School of Hospitality and Tourism Management

La Consolacion College Bacolod

Strategic Company Assessment: A Final Project in Strategic Management with TQM

In Partial Fulfillment of the Course Requirements in

MGT 7A
Strategic Management & Total Quality Management

Submitted by:

Aila Marie O. Cortes

Carmela Estrebor
Chazz Lowens Puaso
Daniela Meloto
Danielle Marie Cabalhin
Guia Antonette Acera

Submitted to :
Ramel Flandes
Adviser

May 2023
LCCB at 102: Bearer of Compassion and Hope in Critical Times
 Table of Contents

I. Executive Summary________________________________________________2
II.Introduction______________________________________________________2
A. Business Overview________________________________________________2
B. Vision Mission___________________________________________________2
C. The Market a.Business in the Market__________________________________2
D. Products and Services______________________________________________6
III. Situation Analysis________________________________________________8
A. SWOT _________________________________________________________8
B. Competitors Analysis (Use porter 5's forces Model)_____________________10
IV. Business Strategies (Generic Porter’s Strategy)________________________12
V. Business Performance Assessment_________________________________13
VI. Conclusion/Recommendation____________________________________23
I. Executive Summary

II.Introduction

A. Business Overview

Blue Peak Costa Resort is a commercial establishment located near a

beach or coastal area that provides accommodation, recreational facilities, and

services to guests seeking a relaxing vacation by the seaside. These resorts aim to

create a comfortable and enjoyable environment for visitors while taking

advantage of the natural beauty and attractions of the surrounding beach and

ocean. In order for the blue Peaks Costa Resort to become successful it requires

a requires a combination of strategic planning, attention to detail, exceptional

guest experiences, and continuous innovation. By understanding your target

audience, delivering quality facilities, embracing sustainability, and staying

ahead of the competition, you can establish a successful beach resort that attracts

loyal guests and achieves long-term profitability.

B. Vision Mission
Vision
We want to be the best resort in the province by maintaining our service as the
top option for our valued local customers and tourists.

Mission
 We strive to provide engaging activities, a safe environment, and unforgettable
vacation experiences.
 Through service excellence, innovation, and anticipating our customers' wants
and needs; the profitability of our business, its continuing growth, and success of
each individual will all be a result of this dedication.

C. The Market
a.Business in the Market

1. Unique theme concept

The theme of Blue Peak Costa Resort is inspired by the stunning beauty of
coastal landscapes and the serenity of the ocean. The resort aims to provide guests
with a luxurious and tranquil retreat, where they can immerse themselves in a
harmonious blend of natural elements and contemporary design. Blue Peak Costa
Resort takes its name from the majestic blue peaks that surround the resort, creating a
picturesque backdrop that captivates the senses. The resort's architecture and interior
design draw inspiration from the organic shapes and fluidity of ocean waves, evoking
a sense of tranquility and relaxation.

2. Exceptional Design and Architecture

Create a visually stunning and memorable resort design. Consider
incorporating unique architectural features, innovative landscaping, and stylish
interior design that reflects the local environment and culture.

Upon entering the resort, guests are greeted by a grand atrium with floor-to-
ceiling windows that showcase panoramic views of the sparkling sea and the lush
coastal vegetation. The color palette throughout the resort is composed of soothing
shades of blues and earth tones, reflecting the coastal environment and creating a
calming atmosphere.

3.) Sustainable Practices and Eco-Tourism

Embrace sustainable practices and highlight your resort's commitment to eco-
tourism. Implement energy-efficient measures, utilize renewable energy sources,
practice responsible waste management, and promote local conservation efforts.

This will attract environmentally conscious travelers seeking eco-friendly

accommodations. Throughout the resort, a commitment to sustainability and eco-
conscious practices is evident. Blue Peak Costa Resort actively supports local
conservation efforts, implements energy-efficient systems, and utilizes eco-friendly
materials and amenities.

With its captivating coastal theme, luxurious accommodations, breathtaking

views, and exceptional amenities, Blue Peak Costa Resort provides guests with an
unforgettable experience, where they can truly unwind and embrace the beauty and
tranquility of the oceanic surroundings.
b. Merchandise category
Includes a range of products that are available for purchase by guests and
visitors. These products are often branded or related to the resort, reflecting its unique
identity and providing guests with souvenirs or practical items that enhance their
experience.

