Critique on Jabiru Business Case

This critique discusses the strengths and weaknesses of the Jabiru Business Case, as well as key assumptions and measures of project success. It also explores opportunities for improvement in the Kakadu National Park.

Running head: CRITIQUE ON JABIRU BUSINESS CASE
Critique on Jabiru Business Case
Name of the Student
Name of the University
Author’s note

1CRITIQUE ON JABIRU BUSINESS CASE
1. Critique over the Jabiru Business Case, Strengths and Weakness
This business case is based on a business case for Stafford Strategy (Stafford) that was
commissioned by the Gundjeihmi Aboriginal Corporation (GAC) for the purpose of undertaking
the development of economic and tourism development study. This feasibility study based on the
business case is for the purpose of restructuring the Jabiru Township located within the Kakadu
National Park (KNP) (Nevard and Nevard 2014). The primary purpose of restructuring is due to
expanding of the number of visitors who would come to visit the site as KNP offers a World
Heritage site.
The primary purpose of discussion over the business case is based on understanding
about the current problems that are affecting the KNP. The primary purpose of redevelopment of
the Business Case is based on imminent closure of the Ranger Uranium Mine. This mine is
mainly been operated by the Energy Resources of Australia Limited (ERA) (Ghai and Vivian
2014). They have also discussed about the termination of lease of township based within the
mining town located in Jabiru. The lease was imposed by the Commonwealth Government,
which was built by National Territory (NT) and ERA. The business case also discusses that KNP
was being gazetted as a World Heritage Area (WHA) due to the flora and fauna and their vast
connection with the aboriginal sites.
The business case mainly reflects on the unique location of Jabiru. It also supports the
aspiration of Northern Territory (NT) and GAC for turning Jabiru into an international and
nationally recognised destination of tourism. The primary business case mainly focuses over the
testing of viability based on achievement. It also discusses about the mechanisms that would be
needed to attain the desired outcome.

2CRITIQUE ON JABIRU BUSINESS CASE
The strengths of the discussion supported in the case study is that is that it focuses over
the strong form of international awareness of brand based in Kakadu. In this business case study,
it has been discussed that KNP is mostly been recognised as a national and internationally World
Heritage site in Australia. The business case study discusses about the rich cultural significance
and history of the heritage site (Asbridge and Lucas 2016). The business case also discusses
about the different factors that have led to the rise of the decline of visitation of the people in the
heritage site. The business case discusses about the increasing competition that is rising with the
growing number of competitors in the region (Ross et al. 2016). The other kind of advantages of
the business case is that it also discusses about the recommendations that could be helpful for the
business case and which could be implemented for improving the current business scenario. The
business case discusses about the recommendations that have been provided for Jabiru and
Kakadu in order to improve the current business problems that are faced by the National Park
(Pusey et al. 2016). This case study helps in understanding about the description of the risks that
are pertaining within the business. This case also provides a brief analysis over the several
opportunities that would be suitable for improving the conditions of the business for helping in
maintaining the objectives of the business.
On the other hand, there was no such weakness that could be described within the case
study. The discussed problems within the case study have been properly been analysed and the
proper kind of recommendations for improving the present business scenario have also been
discussed.
2. Key Assumptions from the Project Business Case
Based on gaining an understanding of the business case, it could be discussed that the
business case focuses on the present problems that are affecting the tourism destination. The

3CRITIQUE ON JABIRU BUSINESS CASE
different kind of assumptions that could be taken from the business case are categorised in
certain segments. These include:
Financial – The business case has discussed about the size, function and scale of the
generation of employment within the tourism destination. The financial estimations have been
discussed within the case study, which provide an understanding about the future financial
outcomes that could be incurred for the project (Ahola et al. 2014). A net summary of the
economic effects have been discussed. There have been several kind of estimations that have
been discussed. The net economic benefit summary have been produced as a table that helps in
understanding about the major areas in which the business would be able to gain much profits.
Project Value – The net estimate of economic returns and financial based on each
element have been discussed. This report discusses about the net financial value of the Jabiru
Project (Mir and Pinnington 2014). The business case discusses on the various subparts that are
defined and which have individual values that sum up to the total benefits of the project. The
sensitivity analysis that has been undertaken in the business case study is mostly been done for
applying a certain reduction in visitation (Colin and Vanhoucke 2014). This has mostly indicated
that the PPP and other privately funded projects have been mostly been able to generate some
form of acceptable returns based on the made investment in the project.
Customer – The expectations of the customer from the tourism destination have been
understood. This kind of understanding have helped in understanding about the current market
expectations (Hill and Brierley 2017). The business case study discusses the fact that there have
been different kind of elements within the National Park, which could be further improved for
attracting a huge number of customers within the park. There have been assumptions about the
inclusion of various facilities in the National Park that includes an Eco Recreation Hub, Lodge

