Managing change, small hotel development Essay Example | Topics and Well Written Essays - 500 words

Managing change, small hotel development - Essay Example year 2020 is 5 years away; hence, considering the analyses that has been conducted on the Sea Front Hotel, the chances of development over the next five years can be assessed. One of the greatest strengths of the hotel is that it is not mired in any form of debt. As a result, in spite of the global financial fluctuations that occur, it can be said that the financial risks of any global economic downturn in the next five years will have little effect. However, the hotel lacks an online presence and it still uses conentional methods of communication. It has to be noted that nearly all successful businesses, especially those in the hospitality industry like Sea Front Hotel, make use of the internet as an essential marketing tool (Dudovskiy, 2015). The hotel cannot only rely on increased consumer spending because they are not assured that they will spend their money on an â€Å"unknown† hotel, due to its poor marketing strategy. In the face of competition over the next five years, the hotel is likely to achieve minimal development, because of its poor marketing plan. In addition, it has a limited customer base and needs to diversify. Due to the growth of the economy, its development chances can be sustained at the moment but not increased as it cannot rely on the national economy to develop. The chances of development for the Sea Front Hotel over the next 5 years are deem. Due to its favourable location setting, the hotel should be flocking with customers at the moment, but that is not the case. At the moment, it should be having a medium profit margin because it has a cheap source of supplies from the local area due to heightened competition among the suppliers. The cheap sources function as a financial cover, coupled with its lack of debts. However, its profit margins are low at the moment, something that the management should be planning to improve. The changes that can be implemented to improve this is the use of a cheap source of power, wind power, due to its