SWOT Analysis of Hong Kong Disneyland Fantasy

by Shamsul
Disneyland Hong Kong
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SWOT Analysis of Hong Kong Disneyland


What is SWOT? How can we use this Analysis for Hong Kong Disneyland?


Hong Kong Disneyland is a popular theme park in Hong Kong. This SWOT analysis of Hong Kong Disneyland will indicate its strengths, weaknesses, opportunities, and threats. Managers at Hong Kong Disneyland can use this analysis in order to build effective business strategies. Basically, SWOT is a tool to analyze the internal and external business scenarios of a company and these four factors are the root of this analysis. With the help of this analysis, Hong Kong Disneyland can predict market trends in a better way. It provides a great opportunity to take the competitive edge in the market.

Company Name: Hong Kong Disneyland

Founders: The Walt Disney Company Government

Founded: Sep 12, 2005

Headquarters: Penny’s Bay, Lantau Island, Hong Kong

Parent Company: The Walt Disney Company, Government of Hong Kong

Managing Director: Michael Moriarty

Type: Amusement Parks and Resorts

Sector: Tourism & Hospitality

Tagline: The Happiest Place on Earth, Believe in Magic

Unique Selling Proposition: A wonderful amusement park for both children and adults.

Customers: Local and International Tourists

Target Consumers: Young People

Net loss: US$347 million (September 30, 2020)

SWOT provides several growth chances to a company by highlighting the four key elements such as strengths, weaknesses, opportunities, and threats. They can set a unique position in the market by strengthening its strengths, reducing weaknesses, exploiting opportunities, and preventing threats. Here are some crucial factors of SWOT:

  • Strength-Opportunities (SO)
  • Weakness-Opportunities (WO)
  • Strength-Threats (ST)
  • Weakness-Threats (WT)

SWOT Analysis of Hong Kong Disneyland

Strengths of Hong Kong Disneyland | SWOT Analysis of Hong Kong Disneyland

Strengths are the capabilities and resources of Hong Kong Disneyland that it can use to build a sustainable competitive advantage in the tourism and hospitality sector. Hong Kong Disneyland has several strengths, such as its capabilities, resources, financial resources, physical resources, successes, and activities.

  • The product portfolio of Hong Kong Disneyland is really diverse, which helps the brand to target customers all around the globe. So, it has popularity at both local as well as international levels. It enables Hong Kong Disneyland to earn revenue and popularity at the same time.
  • The track record of Hong Kong Disneyland is highly successful due to its wise marketing and wide offerings. The company’s biggest strength is its new products that they launch continuously in both domestic and foreign markets. However, the biggest strength of Hong Kong Disneyland is its successful global business solutions that they have achieved after testing different concepts in different countries.
  • Another plus point of Hong Kong Disneyland is that it operates in robust domestic markets that offer immense growth chances and strength. It is easier for Hong Kong Disneyland to grow in such markets and scenarios. But, they need to invest more in research and development to penetrate into foreign markets.
  • There is no doubt that Hong Kong Disneyland is the largest amusement park with a variety of unique offerings. Moreover, it has gained several accolades and praises from different companies and countries.
  • Hong Kong Disneyland works in a business environment where it experiences multiple government restrictions and regulations. But, its affiliation with lobby groups and other firms makes it really stable.
  • Hong Kong Disneyland has strong bonding with existing suppliers, making its supply chain network incredibly robust. According to experts, Hong Kong Disneyland can increase its products due to having such loyal suppliers and robust supply chain partners.
  • The brand awareness and brand equity of Hong Kong Disneyland in domestic as well as international markets are really exceptional. With this factor, they attract millions of customers every year.

