Well, I think ALADDIN is actually pretty theatrically set up. If they embraced the "Arabian Nights" book theme even more than in the film, I think it could actually work pretty well.
I think they'd need to go with something completely different visually from the movie. Like THE LION KING, this film is set in a real place with real people and real landmarks. LITTLE MERMAID's fantasy setting and style work onstage because there's very little realism under the sea. But for ALADDIN, they'd need to revamp almost everything visually. New costumes, completely different from those in the movie. A realistic set, like that in THE LION KING. I think if the right director was at the helm, this show could be a true success.
But I thought Schumacher specifically stated: No two princesses on Broadway at one time. Ariel is a princess. Jasmine is a princess. Hypocrite, anyone?