Executive Summary
The growth and excellence of a business in the hospitality industry demand carefully drawn strategies that sharpen, enhance the commitment and creativity of employees with the aim of raising customer satisfaction and value for their time and resources. As the hospitality industry is growing complex and becoming more competitive, restaurants, as well as other related businesses in this industry, have come to note that there is a need to improve their performance with the growing complexity of marketing trends.
One such business is Moorilla Winery. It is a fine dining restaurant located in Berriedale, a suburb which is about 12 km north of Hobart city. The management of Morrilla Winery has demonstrated a deeper understanding of the industry since it engaged MONA and has applied impressive business skills, articulated discharge of leadership duties and carefully coordinated its marketing and sales efforts. Since its inception, Mooorilla’s aim in its dining restaurant business has been to provide the best and excellent services for the ever-growing customers in the hospitality industry.
As such, it has put much effort and focus into providing a suitable environment where customer value is enhanced. Besides, it has ensured that its facilities offer luxurious, relaxing and beautiful services that suit the needs of consumers. MONA has developed strategies geared towards ensuring that its consumers are provided with luxurious accommodation. As such, it has embarked on a twenty-four-hour service delivery, furnished its rooms with king-sized beds, installed heated bathrooms and reduced its accommodation prices.
Since its introduction in the hospitality market, MONA Pavilion has continuously grown to become one of the greatest threats to its competitors. It has also been able to gather the necessary customer confidence by providing exemplary and quality services as well as excellent food and Wine. Besides, it has been building on its name to get the necessary competitive advantage over other competitors. MONA’s corporate objective has been tied to its values and mission statement. It has equally sought to present itself as the best provider of food, wine and accommodation.
Introduction
The growth and excellence of a business in the hospitality industry demand carefully drawn strategies that sharpen, draw commitment and creativity of employees with the aim of raising customer satisfaction and value for their time and resources. Therefore, customer value becomes the driving force that undercuts cultural and leisure businesses amidst the emerging massive competition and highly dynamic nature of the industry.
This paper offers a holistic analysis of Moorilla Winery’s engagement of Museum of Old and New Art (MONA) to determine the current activities and extent to which the organization is achieving its main objectives. The paper further reflects on the market and environmental forces that may influence its future direction.
Situational Analysis
Industry Analysis
As the hospitality industry is growing complex and becoming more competitive, restaurants as well as other related businesses in this industry have come to the realization that there boost competition due to the growing complexity of market trends. Adams (2012, p. 50) posits that the overall understanding that service is key to growth of many economies has led to better operation strategies, increased flow of information, speedy in decision making as well as improved mobility and value to services offered.
The management at Morrilla Winery has demonstrated a deeper understanding of the industry and has applied impressive business skills, articulated discharge of leadership duties and carefully coordinated its marketing and sales efforts.
Since its inception, Mooorilla’s aim in its dining restaurant business has been to provide the best and excellent services for the ever growing customers in the hospitality industry. As such, it has put much effort and focus in providing a suitable environment where value for customers can be enhanced. Besides, it has ensured that its facilities offer luxurious, relaxing and beautiful services that suit the needs of consumers.
Wisey (2011, p. 73) in his analysis of Moorilla Winery indicates that the practice of providing valuable service to customers in the hospitality industry is critical towards the growth of a business. He adds that the basic marketing needs of a business like Moorilla should be geared towards creativity, the creation of a variety of products and having a suitable dining environment with refreshing and attractive dishes. Indeed, the need to have a conducive environment could be its reason for engaging the Museum of Old and New Arts (MONA) as its regular customer.
Moorilla Winery is a fine dining restaurant located in Berriedale, a suburb which is located about 12 km north of Hobart city. Studies indicate that the business was founded way back in 1958 by Claudio Alcorso who was an Italian-Australian and a former textile merchant. Its operations at the initial stages were affected by inadequate resources and facilities, a consideration that slowed down its growth.