Weaknesses of Hong Kong Disneyland | SWOT Analysis of Hong Kong Disneyland

Weaknesses represent those areas in which Hong Kong Disneyland lacks. It limits the profitability, growth, and business performance of Hong Kong Disneyland. Here are some weaknesses of Hong Kong Disneyland:

  • Hong Kong Disneyland faces huge backlash from customers due to its poor project management in internal delivery. Ignoring the interest of external stakeholders can lead to bad relations with the public.
  • In our opinion, Hong Kong Disneyland is lacking in digital transformation and other technological advancements. It hasn’t been successful in adopting machine learning and artificial intelligence.
  • Even having a stable balance sheet, Hong Kong Disneyland is not getting a high investment return. It is a weakness for such a big company because it is working in such robust markets.
  • Many customers are not satisfied with the offerings of Hong Kong Disneyland. There are several areas that Hong Kong Disneyland should improve to remove these concerns of customers.
  • The company’s track record on environment-related issues is not very encouraging. However, it is a weakness of Hong Kong Disneyland and they can face backlash from users. Thus, it is crucial for Hong Kong Disneyland to add environment-related concerns as an integral part of its policy.
  • Hong Kong Disneyland hasn’t succeeded in exploiting the technology to its full potential. It will decrease its profitability and reputation in the coming years.

Opportunities for Hong Kong Disneyland – SWOT Analysis of Hong Kong Disneyland

Opportunities are the areas that Hong Kong Disneyland can utilize to gain a sustainable competitive advantage. It gives further expansion chances in the future. Factors like political development, rising disposable income, economic growth, and technological innovations are some opportunities for Hong Kong Disneyland.

  • Many countries have reduced their market entry charges which gives a wonderful expansion chance to Hong Kong Disneyland. Now, it is really easy to connect with people with the help of social media and digital marketing. So, Hong Kong Disneyland can use this thing in its favor.
  • The international market is full of amazing opportunities and Hong Kong Disneyland has the power to exploit those opportunities. So, it will help the company to reduce its dependency on domestic markets for revenue.
  • The tourism and hospitality industry is growing rapidly, and it will produce numerous growth opportunities for Hong Kong Disneyland. Indeed, they can build more attractions in new markets and diversify their products. It will aid the company in gaining more consumers from different segments.
  • The rising disposable income brings several opportunities for businesses like Hong Kong Disneyland. Moreover, it strengthens the purchasing power of consumers, and they will spend more money on things. In this scenario, Hong Kong Disneyland can increase its offerings and bring innovation in existing products to attract customers.
  • Recently, the company has faced several challenges in access to international markets. But now, things are changed, and Hong Kong Disneyland can penetrate into any region without much trouble. They can uncover local talent as well as cultural standards of different countries.
  • Hong Kong Disneyland should expand its business in emerging economies to earn more fame and profits. It also gives a great chance to diversify its offerings, services, and features.

Threats to Hong Kong Disneyland – SWOT Analysis of Hong Kong Disneyland

Threats are really dangerous things for any running business. They can derail the business performance and structure at any time. 

Fast-changing technologies, volatile political environment, competitors, and other relevant things are some big threats for Hong Kong Disneyland.

  • The ratio of middle-class people is squeezing in both developed and developing economies. This kind of inequality will lead to the lower purchasing power of consumers, which is not good for Hong Kong Disneyland. Hong Kong Disneyland will face the impact of this thing, and it could be the biggest threat for Hong Kong Disneyland.
  • The world is going through an economic recession. It is hard to survive in such an environment, especially if you are an international organization. As a result, Hong Kong Disneyland can also lose its profits and customers.
  • Several events like Brexit, inflation in Venezuela, fluctuating exchange rates, and other crises are some biggest threats for Hong Kong Disneyland. These factors will directly affect the business of Hong Kong Disneyland on an international as well as domestic level. Hong Kong Disneyland needs to make policies and strategies by keeping the above factors in mind.
  • Due to environmental concerns, many countries have imposed heavy taxes and charges on supply chains and services. It will increase the company’s logistics cost, which directly lowers the revenue of Hong Kong Disneyland.

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