1. Apparel and Accessories

This category includes resort-branded clothing such as t-shirts, polo shirts,
hats, beachwear, and accessories like sunglasses, beach bags, and flip-flops. These
items allow guests to showcase their connection to the resort and provide practical
options for enjoying their time on the beach.

2.Spa and Wellness Products

If Blue Peak Costa Resort offers spa and wellness facilities, they may have a
merchandise category dedicated to spa and wellness products. This can include luxury
bath products, scented candles, essential oils, robes, and slippers that allow guests to
recreate a spa-like ambiance at home.

3.Resort-Branded Merchandise
Blue Peak Costa Resort can create a line of branded merchandise that
showcases its logo, name, or unique design elements. This can include resort-branded
merchandise such as water bottles, coffee mugs, stationery, or even specialty items
like beach umbrellas, surfboards, or snorkeling gear with the resort's logo.

The specific merchandise category offered by Blue Peak Costa Resort may
vary based on its brand positioning, target market, and the amenities and facilities it
provides. The goal is to offer guests a selection of products that enhance their
experience, provide lasting memories, and reflect the resort's identity.

c. Target Market

Individuals and families looking for a luxury and relaxing beach vacation
make up the Blue Peak Costa Resort's target market. The resort hopes to attract
visitors who value luxurious lodgings, top-notch service, and a commitment to
sustainability. Following are some examples of Blue Peak Costa Resort's target
clients::

 Demographics:

Age: Primarily adults aged 25-55, although families with children are also welcomed.

Gender: Both male and female.

Social Status: Middle to upper-middle class, with disposable income for luxury
vacations.

Education: Varied, with a mix of individuals holding high school diplomas, college
degrees, and advanced degrees.

Location: The resort's target market is primarily domestic tourists, although it may
also attract international travelers seeking a beach vacation.

 Lifestyles, Activities, Values, Needs, Interests, and Opinions:

Lifestyles
The target customers lead busy lives and seek a retreat from their daily
routines. They value relaxation, rejuvenation, and a connection with nature. They
enjoy indulging in luxury experiences and appreciate attention to detail.

Activities
 Guests are likely to engage in activities such as sunbathing, swimming, water
sports, spa treatments, fine dining, and exploring the local attractions.

Values
Environmental sustainability, quality service, and creating lasting memories
are important values for the target customers.

Needs
They seek a peaceful and upscale environment, excellent amenities and
services, comfortable accommodations, and access to a beautiful beach and ocean.

Interests
The target customers may have an interest in nature, wellness, gourmet dining,
outdoor activities, and cultural experiences.

Opinions
They value personalized experiences, environmentally friendly practices, and
appreciate the integration of local culture and traditions into their vacation.

The target customers for Blue Peak Costa Resort are individuals and families
who are willing to invest in a premium beach resort experience that offers a blend of
luxury, natural beauty, sustainability, and exceptional service.

D. Products and Services

a. Classification of Product/Service Offerings:

Accommodations

Luxury guest rooms and suites with ocean views and upscale amenities.
Premium villas or beachfront cottages for larger groups or families.

Dining and Culinary Services

Fine dining restaurant offering gourmet cuisine and a diverse menu.

Beachfront bar and grill for casual dining and refreshing drinks.
Room service for in-room dining convenience.

Recreation and Leisure Facilities

Private beach access with beach loungers, umbrellas, and water sports
equipment. Swimming pools, including infinity pools with ocean views.
Fitness center and wellness facilities, including a spa and yoga classes.
Outdoor recreational activities such as hiking trails, tennis courts, or golf courses.

Event and Meeting Spaces

Conference rooms and banquet facilities for corporate events or social

gatherings. Wedding venues and services for destination weddings.

b. Core Products and Competitive Advantage

The core products of Blue Peak Costa Resort are its luxurious
accommodations, exceptional dining experiences, and access to a picturesque beach
and ocean. The resort differentiates itself from competitors through the following
competitive advantages:

Captivating Coastal Theme

The resort's unique theme and architectural design inspired by the coastal
landscapes create a visually stunning and memorable environment for guests. This
theme sets it apart from other resorts and enhances the overall guest experience.

