Entrepreneurship in Tourism and Hospitality

SOUTHERN CROSS UNIVERSITY ASSIGNMENT COVER SHEET For use with online submission of assignments P absorb come all(prenominal) of the following details and then make this sheet the first p climb on of individually file of your assignment do not send it as a separate document. Your assignments must be submitted as either Word documents (with . oc extension, NOT. docx), text documents with . rtf extension or as . pdf documents. If you wish tosubmit in any separate file format please discuss this with your lecturer well before theassignment submission date. Student Name Kalend arv Mikhail Student ID No. 22025713 Unit Name Entrepreneurship in tourism and Hospitality Unit Code MNG00427 Tutors name Goh Chye Yeow Terence Assignment No. 2 Assignment Title Opportunity analysis notify Due date December 14, 2012 Date submitted December 13, 2012 Declaration I have read and understand the Rules relating to Awards (Rule 3. 17) as contained in the University Handbook.I understan d the penalties that apply for plagiarisation and agree to be bound by these rules. The work I am submitting electronically is entirely my own work. Signed Kalend arev Mikhail (please type your name) Date 13/12/12 Table of contents Executive Summary3 1. 0Introduction4 . 0 Idea and Competition4 2. 1 Description of the back & Service provision4 2. 3 Why it is forward-looking4 2. 4 Location5 2. 5 tote up of live and itsprices6 2. 5. 1 Price determinants7 2. 6 Competition8 2. 7 deck out analysis9 3. 0 Target Market and reasons for its selection11 3. 1 Industry outline12 3. 1. 1 Demand outlook negotiate power of buyers12 3. 1. 2 Supply outlook bargaining power of suppliers13 3. 1. 3 Barriers to meekness13 3. 1. 4 Substitutes14 3. 2 Market Size & Trends14 3. 3 Estimated Market Value17 3. 4 Estimated sales Forecasts for 3 Years17 . 0 Assessing my entrepreneurial capabilities17 4. 1 Team come18 4. 2 HR Plan18 5. 0 Equipment needs20 7. 0 Conclusion22 REFERENCE LIST23 Exe cutive Summary This opportunity analysis business relationship is aimed at assessing the feasibility of in the altogether hotel project with its master(prenominal) location in Denmark. It covers four major surgical incisions. The first section describes the project idea including why it is innovative and identifies the competitors for the idea. The innovatory idea is to build eco-friendly hotel with anatomy of sustainable solutions corporate in it.The principal(prenominal)(prenominal) foundation for the price is foster-based pricing policy with the main reason to capture atomic image 19 consumers value through environmentally-friendly hotel solutions. The criteria for analysing our competitors include closing curtain location to the aerodrome as well as hotel star-rating. This section ends by identifying the strengths, weaknesses, opportunities and threats for our sassy hotel venture. The second section assesses the commercialise for the idea by recognizing the butt e nd market and do industry and market analysis.The can market is sub-divided into three contrary segments which are mature markets (B2C), growth markets (B2C & B2B) and fountain consumers. It contains more detailed explanation why these segments were chosen. To perform an industry and market analysis, several research methods were used amongst which are primary coil and secondary methods. It is the third section that gives a basis for human resource activities and evaluates the team up members. This section explores on myself as an entrepreneur and provides HR plan with an assessment of engender, honour categories and deliver range assigned to severally team member.Finally, the last section produces initial set-up costs required for youthful venture creation. It includes equipment needs for equipping 50 hotels lives and specifies timeframe for the bargain for of all items. First divisions profit and loss table is also presented in this section. Introduction The paper pr esents opportunity analysis report for a new cordial reception venture. The main purpose of this report is to define the extent to which this project is feasible. Kalendarevs Skyscraper Copenhagen Hotel is going to be a new innovative hotel regain in Denmark which countenance have clearly identified goal to target green consumers.The new hotel entrust have a set of innovatory eco-friendly solutions which get out arrive at green consumers who tutorship about the environment. 2. 0 Idea and Competition 2. 