to in America, where children have more control of their lives and deci- sion-making. This was not usual in France since the French culture tends to be highly protective

of their children (Luthans & Doh, 2017).

The failure to account for a difference in culture also affected other facets of the organization’s operations. This includes the labor opposition that the organization faced. Organizations like Confédération Générale du Travail (CGT) were opposed to the culture that Euro Disneyland was trying to implement in France, and that is why they objected to the building of the theme park. The failure to understand how labor works in other countries in Euro Disneyland proved to be one of the challenges that almost led to the demise of the theme park (Luthans & Doh,

2017).

Another mistake associated with culture is the failure to plan for the different cultures in Europe properly. By calling it Euro Disneyland, the investors failed to acknowledge that Europe has very diverse cultures. The theme park became a confusion of cultures and became referred to as a cultural Chernobyl. This turmoil was added to the fact that the theme park was mainly American, bringing further confusion into mixing cultures. This ended affecting the perfor- mance of the park. Cultural issues also hampered the park long after the park was launched. Disney intended Euro Disneyland to keep faithful to Walt Disney's creation of a paradise for chil- dren's pleasure. For that purpose, they outlawed the sale of alcoholic drinks in all restau- rants at Euro Disneyland. The cuisine offered was mostly American, with a few tweaks to make it European, not French. Many of the park's attractions were likewise American-themed, which undermined the realism. Being established in France, Euro Disney should have mirrored French culture (Luthans & Doh, 2017). Instead, it displayed a lot of American cultures, to

the point where French inhabitants felt like they were being drowned in Western culture.

Euro Disneyland almost became a colossal failure by failing to understand the cultural differ- ences properly. This is because this led to straight opposition to the construction of the park, and even after construction, the park continued to face issues such as low turnout num-

bers for the park, which led to financial issues for the park.

Conclusion

The Euro Disneyland case study has clear lessons for future entrepreneurs who wish to brand into international business. One of the lessons is that by failing to acknowledge differ- ences in cultures, a business can experience avoidable challenges. From the case study analysis, the approach of if it works doesn't change; it does not work in all cases. Tokyo Disney- land implemented the policies of its predecessor in Anaheim and became a huge success, which may have led to the organization feeling that they need not change anything.

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