It was not until the year 2000 that it expanded its accommodation to include MONA’s four hilltop chalets. In addition, credible sources indicate that in 2009, the business added four pavilions and has since grown the number to eight. The MONA Pavilion now stands with immaculate eight pavilions and each with its own contemporary art, furniture and color schemes. Its pavilions are cultural havens where refreshing services are offered to visitors.
Sales Analysis
The ability of a business in the hospitality industry to make great sales greatly relies on the quantity and quality of services and products being offered. MONA Pavillion has been keen in ensuring that all its customers are fully and appropriately entertained in terms of luxury and food. It has been able to lower its costs of services.
Thus it has been attracting consumers on the basis of the returns they are getting from the low cost services. Analysts indicate that its application of accommodative prices of services and products has resulted into high profitability with an increase of about 4% in 2010 and about $33 million in 2011. Though its initial application was highly contested due to the high competition that the market giants posted, it was clear that slowly but systematically, the system would gather confidence among the travelers in the country.
Competitive analysis
Competitive analysis is based on the need to generate the correct status of MONA Pavilion in relation to its capacity to effectively counter its competitors in the market. Ashutosh and Suresh (2009, p. 603) point out that MONA seeks to outdo its competitors in the market by employing competitive analysis to determine its major areas of strengths and opportunities that could be exploited to remain highly profitable and relevant in the market. Besides, it also offers an examination of the company that dictates its weaknesses and threats in order to generate the best mechanisms to address them.
Like Brink (2008, p. 160) notes in his publication, hospitality industry remains one of the most dynamic industries because of personal tastes which make consumers to easily shift from one organization to another. Indeed, MONA experiences stiff competition from Henry Jones and Hotel Grand Chancellor as well as other businesses in the hospitality industry. With many people visiting MONA largely taking sometime away from their jobs, the presence of other restaurants located close to their areas of residence makes it difficult such people to move all the way to MONA. Besides, the aforementioned competitors are offering almost similar products like those of MONA Pavilion.
Having remained among the top businesses in the hospitality industry, other leisure and cultural organizations’ as well as its competitors’ main intention will be to outwit MONA at all costs. Moorilla Winery must continue strongly to build its brand and emphasize on the value of consumers to ensure that its services remain unique and further invoke great affinity from consumers.
Customer Analysis
On a global scale, consumers associate products and brands with certain characteristics such as superiority and quality of products. They also see a major consideration of continued improvement to maintain their positions. Burt, Johhanson and Thelander (2011, p. 187) argue that consumers also regard an organization as a major source of identity and prestige. It is such a place that a consumer is able to get bigger, better, and idealistic products and services that derive an overall sense of identity and satisfies various needs.
Finally, the notion of social responsibility is viewed to be a role of the globally branded companies and products as opposed to the local communities. MONA has developed strategies geared towards ensuring that its consumers are provided with luxurious accommodations. As such, it has embarked on a twenty four hour service delivery, furnished its rooms with, king-sized beds, installed heated bathrooms and reduced its accommodation prices.
SWOT analysis
Strengths
Since its introduction to the hospitality industry, MONA Pavilion has continuously grown to become one of the greatest threats to its competitors having been rated as one of the best in the region, MONA Pavilion has been able to gather the necessary customer confidence through providing exemplary and quality services as well as excellent food and Wine. Besides, it has been building on its name to get the necessary competitive advantage over the competitors. This can be seen from the numerous awards it has been receiving from time to time and the increasing number of visitors.
MONA was conceived when most of the art centers globally were busy stocking their shelves with traditional artwork. The idea to establish MONA Pavilion therefore sprang from the need to break away from the traditional and conservative policies, and offer an alternative that would be more pleasing to the highly dynamic world. The museum was therefore founded with its main goal being to help people understand as well as enjoy those visual arts that exist during their time.
Chen, Shen and Chiu (2007, p. 1050) reports that a few collections by the time it began its operations, the collection has grown enormously to reach over 150,000 design objects, paintings, sculptures, drawings, architectural models and prints. One cannot fail to mention that this has been its major strength and a source of attraction of its customers who travel from far and wide.