1 Description of the venture & Service provision The idea of the project is to open a new innovatory 4-star hotel which is going to be environmentally-friendly. It get out be specially inclinationed and constructed for travelers who care about the environment (green consumers) and wish to ascertain extraordinary business get down or urban center get around. The hotel will be named Kalendarevs Skyscraper Copenhagen Hotel.The hotels central location is planned to be at a n ew district Oresundsmotorvejen of Copenhagen city (Denmark) which will allow it to focus on the smallest details by providing a blend of Scandinavian comfort, sustainability and quality. Besides its sustainability efforts both for mankind and environment, Kalendarevs Skyscraper Copenhagen Hotel will be generally known as the first hotel that will deliver exceptional service experience for green travelers. This would be illustrated in scathe of the international archetypes provided inwardly the hotel which is rare in the area where the hotel is built. . 3 Why it is innovative Our plans include to receive several awards amongst which is Ecotourism award and to be the first Danish hotel in the year of the Worlds Greenest Hotel. The hotel should stand out for its remarkable interior(a) and architecture which will be a unique blend of classical Scandinavian design and Paustian modern design. In addition, the hotel building will be integrated with eco-friendly solutions and as to ou r plan our hotel building should become the first CO-2 neural in Denmark.To deliver the goods these, we will be implementing variety of green placement strategies and will be participating at annual National Awards to be recognized by green consumers. By signing the contract with UN Global Compact, Kalendarevs Skyscraper Copenhagen Hotel will evidence that the hotel aims at more than just quality and comfort. Its uniqueness will be addressed in hotels innovations and wealth of green technology solutions which will be showcased from the hotels exterior up to the rooms shampoo bottle. Likewise, the hotels facade will be integrated with the largest solar park in North Europe.With the use of innovatory groundwater-based cooling and heating system, Kalendarevs Skyscraper Copenhagen Hotel will be the first Danish hotel to subside energy consumption by nearly 90 per cent. Consequently, hotel will be sustaining healthy and safe environment within the venue and its rooms. In addition, the application of the variety of sustainable actions will result in diminishing CO2-emissions and will place the hotel from its competition. All abovementioned could be achieved from the efficient use of organic food in the hotels Scandinavian restaurant as well as electricity conservation in the hotel hallways. 2. Location The location of Kalendarevs Skyscraper Copenhagen Hotel will be between Copenhagen airport and city centre which is very convenient. The main reason is because choosing this location will allow visitors to reach the hotel in few minute drives. Also, since airport is close to hotel, bountiful shuttle bus service will give travellers opportunity to come to hotel directly from the airport. An other(a) distinctive advantage why this property was chosen is because subway station will be very close to Kalendarevs Skyscraper Copenhagen Hotel which will ease tourists journey in exploring different attractions within Copenhagen city.By and large, Kalendarevs Skyscraper Co penhagen Hotel will be a wide choice for business people, leisure tourists and green consumers in Copenhagen. The picture 1 under shows the estimated location of Kalendarevs Skyscraper Copenhagen Hotel which is close to Copenhagen Airport and city centre. The street name is Oresundsmotorvejen which is a new district. picPicture 1. Source Google Maps, 2012 2. 5 Number of rooms and itsprices The hotel will have 50 rooms in pith. There will be 30 standard rooms, 10 deluxe rooms and 10 family rooms. Our main pricing policy would be value-based pricing.The key attributes which differentiate the point of intersection involve quality, physical attributes, style, brand and service (Pricing for Profit, 2012). Our green consumers who care about the environment will appreciate the fact of paying higher prices for the innovations and environmentally-friendly solutions integrated into our hotel. Hence, it is smart to set value-based pricing instead of cost-based pricing to capture that value . As Figure 1 shows, Kalendarevs Skyscraper Copenhagen Hotel will be providing the following prices for their rooms listed below Room Type Rate (US$) STANDARD ROOM $359. 97 DELUXE ROOM $359. 40 FAMILY ROOM $325. 09 Figure 1 The weekend rates will be higher than week days. There would be no booking fees. We will be offering one free night if our rooms are offered for cheaper prices elsewhere.In addition, if the traveler changes his/her plans, hotel will allow a change or cancellation of the reservation with no worries. 2. 5. 