Local Enterprises Facing Severe Competition From Large Scale Tourism Essay

In modern-day international concern with an progressively unfastened market, many local endeavors are confronting terrible competition from big scale international company. In the instance of disparities in overall strengths, it is rather indispensable and necessary for local concern to research new development thoughts every bit good as new infinite for development.

With its go oning attempt on re-engineering these old ages, Hong Kong Ocean Park has turned a net income of 95.7 HK $ 1000000s in 2004. However, with the coming gap of Hong Kong Disneyland, Hong Kong Ocean Park should be good prepared for the challenge from its chief rival by get downing from its ain features, shifting, placing its absolute advantages, transporting out redevelopment program with the support from its spouses and local authorities.

This study is chiefly focused on the statement of the current state of affairs of Hong Kong Ocean Park and treatment about its hereafter development. To get down with, there will be some basic debut of Hong Kong Ocean Park like its mission, vision and so on. Following goes the analysis of external and internal environment. After that, strategic picks will be discussed. And eventually, suggestion and recommendation are proposed to the CEO and Board of Ocean Park.

1. Scheme constructs and vocabulary

Mission: “ Ocean Park provides all invitees with memorable experiences that combine amusement and instruction, while animating womb-to-tomb acquisition and preservation protagonism. Our purpose is to keep a healthy fiscal position, while endeavoring to present the highest criterions of safety, carnal attention, merchandises and guest service ” ( Ocean Park Hong Kong, 2010 ) .

Goals and aims:

-boost the figure of one-year visitants from four million in 2004 to five million by 2010 ;

-to make a 0.5 per cent part to Hong Kong ‘s gross domestic merchandise ( GDP ) in 2010.


“ Ocean Park aspires to be a universe leader in supplying first-class guest experiences in a subject park environment linking people with nature ” ( Ocean Park Hong Kong, 2010 ) . And, more specified, its vision is to go figure one marine-based park for each household non merely from Hong-Kong but besides from mainland China.

The chief public presentation steps to find the success of Ocean Park are the undermentioned:

First, it has high repute in both Hong Kong and mainland China. As it has been operated for more than 28 old ages, it become a long-time favourite of several coevalss, many local people were sympathetic to Ocean Park. Thus, people who had visited the park as kids were now conveying their ain kids to it. Second, it had become a fixture of Hong Kong ‘s cultural heritage. Third, the figure of visitants in 2004 is 4 m of people ( with day-to-day maximal capacity 35 000 people ) ; entire gross in 2004 was 536.2 HK $ m comparing to 428.3 HK $ m in 2003, excess for 2004 twelvemonth was 95.7 HK $ m comparing to shortage 4.1 HK $ m in 2003. And eventually, its new trade name ( Whiskers ) is recognizable at every house in China and plays a major function in the success of Hong Kong Ocean Park.

On one manus, we have stakeholders, who help to accomplish park ‘s intent and mission, such as Hong Kong authorities, Home Affairs Bureau and the Tourism Board, employees of Ocean Park corporation and park ‘s visitants ( clients ) . On other manus, we have those, who interfere with accomplishing park ‘s intent and mission, such as militant groups ( certain environmental groups and carnal rights militants ) , who insist on ban of purchasing and transit alien animate beings to park, trade associations and brotherhoods ( coach companies and taxi drivers ) , who are against constructing a mass theodolite railroad ( MTR ) , and rivals, who want to recover the market portion.

2. External Environment

Key driving forces and their ranking

Raise and pass HK $ 5.55 billion from private and authorities loans to revamp park ‘s well-worn merchandise line ( blessing of development program )

Global changing in touristry for Hong-Kong and Asia-Pacific part ( development of touristry in part )

Disneyland ‘s arrival – worldwide success of chief competitor-Disneyland, coming to Hong Kong ( Disney ‘s success or failure )

Binary tabular array of scenarios for Ocean Park ‘s cardinal drivers ( in diminishing order of their impact on park )

Blessing of development program

Changes in touristry in part

Disney ‘s failure





Successful scenario





Middle scenario






Failure scenario

“ + ” – positive alterations

“ – ” – negative alterations


FIVE Forces ANALYSIS for amusement park industry

1 ) Menace of new entry

As amusement and subject park industry requires a batch of money ( for park equipment, human resources care ) , the entry barrier is high. Besides tonss of clip is required for park ‘s planning, building, development and launching, a batch of licences and legalisation is needed ( safety, healthful, security etc ) . Besides this, a big infinite of land is indispensable to the development of the amusement park, particularly in Hong Kong, where the land monetary value in existent estate market is high.