Another source of strength for MONA is its attractive location. In order to effectively maintain high profitability in the hospitality industry, MONA has carefully selected a location with an aim of tapping all the available market for their products. Notably, this market mix consideration has managed to link with the consumers by offering direct sales far away from the main hotels to anchor their overall profitability. Under this notion, its management has understood the tight schedules of the people and devised it as a tactic to reach them. It is from this notion that the business has managed to remain profitable even during the current economic crisis.
Weaknesses
One of the major weaknesses that MONA Pavilion possesses is eminent from its high pricing strategy on its products and services. Since its establishment, the company has believed in providing excellent services, a factor that has contributed to high costs of production. However, the high charges are not reflective of the affordable prices necessary for capturing the ready market in the region. Besides, this notion came at a time when the global economy has been undergoing intensive uncertainties that affect the individuals ravel considerations.
Whereas this may seem to coincide with the low cost demand for travelling, Ellis (2010, p. 30) points out that the same may not always be true as more people tend to caution themselves against any extra costs on their expenses. At this particular point, travelling especially for leisure is left for a few people in the community who can be able to afford it without getting significant negative effects from it. According to the complexity theory of organization management, there is need to view all aspects of management from multiple considerations that integrates the demand for success with the organization and market dynamics that dictate the trends to be assimilated.
Opportunities
As indicated earlier, modern sales operations like other disciplines have demanded application of better technological platforms that ease their operations while promoting objectivity. MONA has an opportunity to bring along new mechanism that facilitates use of information technology in the whole operations.
A good example at this point is the introduction of electronic marketing. Through effective training, MONA can manage to change its mode of marketing from the traditional methods to the new system. Training at this point is therefore seen from a bi-model perspective. First, it elevates the system of operations by bringing the concept of a differentiated mechanism of selling while maintaining the old one. The hospitality industry has effectively grown due to assimilation of new technology in marketing.
In addition to that, it will holistically ensure that the new technology fits and is employed to an organization’s competitive advantage. Marketing analysts have predicted doom for companies that will fail to effectively embrace technology in their sales marketing.
Threats
Owing to the high lucrative restaurant business in the region, MONA is exposed to a stiff competition from its competitors who seek to enjoy the market. It is worth noting that with the emphasis given to reduced service costs, the threats are indeed serious aspects that dictate its present operations and predicts its future existence.
Analysis of marketing
Marketing forms one of the most important factors that dictate the progress that an organization can make as it constitutes the last step in the chain of production. Marketing analysts generally concur that the actual process of marketing brings consumers and an organization together; a consideration that makes it to be very crucial in establishing the correct face of a products, service, and most importantly the company making the products. At MOMA, marketing has been critical in linking consumers with the business, promoting its products, determining consumer needs and obtaining feedback.
Objectives
Corporate objectives
MONA’s corporate objective has been tied to its values and mission statement. It has sought to present itself as the best source of food and wine. Tourism (2011, p. 60) argues that for an effective and favorable competition with its competitors, MONA Pavilion’s goals and objectives must be timely, realistic, achievable, measurable and realistic. As such, it needs to set up a plan and focus on key elements that will guide it to success. Its objectives should cover a period of between three to ten years.
Marketing objectives
Marketing has been considered as one of the major practices a business must engage in as it makes product and service information available to consumers and obtains feedback critical for enhancing product value and innovation. As such, MONA’s marketing objective should focus not only on presenting product information, but on obtaining feedback and creation of new products. One such change can be made on its menu card through adding some new dinner or lunch items may attract customers. Other ways include provide social media platform to customer where conversion about food and new deals help kitchen staff for setting menu card according to customer’s need.