1 Price determinants FriedhelmTringas(2012) suggests that in case the expect or line of work rate attachs while supplying of hotel rooms decrements, the hotel must charge higher prices for its rooms. It is vital for hotel to cover its operational expenses. Therefore, it is not a good practice to deal out all rooms at the same rate since it rarely produces good occupancy and average rates (FriedhelmTringas, 2012).The key rate determinants for our hotel are identified as follows Location Demand Competition Hotel rating Aforementioned determinants set up the basis for rate scales and determine revenue management parameters (FriedhelmTringas, 2012). extraly, it is the customer who is willing to pay certain rate for hotel room and, thitherfore, customer willingness influences pricing decisions of the hotel (Hotel Traffic Builders, 2010). Accordingly, Kalendarevs Skyscraper Copenhagen Hotel will base their pricing decision considering the following aspects Innovative solutions such as Solar Panel Park, groundwater-based heating and cooling system and first carbon-neutral hotel building in Denmark will allow hotel to set higher prices for its products and services State-of-the-art interior and comfortable location which is close to airport and city centre are prominent advantages that distinguish our hotel Statistics suggest that there is an increasing requirement for city break tourism in Copenhagen with an annual average growt h in bed nights between Years 2006-2010 being 7% (VisitDenmark, 2012).Hence, higher demand in city break tourism sector gives Kalendarevs Skyscraper Copenhagen Hotel an opportunity to increase our prices within this sector. 2. 6 Competition pic Figure 2 Above Figure 2 presents the main direct competitors of Kalendarevs Skyscraper Copenhagen Hotel. The reasons why these hotels are our future competitors are 1) because of their close location to the airport its on average 5-10 minutes drive off 2) these hotels are 3-4 star hotels. ? Competition in efficiency. Hotel capacity has been significantly increasing in Copenhagen since 2009.The figure increased by up to 30% (VisitDenmark, 2012). The capacity increase will result in some challenges for Copenhagen city, but still it will be beneficial for travelers since hotels will provide better services for cheaper prices. Compared to Kalendarevs Skyscraper Copenhagen Hotel which capacity will be equal to 50 rooms, Palace Hotel Copenhagen has a preponderant capacity with the number of rooms which is more than double 162 bedrooms (VenueFinder, 2009). This gives Palace Hotel Copenhagen a war-ridden advantage to gain larger market share. ? Price comparison pic Figure 3 Source Booking. com, 2012The price comparison is implemented in five different hotels with 2 room types. As the Figure 3 shows, the strength is showcased by Bella Sky Comwell Hotel Copenhagen and Park Inn by Raddison Copenhagen Airport in terms of the final rates for their standard rooms. The prices are similar between fictional character Airport Hotel Dan and Palace Hotel Copenhagen with the prices being $202. 75 and $233. 38 per night respectively. Its important to find that our Kalendarevs Skyscraper Copenhagen Hotel will be charging the highest prices at initial stages of start-up to cover its expenses and perform market-skimming pricing strategy.In family room type, the main competitor of Kalendarevs Skyscraper Copenhagen Hotel will be Quality Airport Hotel Dan. The smallest rates within both room types are supplied by Bella Sky Comwell Hotel Copenhagen. While identical room facilities, room sizes and almost the same prices are offered by all hotels, Kalendarevs Skyscraper Copenhagen Hotel will be positioning itself as a luxury hotel with a set of innovative and creative solutions which will allow hotel to set much higher prices for its rooms. Its main aim will be not to beat the lowest prices, but charge as higher prices as possible. . 7 SWOT analysis Figure 4 ? Strengths Location One of the most distinctive advantages of Kalendarevs Skyscraper Copenhagen Hotel is its location which is at a walking outperform to city center and metro stations. Internationalized service standards I find that enhancing service experience at international service levels along with the friendly and polite supply will be greatly appreciated among our upcoming customers. In addition, such service experience will be new to our area. Clean & Spacious rooms we will sustain cleanliness and comfort within all hotel rooms.Our eco-friendly solutions such as energy consumption, diminishing CO2-emissions and electricity conservation will bring pleasant experience to green consumers. ? Weaknesses High prices Many expenses would be incurred at start-up stage such as building the hotel, integrating innovations, hiring and training employees and outsourcing other departments. Since it all will call for our cost of rooms, we will have to initially charge higher rates for our rooms to cover basic operational expenses and to gain some market share. This is the main weakness of our hotel.Small room type selection Offering limited choice of room types while our competitors have variety of choices can be another weakness of our hotel. ? Opportunities New 10-floor housing building which is BIGs project has been recently constructed in Copenhagen (Archinnovations, 2010). It has 8 houses for mixed use