Sustainable Practices in the Hotel Industry

This assignment delves into the growing importance of sustainability within the hotel industry. Students will research and analyze various sustainable practices implemented by hotels, focusing on areas like energy efficiency, water conservation, waste management, and responsible sourcing. Case studies of successful hotels demonstrating these practices will be examined, along with an analysis of industry trends and challenges in adopting sustainable solutions. The assignment encourages critical thinking about the role of hotels in environmental responsibility and the impact of sustainable practices on both business performance and guest satisfaction.

Running head: BUSINESS PLAN
BUSINESS PLAN
Name of the Student
Name of the University
Author note

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Abstract
The purpose of this report is to present a business proposal for a 5 star Hotel in the busy business
area of New Zealand and the report further sheds light on the factors like the ownership,
structure of the hotel, the budget and the personnel planning of the hotel along with a critical
analysis at the end.

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Table of Contents
Introduction......................................................................................................................................3
Research...........................................................................................................................................4
PEST analysis..............................................................................................................................4
SWOT..........................................................................................................................................5
Industry............................................................................................................................................7
Ownership........................................................................................................................................7
Vision statement..............................................................................................................................7
Mission............................................................................................................................................7
Goals and objective..........................................................................................................................8
Structures systems and processes....................................................................................................8
Target market and Marketing Strategy..........................................................................................10
Personnel planning.........................................................................................................................10
Budget plan....................................................................................................................................12
Critical Analysis............................................................................................................................12
Conclusion.....................................................................................................................................13
References and bibliography.........................................................................................................14

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Introduction
In New Zealand, Southern Heaven is going to be one of the most expensive and luxurious
5 star hotel in the busy area of Auckland city. In the Central Business District of Auckland, this
hotel is gaining attraction since the owners Cristiano Lambert and Jose Rodriguez had
announced their initial plans in a press meet organized in the town hall of the city. Lambert and
Rodriguez announced that in the busy sector of New Zealand they are going to present the upper
class society a pleasure dome. Southern Heaven will definitely have a huge garden and will
organize outdoor themed parties frequently; there will be a casino in the house, they will
definitely arrange a movie hall with almost 800 seats in there. The specialty of their casino
would be there will be more than 200 tables with games like roulette, blackjack. The casino will
have a commoner’s room and one room for the elites. The organization within their compound
will make a huge artificial lake and they will arrange for boat rides and a yacht experience too.
Apart from that the organization would be able to accommodate at least 4000 people a night and
cater for at least 6500 people on any regular day. Southern Heaven will have a spa, hi-tech gym
and a zone for kids. The hotel will have 4 themed bars and a place to play golf too by the
artificial lake. To be precise, the Lambert and Rodriguez duo is presenting the people of New
Zealand a place that might be compared with what they call a heaven for real. Experts are
predicting that this monster project would give a huge boost to the tourism of the city and would
generate huge taxes for the government (Diakomihalis, 2012).

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Research
PEST analysis
PEST analysis sheds light on the framework of macro-environmental factors; those are
used in the environmental scanning component of strategic management.
Political
The owners of the hotel Southern Heaven are making the journey very smooth by
involving the emotions of the native people along with making a solid bonding with the ruling
government.
Economic
It is a well known fact that the project Southern Heaven has already gained much
popularity via digital promotional works and word of mouth of the political leaders. It is also
expected that this 5 star organization would easily attract the billionaires from various nations as
well as it would attract people from various classes of the society as they are offering many types
of things to their customers according to their spending range. The organization is thus expected
to generate a huge amount of revenues and that will heavily benefit the economic condition of
the country.
Social
The hotel Southern Heaven will be offering various cultural events ranging from
domestic cultural events involving the festivals of the Maori people and they will proactively
organize events on a daily basis to satisfy their customers from various ethnicities and various
cultural backgrounds.

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Technological
The owners of the organization are using highly technology to make the building durable
at the most odd situations and making it durable enough to bare the force of cyclones, earthquake
or heavy flood. The management of the organization has taken an oath to make the work safety
management highly equipped so that no staffs would be exposed to a threat while working at the
organization (Gu, Ryan & Yu, 2012).
SWOT
SWOT matrix can be said is an acronym for strengths, weaknesses, opportunities and
threats and surely is a structured planning method that would enable the experts to evaluate those
elements of the organization Southern Heaven.
Strengths The management of the hotel will organize various
events that would attract clients from various
ethnicities and cultural backgrounds.
Weaknesses Apparently the hotel does not have any valid points
that can be attributed as a weakness for the
organization.
Opportunities As the hotel industry is growing rapidly in the
market of New Zealand, and as the economy of
New Zealand is in good shape, the management of
the organization would not have to face any major
issues to establish the business.
Threats As per the announcement, the owners of the
Southern Heaven is building a gigantic project and