Expenses
In terms of expenses, inappropriate spending may affect marketing objectives that MONA has. Such spending may be seen in unnecessary expenses due to food waste and excessive labor. The impact of this is that it may lead to a sizable dip in profits. For that reason, MONA’s restaurant management team needs to keep all the expenses in line. Besides, mechanisms should be set such that food usages, area of labor and employee retention are considered way before setting the goal. One such consideration can be to keep food costs at less than 40 percent of all revenue.
Marketing Strategies
Marketing segmentation strategies
The main concern of MONA pavilion is to add revenue by compelling visitors through use of different marketing strategies. Before applying marketing techniques, MONA should be familiar about the target audience. As MONA offer luxurious Life style, so the target market should be wealthier people like business families or people doing upper grade jobs. Effective customer relations management forms one of the most critical aspects of an organization in that it defines the ability to maintain loyalty from the customers while facilitating the necessary sustained profitability. MONA should therefore employ the following strategies in effecting its customer relations management.
In order to segment its customers effectively, MONA should use the profitability approach because it would give greater preference to the more profitable customers of the company. Hebert, Roxell and Randy (2011, p. 1440) explain that the main objective for any business unit is to make profits and therefore all considerations should be projected towards it. Customers at MONA should be segmented because the current un-segmented nature was risking the annual dividends to the shareholders. Therefore, segmentation would provide a more effective mechanism to balance the revenue being paid out and profitability.
Targeting strategies
Service offering for each customer segment should be based on a top-down approach for the different sales they make but adjusted to reflect on the profit that is derived from it. For high profitability customers, MONA should employ strong retention strategies to facilitate high profits sustainability. On the other hand, the business should put less retention efforts for the less profitable customers. Leeflang (2011, p.80) indicates that indeed less profitable customers in non-segmented outsets often reduce the dividend levels.
Gathering information through conducting online research about customer choices will aid MONA Pavilion to develop restaurant structure according to target market. Moreover, earlier planning for summer season to give exemplary services at busy time is a part of targeting strategies. Other strategies would include gathering information about customer needs, targeted customer choices about menu and then implement which result in-term of profit.
Business life cycle and customer adoption
Among MOMA competitors, Grand Chancellor appears to be more advanced in terms of menu and its is also well situated. Organization changes required for MONA are highly complex and therefore require great care that facilitates easier assimilation of not only the details, but also the whole concept on the need for continued improvement and consumer adoption.
This would be very critical in facilitating strategies that will ensure that demands by the different customers are met for profitability. However, the introduction of t changes in menu card items and hiring of trained staff should not be done simultaneously to facilitate easier evaluation of the progress in the initial units and therefore anchor the need for possible adjustments for improvement.
Potential and core strategies
MONA Pavilion has been recognized among customer as a provider of luxurious accommodation services and maintaining its reputation in restaurant business MONA. To sustain its presence in the market, MONA needs to hire experts who try to find out the deficiencies and fulfill it with available resources, train kitchen staff and chef and encourage teamwork and change. Besides, it should focus n its core strategies as this will provide it with a strategy and spatial planning vision crucial for shaping the operations of the business.
Core Branding Elements
Developing branding elements is a central pillar that MONA can adopt in order to win greater customer loyalty and market position since a brand has a capacity to link consumers and respective organizations. McDaniel (1998, p. 240) indicates that branding as a means of developing loyalty and levering demand is crucial for continued market dominance and profitability. Thus, the management at MONA should carefully internalize diversity therefore design its brands in a manner that coheres with its orientation. Some of the elements it can use for branding include theme nights, advertisements, tabletops, menus and website.
Marketing Programs
Marketing mix
In order to effectively address the different eternal effects in the hospitality industry, market nix has turned out to be a major route for Moorilla Wines. It is a general tern that is used with reference to product, price, promotion, distribution and place which are applied simultaneously with great emphasis on addressing variant problems affecting the market at different times.
Product
The sustenance of businesses in the hospitality industry is based on the ability to provide product variations through innovative techniques. Roman (2004, p. 127) points out that at any single time, a business should have enough options for the consumers as this in turn presents a higher return to the business. This has been very effective in Moorilla Winery as its differentiated product have been a key attraction to consumers.