within this building. Its a great o pportunity to catch the flow of customers since this new housing building is located close to our hotel. Another opportunity will be expanding the number of hotel chains and gaining larger market shares within Danish hotel industry.However, additional financing will be required for expansion purposes. ? Threats The major threat for our hotel is to get proper financing from the bank. This nitty-gritty that our hotel project and its innovations should be first approved by the local government and then credited by financial institutions. In addition, being a new establishment, our competitors will be eager to beat us by introducing lower prices and starting price war. It means that there is a threat for our hotel in terms of harsh competition and we have to be more alert in order survive in such conditions. 3. Target Market and reasons for its selection Our primary targets would be 3 different markets 1) Mature markets (B2C) demographically, these are women with their age ranging fro m 35 to 55 geezerhood old. It also includes families with their main interests being shopping, eating and drinking, good automated teller machine and different events. Geographically, this market segment comes from Southern Sweden and Norway which is very close to Copenhagen (VisitDenmark, 2012). The main reasons to appeal to this segment include high mark of awareness of Copenhagen and ease of availableness (proximity).In addition, as the study suggests that this segments motivations for travelling include visiting hotels and restaurants, enjoying the atmosphere, visiting different attractions, exhibitions and museums such as Tivoli and Louisiana (VisitDenmark, 2012). 2) Growth markets (B2C & B2B) here we would be targeting at high spenders (high income travelers) as well as women aged 35-55. The primary target group for B2B market would be Russia. The other geographical segments that we would be targeting at include UK, Germany, Holland, France, Spain and Italy.While this segm ents interests are similar to mature market segment, women also tend to be more interested in local life-style and architecture and design (VisitDenmark, 2012). One of the main reasons to target this segment is because people within this segment have very limited knowledge of Copenhagen city and our main aim would be to attract those people to our city as well as make them continue at our unique hotel. Moreover, it would be a great opportunity for our new hotel to showcase its innovative hotel building interior and exterior since this target market is inspired about architecture and design (VisitDenmark, 2012). 3) Green consumers.While it would be challenging for our new hotel, we would still be implementing green placement strategies to target green consumers. While guests are not always predictable, industry research showed that many guests had given a preference to the hotels caring about the environment (Environmental Leader, 2012). Since our hotel is going to be environmental ly-friendly, we would appeal to green consumers as one of our primary target market. The reasons why green consumers choose to stay at environmentally-friendly hotel are because they are highly concerned about others and work towards the good of society (Environmental Leader, 2012). . 1 Industry Analysis While there was a slowdown in Copenhagen hotel market demand in 2008-2009, Sadolin&Alb? k (2010) predicts that the market would recover and is expected to be going upwardly from the year 2010, although at a slower pace. This view was supported by DTZ Research (2011). Particularly, for the fifteen-year distributor point, Sadolin&Alb? k (2010) witnessed just one year in which city hotel demand was facing negative growth. This was the end of 2008. Still, Sadolin&Alb? k (2010) believes this segment to be an expanding segment longer term. 3. 1. Demand outlook bargaining power of buyers 35% of total market demand with total revenue of $794. 4 million is accounted on domestic demand whi ch Copenhagen hotel market heavily relies upon (Sadolin&Alb? k, 2010). Such macroeconomic trends as gross domestic product and consumer spending are highly interlinked with domestic demand. As a result, we should keep those trends in mind when analysing the hotel market outlook. The demand of Scandinavian market in Copenhagen hotel demand accumulates to 17%. In 2009, Norway became the largest demand generator for Copenhagen exceeding Sweden (Sadolin&Alb? , 2010). From 2010 onwards, it is expected that Norwegian hotel demand would remain at high level. On the contrary, 17% collapse in demand growth was encountered by Swedish demand which formerly scored the highest ranking for Copenhagen hotel market. Study suggests that the economic outlook for Sweden resembles the outlook for Denmark (Sadolin&Alb? k, 2010). However, the holidays and business trips to Denmark are becoming pricy for Swedes because Danish krone and euro are much stronger than Swedish krona. Accordingly, Sadolin&Alb? (2010) believes that while there was a small demand decrease in Swedish segment in 2010, it will definitely recover starting from 2011 (Sadolin&Alb? k, 2010). In their market research, Sadolin&Alb? k (2010) signals that the annual growth of bed nights would be around 5% in years 2011-2014. Also, research predicts that domestic demand would be at around 37% of total demand. 