4CRITIQUE ON JABIRU BUSINESS CASE
and Glamping, Airport and Wellness Centre (Kloppenborg, Tesch and Manolis 2014). These
could be the major sources of attraction for the customers and this could also lead to high
generation of business profits.
3. KPIs and Specific Measures of Project Success
Based on the critique supported from the case study and the benefits map, it could be
understood that the problems faced within the Jabiru Business Case could be solved by following
the best kind of approaches.
The benefits map showcases the problem statement that has been helpful in
understanding about the key problems that are faced within the tourism destination (Guo et al.
2014). Based on the discussed problems within the benefit map, the discussed benefits that could
occur upon solving the ongoing problems have been discussed. The next stage in the map
discusses over the particular measures or KPIs that have been identified within the business case
(Bradley 2016). These would highly help in gaining an understanding about the particular areas
in which the business needs to put focus in order to help in improving the current situation.
Based on understanding about the key performance indicators for the business case, it has been
helpful for understanding the strategic objectives that need to be taken in order to mitigate the
issues that have been detected (Badewi 2016). These objective would have a certain priority
based on which the tasks would be done. This would be helpful in fast form of resolving of the
key problems and thus also improve the scenario of the business.
The problems in the case study is based on the declining number of visitors within the
national park. The business should focus on the areas in which the business is lacking importance
to attract a large number of visitors. This loss in the number of visitors mostly affects the

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business growth and sustainability factor (Oldeman, Hakkeling and Sombroek 2017). The second
major problem that is faced within the business is that they do not put a major amount of focus
on the Aboriginal culture. The business of the National Park is mostly situated within the
Aboriginal town (Doherty 2014). Hence, they should primarily put more amount of focus over
the traditional knowledge systems and thus also preserve the original work of the culture. The
third problem that is faced by the business is based on the increasing competition in the market.
Different other destinations such as Litchfield National Park are on the verge of implementing
new infrastructures within their business, which would help in gaining a major stand in the
business market. Lack of proper infrastructure is also another major problem faced by the
national park. Huge form of investment in the field of technology should be made within the
national park.
Based on focusing over the business case, it has been seen that the Jabiru Total Project
would incur an IRR of 7.6%, while the NPV of the project is $20.2m. This includes the entire
development and all the supporting infrastructure that are needed in the project. This includes the
range financial and economic benefits along with the cultural and economic benefits that would
be incurred within the project. The Publicly Funded Projects an NPV of -$256.9m. This is
mainly due to the reason that they are important public goods rather than being compared with
commercial projects that would have high amount of capital costs and some modest mode of
revenue streams. The PPP Funded Projects have a small generation of IRR but have negative
NPV, which is due to the level of capital that would be required for the recent developments that
would be made within the area. This would thus lead to the generation of more kind of revenue
streams. The Privately Funded Projects that include commercial tourism based projects are more
expected to have generated economic returns and solid financial returns. The funding in this part

6CRITIQUE ON JABIRU BUSINESS CASE
of the project has resulted in the generation of IRR at 28% while the NPV has led to an amount
of $105.1m. They have a positive IRR and NPV results that would also be supported by
attractive annual cash flows. From the conclusions drawn from the entire generation of revenue,
it could be concluded that the Jabiru project would be highly beneficial for the area and they
would be able to attract a lot of tourists in the upcoming days. The creation of such kind of
initiatives would thus lead to many kind of benefits for the project. The different developments
in the area should be highly needed in order to help in help the project in gaining much amount
of business profits towards the business.
With the rise of increasing competition in the highly competitive market, there are a lot of
other National Parks that are able to provide more number of facilities before the people. The
Kakadu National Park (KNP) should also invest their money over implementing new kind of
measures that could be helpful for improving the business context. They should try to focus over
certain areas in which they would need improvements.
Based on the discussion and critique over the business scenario, it has been understood
that KNP has major areas and opportunities based on which they could improve their business
context. Some of the major categories of opportunities are:
Opportunities based on tourism development – This includes the inclusion of a
wellness center, 5-star lodging and glamping, new airport facility and an eco-recreational hub.
Opportunities for improving and developing local services – This includes the
development of opportunities that would focus over the town of Jabiru (Noe et al. 2017). This
includes the building of a government service hub, community and entertainment hub, medical
hospital and educational project.

7CRITIQUE ON JABIRU BUSINESS CASE
Innovation Opportunities – The KNP should introduce different forms of renewable
energy sources that could be helpful in improve their service offerings. Technologies such as AR
and VR could be helpful improving the cultural tourism business. Drone technology could also
be used for land management purpose. Such kind of technical innovations within the business
offerings of the National Park would be able to enhance the productivity of the business as the
visitors would gain better kind of services.
Opportunity based on Marketing – In this opportunity, the business would be able to
incur the major facilities that should be provided for the marketing segment. The marketing and
advertising of the project should be high in order to attract a lot of tourists within the National
Park. They should rebuild their infrastructure services, which would help the management in
increase their branding of their offerings.

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