Shankara et al (2011, p. 30) point out that a variety of products is very critical as more people seek alternative products that fit their purchasing power. However, the notion of the application is a major question as there is no coterminous consideration that can be assimilated for all the diverse hotel demands. By ensuring that the product meets the necessary quality standards, Moorilla Winery is indeed fast tracing its upward trend after a long economic down turn.
It is imperative to note that under MONA pavilion, the business targets high income individuals. Inasmuch as the services here have been considered expensive, the returns have been effective as the cost compares to the luxurious services. The business has also embarked on product positioning as a means of creating product image in the minds of customers. Besides, the positioning of its products has differentiated them from those of its competitors. Plans have been set to reposition the strategies of product provision to increase the quality of its wines and food given to consumers.
Pricing
Due to the impacts of the current global shifts in the market demands for different hotel and restaurant products by various consumers, market mix underscores the need to understand them and therefore offer the necessary products that consumers can actually afford. Though considered to be highly entrepreneurial, the notion works in that by offering differing prices of different products, consumers will be able to fix themselves in different categories that fit them.
However, the management should avoid loses in the whole operation. Suh et al (2010, p. 219) point out that aspects such as reduction the cost prices and use of alternative systems that aid in reducing the overall prices of the products should be explored. The ability to reduce the price of the major services by the hotel management forms the road map to the chains success.
In MONA, its management has made its accommodation prices affordable. Though its location has been considered to exist among the wealthy, it has been able to understand its market, reduced its product prices and kept its reputation in the market. Winer (2009, p. 108) cites that one of the major problems presented by charging highly in the competitive market is that a business at risk losing its customers. MONA has therefore embarked on including low cost dishes in its menu purposely to target consumers who have a medium budget. For instance, it has reduced the price of working lunch meal from its initial price to $40.
Distribution
Studies indicate that using an effective distribution channel is a central pillar for most businesses in the hospitality industry that need to capture the market. A good distribution channel has the capacity to link consumers with respective organizations. Zerbini, Golfetto and Gibbert (2007, p. 784) indicate that it is also one of the methods of developing loyalty, levering demand for continued market dominance, branding and profitability.
However, MONA does not need a distribution channel. This is due to the fact that it can accommodate its customer directly. Besides, it uses travel agents and booking websites to bring more customers. This increases the sales graph of whole business including its restaurant.
Promotion
MONA’s market mix could possibly have not been complete without effective promotion of its luxurious accommodations and its products to consumers. This notion has assimilated a new system whereby the business has assumed various brands that seek to guarantee consumers the highest possible values. Arguably, promotion through the media persuasively wins the customers back by informing them on the major beneficial additives they would derive from visiting and consuming their products.
To add to that, it has the capacity to target particular groups that fall in its consumer brackets. MONA’s marketing team has observed the tourist season and has therefore used it to market and promote its products. Since its inception, MONA has employed both Tasmanian government promotion strategies and its own to effectively reach the targeted market. Since most tourists today rely on media for information, the business has adopted the strategy of using electronic media, television and newspapers.
Loyalty programs
MONA has used loyalty programs over the years as marketing efforts to reward loyal customers and encourage them to buy more products. This has been beneficial to the firm and has led to the development of a positive buying behavior. Some of the strategies that the business has put in place to keep its customers have included the use of a loyalty card and rewards. The latter is a replacement of a points system. It works through identifying loyal customers through software and rewards them effectively. On the other hand, the loyalty card is important as through its bar codes, MONA can trace its loyal customers and offer them rewards.
Customer service and support
In order to achieve its mission of being the best and fine dining restaurant, the leadership of MONA maintains a very active schedule of providing customer service and support to address the various matters related to provision of services. The restaurant’s customer service plays a major role in education by offering programs that enable scholars and general public to view, compare, and make the correct decisions using modern and / or contemporary information availed to them.