3. 1. 2 Supply outlook bargaining power of suppliers With three new hotels opened in 2009 and one new four-star hotel opened by Arp-Hansen Hotel Group named Tivoli Hotel (400 rooms), there would be 12% increase in the city hotel market supply (Sadolin&Alb? , 2010). Since there is slow upturn in demand, this would be unprecedented annual increase in supply and would cause challenging years for Copenhagen hotel market. Also, with the construction of new four-star hotel named Bella midway Hotel in 2011, the hotel will become the largest hotel in Copenhagen with total number of 814 rooms and 23-floor towers (Nordic Hotel Consulting, n. a. ). With these projects accomplished, the hotel market projection is that there would be 200-room increase each other year which is acceptable to consider.As reported by Statistics Denmark (2010), Copenhagen hotel market consists of 81 hotels and capacity is 12,500 rooms in total. Arp-Hansen and Scandic Hotels, with their smaller properties progressed under Choice brands, are the largest operators in this segment. 3. 1. 3 Barriers to Entry 1) High investment on start-up One of the most challenging barriers for entering the Danish hotel industry is high investment at initial stages of start-up. In addition, since our new hotel is going to be innovative, there would be many expenses and risks involved.With the use of secondary research, it was identified that Copenhagen hotel market has very few properties on management contracts. Instead, it is a lease driven market (Nordic Hotel Consulting, n. a. ). Because of the slowdown in Copenhagen hotel industry in 2008 -2009, the significant number of investors wishing to invest into fixed leases was reduced (Nordic Hotel Consulting, n. a. ). Therefore, it can be reason out that high investment with no support from investors makes the opportunity to enter hotel industry in this area very challenging. 2) Brand identificationAs was previously mentioned, there are already established competitors (such as Park Inn by Raddison Copenhagen, Palace Hotel Copenhagen and others) on the market who possess customer loyalty and brand identification. Therefore, it would be troublesome for our Kalendarevs Skyscraper Copenhagen Hotel to enter Copenhagen hotel market where we would need to spend time, money and efforts in order to differentiate our hotel products and get customer loyalty. 3. 1. 4 Substitutes In the hotel industry, there could be other hotels just behind our corner.Compared to our new hotel, these substitute hotels can be similar in terms of pricing ranges and amenities offered. However, our main efforts, besides quality product and amenities, would be directed towards service purity and innovatory eco-friendly solutions. Hence, it will be very difficult for the substitute hotels to compete with us in terms of social eco-friendly responsibility. clear enough that because of the environmentally-friendly solutions and excellent service in our hotel, the value-price ratio between our hotel and competitors should be relatively distinct. 3. 2 Market Size & TrendsSince our hotels target markets are mainly foreigners, the following information and statistics are presented based on tourists arriving to Denmark. As to the number of tourists coming to Denmark in 2012, the number accounts to 358,858 people (Statistics Denmark, 2012). Figure 5 below illustrates the number of people out of total tourists who fit the profile of one of our target market those from Norway and Sweden. Tourists from Sweden account for 2,748 people in three age categories which are 30-39 years, 40-49 years and 50-59 years. In per cent, it is 0. 76% target market out of 358,858 total numbers of tourists.As for Norwegian tourists, the number of tourists scores 3,218 people or nigh 0. 9% of target market. As we can see, tourists from Norway outweigh those from Sweden for 0. 14%. pic Figure 5. Source Statistics Denmark (2012) pic Figure 6. Source Statistics Denmark (2012) The above Figure 6 presents the statistical selective information on another target segment of our future hotel with countries like France, Italy, Netherlands, Spain, UK, Germany and main B2B market Russia. The age groups are 30-39 years, 40-49 years and 50-59 years and the figures are in thousands of people.As the chart shows, visitors from Germany set the highest ranking which is total 4,861 people for all age groups or 1. 35% based on 358,858 total numbers of tourists. The second largest tourist generating neighborhood is UK from where 0. 