The appeal to DVC has always been the ability to stay on Disney theme park property. That aspect hasn't changed. All things being equal, I don't see how these new destinations could do anything but enhance the program. Trading out is an incomprehensibly-difficult process for many. And one of the common complaints against DVC even now is that there aren't enough different destinations available.
I would question how many echo that sentiment. I suspect booking the Ko Olina resort at 7 months will be far easier than trading into Hawaii via II today. Some variety may be lost, but what good is offering a handful of different options if many of them are never available to DVC owners.
More members = more complaints. In other words, if you have 100 DVC units and 10 complaints per year, you have the same raw numbers as 1000 DVC units and 100 complaints per year.
The higher complaint volume doesn't mean Disney is performing any worse than they did in the past.
Many of the problems at WDW can be traced back to the Orlando labor market. It isn't easy to hire and train a workforce of 60,000. Anaheim and Oahu are in much different markets.
If you're really worried about quality of service, the greater concern should actually be AKV Kidani and the DVC CR. Those developments will place an even greater strain on the Florida resources.
That's pretty wild speculation. Based upon an approximate size of 400 units, Ko Olina will represent about 12-15% of the DVC units by the time it's open. DVC will have no problem filling those rooms with both owners and non-owners looking to visit.
Who are you faulting for this? It's not as if DVC oversold the program.
What HAS changed is people's booking patterns. There has been a noticable move toward booking right at 7 and 11 months, often times with people booking day-by-day as soon as they are able. We have nobody to blame but ourselves for that. There's nothing DVC could do to change the situation, and I don't see how it's any sort of justification for limiting future expansion.
As usual, I agree with a lot of what tjkraz writes. Specifically, I can't imagine that Ko Olina will be more difficult or uncertain than a current Hawaii exchange request. Moreover, the II options that may be eliminated will probably be Oahu options rather than Big Island, Maui, or Kauai options. In addition to the size of the labor force creating problems, generational shifts may be at play. I was at a conference a few weeks ago at which one speaker asserted that his millenial generation employees were excellent, but the concept of "service" was relatively foreign to them, i.e., they just didn't consider it in the performance of their day-to-day activities. This could also be at play when we read stories of substandard cleaning or service, etc. Lastly, I think tjkraz's point about booking patterns is right on the money. I deal with a lot of self-fulfilling prophecies in my job and I've suspected this may be the case with booking. If everyone rushes to book day-by-day at 11 months or 7 months to make sure they get their first choice, I suspect it will become harder to sample variety at 7 months or less. I'm not suggesting that is good or bad, but its probably just the way it is at least for some resorts at some times of year.
And I look forward to a little more growth in 
