Mariyam NinaSakura ManthreerathneAbdulla RasheedIbrahim Rushdhy

LOCAL MNC VS US MNC

Date: August 28, 2014

Compare Operation Strategies

Assess the Strengths and Weaknesses

Comment on the Competitive strengths

Objectives

•Starwood hotels & Resorts• Launched W brand in 1998 in New York•45 Properties in 14 Countries till 2014▫California▫Singapore▫Mexico▫Egypt

•Target is to reach 60 properties by 2017•W Hotel’s vision is to make their hotel as a mix of vibes and elements that

mingle to create a welcoming and social gathering place.

INTRODUCTION:W HOTELS & RESORTS

▫India▫Malaysia▫Maldives

• PRODUCTS▫78 superior luxury rooms

Premium Villa, Overwater Villa, Beachside Villa, Overwater Villa, Beachside Villa, Lagoon view, Overwater Villa, Lagoon view, Overwater (Ocean Oasis Lagoon

view) Villa, Overwater (Ocean Oasis) Premium Villa, Overwater (Seascape Escape)

• 400+ Staff ▫Majority are local staff▫Senior staff are mostly expatriates

W RETREAT & SPA (MALDIVES)

W RETREAT & SPA (MALDIVES)COMPETITORS

KUDA HURA &LANDAA GIRAAVARU

DEVANAFUSHI

•Flagship Company of Universal Resorts▫Launched in 1972 as one of first two resorts in Maldives▫Launched superior brand in 2003 named “Per AQUUM”▫Operate internationally

8 Resorts in Maldives 3 Resort in UAE, Seashells, Solomon Islands

•900+ staff ▫Seniors are Maldivians▫Support staff are mostly Expatriates

INTRODUCTION:KURAMATHI ISLAND RESORT

•299 luxury rooms▫ Garden Villas▫ Beach Villas▫ Deluxe Beach Villas▫ Beach Villas with Jacuzzi▫ Superior beach villa with Jacuzzi▫ Water Villas▫ Water Villas with Jacuzzi▫ Honeymoon Pool Villas

KURAMATHI ISLAND RESORT (MALDIVES)PRODUCTS

KURMATHI ISLAND RESORT (MALDIVES)COMPETITORS

• A retreat that offers unique experiences for everyone in a natural setting.

Kuramathi Island Resort

• A sophisticated luxury hotel serving the high-end market

W Retreat & Spa

Target Market

• Minimum $300 per night▫ 10% discount on bookings made 90 days

prior.▫ Save 35% on 3rd night▫ 15% discount on bookings made 4 months

prior.

Kuramathi Island Resort

• Minimum $1000 per night▫ Save 40% on next night▫ Treat yourself and save 20%▫ Stay two, save 20%▫ Save 20% with daily breakfast

• Fullboard $2620

W Retreat & Spa

PRICE

• Supply of goods by their own fleet.• Food waste is used as compost• Herbs and Some Vegetables are Home grown• Guests are transferred via Sea and Air• Recruits staff from nearby islands• Groups of tourists are given single tour guide• On Job training given• Universal holds poultry farms and Aqua

culture operation to cater their resorts.• Own fleet of fisherman.

Kuramathi Island Resort

• Just In Time deliver of Perishable goods from nearby islands.

• Food waste is used as compost• Solar Power is used for external lightings. • Fish & other seafood is supplied by local

suppliers.

W Retreat & Spa

Competitive Priority (Cost)

• Biggest and Most luxurious spa in Maldives• More variety of Water Sports• Windsurfing and Diving lessons for 8 years and

above • 6 restaurants specialized in different cuisine▫ Indian▫ Thai▫ Barbecue and Grill▫ Coffee Shop etc.

• Incomparable services to a 7 star resort (Marketing stunt)

Kuramathi Island Resort

• W Specific Lounge platform terminal• Each guest gets a “key”• Whatever-whenever• TQM• Bar holds more variety• Guests are transferred via star rated sea plane.• Employees are trained using international

trainers.• Customized menu are served for guests

W Retreat & Spa

Competitive Priority (Quality)

• Meals are served as buffet.

Kuramathi Island Resort

• Any food on the A la carte menu is served between 15-30 minute of time

• Only sea planes are used.• 24hr room service.

W Retreat & Spa

Competitive Priority (Speed/Time)

• Flexible and Affordable prices for excursions.• 24hr spa and restaurant service.• Payment Methods

Kuramathi Island Resort

• Transport is arranged specific to time guest arrives.

• Whatever whenever• Payment Methods

W Retreat & Spa

Competitive Priority (Flexibility)

• Full fledged bio station for Marine research.• 0.5 km from world famous hammerhead shark

dive point.• 6 different restaurants• Leading spa in Maldives with multi ritual

therapies.

Kuramathi Island Resort

• World recognized brand• Flexibility• Trained and qualified employees• Own a picnic island which is used for private

escapes• Customizable Cuisine

W Retreat & Spa

Strengths

• Low flexibility• Less recognized brand name• More rivals in its class• More employee turnover• One of few resorts which do not offer night

fishing.

Kuramathi Island Resort

• Cost• Dependence on third-party suppliers• Legal factors

W Retreat & Spa

Weaknesses

• 0.5 km from world famous hammerhead shark dive point (Order Qualifier)

• Only bio station in a Maldivian resort (Order Winner)

Kuramathi Island Resort

• Ease of reservation (Order Qualifier)• Brand Image (Order Qualifier)• Quality Service (Order Winner)• Flexibility (Order Winner)

W Retreat & Spa

Competitive Advantage

• In operations there are no huge differences• Kuramathi enjoys home country and cost advantages.• W gets advantages by their quality.• Both company earns huge profits.

Conclusion

W KMT

No of Rooms 78 299Avg Price 1200 750

Avg Occupancy 85% 75%

Days Occupied 306 270

Revenue per year 28,641,600 60,547,500

Revenue from Bed and Breakfast

W RETREAT & SPA • Winner of WTA 2013, 2011 & 2010

KURAMATHI ISLAND RESORT• Travellers’ choice Award 2013▫ by Trip advisor

• Travelife Gold Award 2003▫ For Sustainability in tourism

Conclusion

Q & AThank you!