54% (or 1,951) of tourists are coming. Similarly, the Russian tourists account for 0. 52% which is also our target market. The travellers from Spain and Italy represent almost the same smallest figures in target market, 0. 20% and 0. 18% respectively. Additional target markets include France and Netherlands. Tourists from Netherlands amount to 0. 1%, while those from France generate 0. 23% of target market. Total % in target market is arrived by addition of all numbers in each segment which equals to 4. 99% for the year 2012. In order to determine the hotel market trend (upward or downward) in Denmark, below is the forecast for 3 upcoming years. To derive appropriate estimated numbers, we initially have to look at previous years records. According to Statistics Denmark (2012), the number of tourists from 2010 to 2011 increased by 16,106 souls or 4. 8% (from 329,940 in 2010 to 346,046 in 2011).The same upward trend appeared between 2011 and 2012 with an increase of 12,812 travellers or 3. 7%. So the average increase number for the uttermost from 2010 to 2012 is 4. 25%. While the total number of tourists was growing, the percentage of target market in period from 2010 to 2012 was gradually decreasing. In 2010, the total target market accounted for 5. 23% while the figure felt down to 5. 08% in 2011. As was previously stated, the percentage in target market was 4. 99% for year 2012. Accordingly, the average decrease in target market between 2010 and 2012 was -0. 12%.As a result, the following forecast numbers (Figure 7) for years 2013, 2014 and 2015 will be predicted based on ultimo years records. Y. 2013 Y. 2014 Y. 2015 Tourists Total no. of tourists 374,109 390,008 406,583 % in target market 4. 7% 4. 75% 4. 63% Total market size (in number of tourists) 18,219 18,525 18,825 Figure 7 Based on the forecasts above for the chosen target markets, we can declare that while the total number of tourists is growing, the percentage in target market for each substantial year is decreasing. 3. 3 Estimated Market Value The Figure 8 below shows the estimated hotel market value in selected target market. The average length of stay of international visitors to Denmark is determined as 4. 535 in 2013.This figure is arrived by surveying the average length of stay in 2011 which is 4. 42 nights and it is 4. 65 nights in 2010 (Bastis, 2011). comely hotel expenditure in Denmark per day is 58. 25 Euro per day (Carl Marcussen, 2008). It is equivalent of $75. 6 (Oanda, 2012). Hence, using the data above the market value is estimated. Y. 2013 Y. 2014 Y. 2015 Tourists No. n target market 18,219 18,525 18,825 X average length of stay 4. 535 4. 535 4. 535 X average hotel expenditure per day $75. 6 $75. 6 $75. 6 Total market value $6,246,311 $6,351,222 $6,454,076 Figure 8 3. 4 Estimated Sales Forecasts for 3 Years Y. 2013 Y. 2014 Y. 2015 Tourists Total market value $6,246,311 $6,351,222 $6,454,076 Your % share 7% 8% 10% Your sales projections $437,241. 7 $508,097. 76 $645,407. 6 4. 0 Assessing my entrepreneu rial capabilities Being motivated by the need for achievement, I am constantly searching for difficult projects and like to achieve my dreams. As a result, Ive chosen to open my own Kalendarevs Skyscraper Copenhagen Hotel even though it is difficult project to accomplish with much creativity and innovations required. Having setting experience in hotel industry (particularly Dedeman Silk Road Hotel where I worked), I got valuable knowledge and hands-on training from the leading experts in this field.Particularly, the departments I worked in include Sales & Marketing, Reservation, Banqueting & Conference, F&B and also prior Office. In addition, I have been managing my own business from my early years which deals with beauty care products. These prove my entrepreneurial attitudes and aptitudes. I am very much confident that combination of my training in hotel industry as well as long-run background experience in my own business field will result in successful feasibility of my new pr oject. . 1 Team Experience For the successful implementation of new project, each new venture has to adequately make use of its human resources. For our new team to be effective each member of the team should have a clear understanding of why the team exists. Also, there must be shared and meaningful purpose which will unify each team member. In case of our idea, our project is intended to launch new sustainable hotel with variety of eco-friendly innovations. 4. 2 HR PlanAccording to World Tourism Organization (cited in City-of-hotels. com, 2012), the reasonable number of staff required per each 10 rooms is 12 persons for 4-star hotel. Hence, since our hotel will have 50 rooms, the optimum number of staff required is 60 persons. These include Staff (no. of positions) Experience Award Categories Pay Rates per month Executive assistant (1 Interpersonal skills leaders Award- for $15,608. 