Star Hotel
description
Transcript of Star Hotel
XXX Beach Hotel
Presented By: Group 48 - Decision Sciences
CONTENT
• Tourism Industry in Sri Lanka
• XXX Beach Hotel
• Main Issue
• Analysis of Issue
• Recommendations
TOURISM INDUSTRY IN SRI LANKA
• Tourism is one of the largest industries, within countries and in trade.
Tourism Industry Classification
• By Product (Mass tourism, Alternative Tourism)
• By nature of the activity (Active, Passive)
• Location preference (Coastal, Rural, City, Mountains, Lakes)
• Duration of trip and distance travelled (Day Trip, Weekend break, Annual Holiday)
• By purpose (Business or Pleasure)
• By age/socio-economic group (Back packers, Empty Nesters, Boomers etc..)
(http://geographyfieldwork.com/TourismClassification.htm)
• SWOT Analysis of Tourism Industry in Sri Lanka
Strengths
•Attractive places & comfortable weather condition.•Peaceful Environment.•Stable Political Environment.•Developing Infrastructure Facilities. (According to Mahinda Chinthana Policy)
Weaknesses
•Higher intervention of Government. (through Rules & Regulation)•Lower level of Security facilities.•Language problems.•Lack of infrastructure facilities.•Most facilitated hotels located in city area.
Opportunities
•Rapid growth in world tourism industry.•Depreciation of Rupee value.•Most tourists like to visit Asian countries.
Threats
•Technology Development•High competition from other Asian Countries.•Affect of world oil prices•Bad cultural effects from other countries.
XXX BEACH HOTEL
• XXX Beach hotel is one of the best hotel under the XXX Corporation Group of Companies, a public listed Malaysian conglomerate.
• XXX is one of 3 star semi resort hotel in Sri Lanka which has 160employees.
• They maintain 90 rooms (Standard & Deluxe) with Air Conditioning, In-house Movies, Hair Dryer, Television, Mini Bar, and Balcony/Terrace waiting in each room.
• This excellent hotel in Mount Lavinia also has Coffee Shop, Bar/Pub, Laundry Service/Dry Cleaning, Meeting Facilities, Restaurant & Spa facilities.
• Even though market is too tough they hold the 2nd place on catering the highest market share due to friendly customer service and cheaper rates.
MAIN ISSUE
“Identify the significance factors which affect to Sales of XXX.”
Followed Steps:
•Check the seasonality affect of Demand
•Apply regression model to identify the relationship with selected variables.
- Dependent Variable: Sales
- Independent Variables:
Agent’s Commission
Cost of foods
Advertising expenditure
Entertainment cost
Quality control
ANALYSIS OF ISSUE
• Peak Demand (December) arises in the seasonal period (November. to April), therefore we can conclude most of sales income generate in seasonal period than offseason (May to October)
SUMMARY OUTPUT
Regression Statistics Multiple R 0.999978157 R Square 0.999956315 Adjusted R Square 0.999919911 Standard Error 119.5933607 Observations 12
ANOVA df SS MS F
Regression 5 1964333723 392866744.6 27468.25861 Residual 6 85815.43159 14302.57193
Total 11 1964419539
Coefficients Standard Error t Stat P-value Intercept 1496.985908 293.0576978 5.108161019 0.002203671 Agent Commission 0.018776233 0.017697996 1.060924235 0.329551126 Quality Control 0.043520724 0.016494809 2.638449713 0.038620444 Food Cost 1.311485909 0.006089745 215.3597286 6.76347E-13 Entertainment 0.165718577 0.053052171 3.12369076 0.020488421 Advertising 0.06919445 0.036914979 1.874427447 0.110001568
Demand Function of XXX = 1496.99 + 0.02C + 0.04Q + 1.31F + 0.17E + 0.07A
02. Apply Regression Model to Identify The Relationship with Selected Variables.
Demand Function of Berjaya = 1496.99 + 0.02C + 0.04Q + 1.31F + 0.17E + 0.07A
Test the significance at 95% confidence level
Variable Commission
per month
Quality
Control cost
per month
Food Cost
per month
Entertainment
Cost per
month
Advertising
Cost per
month
T - Cal 1.06 2.64 215.36 3.123 0.02
T- Table
Value
-2.57 to +2.57 : H0 Accept or Reject Area
Relationship Insignificance Significance Significance Significance Insignificance
Overall Evaluation of XXX
SBU XXX Beach Hotel
F-Cal 27468.26
F- Table Value 4.39
Overall Conclusion Significant
RECOMMENDATIONS
• Pay equal attention to all factors which affect to increase sales.
• When forecasting demand adjust the social & economic fluctuations.
• To enhance the reputation of hotel consider the quality of customer service & other entertainment facilities.
• Offer special packages. Eg. Price Adjustment
• Organize some cultural & entertainment activities within the hotel. Eg: Traditional Events.
• Recruiting skill workers who have better knowledge regarding to field.