2 ) Menace of competition

With low distinction of merchandises visitants ‘ pick will be based on monetary value and service merely. As a consequence, there is an extra force per unit area on the monetary value and service competition.

Ocean Park needs to transport out different programs and activities such as renovation and debut of new attractive forces. There are no challengers with precisely the same scope of merchandises. Disney ‘s reaching is merely expected.

3 ) Menace of permutation

In the household ‘s leisure activities section, where Ocean Park is operated, many organisations provide different sort of services. These include Cultural Center, Zoo and Botanic gardens. Therefore, Hong Kong, as a city, has a assortment of film, karaoke nines, household coffeehouse, concert halls and museums. Such services ca n’t offer full scope of activities, which Ocean Park provides, but they have an impact on figure of clients, particularly during the yearss of alone events, such as blockbuster ‘s premieres or festivals.

4 ) Dickering power of purchasers ( visitants )

As Ocean Park successfully established and positioned its image with alone attractive forces, it has become a “ must see ” topographic point for foreign visitants. The tourer bargaining power is low due to it is difficult for visitants to acquire the same experience at any other topographic point as they have had in Ocean Park.

Local occupants have a high purchasing power as they have many other picks for leisure. For case, they can travel to Wetland Park for ecotourism and nature and wildlife experience, they can besides travel to films or fittingness nine for amusement intent. Furthermore, the shift cost is comparatively low for them.

5 ) The power of providers

Suppliers have rather high power. Therefore, building elements of amusement drives are immense and complicated, that ‘s why park is extremely tied with provider. Additionally, provider is responsible for care of objects he has developed for park. This caused in higher dependance of selected builder. Otherwise, this market is developed and the pick of providers is become greater now. While building edifices ( hotels, etc ) with peculiar contractor park ca n’t easy alter to another contractor because of high exchanging cost ) . The state of affairs with the alien animate beings is such as Ocean Park can purchase in peculiar state merely.

The underlying kineticss, which are driving five forces

1 ) Aftermath of economic crises and increasing in figure of providers will diminish supplier power.

2 ) Disney ‘s arrival lessening entry menace in amusement park industry and increase rivals ‘ competition.

3 ) Developing of new engineerings will impact rise of replacements. Besides rivals with new engineerings will win ( in this facet Disney has an advantage )

4 ) Disney ‘s arrival addition demands in variegation of Ocean Park ‘s merchandises.

5 ) Ticket monetary value advantages ( 185 HK $ for grownup ticket at Ocean Park compared to 295HK $ for the same ticket at Disney ) .

6 ) The chief challenger ( Disney ) is besides same market oriented ( households with kids ) , hence, this could lift purchaser ‘s power.

Based on the five forces analysis, the chief dominant force of industry is replacements. Less importance has providers and farther – purchasers.

Looking frontward, the five forces will alter in this manner:

-Rivalry will increase with Disney ‘s reaching ;

-Buyer power will increase somewhat ;

-Substitute menace will besides increase ;

-Entry menace lessening dramatically ;

-Supplier power will besides diminish.

Five forces much more affect Wetland Park – Ocean Park ‘s cardinal rival, located at the northern portion of Tin Shui Wai, in Yuen Long, than Ocean Park itself, because Wetland park ‘s merchandises are less differentiated. It has “ a 10,000m2 visitant Centre, Wetland Interactive World, and a 60-hectare Wetland Reserve ” ( Hong Kong Wetland Park, 2010 ) . Arrival of other rival – Disney and its replacements – does n’t impact much Ocean Park because it has its ain niche.

More distinction of new merchandises, directed chiefly to Chinese native civilization will impact competition, replacements and purchasers. Unique high-quality merchandises and services besides will act upon purchasers. For seeking providers large impact will hold Internet and particular web-sites with best quality of service, features, recommendations and monetary values.

Strategic group/space analysis for Ocean Park

There are 2 cardinal rivals for Ocean Park:

1 ) Hong Kong Wetland Park, mentioned above. It is a preservation, instruction and touristry installation, consisted of big visitant Centre, Wetland Interactive World and a Wetland Reserve. This park provided visitants with chances to detect wildlife, consciousness and understanding the values of wetlands throughout the East Asiatic Region and beyond, wetlands preservation. So, it ‘s chiefly about wetlands. The Hong Kong Wetland Park is besides traveling to “ be a first ecotourism installation to function both local occupants and abroad tourers ” ( Hong Kong Wetland Park, 2010 ) .