Sustainable Practices
Blue Peak Costa Resort's commitment to sustainability and eco-tourism
appeals to environmentally conscious travelers. By implementing energy-efficient
measures, utilizing renewable energy sources, and promoting local conservation
efforts, the resort attracts guests who value eco-friendly accommodations.
Exceptional Service
The resort places a strong emphasis on providing exceptional service to its
guests

III. Situation Analysis

A. SWOT

 Strengths

1. Unique Features
The beach resort stands apart from other resorts in the vicinity because of its
unusual features. The unique experience that it offers visitors may be attributed to
its design, architecture, eco-friendly policies, or particular amenities.
2. Location
The resort is found in a stunning area in the Philippines with lovely beaches,
crystal-clear waters, and other natural wonders. Visitors seeking a quiet and
secluded beach escape may be attracted to this area.
3. High-Quality Facilities
The resort provides excellent amenities, such as opulent lodging choices,
immaculate swimming pools, a spa, a fitness center, restaurants, and other leisure
pursuits. These amenities increase exclusivity and improve the entire client
experience.
4. Customer Service
The resort places a high value on providing first-rate customer service,
making sure that visitors are made to feel at home, well-cared for, and satisfied at
all times. As a result of the resort's well-trained staff's availability to help
customers, it has an excellent reputation.

 Weaknesses

1. Limited Accessibility
Some potential visitors may find the resort's location to be unpleasant due to
its limited accessibility. Some visitors could be deterred from picking the resort if it is
difficult to get to or has limited accessible transportation choices.

2. Price Point
Compared to other resorts in the region, the special features and top-notch
amenities could come at a higher price range. This could narrow the target market to a
particular group of travelers prepared to pay more for an upscale experience, thereby
lowering the number of customers.

 Opportunities
1. Market Demand
Unique and special travel experiences are in greater demand. The resort can
draw travelers who are looking for something unique and are willing to pay more by
marketing itself as a special beach resort.
2. Sustainable Tourism
The resort can tap into the increasing interest in eco-friendly and sustainable
tourism practices. By implementing environmentally friendly initiatives and
promoting conservation efforts, the resort can attract environmentally conscious
travelers and differentiate itself in the market.

 Threats
1. Competition
There are many beach resorts and lodging options in well-known locations,
making the Philippine tourism business quite competitive. Other resorts that offer
comparable characteristics or cater to the same clientele sector may present the resort
with fierce competition.

2. Economic Factors
The resort's revenue may be impacted by economic downturns or changes in
the travel sector. The quantity of guests and their willingness to pay for luxury
accommodations can be impacted by changes in currency rates, fuel prices, or overall
consumer buying power.
B. Competitors Analysis (Use porter 5's forces Model)

1. Threat of New Entrants

The threat posed by new competitors in the beach resort sector can be categorized as
modest. These elements can influence this threat:
 Barriers to Entry
It can discourage new rivals if there are major entrance barriers, such as costly
capital needs, a lack of suitable beachfront property, or complicated regulatory
procedures.
 Branding and Differentiation
It may be tough for new competitors to enter the market if the distinctive
beach resort has built a strong brand identity and offers distinctive qualities that
are difficult to imitate.
 Economies of Scale
Existing resorts may benefit from economies of scale, which might make it
difficult for new competitors to compete on price.

2.Bargaining Power of Buyers

In the beach resort industry, purchasers' negotiating power can be viewed as
being relatively considerable. This power is influenced by the following factors:

 Availability of Alternatives
Customers have more options and more negotiating power if there are many
beach resorts in the province or nearby locations.
 Price Sensitivity
Customers' bargaining power may be increased if they are highly price
sensitive or have access to price comparison tools.
 Switching Costs
The resort's negotiating position may be weakened if clients may simply
switch to other resorts without suffering major expenses or inconveniences.