To finally promote diversity, MONA maintains a vibrant publishing press which has published over 1,200 editions in different languages over time. It is no doubt that this art center remains a rich tank with all people getting information every time they visit the restaurant. The operations of customer service and support have achieved set objective because of planning and the fact that customers are always waited with great enthusiasm.
Market research
According to Zhou, Zhuang and Yip (2007, p. 317), market research is a critical step which a business engages in to collect and analyze relevant data. This data can then be used to make important decisions necessary for management. One of the key aspects of a market research is the fact that it aims at offering answers to questions seeking to develop a structure that will enhance marketing activities.
One major factor that business research scholars emphasize is the availability of market for an organization’s products. Notably, MONA Pavilion’s business development environment has been very effective in that its products easily get a ready market because of the large customer base. However, with the difference in budgeting among its customers, low budget customers are unable to afford various products even those, considered relatively cheap.
Even so, the business has an added advantage of an expanded market. MONA Pavilion has therefore continued to flourish with ease because consumers within its environment have a high purchasing power. Recent survey have indicates that in comparison to its competitors, MONA’s services have been greatly preferred. This has been attributed to its luxurious restaurants and accommodation.
Trust and credibility
The practice of advertising and promotions by MONA must build trust and credibility among customers in order to drive sales or influence attitude. Ellis (2010, p. 30) indicates that credibility emerges from a combination of factors such as competence, trustworthiness, expertise, and likability. To effectively enhance internal trust and credibility, its management must create values that dictate the operations of the business.
By establishing the values, its culture will be effectively outlined and therefore the expected code of conduct, trust and credibility will be present to win customers loyalty. In her model of organizational cultural dynamics, Mary Jo Hatch posits that the ability to establish a trust and credibility is crucial for increased output and forms the key to success for any organization.
Implementation Plan
Product design and development
The main task that MONA pavilion has is to compete favorably with grand chancellor restaurant. His can be achieved through developing plans to increase its revenue. In its designing phase, the management and leadership of MONA must evaluate the market, conduct research and strategize ion how to design a concrete base for future planning.
Issue 1: Restaurant Size
One of the advantages that MONA has is that its size when compared with Hotel Grand chancellor “Tasman” appears to be relatively smaller. Hotel Grand chancellor Restaurant entertains more than 500-700 customers at a time while MONA can handle not more than 250. There is need that plans are set to expand and widen its capacity.
Isssue 2: limited dishes on menu card
Another issue that has been a challenge at MONA is the limited dishes in its menu card. There is need for the business to hire more experienced chef as this will allow an expansion of dishes and preparation of unique delicacies with different dish presentation to compel customer. Its competitor the Grand Chancellor offers more than 400 dishes with more than 70 sweet dishes which are very attractive. MONA should edit its menu card by adding some more unique taste in order to attracting customers.
Marketing and sales
One of the most evident aspects of transaction-focused traditional selling is the focus on the products and producing companies as the key driving forces towards meeting sales targets. As a result, closing techniques that were highly manipulative as well as persuasive pitch through arm twisting were greatly employed. It is worth noting that this method was very effective in the last decades of the 20th century due to specificity and narrowness of the market. As the new forces such as intensified completion has set in, MONA’s adoption of trust based relationship selling is inevitable.
Scheduling and Scheduling employees
The ability to schedule marketing programs and employees in an organization’s sales model has been referred by modern marketing scholars as the most effective methodology in creating new insights towards fitting the highly dynamic and globalizing market. As a result, a great shift has been recorded as companies in the hospitality industry shift from their transaction traditional based model to scheduling operations based mechanism. This sets shifts and time for employees to work and aids in controlling all restaurant operations.
Use Technology
As indicated earlier, it is worth noting that organizations’ effectiveness is highly dependent on the final sales records that it makes in the market. Interestingly, the transactional-focused traditional selling approach viewed marketing to be confrontational and therefore assimilated combative titles like guerrilla marketing and hard ball selling. As a result, minimal information gathering was done while technological employment was equally limited.