Compare to Disneyland and Ocean Park, Hong Kong Wetland Park has different installations and merchandise scope ( such as themed exhibition galleries, a theater, a keepsake store, an indoor drama country ) , provide different services and therefore, like Disney and Ocean Park, has its ain niche. The scope of installations provided is the narrowest among 3 Parkss. Therefore, Wetland Park ca n’t run into demand of those visitants, who are looking for exhilarations and utmost pleasance, which can be found on a drives at 2 other Parkss.

2 ) Hong Kong Disneyland, geting in a close hereafter.

After 28 old ages of operating as a close monopoly, Ocean Park would shortly hold to vie with one of the biggest names in the amusement and subject park industry. Furthermore, Disneyland targets the same group of park ‘s clients – households with kids.

It has well-known trade name and repute. It ‘s the universe leader in footings of amusement. Several of Disney ‘s characters ( Mickey Mouse, Donald Duck and Winnie the Pooh ) were household names all over the universe, including in Hong Kong. Image, which Disney company holds about for a century ( The Walt Disney Company was founded in 1923 ) and Disneyland itself ( first park was opened in 1955 ) for half a century ( compared to 28 old ages of Ocean park ) helps to pull visitants non merely from Hong Kong and midland China, but besides from different portion of the Earth, particularly those who are from the USA and Europe ( The Walt Disney Company, 2010 ) .

But, despite of distinguish of Chinese civilization, Disney characters may be non as popular in Hong Kong as Ocean Park ‘s mascot, Whiskeys.

Among other advantages of Disneyland are:

– location ( it could be reached in merely 10 proceedingss from Hong Kong ‘s airdrome and less than 30 proceedingss from downtown Hong Kong ) ;

– the monetary value claimed to be the least expensive among the five Disney amusement Parkss throughout the universe ;

– the country of Disneyland is 310 estates compared to 215 estates of Ocean Park ;

– 5 times greater investing than for Ocean Park ;

– world-renowned invention ;

– high client service criterions.

Strategic groups within the amusement and subject park industry in Hong Kong





Merchandise scope


Wetland Park



Geographical Scope

On one manus, Ocean Park is a portion of amusement and subject industry. Its market is households with kids. On other manus, Disneyland, its hereafter rival, applies to the same market. Despite of this, Ocean Park has its ain niche with visitants from mainland China and merchandises range, uniting amusement and leisure every bit good as instruction.

3. Internal Environment

Ocean Park ‘s resources

1 ) Tangible:

– fiscal – private and authorities loans ; expected HK $ 5.55 billion investing ; HK $ 145 billion economic effectivity ; surplus from operations in 2004 was HK $ 182.2 million on grosss of HK $ 536.2 million ; net current assets – HK $ 283.2.

– physical – Sea World, marine life and existent animate beings: 35 drives and attractive forces ; favourable and convenient location on the southern side of Hong Kong Island ; broad scope of new activities, such as the Abyss Turbo Drop bang drive, seasonal and particular events ( Chinese New Year, Easter Holiday, Summer Holiday, Halloween and Christmas ) , popular water-related activities, synergistic activities with animate beings, “ edutainment ” plans, successful Sea Jelly Spectacular and so on.

2 ) Intangible:

– long-time repute of park with authorities, clients ;

– new trade name – sea king of beasts named Whiskers ;

– cultural heritage of Hong Kong ;

– great figure of perennial visitants.

3 ) Homo:

– 37 100 employees, their accomplishments and cognition ;

– Thomas Mehrmann, new CEO of Ocean Park, and his old experience at US-based Six Flags Corporation.

Main capablenesss of Ocean Park

1 ) New merchandises, installations and services development capableness – continually adding new characteristics and attractive forces. Therefore, in a close hereafter Ocean Park will go one of the best marine-based subject park with strong connexion with nature.

2 ) Research and development, selling and gross revenues capablenesss: program to renovate and rename Ocean Park ‘s 2 major countries ( the Lowland and the Highland ) , new hotels to be developed, including a five-star dress shop, spa-type hotel, program to open offices in the major urban countries of Guangzhou, Beijing and Shanghai to heighten promotional activities in Hong Kong and pull more mainland visitants.

