Lawmakers to Grill HK Govt. over Disney in China (http://story.news.yahoo.com/news?tmpl=story&u=/nm/20020723/media_nm/leisure_hongkong_china_disney_dc_1)- Reuters, 7/23/02

QuikQuote: Hong Kong lawmakers will grill the government on Monday about recent media reports that The Walt Disney Company had signed a letter of intent to build its third Asian theme park in rival Shanghai.

The reports, which Disney has not confirmed, have set alarm bells ringing in this southern Chinese city, which fears its own US$1.8 billion Disney park may face too much competition after it is ready in early 2006.

So what would you say if you had purchased a McDonalds franchise and then found out McDonalds had sold another franchise to somebody planning on locating just a couple of blocks away?

Did these guys ever stop to think about some kind of exclusion clause to keep competition from Disney or other Disney licensees from appearing on their doorstep? Or did Disney include a loophole which allows them to build wherever they want regardless of who it might impact?

What a mess .............

I don't think Disney will go through with constructing a park at Shanghai. It does not make much sense from a business standpoint. Afterall, Disney should be just as worried about a diluted product as the HK government. If two parks open in such a relatively close distance not only will attendance numbers suffer at both parks, but the allure of the Disney name will be lost. Why else do you think Joe-Schmoe from Vancouver B.C. spends thousands of dollars to make pilgrimages to Anaheim? Because there's only one Disney resort on this side of the continent.

JC: Why build in Hong Kong if you are already in Tokyo? Why build in Orlando if you already have a park in California? Why build a park in Paris if you have a park in Orlando only 5 hours away by plane?

Case of simply going where the market exists and/or there are parties ready to ante up the necessary franchising fees and commitments. Just like putting up another McDonald's ...........

Hong Kong park will probably use English language - maybe the Shanghai investors think a pure-Chinese park will do better .......

Good point...that shut me up :)

JC: I am envious - you live in one of the most beautiful places in he world!