News Expect closure of Hong Kong Disneyland and Shanghai Disneyland to impact Walt Disney World

[wdwmagic]

I'm hearing that in the wake of closures of both Hong Kong Disneyland and Shanghai Disneyland that there will be some tightening of the belt at Walt Disney World. Savings will need to be made, likely starting with labor.

 

[larryz]

Say it with me...

"Thanks, Shanghai!"

 

[lazyboy97o]

Not surprising if true. Disney only knows how to respond with panic.

 

[drizgirl]

And when they open back to massive crowds and profits, expect none of the cuts at WDW to be reversed.

 

[drizgirl]

Not surprising if true. Disney only knows how to respond with panic.

Never let a crisis go to waste.

 

[brb1006]

What an interesting start to 2020.

 

[TTA94]

Do we know if the projects set to open this year will be impacted/slowed down such as MMRR, Harmonius and Ratatouille?

 

[TrainsOfDisney]

And here I was just starting to get a bit hopeful when the crowds were coming for Rise of the resistance.

 

[Monorail_Orange]

Some of our folks on the Disneyland sub-forum ought to be enjoying their heapin' helpin' of crow right about now after they insisted the international parks were insulated and the previous #ThanksShanghai of a few years ago was overblown. @TP2000 deserves props for calling this first as to Disneyland USA.

 

[Lilofan]

And when they open back to massive crowds and profits, expect none of the cuts at WDW to be reversed.

That's corporate USA in a nutshell. Do more with less.

 

[el_super]

Some of our folks on the Disneyland sub-forum ought to be enjoying their heapin' helpin' of crow right about now after they insisted the international parks were insulated and the previous #ThanksShanghai of a few years ago was overblown. @TP2000 deserves props for calling this first as to Disneyland USA.

Why? The international parks are insulated financially, and Disney still has a fiduciary reaponsibility to save money domestically regardless of how the asian parks are doing. Nothing has changed.

 

[Lilofan]

Why? The international parks are insulated financially, and Disney still has a fiduciary reaponsibility to save money domestically regardless of how the asian parks are doing. Nothing has changed.

Parks and Resorts are under hatchet man Chapek. Almost a given that restructuring will happen.

 

[Monorail_Orange]

Some of the posters over there were insistent that the park closures in China would have no effect on the domestic parks because of the financial insulation/isolation. They were also contending #ThanksShanghai (from the 2016/17 budget cuts to domestic parks) was silly and had nothing to do with the cost overruns and construction delays before opening.

Obviously, even if they are insulated on paper, performance at the foreign parks affects what happens at the domestic parks. Hence, Steve's OP here that he's hearing the Chinese park closures will cause belt tightening at WDW.

 

[TheRealBobIger]

 

[el_super]

Obviously, even if they are insulated on paper, performance at the foreign parks affects what happens at the domestic parks. Hence, Steve's OP here that he's hearing the Chinese park closures will cause belt tightening at WDW.

If there are offerings that are underperforming at WDW, and cutting them would save money, they would be obligated to do that anyway. This happens every day of every year and it has nothing to do with Shanghai or Hong Kong.

How do you know the current rumors (and I don't mean to question the validity of Steve reporting that he hears them) are just being spun up by the same folks who wanted to blame literally every cut on Shanghai?

What exactly is up to be cut that isn't going to result in further declines in attendance? What fat needs to be trimmed?

 

[the.dreamfinder]

Not surprising if true. Disney only knows how to respond with panic.

But how bad will this have to get before they decide to give selling the parks another shot?

 

[the.dreamfinder]

Why? The international parks are insulated financially, and Disney still has a fiduciary reaponsibility to save money domestically regardless of how the asian parks are doing. Nothing has changed.

Just like how Parks and Resorts is insulated from declining profit margins at ESPN and Media Nets.

 

[the.dreamfinder]

Do we know if the projects set to open this year will be impacted/slowed down such as MMRR, Harmonius and Ratatouille?

Educated guess, doubtful. Both parks need those projects to open and TDO needs them to sell vacations.

 

[Minthorne]

Is Epcot closing the China pavilion? Really can't be too careful!

 

[wdwmagic]

If there are offerings that are underperforming at WDW, and cutting them would save money, they would be obligated to do that anyway. This happens every day of every year and it has nothing to do with Shanghai or Hong Kong.

How do you know the current rumors (and I don't mean to question the validity of Steve reporting that he hears them) are just being spun up by the same folks who wanted to blame literally every cut on Shanghai?

What exactly is up to be cut that isn't going to result in further declines in attendance? What fat needs to be trimmed?

It will be the usual - mostly labor. Example - reducing the number of CMs at a store. Where you had say 6 registers open, you have 4. Doesn't drastically change things, but means a longer wait.