Theme park craze is poor profit logic

Thousands of theme parks have sprung up in the country in the past two decades. But 70 percent of them are losing money. Despite that the Water Margin Theme Park, Shanghai Disneyland and the World Chocolate Dream Park were announced in quick succession. An article published in the Beijing News tells us why. Excerpts:

Will Shanghai Disneyland, after completion, open the floodgates of profit for the Walt Disney Company? Not necessarily. Among all the Disney parks, only those in the US and Japan make profit . Even the once highly profitable Hong Kong Disneyland is not doing good business now.

A report released at the last China Tourism Resort and Attraction Summit said 2,500 theme parks had sprung up in the country in the past two decades. But 70 percent of them are losing money - only 10 percent make some profit.