K SANDHYA RANI 225012301368

INTERNAL ASSESMENTS

Programs-MBA

Subject–Marketing Management

Subject Code-MMBA22007

Guidelines:

 The response sheet should be in word format which should be uploaded in the learning
management system
 A plagiarism check should be done by student through plagiarism tool provided in the
learning management system
 Permissible plagiarized limit is 10%. Response sheet found with plagiarized content
above10% would not be evaluated for the said assessment.
 The said assignment is for 10 marks (Out of 2 questions answer any one)
 Passing criteria is 50% for every assignment.

1. SWOT Analysis – 10 Marks

The Snoozy Inn is a 40-unit, no-frills operation in the less scenic part of a major Queensland
resort town. The owner, Mr. Smith, firmly believes that there is a need for his style of low-cost
family accommodation amid the luxury and beauty of the area. His rooms are large, family-style
rooms (there is no television, for example). Although there is plenty of room for future
expansion, the grounds are fairly bare with a bit of landscaping, but mostly grass.

Mr. Smith can serve breakfast to the rooms and provides tea-making facilities. There are now a
lot of good restaurants and take-aways in the area. Mr.. Smith’s prices are less than half of what
similar motels charge and only a fraction of what the big five-star properties are charging. And,
really, he isn’t all that far away from the beach, shops and other attractions.

The problem is occupancy. He has some regulars who come every holiday period (and have
been doing so for the four years he has owned the property). Overall, occupancy is about 50%
year round and he knows from the local tourist office that the other properties average around
68% occupancy year round. New developments could mean trouble. This lack of occupancy
can be quite frustrating for Mr. Smith. Cars pull in, drive around the parking areas, and then
drive away.

Currently Mr. Smith does very little advertising in local district guides and the holiday papers,
mainly because he really thinks word-of-mouth is the best form of advertising. He is a member
of the local tourist committee, but too busy to go to meetings. However, he does receive the
local statistics and knows the average stay in the area is 3.8 nights, and that local families and
couples and increasingly overseas visitors are his potential customers.

He’s not desperate yet, but he’s getting worried and disillusioned. He thought he would be
overrun with guests, but that hasn’t happened.

i) Complete SWOT Analysis of the Snoozy Inn.

ii) Compare your analysis with the following points:

 Strength
 Weakness
 Opportunities
 Threads

The Snoozy Inn is a 40-unit, no-frills operation in the less scenic part of a major Queensland
resort town. The owner, Mr. Smith, firmly believes that there is a need for his style of low-cost
family accommodation amid the luxury and beauty of the area. His rooms are large, family-style
rooms (there is no television, for example). Although there is plenty of room for future
expansion, the grounds are fairly bare with a bit of landscaping, but mostly grass.

Mr. Smith can serve breakfast to the rooms and provides tea-making facilities. There are now a
lot of good restaurants and take-aways in the area. Mr.. Smith’s prices are less than half of what
similar motels charge and only a fraction of what the big five-star properties are charging. And,
really, he isn’t all that far away from the beach, shops and other attractions.
The problem is occupancy. He has some regulars who come every holiday period (and have
been doing so for the four years he has owned the property). Overall, occupancy is about 50%
year-round and he knows from the local tourist office that the other properties average around
68% occupancy year round. New developments could mean trouble. This lack of occupancy
can be quite frustrating for Mr. Smith. Cars pull in, drive around the parking areas, and then
drive away.

Currently Mr. Smith does very little advertising in local district guides and the holiday papers,
mainly because he really thinks word-of-mouth is the best form of advertising. He is a member
of the local tourist committee, but too busy to go to meetings. However, he does receive the
local statistics and knows the average stay in the area is 3.8 nights, and that local families and
couples and increasingly overseas visitors are his potential customers.

He’s not desperate yet, but he’s getting worried and disillusioned. He thought he would be
overrun with guests, but that hasn’t happened.

i) Complete SWOT Analysis of the Snoozy Inn.

ii) Compare your analysis with the following points:

• Strength

• Weakness

• Opportunities

• Threads

Strengths:

• Located in a popular tourist region

• Big rooms

• Large grounds and open areas

• Breakfast service to rooms

• Low prices (but this is also a problem!)

• Regular customers (but not very many)

• Membership in the local tourist group

• Property large enough for coach groups

• Property is clean

• Access to information about the industry

• Mr. smith acknowledges he has a problem – the first step towards solving it!
Weaknesses:

• No television (crucial for the family market)

• Bare and unappealing grounds

• Initial interest by people who drive in and look but then leave (probably because of the
bare grounds)

• Location poor in relation to other services, attractions, etc.

• No separate restaurant services

• Low occupancy compared to othermotels

• Very little advertising

• Only local advertising

• Uninspiring motel name

• Low rates being charged could be perceived as unappealing

Opportunities:

• Install televisions immediately.

• Add more outdoor facilities – playground, BBQ facilities, perhaps a pool or tennis courts
depending on finances.

• Increase the level of advertising.

• Increase the rates being charged.

• Work in with other attractions, restaurants, etc (charge-back facilities with nearby
restaurants, for example)

• Attend tourist group meetings – do more networking.

• Add own restaurant or do-it-yourself catering facilities for guests.

• Investigate other markets (backpackers, etc.) Threats:

• Potential failure if occupancy doesn’t improve.

• Potential failure if other properties begin cutting rates.

• Potential problems if other properties begin big promotional campaigns.

• Potential problems if more budget motels are built

Areas of Consideration

Internal Factors

Strengths

1. Low cost family accommodation the luxury and beauty of the area

2. Can serve breakfast to the rooms and provides tea-making facilities

3. Prices are less than half of similar motels charge

5. Lot of good restaurants and takeaway in the area

Weaknesses

1. Lack of occupancy

2. Very little advertising

3. Lack of entertainment (Like television)

4. The grounds are fairly bear with a bit of landscaping, but mostly grass.

5. He really thinks word-of-mouth is the best form of advertising

B. External Factors

Opportunities

1. . There is plenty of room for futureexpansion

2. Advertising in local district guides and the holiday papers

3. Investigate other markets

4. Many Good restaurants nearby

5. He isn’t all that far away from beach, shops and other attractions.

Threats

1. Technological advertising

2. If more motels built near from beach.

3. Other motels have a greater entertainment.

4. COVID-19 Pandemic

5. If other motels lower their rates