3. Bargaining Power of Suppliers

 Suppliers in the beach resort sector have between moderate and low
bargaining strength. Consider the following factors:

 Suppliers of Goods and Services

Suppliers of different products and services, like those who provide food and
drinks, bedding, furnishings, and equipment, may have some negotiating power.
However, resorts can frequently strike advantageous deals or change providers if
necessary.
 Availability of Alternative Suppliers
If there are several suppliers, that may weaken the supplier's negotiating
position..
 Unique Partnerships
The resort's position may be strengthened if it has formed exclusive
connections with suppliers, such as with local farmers for organic food or with
craftsmen for one-of-a-kind items.

4.Threat of Substitute Products or Services

The threat of substitute products or services for a beach resort can be
considered moderate. Factors to consider include:

 Alternative Accommodation Options

A beach resort can be replaced with various types of lodging, including hotels,
rental homes, or even different types of resorts.
 Different Vacation Experiences
Instead of staying at a beach resort, tourists can opt for different vacation
activities including city tours, cultural excursions, or adventure sports.
 Competitive Pricing
The threat of substitution may increase if cheaper alternatives offer
comparable experiences.

5. Intensity of Competitive Rivalry:

The intensity of competitive rivalry in the beach resort industry in the province
can be considered high. Factors contributing to this intensity include:
 Large Number of Competitors
There may be fierce rivalry for luring visitors if there are multiple beach
resorts in the province or close locations.
 Similar Offerings
Price may become a differentiating element in an environment of competition
if resorts provide comparable amenities, experiences, and services.
 Marketing and Branding
Competition may become more intense due to rivals' marketing tactics,
branding initiatives, and consumer loyalty programs.

IV. Business Strategies (Generic Porter’s Strategy)

1. Cost Leadership Strategy

Adopting a cost leadership approach allows a resort to offer its services at a

lower price than its rivals while retaining comparable quality.
 Implementing effective processes and systems can help streamline operations and
cut costs.
 Get better terms from your suppliers and pay less for the things you need.
 Staffing should be optimized to decrease labor expenses without sacrificing the
quality of service provided to guests.
 Spend money on tech to save money on overhead by automating routine tasks.
 The resort can benefit from economies of scale through expansion or by forming
strategic alliances.

2. Differentiation Strategy
A resort can set itself apart from the competition by providing services that are
incomparable to those offered by other establishments. This approach usually aims for
a niche audience that will appreciate the product's unique qualities.

 Providing customers with unparalleled care and attention.

 Spa treatments, sporting events, and specialty dining are just some of the high-
quality amenities and services provided.
 Building a memorable resort identity by coming up with a fresh concept.
 Creating aesthetically pleasing buildings, rooms, and outdoor spaces.
 Resorts may enrich their guests' cultural immersion by teaming up with regional
creatives and cultural institutions.
3. Focus Strategy

Adopting a focus strategy allows a resort to cater to a smaller, more

particular subset of the overall market. In this approach, the resort caters to a
certain demographic by catering to their specific wants and needs.

 Focusing on serving one particular category of tourists, including backpackers,

honeymooners, families, or business people.
 Creating unique offerings that cater to the needs and interests of the intended
audience.
 Building alliances with landmarks or tour companies in order to provide VIP
access.
 Making things that will interest the target audience specifically.
 Offering distinctive features or services that meet the needs of a certain market
segment.

4. Blue Ocean Strategy

Focus on securing uncontested market share by providing distinctive
and cutting-edge services.

 Identify areas of the resort sector that are underdeveloped or underutilized.

 Create novel amenities, experiences, or business strategies that set your resort
apart from the competition.
 Try to offer value to visitors in a way that hasn't been done before.
 To keep a competitive edge, always innovate and remain ahead of market trends.

V. Business Performance Assessment

A. Create a Balance Scorecard
Categories Measure Target Action/Strategies

Financial Revenue Boost sales by 10% in Create and

the upcoming fiscal implement marketing
year. strategies to entice
more domestic and
international
travelers, work with
travel companies and
tour operators, and
extend special offers
during off-peak
times.

Occupancy Rate In the next financial Enhance the visitor

year, raise the experience by raising
occupancy rate by the standard of
5%. services, rewarding
devoted patrons,
implementing yield
management
techniques to
maximize room rates,
and forming alliances
with online travel
agents.