3 ) New incentive compensation that linked employee compensation to the fiscal public presentation of park.

The competencies of Ocean Park

– local market trueness, client ‘s trust and love

– long-run repute, distinguishable Chinese features

– recognizable trade name

– instruction in combination with diversion

– cost and distinction of merchandise, encouraged visitants to return to the park

– distinctive work civilization, with its ain norms and patterns

Competitive Advantages of Ocean Park over Disneyland

– cultural heritage of Hong Kong, orientation largely on visitants from Midland China

– first-mover advantages

– primary focal point of Ocean Park on existent nature and wildlife in contrast to Disney ‘s strengths in sketch characters, palaces, practical world and phantasy

– no demand to prosecute in high-profile advertisement and promotion, rely more on word-of-mouth

– more diverse and broad scope of merchandises

– monetary value advantage: the admittance monetary value for Disneyland is expected more than twice higher for kid and one and a half higher for grownup than monetary value of Ocean park. And visitants from mainland China are really monetary value medium. SmartFun Annual Pass plan with limitless admittance to the park for its holders within a twelvemonth, and discounted monetary values for nutrient, keepsake

– orientation non merely on amusement, but besides on instruction of visitants

– particular events for traditional Chinese vacations ( Chinese New Year ) besides events for western vacations ( Halloween )

Despite Ocean Park construct its scheme on its resources, capablenesss and competencies, it ca n’t relay merely on them – they need to be developed, innovated and refreshed, because they may get down to look dated and shabby for their visitants. For illustration, it can import more species, concept water/sea-related installations and hotels. Overall, Ocean Park resources are sustainable, with some exclusion such as, the impact on these resources from environmental groups ‘ resistance.


Positive impact

Negative impact

Internal environment


-diversified and broad scope of amusements ( bangs, animate beings, seasonal and particular events )

-product line revamp

-highly linked with civilization of mainland Chinese visitants, knows their demands and behaviour

-the chief, oldest and most celebrated amusement park in the state, hometown favourite

-28 old ages of operating as a close monopoly

-no need to prosecute in high-profile advertisement and promotion, rely more on word-of-mouth

-strong concern connexion to the local authorities ( support from the authorities of Hong Kong and mainland China )

-previous experience of Thomas Mehrmann ( new CEO of Ocean Park ) in subject park industry ( at US-based Six Flags Corporation )

-local market trueness

-positive image of park


-located on a hills-hard to acquire to some riders-that ‘s why visitants experienced drives merely one time

-different installations are old and un-attractive and need renovation

-a batch of activities depend on conditions

-no significant capital investing

External environment


-focusing on presenting mainland China ‘s visitants every bit good as foreign visitants

-plan to construct a mass theodolite railroad ( MTR ) station to link Ocean Park to the metro grid

-the development and betterment of the amusement machinery, which can impact the services and characteristics of the organisation and its relationship to their foreign visitants

-raise the criterions of park with Disneyland reaching

– fosterage sponsorships

-plan for constructing new hotels ( dress shop and spa-type ) – orientation on new luxury touristry market section


-economical instability ( such as the Asiatic fiscal crisis of 1999-2001, lasted for 3 hard old ages for Ocean Park ) , eruption of different diseases, such as Severe Acute Respiratory Syndrome ( SARS ) in 2003 ( Both these factors can impact figure of visitants and their purchasing behaviour, declining the park fiscal state of affairs )

-arrival of Disneyland Hong Kong

-location on valuable existent estate: it could be shut down and its land could be sold off for other recreational or commercial intents.

4. Strategic Choices

Business-level scheme

Hong Kong Ocean Park uses intercrossed scheme, which “ seeks at the same time to accomplish distinction and low monetary value relation to rivals ” ( Johnson, Scholes, Whittington, 2008 ) . Most activities were carried out based on this Strategy.

1 ) Hong Kong Ocean Park ‘s admittance fee is Adult HK $ 185, Child HK $ 95 which is lower that of Disney ‘s: Adult HK $ 295 ( weekdays ) HK $ 350 ( vacations ) ; Child HK $ 210 ( weekdays ) , HK $ 250 ( vacations ) .

2 ) Hong Kong Ocean Park did non pass excessively much on new fixed-asset attractive forces due to short life circles of them and trouble in coming up with an encore.

