situation is probably best summed up by the fact that the culinary highlight in the district is the KFC in Ranaul The main reason given for the lack of accommodation is that the average stay is only two days. Others argue however that the reason that tourists do not stay longer is the lack of more high-end accommodation and restaurants. Tourism in the area is reasonably well developed and would definitely be able to sustain longer visits to the area in terms of activities and events. As it is at the moment, most visitors come on a (long) daytrip from Kota Kinabalu where there are numerous hotels in all categories (including international chain hotels such as Hilton, Hyatt, Le Meredien and Shangri-La). The Sabah State Government has recognised the need for further development in the area. As part of the SDC (Sabah Development Corridor) they have made a large piece of land available for the development of a high-end hotel (4-star or 5-star) in the area. Your company, HDC (Hotel Development Company) has been asked to put in a bid to build and manage the property. HDC is an established hotel operator with 38 hotels in South East Asia, including a number of Mercure, Novotel, Best Western, Doubletree and Hilton hotels. The piece of land available is situated on the main road through the area and has great views of Mount Kinabalu on one side and the valley below on the other side. As the strategic advisor you have been asked to come up with a recommendation whether to develop a 4-star or 5-star property. Due to the fact that the area is near a World Heritage site and due to building height restrictions the total number of rooms for a 4-star hotel would be 300 rooms, whilst for a 5-star property the number of rooms would be 190. You are required to do the following: 1. Identify at least THREE (3) strengths and weaknesses each and at least TWO (2) opportunities and threats each for the proposed hotel/resort (Not for Mount Kinabalu as a tourist attraction!)
situation is probably best summed up by the fact that the culinary highlight in the district is the KFC in Ranaul The main reason given for the lack of accommodation is that the average stay is only two days. Others argue however that the reason that tourists do not stay longer is the lack of more high-end accommodation and restaurants. Tourism in the area is reasonably well developed and would definitely be able to sustain longer visits to the area in terms of activities and events. As it is at the moment, most visitors come on a (long) daytrip from Kota Kinabalu where there are numerous hotels in all categories (including international chain hotels such as Hilton, Hyatt, Le Meredien and Shangri-La). The Sabah State Government has recognised the need for further development in the area. As part of the SDC (Sabah Development Corridor) they have made a large piece of land available for the development of a high-end hotel (4-star or 5-star) in the area. Your company, HDC (Hotel Development Company) has been asked to put in a bid to build and manage the property. HDC is an established hotel operator with 38 hotels in South East Asia, including a number of Mercure, Novotel, Best Western, Doubletree and Hilton hotels. The piece of land available is situated on the main road through the area and has great views of Mount Kinabalu on one side and the valley below on the other side. As the strategic advisor you have been asked to come up with a recommendation whether to develop a 4-star or 5-star property. Due to the fact that the area is near a World Heritage site and due to building height restrictions the total number of rooms for a 4-star hotel would be 300 rooms, whilst for a 5-star property the number of rooms would be 190. You are required to do the following: 1. Identify at least THREE (3) strengths and weaknesses each and at least TWO (2) opportunities and threats each for the proposed hotel/resort (Not for Mount Kinabalu as a tourist attraction!)
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
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