Average Daily Rate ADR will rise by 7% Upgrade room

(ADR) in the following fiscal services and
year. amenities, develop
special packages that
target particular
market segments, and
engage in technology
 that allows for price
variation.

Gross Operating In the upcoming fiscal Utilize energy-

Profit (GOP) year, raise the GOP efficient
by 15%. technologies,
enhance inventory
management and
purchasing
procedures, enhance
staffing and
scheduling, and
regularly track and
regulate expenditures
to streamline
activities and cut
costs.

Return on Investment In the next financial Invest in sustainable

(ROI) year, raise ROI by and green projects
8%. that can draw
consumers who are
concerned about the
environment,
diversify revenue
streams by looking
into new services or
offers, keep an eye
on market trends and
competition, and
develop a long-term
investment strategy
that is in line with the
resort's aims and
 objectives.

Cost of Goods Sold 5% COGS reduction Reduce waste and

(COGS) in the next fiscal year. spoilage through
optimizing inventory
levels, training and
educating workers
about cost-saving
methods, negotiating
better prices with
suppliers and
vendors, and putting
in place systems that
can efficiently
monitor and control
expenses.

Customer Guest Satisfaction Achieve an overall Create a guest

guest satisfaction response program to
rating of 90% in the resolve complaints
next fiscal year. and problems, train
personnel to deliver
great customer
service, and regularly
gather feedback from
visitors through
surveys and online
reviews.

Repeat Guest Rate Increase repeat guest Implement loyalty

rate by 10% in the programs that reward
next fiscal year. repeat business,
provide
individualized
 services to devoted
patrons, build
relationships with
dependable visitors,
and reward recurring
clients with special
deals and
promotions.

Net Promoter Score Achieve an NPS of 60 Establish a customer

(NPS) in the next fiscal year. referral program to
motivate visitors to
recommend their
friends and family.
Regularly monitor
and track the NPS.
Collect feedback
from customers who
are satisfied and
those who are not.

Online Reputation Maintain an online Maintain a consistent

reputation score of 4.5 presence on social
out of 5 in the next media to interact with
fiscal year. customers, actively
monitor and respond
to online reviews,
and quickly and
professionally handle
any negative
comments.

Quality of Service Maintain a service Establish clear

quality score of 9 out service standards and
 of 10 in the next fiscal expectations, train
year. and empower
personnel to provide
great customer
service, develop a
reward and
recognition program
to inspire and reward
staff, and spend
money on technology
to enhance service
delivery.

Internal Business Operational Improve operational Reduce waste and

Process Efficiency efficiency by 15% in increase productivity
the next fiscal year. by streamlining
processes and
procedures; automate
manual operations
with technology;
manage staffing
levels and
scheduling; and
conduct frequent
audits to find areas
for improvement.

Time to Market Reduce time to Create a cross-

market by 20% in the functional team to
next fiscal year. manage and oversee
projects, and develop
and deploy a project
management system
to ensure timely
 project execution,
improve workflow
and communication
channels.

Employee Increase employee Establish clear

Engagement engagement score by performance
10% in the next fiscal expectations and
year. goals, foster
collaboration and
teamwork within the
workplace, offer
opportunities for
professional growth
and training, and
acknowledge and
reward employees for
their contributions.

Health and Safety Maintain a zero- Establish defined

accident record in the safety rules and
next fiscal year. processes, conduct
frequent audits and
inspections to detect
dangers, and invest in
equipment and
technologies that
improve safety in
order to develop and
implement a
comprehensive health
and safety program.

Sustainability Reduce energy Create procedures

 consumption by 10% and policies to
in the next fiscal year. prevent waste and
conserve resources,
make investments in
energy-efficient
machinery and
technology, conduct
routine energy audits
to identify potential
improvement areas,
and work with local
organizations that
support
sustainability.

Learning to Growth Employee Training In the upcoming fiscal Establish an in depth

and Development year, raise the average training and
number of training development
hours per employee program that includes
by 20%. both technical and
soft skills training,
conduct regular
training needs
assessments to
identify skills gaps
and improvement
areas, give
employees
opportunities for on-
the-job training and
coaching, and spend
money on online
learning resources
 and tools.