3 ) It keeps portion attractive forces fresh, fresh and exciting while minimize costs. Alternatively of purchasing in new attractive forces, Hong Kong Ocean Park focused on civilization invention. Some comparative low-priced thoughts proved successful: Seasonal and particular events attracted repetition visits every twelvemonth.

4 ) Hong Kong Ocean Park did non take portion in extremely cost advertisement run. Compared to its rivals, Hong Kong Ocean Park tended to trust more on word-of-mouth to bring forth extra concern. Since Hong Kong Ocean Park was the local occupants ‘ favourite subject park and had high repute in Hong Kong even in Asia. Hong Kong Ocean Park had profound influence on several coevalss in Hong Kong, people who had visited the park as kids were now conveying their ain kids to see the park. Actually, Hong Kong Ocean Park was locally born and bred and had become a fixture of Hong Kong ‘s cultural heritage.

5 ) Hong Kong Ocean Park had a clear organisational construction, no excessively much redundancy. It can salvage labour cost.

6 ) Hong Kong Ocean Park had identified its strategic clients clearly ; those are Local tourers and Mainland Tourists. So, it carried out several programs to pull its key clients.

a ) It hosts several festival events and activities to complement its park offerings with distinguishable characteristics, like Chinese New Year. It had distinguishable Chinese features that reflected its roots in Hong Kong, a quintessentially Chinese metropolis.

B ) Retained its alone SmartFun Annual Pass Program and tactically reviewed and developed value-added benefits to construct gross revenues and local clients ‘ trueness. This plan encouraged one-year base on balls holders to see the park repeatedly. Visitors to the park would pass money in other countries to hike gross beyond the admittance fees.

7 ) Hong Kong Ocean Park ‘s had clear and definite place ; that was to go “ the best marine-based subject park in the universe ” – necessitate a beginning here! ! , to supply clients with a topographic point for diversion and instruction about marine life and environmental preservation. This alone strategic place is differentiated Hong Kong Ocean Park from its rivals and guarantee its advantages over the chief rivals.

Competitive schemes of Hong Kong Ocean Park ‘s rival

Disneyland was regarded as Hong Kong Ocean Park ‘s chief rival and it adopted a distinction scheme. With a distinction scheme, a company provides merchandises or services that offer more benefits than those of its rivals which are widely valued by purchasers. The purpose is to do a company advantageous over its rivals by offering better merchandises or services at the same monetary value or increasing net incomes by a somewhat higher monetary value ( Johnson, Scholes, Whittington, 2008 ) .

More specifically, Disneyland took below action programs in line with its distinction scheme:

1 ) The merchandising points of Disneyland were Disney sketch characters, fantasy universe and celebrated Americans trade names, 23 drives and attractive forces.

2 ) Disney has strong abilities to make phantasy and practical state of affairss, and it was traveling to leverage the benefits of life into its amusement Parkss.

3 ) There would be two hotels in Hong Kong Disneyland which could supply invitees with better diversion installations.

4 ) There was traveling to be a subway station associating Disneyland to other parts of Hong Kong which enable Disneyland to has convenient transit advantage over its rivals.

5 ) Unique Disney World-styled nuptials ceremonial was offered to invitees in Disneyland.

Strategic way

In 2005 Ocean Park had good concern features – it became profitable, with important market portion, effectual direction squad and successful recognizable trade name.

Otherwise, geting of Disneyland could negatively impact on success of a company. To avoid this, Ocean Park must specify a right strategic way. Most preferred way is merchandise development. This means that Ocean Park need to better its merchandises scope and figure of extra services. Therefore, by offering new broad set of amusement and educational merchandises for all mark groups, the company can derive advantages to indurate its trade name, pull new consumers and retrieve lost clients, who non engaged with old installations and services any more.

Despite the international tourers is a minor group in clients sums, company could get down to develop a new markets. This development includes selling run directed to tourers from selected states and doing contracts with circuit agents. Realization of these methods helps to increase tourers portion when local citizens ‘ portion will worsen after Disneyland coming.

International Strategy

International Strategy for Ocean Park is limited to selling policy for preferred states. The chief ground of this restriction is that Ocean Park ca n’t be expanded to other states like Disneyland does, for illustration. It ‘s based on local vegetations and zoologies and strongly attached to Chinese civilization. Besides other states may non hold such resources. Ocean Park is a alone, non common merchandise. Not every state even needs it. Therefore, enlargement is considered in instance of selling development merely, such as connexion with possible tourers, gap of offices, Television advertisement and so on, which helps to heighten promotional activities in Hong Kong and attract visitants.