0 position) 5+ year experience supporting at the executing leadership executive level practice s in delivering quality service Personnel Manager (1 must(prenominal) have BA in business discipline with Leadership Award- for $9,371. 0 position) minimum of 5 years overall experience executing leadership practices in delivering quality service Financial controller (1 Must have worked in hotel industry and have regeneration Award for staff $8,665. 0 position) knowledge of standard costing and inventory members who developed new controls. innovative systems, approaches or methods Assistant Financial Must be financially literate with 5+ years Innovation Award for staff $8,422. 0 Controller experience including inventory and product members who developed new (1 position) costing experience innovative systems, approaches or methods Accounts Clerks (4 Experienced in high volume data entry and Partnership Award- successful$3,045. 0 per person positions) accounts receivable with minimum 2 year partnership with other team experience members Ma intenance Manager At least 5 years of experience in corporate Safety Award for a staff $7,201. 0 (1 position) facilities, including 2 years of supervisory who demonstrates safety experience practices Maintenance Assistant (1 Qualified individual with high school diplomaSafety Award for a staff $7,093. 00 position) or GED required.Preferably, one year who demonstrates safety experience of building and grounds practices maintenance Maintenance Crew (7 Preferably, 2 years technical head Partnership Award- successful$1,762. 0 per person positions) partnership with other team members Director Sales & MarketingMarketing experience plus graduated from Leadership Award- for $10,899. 00 4-year college with bachelor-at-arms Degree. executing leadership (1 position) Proficient in technical sales proving the practices in delivering annual growth with 5-10 years of experience. quality service Sales Co-Ordinator (2 Bachelors Degree in Hospitality, Marketing, O utstanding Newcomer $4,547. 00 per person position) Business heed or equivalent.New Award-for new comers graduates are welcomed demonstrating good results in the first 6 months of their job Sales & Marketing Manager Five year experience in hospitality industry. Sales Manager of the Year $8,648. 00 per person (5 positions) Particularly, sales & market management Award- for achieving experience is required brilliant results in sales & marketing Reservation Clerk Customer service experience for at least 2 Customer Focus Award $5,662. 0 per person (3 positions) years. High call volume experience plus multiunderstanding and phone lines. appreciating customer values board Division Manager Must have worked as a front office manager Improving Planning processes $9,590. 00 (1 position) for at least 2 years. College degree or and practices Award for equivalent is preferred. excellent planning and implementation of relevant practices at workplace Rooms Division Assistants Excellent interpersonal skills with at least Work Performance Award for $4,848. 00 per person Manager (5 positions) 5 years prior experience in Rooms Management. an employee who works above the average Front Office Crew (5 Previous experience is not mandatory. Partnership Award- successful$4,748. 00 per person positions) Preferably, stable job history and some partnership with other team customer service background. members Executive Housekeeper (1 Worked as Housekeeping Director or Manager Performance and Quality $6,179. 00 position) with a minimum of 2-3 year experience in Improvement Award hospitality field Housekeeping crew Prior housekeeping work experience in Partnership Award- successful$4,724. per person (10positions) hospitality enterprise is desired partnership with other team members Purchasing Manager (2 Minimum five years relevant experience. Planner of the Year Award $7,491. 00 per person positions) Bachelor or eq uivalent is required. for concise and centred leadership. F&B Manager (1 positions) Previous experience in the pabulum and beverage,Bright Spark Award $6,656. 00 culinary or other interrelated area. Number - for bringing innovations in of years at least 2 year experience service experience excellence Assistant F&B Manager (3 Must have worked in low volume or multi-unit Bright Spark Award- for $4,101. 0 per person positions) Food and Beverage operations with minimum 1 bringing innovations in year experience service experience excellence Executive Chef (4 Prior minimum experience of 5 to 7 years The Award for Environment and$5. 739 per person positions) working as a chef. Preferably, degree from a Corporate Sustainability culinary institute. for being eco-friendly and performing operations in social and environmental context. Figure 9. Source for pay rates Statistics Denmark (2011) Total Number of Staff 60 people Total work out needed for Salary pe r month $328,984. 00 5. 