MGM102H5 Study Guide - Midterm Guide: Feng Shui, Rug Making, Tomato Juice
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Also, identify which of these reasons motivated disney to open a theme park in hong kong, and describe how their decision helped them reach their objective. (4 marks) For each of ikea and disney, 1 mark for accurately identifying and 1 mark for reasonably describing their reason for international expansion. Ikea cost reduction opportunity ikea sourced rug manufacturers that were based in. India to have access to low cost rug making expertise. While they were able to offer indian made rugs at a low price, the use of child labour for rug making was exposed and became an issue that ikea had to deal with. Disney new market opportunities or closeness to markets hong kong disney provided. 1 mark for reasonably describing the cultural challenge faced by ikea. Child labour is still allowed and in many cases needed in india, especially in craft industries.