Cultural distance: With increasing popularity of the Ocean Park, the CEO and Broad of Ocean Park need to believe about it attractiveness to tourers in instance of the whole universe. Indeed, Ocean Park activities are affected by cultural heritage, but it merely helps park to pull tourers non merely from Asia, but besides from all over the universe. High precedences should be given to those states, from where the figure of tourer is important.

Administrative and political distance: It ‘s of import to see at first states with good and stable relationships with China and Hong Kong.

Geographic distance: High precedence should be given to those states, from which the figure of tourer is important, so to neighbour states. Therefore, Ocean Park need to do understandings with tour agents in these states, form different gross revenues and advertisement, so, spread out its selling presence in these states.

Economic distance: The economic fortunes of a state is an of import factor when transporting out international scheme. Therefore, the amusement subject park ca n’t be developed good in the states with bad economic fortunes. Therefore, the chief orientation of Ocean Park will be on states with high income per capita or high degree of consumer wealth.

5. General debut and hereafter of development Hong Kong Tourism

Since the reunion ( except during the SARS eruption in ) , the Hong Kong touristry industry has performed good. In 2004, Hong Kong touristry industry reached new highs, with 21810630 tourers, increasing by 40.4 % compared to the figures of 15536839 in 2003 ( capable to SARS impact ) , meanwhile, the gross of touristry amounted to 91.8 billion Hong Kong dollars, up to 9.6 % over 2003 ( hypertext transfer protocol: //www.discoverhongkong.com ) .

Hong Kong authorities has ever been believing of a new placement and development way. In the Government ‘s “ policy study ” , it is identified that “ Hong Kong to be Backed by the Mainland and towards the universe, to be an international city supplying quality services ” , and it is clearly stated the new policy as “ Market Leads, Government Facilitates ” . – demand a beginning here! ! Tourism is the most robust impulse in services industries, one of the pillar industries of Hong Kong and is paid high attending by Hong Kong authorities. In the new state of affairs and new policy paradigm, the Government begins to do overall planning for the touristry industry, which means that the Government will take more proactive steps to advance the development of touristry ( hypertext transfer protocol: //www.gov.hk ) .

In 2004 mainland visitants continued to be the bulk of Hong Kong touristry with a figure of 12245862 tourers, increasing by 44.6 % . “ Free exercising ” plan was the driving force to advance farther enlargement of mainland market. Furthermore, from July 1, 2004, the “ free exercising ” extended to 32 metropoliss in South China and East China, 100 million 58 million occupants from these metropoliss could use for travel to Hong Kong with the name of “ free exercising ” . In 2004, there were 426 million “ free exercising ” visitants, accounting for 34.8 % of the entire figure of tourers ; which rose more than twice than 134 million tourers in 2003 ( hypertext transfer protocol: //www.discoverhongkong.com ) .

With the support from the authorities every bit good as the increasing tendency of visitants going to Hong Kong, it is predicted that there will be a bright hereafter for Hong Kong touristry which will straight advance the development of them park industry in Hong Kong.

6. Suggestions to Hong Kong Ocean Park

By and large talking, Hong Kong Ocean Park, with Disneyland ‘s reaching, should transform intercrossed scheme to distinction scheme. More specifically, it involves two chief parts: selling scheme as short term ends and substructure building as long term aim. However, it should ever lodge to its mission and vision of “ presenting the highest criterions of safety, carnal attention, merchandises and guest service, be a universe leader in supplying first-class guest experiences in a subject park environment linking people with nature. ” – put a beginning here!

Selling scheme


– Support on presenting a assortment of synergistic activities with animate beings. For illustration: the Ocean theater that staged mahimahis and sea king of beasts shows every twenty-four hours.

– Support focal point on seasonal and particular events like Chinese New Year and Halloween. For case, during summer vacation, some water-related activities such as water-war of foam parties should be organized which mark adolescents.

– Develop a niche merchandises, e.g. Sea World-styled nuptials ceremonial.

– Supply more sophisticated merchandises to its clients than Disney. For illustration, construct boutique hotel and spa-style hotels for tourers with higher income, outlooks and demands. Such, move to a new market section, even luxury touristry.