0 Equipment needs Item name Quantity per each room Timeframe for items Cost per each hotel room Total cost (for 50 purchase hotel rooms) Furniture -Bed frames 1pc $69. 00 $3,450. 00 -Desks 1pc $249. 8 $12,494. 00 -Chairs 2pc $79. 00*2=$158. 00 $7,900. 00 Total time frame for Hotel supplies purchase of all items Fitted Sheets 2 dozen some 5 months $72. 99*2=$145. 8 $7,299. 00 Towels 1 dozen $42. 99 $2,149. 50 Pillows 2pcs $5. 29*2=$10. 58 $529. 00 Mattresses 2pcs $3. 99*2=$7. 98 $399. 00 -Bathtub or shower in the 1pc $26. 99 $1,349. 0 room -Hair-dryer -Telephone 1pc $22. 99 $1,149. 50 -Safety deposit box for notebook and other 1pc $78. 6 $3,903. 00 valuables -Hangers -Compact refrigerator -Light Bulbs (lighting) 5pcs $1. 25*5=$6. 25 $312. 0 -Air-conditioning 1pc $117. 99 $5,899. 50 -Electronic locks with magnetic key cards 12pcs $5. 95*12 = $71. 4 $3,570. 00 1pc $915. 0 $4 5,750. 00 1pc $329. 00 $16,450. 00 $112,604. 50 Figure 10. Source middle west Hotel Furniture Liquidators LLC (2011) The total finance required for the initial project start-up is $441,588. 0. Due to the lack of finance and inability to collect the funds at underway period of time, the project will be on hold till the middle of Year 2013 until enough money is put together. pic Figure 11 Since our new hotel is start-up, there is a first year loss as Figure 11 shows. It could an alarm that we should decrease set-up costs and wages in order not to wait the repeated losses in future years. 7. 0 Conclusion To conclude, this report analyzed the opportunity of starting a new and innovative hospitality venture which is eco-friendly hotel in Denmark.It was identified that the main innovations would constitute of groundwater based cooling and heating system to decrease energy consumption, first CO-2 neutral hotel building in Denmark and the largest solar park in North Europe . The prices for hotel rooms were determined with the value-based pricing policy and various price determinants in mind. In addition, the main competitors were critically analyzed and SWOT analysis provided. Three different target markets were found for our new venture and the reasons for its selection were explained.Supporting the feasibility of our project, there is an industry and market analysis which clearly detects the current market trends, estimated market value and four influential market forces. HR plan for our new venture was composed by detailing experience requirements, award categories and pay rates for certain occupations. Finally, set-up costs along with equipment needs were identified and firsts year profit-and-loss was produced. REFERENCE LIST 1) Archinnovations, 2010. BIGs 8 House Mixed-Use using in Copenhagen online accessible at Accessed 18 November 2012. ) Bastis, 2011. Destination Denmark online addressable at Accessed 20 November 2012. 3) Booking. com, 20 12. 253,034 hotels worldwide. 17+ million hotel reviews. online Available at Accessed 18 November 2012. 4) Carl Marcussen, 2008. A quaternary regression approach to estimating tourist spending per person per night at Danish destinations pdf Available at Accessed 21 November 2012. 5) City-of-hotels. com, 2012. Hotel Staff online Available at Accessed 25 November 2012. ) DTZ Research, 2011. Market Report Fall 2011 Greater Copenhagen pdf Available at Accessed 19 November 2012. 7) Environmental Leader, 2012. Analysis Hotels Must Use Targeted Marketing to Attract Green Consumers online Available at Accessed 19 November 2012. 8) FriedhelmTringas, 2012. How Do Hotels Determine Room Rates? online Available at Accessed 21 November 2012. 9) Google Maps, 2012. Street Oresundsmotorvejen, Kastrup, Denmark online Available at Accessed 17 November 2012. 10) Hotel Traffic Builders, 2010.Revenue Management for Dummies pdf Available at Accessed 17 November 2012. 11) Midwest Hotel Furniture Liquidato rs LLC, 2011 pdf Available at Accessed 26 November 2012. 12) Nordic Hotel Consulting, n. a. Hotel Market Report Copenhagen pdf Available at Accessed 19 November 2012. 13) Oanda, 2012. bullion Converteronline Available at Accessed 25 November 2012. 14) Pricing For Profit, 2012. Value-Based Pricing online Available at Accessed 27 November 2012. 5) Sadolin? k, 2010. Copenhagen Hotel Market Report 2010 pdf Available at Accessed 19 November 2012. 16) Statistics Denmark, 2010 online Available at Accessed 20 November 2012. 17) Statistics Denmark, 2011 online Available at Accessed 22 November 2012. 18) Statistics Denmark, 2012 online Available at Accessed 20 November 2012. 19) VenueFinder, 2009. Palace Hotel Copenhagen. online Available at Accessed 17 November 2012. 0) VisitDenmark, 2012. COPENHAGEN CITY BREAK STRATEGY 2012-2014. pdf Available at Accessed 17 November 2012. Strengths Weaknesses 1. Location 1. High prices 2. Internationalized 2. Small room type selection Services standards 3. Clean & Spacious rooms Opportunities Threats 1. New housing development 1. financing issues 2. Expanding hotel chains 2. price war