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the way the news has spread and attracted the
public attention, experts are predicting that no
organizations in New Zealand can become a threat
for the organization.
Business opportunity
Hotel business and operation in the market of New Zealand has been profitable and
widely successful because of the economic upturn seen in late 80’s from the late 90’s in the
market of New Zealand. Hotel developments the nationwide is going strong and immensely
backed up by the ruling government as they want to increase the tourism to gain global attraction
and to earn a few more by the taxes generated by the tourism of the country (Diakomihalis,
2012).
Industry
Currently the hotel industry of New Zealand is in good shape due to various factors and
as the economic condition of the country is quite well thus building an expensive luxurious 5 star
hotel in New Zealand is not at all a bad idea. It is seen how from last couple of decades the
tourism of the land is getting increased in a uniform manner and thus experts are predicting that
Southern Heaven will do great within a few years and might achieve the top by climbing the
ladder of success very soon (Assaf, 2012).

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Ownership
The owners of the organization are Christiano Lambert and Jose Rodriguez from Italy.
The Lambert Rodriguez duo has purchased a huge land in one of the costliest area of New
Zealand and it is the current rumor that this duo has a connection back in the old city of Sicily
and they made a lot of money from organized crime, and to legitimize their business they are
investing in fair businesses. They are investing a lot of money and making the project a huge
one.
Vision statement
The management of the organization is aiming to become one of the leading Hotel chain
in the market of Asia and Oceania.
Mission
The mission of Southern Heaven is to establish themselves as the best 5 Star hotel in the
market of New Zealand and definitely the Lambert Rodriguez duo will be eying to make
Southern Heaven a hotel chain and they aspire to become one of the best hoteliers in the market
of Asia and Oceania.
Goals and objective
 The main short term objectives of the management of Southern Heaven is to satisfy the
customers thirst for luxurious experience and for those who wants to be very close to
mother nature and have some quality time in their own pleasure dome.

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 The management wants to present the customers a place where they can just be and be
free and be in excellent conditions (Diakomihalis, 2012).
 The management wants to give chances to the people of the New Zealand to showcase
their skills by working in their organization and thus they will recruit minimum 700 staffs
who are the residents of New Zealand and they will have a quota of 100 staffs reserved
only for the Maori people of New Zealand, the native Zealanders.
 The management will give an excellent opportunity to learn and earn program where they
will train people in an organized manner before recruiting them (Gu, Ryan & Yu, 2012).
 At the peak times the management will eye to achieve at least 80% occupancy.
Structures systems and processes
To book rooms or to get engaged in any kind of events of the hotel, the visitors or the
clients may either visit the organization and directly book it by paying cash or through cards, or
they can book via the app of the hotel using their mobile phones (Oppewal, Huybers & Crouch,
2015). The management has announced that up to the first 3 months after the inauguration of the
hotel the customers would receive a complimentary discount on the total bill of 15 % and experts
are predicting that such discount would attract many people to visit and might extend their stay.
The hierarchies of the staffs are given in this section. It is seen that the ruling government of
New Zealand happens to have a very good relation with Lambert Rodriguez duo as their project
is definitely helping the government as well as the people of New Zealand in many ways. The
organization has promised to recruit at least 700 people for various posts who are the citizens of
New Zealand. Experts are predicting that this million dollar project will soon become a talk of

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the town and the news will spread like monstrous bushfire and will give a huge boost to the
economy and tourism of New Zealand. The hotel is supporting the global cause of promoting
eco-friendly events such as go green season, earth warrior program, fun with plants (for kids). As
the hotel is keeping a lot of land free with heavy vegetation and as they are building an artificial
lake the naturists are heavily supporting the project.
Fig 1: The Basic Hierarchy of the Hotel
Source: Assaf, 2012

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The hierarchy of the hotel is made with a detailed research by the management of the
organization and it is seen how the workforce of the hotel is structured in a way so that the
management can get the best out of their workers (Gu, Ryan & Yu, 2012).
Target market and Marketing Strategy
The hotel Southern Heaven is targeting visitors from a long range of spending
capabilities (Diakomihalis, 2012). The management took an oath to offer the clients a close to
Mother Nature experience as they are building an artificial rain forest with an artificial lake
within their compound. Apart from that they are going to offer super luxurious way of living and
also a yacht experience in that huge artificial lake (Su, Hall & Ozanne, 2013). Naturally, it is
predicted that the management of the organization is targeting the rich population but much to
the surprise, the owners announced that they will be looking for to arrange some events with
proper pricing so that people with moderate spending capability can enjoy some of the events.
The promotional works for the organization so far has been super as the organization
before its inaugural day has gained attentions of people from various countries ad celebrities like
Anne Murphy, Christian Bale, Andre Pirlo, Bruce Spence, Christiano Ronaldo tweeted about the
hotel and showed their intention of visiting the hotel at least once. The management of the hotel
made it sure that the promotional works were decent enough to let people know about this type
of a huge project (Oppewal, Huybers & Crouch, 2015). The management depended on digital
marketing as well as word of mouth strategy involving global celebrities in order to reach more
people throughout the globe.