Monetary value:

– Dressed ore on giving value for the money the clients have paid. It is rather indispensable to pull mainland visitants who are more sensitive on monetary value. Supply invitees with more amusement installations at a lower monetary value than Disneyland to pull more visits.

– As to the local occupants, it is suggested to offer them the one-year base on balls as it creates trueness and a existent sense of value by promoting one-year base on balls holders to see the park repeatedly. Some particular offer to different groups in the society is besides recommended, for illustration, a price reduction for pupils during vacations.

– As a measure of traveling from intercrossed to differentiation scheme after Disney ‘s reaching, at first, Ocean Park should maintain its monetary values, but subsequently, with distinction of its merchandises scope, the monetary values could be increased.


– Brand full usage of word of oral cavity selling and the advantage of being the localised subject park. Continue the publicity through the alone feeling of “ turning together with Hong Kong ” ( Yan Le, 2007 ) .

– Ad run in Hong Kong can be carried out through the synergistic quiz of the cognition about animate beings to animate their involvement in nature and wildlife.

– As there is a significantly increasing figure of mainland visitants to Hong Kong, it is strongly suggested that Hong Kong Ocean Park should set up bureaus in major metropoliss in China to showcase its alone attractive forces and pull more mainland visitants.

– Expand the selling run to international markets to pull foreign tourers.

– In instance of Disney ‘s reaching, Ocean Park can get down more aggressive selling politic for pulling tourers from all over the universe.


– Implementing e-commerce solution into web site and utilizing B2B portals to obtain extra tickets gross revenues.

Topographic point / Distribution

– Assorted spouses to increase and spread out gross revenues channels. Establish and maintain close partnership with travel bureaus, hotels, coach companies which are related to touristry industry.

– Provide mainland visitants with “ Point to Indicate ” transit service to do the trip to Ocean Park more convenient.


– Promote the building of Mass Transit Railway station to link it to the metro grid. While Ocean Park ‘s location was rather convenient, the proposed MTR line widening to the southern part of Hong Kong Island would be a great benefit. More tourers would be attracted by the convenient transit, as it will merely take 5 proceedingss from Hong Kong Island to Hong Kong Ocean Park by metro.

– Increased its budget to HK $ 5.55 billion to speed up the procedure of hotels. As there will be two hotels in Hong Kong Disneyland. It is rather indispensable for Hong Kong Ocean Park to supply its client with comfy adjustment every bit good.

– The budget of HK $ 5.55 billion should besides be focused on nature and wildlife and water-related building. For illustration, a new roller coaster, a subzero Ice Palace and a 7.6-million litre fish tank with an submerged eating house. An excess 33 carnal species brought in every bit good as the renovation and rename of the two major countries in the park.

Human Resource Management

Hong Kong Ocean Park has ever had deficit of service forces ; nevertheless, with the launching of Disneyland, this state of affairs may acquire even worse as the endowments may be attracted by Disney ‘s transnational image, better publicity chances, and higher compensation.

It is suggested that Hong Kong Ocean Park present some new inducements to its staff foremost to maintain and retain the endowments. More paid vacations, fillip, squad edifice are all good ways of actuating staff.


Overall, with Disneyland and other international amusement installations, there will be a new moving ridge of touristry development in Hong Kong and the position of Hong Kong as an international tourer metropolis will be enhanced. Meanwhile, Hong Kong Government is taking much more proactive steps than of all time before to advance touristry development. Furthermore, “ Disney is one of the few participants in the subject park concern that can increase the pool of visitants to an country. Disney does n’t merely take another piece of the market pie. The pie gets bigger and that ‘s good ” ( James Zoltak, 1999 ) .

Therefore, under the broader background of touristry together with the more tourers attracted by Disneyland into Hong Kong, Ocean Park may profit more from these chances. However, Ocean Park has to be prepared for coming of this world-level rival. Disneyland has a great experience in developing successful subject Parkss all around the universe, backed with high investings and recognizable trade name. These factors make difficult challenges for Ocean Park and one of the important stairss in run intoing these challenges is the blessing of HK $ 5.55b upgrade program. It will assist to restitute park ‘s installations and build new 1s. Furthermore, direction of the park has to use maximal attempts to work out transit jobs. These activities, together with high valuable park ‘s place in the market, broad scope merchandises and services, recognizable trade name and solid authorities and investors support, can give interactive consequence to keep and heighten Ocean Park ‘s market portion and do sustainable development possible in the long term.