However, trust based relationship selling is highly collaborative and therefore seeks to create long-term relationship between the consumer and the buyer. After establishment of a potential market target, trust based relationship sales agents maintain close links with the client and further cooperate to establish their choices, preferences and holistic array of information that facilitates sales sustainability.
Performance Evalution and Monitoring
Monitoring advertisement campaigns
Monitoring and evaluation of marketing performance in business has become an important practice businesses have adopted to determine output and enhance routine. Restaurants too have not been left out in monitoring their marketing performances. MONA has been keen in following up closely its marketing activities. This it has made possible through managing the operations via its websites that have menu changes, promotions and photos, through promoted events, social networking and developed promotions.
Sales analysis
MONA’s sales have in the last decade grown to massive heights, a consideration that is attributed to its pavilions, luxurious accommodations, location and delicacies. Its sales per day go above 2000 dollars. This can be used to monitor its future sales especially after it has expanded its capacity and size.
Profit and loss statements and meeting schedule
MONA’s profits have shot up due to the increasing number of customers it gets every year. Besides, the fact that it is located in an exclusive environment with high budget people is a source of its profit s. However, its limited menu card is a major hindrance to maximizing its profits. Besides, the business incurs losses due to food wastage and other unnecessary spending. Monitoring and evaluations are crucial for limiting losses and setting schedule for activities to minimize wastage.
Customer profiling and sales-force evaluation
Customer profiling and sales force evaluation are continuous processes which indeed have no end. Under this consideration, sales persons become challenged to generate new trends and mechanism that can effectively win the market and generate higher returns to their organizations. Consequently, sales training offers sales persons the chance to interact with other companies and organizations’ marketing mechanisms in achieving various levels of successes.
Financial Information
Financial Capsule
The financial information regarding MONA is very impressive. Analysts are of the view that the company has a bright financial future. Its expected sales for each year keep rising as it makes huge profits. Besides, it has a desired market share and ambitions to expand its operations and capture new markets. Its marketing capital expenditures stand at $250 million.
Financial Assumptions
Its financial assumptions are very important as they determine the ability of the business to make cost and sales forecast. Its financial assumptions have been related to an ease in collecting credit, equipment durability and performance and taxes. Other considerations include legislation, market conditions and expected success in its marketing programs.
Budget and sales Projections
MONA has an elaborate budget and sales projection that covers two to five years. It has budgeted and allocated funds to cover advertising and sales activities. These activities will be carried out via print, radio, television, outdoors, events, public relations and online platforms. One notable feature of the budget set by the business is that it is measurable and achievable.
Contingency Plans
Symptoms of Failure
One of the symptoms of failure at MONA is lack of an appropriate organization around consumers. This should be done by evaluating their purchases of products and services. A separate unit should be created in the branch that such customers buys more to address their purchases when they place orders at the restaurant. Notably, this type of arrangement would greatly reorganize the metrics in the restaurant. Therefore, a more interdependent outlook of sales and profits should be evident as opposed to the previous highly differentiated one.
Alternative Strategies
Notably, the operations of MONA Pavilion are based on independent divisions that have full consumer relations that are differentiated. As a result, it would be more sensible to organize around the consumer as opposed to the products. This would facilitate the ability to identity a customers who might be highly profitable to several branches and therefore segment them together. Besides, this consideration would be very critical in generating possible cost reduction by combining some services for them when they simultaneously place orders on different branches.
Conclusions
To sum up, the discussions in the paper were based on the thesis statement that the growth and excellence of a business in the hospitality industry demand carefully drawn strategies that sharpen, draw commitment and creativity of employees with an aim of raising customer satisfaction and value for their time and resources’. From the analysis it is evident that MONA Pavilion has been able to sustain its success through developing effective marketing and sales strategies.
Besides, it has ensured quality in provision of accommodations which are luxurious, food and wine its customers. The paper has concluded by looking at financial information and contingency plans. It is worth noting that to limit chances of failure, MONA has to organize itself appropriately around its customers to enhance loyalty and beat its competitors.
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