Innovation Implement at least Encourage and

two innovative reward employee
initiatives in the next innovation, create a
fiscal year. team dedicated to
driving ideation and
implementation, form
partnerships with
technology
companies and
startups to spur
innovation, and
spend money on
research and
development to spot
new market trends.

Corporate Social In the upcoming fiscal Establish

Responsibility year, corporate social partnerships with
responsibility efforts local communities
will be increased by and organizations to
15%. support local
development,
develop a volunteer
program to encourage
employee
participation in CSR
initiatives, and
regularly track and
report progress on
CSR initiatives.
These actions are all
part of developing
 and implementing a
comprehensive CSR
strategy that is in line
with the resort's
mission and values.

Leadership Create at least five Create programs for

Development high-potential high-potential
workers for employees to receive
management positions mentoring and
in the upcoming fiscal coaching, identify
year. and evaluate potential
future leaders within
the organization, and
offer opportunities
for job rotations and
cross-functional
experiences.

Employee In the upcoming fiscal Establish a formal

Satisfaction year, reach an employee feedback
employee satisfaction program, offer
rating of 85%. competitive
compensation and
benefits packages,
establish work-life
balance policies and
programs, and foster
a positive work
environment that
encourages
collaboration,
teamwork, and
recognition. Regular
 employee satisfaction
surveys are
conducted to measure
engagement and
identify areas for
improvement.

VI. Conclusion/Recommendation

Blue Peak Costa Resort has the potential to become an outstanding beach
resort destination by capitalizing on its distinct characteristics, great service, and
dedication to sustainability. For guests looking for a relaxing beach holiday, the
resort's appealing coastal motif, exquisite accommodations, and spectacular views
give a remarkable experience. The resort's emphasis on sustainability and eco-tourism
attracts to ecologically sensitive visitors, further distinguishing it in the market.

Certain aspects, however, require attention and improvement. Limited

accessibility and a higher price point than competitors present issues that must be
addressed through creative marketing and pricing tactics. To attract a larger range of
clients, the resort can explore collaborations with transportation companies and
consider offering package deals or promotional offers.

Furthermore, given the high level of competition in the beach resort industry,
Blue Peak Costa Resort must constantly evaluate and adapt to market trends, client
preferences, and rival strategies. Market research and analysis on a regular basis can
assist find chances for expansion, diversification, and innovation.
 The following recommendations are made for Blue Peak Costa Resort based
on the scenario analysis and market trends:

1. Enhance Accessibility: Look into forming relationships with transportation

providers to provide guests with easy and dependable transit choices, such as
shuttle services from airports or major transportation hubs. This will improve
accessibility and attract a broader customer base.
2. Pricing and Value: Conduct a thorough review of market pricing techniques to
verify that the resort's pricing is competitive and provides good value for
money. To attract customers and enhance occupancy rates, consider offering
package packages, discounts for prolonged stays, or seasonal specials.
3. Marketing and branding: Create a thorough marketing strategy emphasizing
the resort's distinct characteristics, eco-friendly initiatives, and great service.
To efficiently reach the resort's target audience, use digital marketing
channels, social media platforms, and targeted advertising. To improve
visibility and attract new customers, work with influencers or travel bloggers
who share the resort's brand values.
4. Continuous Improvement: Based on visitor input and developing industry
standards, analyze and improve the resort's facilities, amenities, and services
on a regular basis. Keep up with the latest beach resort industry trends and
incorporate new technologies or unique offers that improve the visitor
experience.
5. Collaboration and Partnerships: Seek partnerships with neighborhood
companies and groups to promote the region's tourist destinations, cultural
experiences, and sustainable development projects. This would improve the
resort's amenities while also benefiting the neighborhood and providing
visitors with a distinctive destination experience.
6. Customer Engagement and Loyalty: Set up a CRM system to monitor visitor
preferences, offer tailored experiences, and encourage return trips. To
encourage customer loyalty and encourage good word-of-mouth
recommendations, provide loyalty programs, special offers, or unique
privileges for repeat visitors.
By putting these suggestions into practice, Blue Peak Costa Resort will be
better able to compete in the market, draw in a wider range of guests, and
maintain its status as a top beach resort destination.