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Personnel planning
Staffs Year 1 Year 2 Year 3
General manager 37000$ 40000$ 42000$
Room Division
Manager
30000$ 32000$ 35000$
Revenue Manager 28000$ 30000$ 32000$
Front office Manager 30000$ 32000$ 35000$
Night Manager 30000$ 32000$ 35000$
Guest relations 20000$ 22000$ 25000$
Senior Reception 22000$ 25000$ 28000$
Reservation Clerk 15000$ 17000$ 20000$
Reception Clerk 15000$ 17000$ 20000$
Chef Concierge 20000$ 22000$ 25000$
Night Auditor 15000$ 17000$ 20000$
Bell staff and drivers 7000$ 10000$ 12000$

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Budget plan (Start-up Cost):
Critical Analysis
To critically analyze the prospects of the hotel, it can be said that the organization is
primarily aiming the privileged class, as they are going to offer many luxurious events to their
clients and to participate in those events the visitors had to have a good spending capability. The
owners announced that they will offer many events for the people who have lesser sending
capability too, but the experts are predicting that the hotel will eventually become a paradise for
the celebrity personnel. It can also be said that the organization like Southern Heaven can
become a favorite place for the rich people from Mid-East and Business Tycoons from all over

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the world (Assaf, 2012). The organization will eventually give a huge boost to the economy of
New Zealand and can surely contribute immensely to the tourism of the nation.
Conclusion
Thus to conclude, it can be said that the 5 star hotel Southern Heaven is going to be an
enormous project has already became the talk of the town. Ruling government of New Zealand is
supporting the project as they intended to recruit hundreds of people from the native land and
also aiming to promote eco-friendly causes by building an artificial rainforest and an artificial
lake within the compound. Thus it can be said that Southern Heaven is going to be a hugely
successful 5 star hotel in the market of New Zealand.

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References and bibliography
Andreu, R., Claver, E., & Quer, D. (2013). Chinese outbound tourism: New challenges for
European tourism. Enlightening Tourism. A Pathmaking Journal, 3(1), 44-58.
Assaf, A. G. (2012). Benchmarking the Asia Pacific tourism industry: A Bayesian combination
of DEA and stochastic frontier. Tourism Management, 33(5), 1122-1127.
Backer, E., & Schänzel, H. (2013). Family Holidays—Vacation or Obli-cation?. Tourism
Recreation Research, 38(2), 159-173.
Bond, S., & Perrett, G. (2012). The key drivers and barriers to the sustainable development of
commercial property in New Zealand. Journal of Sustainable Real Estate, 4(1), 48-77.
Diakomihalis, M. N. (2012). The accuracy of Altman's models in predicting hotel
bankruptcy. International Journal of Accounting and Financial Reporting, 2(2), 96.
Erbasi, A., & Unuvar, S. (2012). The levels of using strategic management tools and satisfaction
with them: a case of five-star hotels in Turkey. International Journal of Business and
Management, 7(20), 71.
Gössling, S., & Buckley, R. (2016). Carbon labels in tourism: persuasive
communication?. Journal of Cleaner Production, 111, 358-369.
Gössling, S., & Buckley, R. (2016). Carbon labels in tourism: persuasive
communication?. Journal of Cleaner Production, 111, 358-369.

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Gössling, S., Peeters, P., Hall, C. M., Ceron, J. P., Dubois, G., & Scott, D. (2012). Tourism and
water use: Supply, demand, and security. An international review. Tourism
management, 33(1), 1-15.
Gu, H., Ryan, C., & Yu, L. (2012). The changing structure of the Chinese hotel industry: 1980–
2012. Tourism Management Perspectives, 4, 56-63.
Karatepe, O. M. (2013). Perceptions of organizational politics and hotel employee outcomes:
The mediating role of work engagement. International Journal of Contemporary
Hospitality Management, 25(1), 82-104.
Marquis, F., Kim, J. J., Elwood, K. J., & Chang, S. E. (2017). Understanding post-earthquake
decisions on multi-storey concrete buildings in Christchurch, New Zealand. Bulletin of
Earthquake Engineering, 15(2), 731-758.
Mohammad, A. N., Idris, W. M. S., & Moh'd AL-Ferokh, F. A. (2014). An empirical study of
the moderator effect of entrepreneurial orientation on the relationship between
environmental turbulence and innovation performance in five-star hotels in
Jordan. International Journal of Business Administration, 5(2), 111.
Oppewal, H., Huybers, T., & Crouch, G. I. (2015). Tourist destination and experience choice: A
choice experimental analysis of decision sequence effects. Tourism Management, 48,
467-476.
Peiró-Signes, A., Segarra-Oña, M. D. V., Verma, R., Mondéjar-Jiménez, J., & Vargas-Vargas,
M. (2014). The impact of environmental certification on hotel guest ratings. Cornell
Hospitality Quarterly, 55(1), 40-51.