Strategic Business Plan for a Team 3 Hotel in Australia

This report develops a business plan for a hotel that is situated in Australia for generating more profitable results and maintaining market position that consider marketing capabilities, available resources etc. EXECUTIVE SUMMARY.2 1.0 INTRODUCTION .4 1.1 BACKGROUND.4 1.2 AIM .4 1.3 SCOPE 4 2.0 INTERNAL AND EXTERNAL ENVIRONMENTAL ANALYSIS 4 2.1 INDUSTRY ANAYSIS .4 2.2 COMPETITIVE ANALYSIS7 2.3 STRATEGIC CAPABILITY ANALYSIS 9

STRATEGIC BUSINESS
PLAN

EXECUTIVE SUMMARY
Strategic business planning refers to a management process that includes several
frameworks like vision, mission, objectives, goals and directions etc. of a particular business
enterprise. This report develops a business plan for a hotel that is situated in Australia for
generating more profitable results and maintaining market position that consider marketing
capabilities, available resources etc. This report is based on Team 3 hotel in Australia that is a
famous hotel in this country. This project involves internal and external environmental analysis
and strategic statement that helps in gaining profitable results in marketplace.

Table of Contents
EXECUTIVE SUMMARY................................................................................................ 2
1.0 INTRODUCTION....................................................................................................... 4
1.1 BACKGROUND..................................................................................................... 4
1.2 AIM..................................................................................................................... 4
1.3 SCOPE................................................................................................................. 4
2.0 INTERNAL AND EXTERNAL ENVIRONMENTAL ANALYSIS.........................................4
2.1 INDUSTRY ANAYSIS............................................................................................. 4
2.2 COMPETITIVE ANALYSIS...................................................................................... 7
2.3 STRATEGIC CAPABILITY ANALYSIS......................................................................9
2.4 TOWS ANALYSIS................................................................................................ 10
3.0 STRATEGIC STATEMENT........................................................................................ 10
3.1 STRATEGIC DIRECTION...................................................................................... 10
3.2 KEY OBJECTIVES AND OUTCOMES......................................................................11
3.3 COMPETITIVE ADVANATGE................................................................................ 12
3.4 STAKEHOLDER VALUE CREATION......................................................................12
3.5 INTENDED BUSINESS.......................................................................................... 13
CONCLUSION............................................................................................................. 14
REFERENCES............................................................................................................. 15

1.0 INTRODUCTION
1.1 BACKGROUND
Team 3 is a leading hotel group in Australia that shows their existence in the second half
of the last century. The Team 3 is a part of hotel, motels and resort industry in which there are
around 350 employees are working in all over the Australia where hotel have its existence
(Adriaanse, van der Rest & Parsa, (2020)). This hotel offers variety of services to their customers
due to which visitors experience a remarkable service at hotel. There are several services that
they offer to customer is standard room facilities, front desk, Leisure club, internet access etc. on
a level 1 that means it a type of one star hotel in Australia.
1.2 AIM
The main aim of conducting this study is to be representing the internal and external
environment analysis. To gain knowledge regarding external environment this report includes
industry analysis using pestle analysis that helps in gaining sustainable results in marketplace
(Hrytchuk & et. al., (2020)). Further it demonstrates competitive analysis using porter’s five
forces model so that hotel highly gain competitive advantage within marketplace. to elucidates
internal analysis strategic capabilities and TOWS analysis are to be framed that attracts number
of opportunities and assist in developing competitiveness so that hotel will survive more time
period. Further it involves strategic statement that helps in providing strategic direction,
stakeholder value creation and intended business strategy.
1.3 SCOPE
The scope of Team 3 hotel is to become a market leader by gaining competitive
advantage with their quality services and price. Therefore, it is to be done by examine internal
and external environment along with strategic statement that influence Team 3 growth in
business industry (Konovalova & et. al., (2020)).

2.0 INTERNAL AND EXTERNAL ENVIRONMENTAL ANALYSIS
2.1 INDUSTRY ANAYSIS
Pestle is used to analyze external situation that affects organisation productivity and
profitability and helps in suggesting best strategy to gain profitable outcome. In case of Team 3
pestle analysis is shown below:
PESTLE DEVELOPMENT IMPLICATION
Political factor In terms of Australia. It is
stable political condition that
is highly beneficial for starting
and doing business
prominently. Therefore,
Australia shares a close
political relationship with
close countries that helps
Hotel industry to do a business
effectively. It presents
opportunity of hotel in
Australian market.
In context of Team 3 hotel it is
to be said that they operate
their business without facing
any political restriction that
attracts high profits and
revenues in hotel long term
survival (Thomas & et. al.,
(2021)).
Economical factor As Australia is a country that
is known as wealthy and
developed country because of
strong economic growth. This
nation has low obstacles
within market that creates
openness environment for
business. This market of
Australia offers attractive, safe
and competitive market. This
is effective for hotel industry
to gain competitive results in
In case of Team 3 hotel group,
effective economic growth in
Australia simplifies the cross
border trade that is highly
beneficial for Team 3 to set
their business outlet within
marketplace and attracts
number of customers. Hence,
from this it is implied that
economic environment of
Australia is positively suitable
for concerned hotel group.

business industry.
Social factor In Australia customers have
good taste, preferences and
focus on enjoy their life with
the fondness of western
culture. There people prefer
great food and beverage items,
having luxury services in
hotels at best price etc. This
development of Australia in
social factor is creating an
opportunity for Hotel industry
to attract number of customers
from their services.
By examine the social factor
of Australia, Team 3 focus on
online marketing strategy to
attracts number of customers
towards their hotel services.
As it is very effective to retain
the customers and attract
potential one so that high
profits are received (Saparin &
et. al., (2020)).
Technological factor Australia is a technology
advanced country on global
level. This create a challenge
for hotel sector to stay updated
their technology for attracting
customers and maintaining
high growth.
Due to best technology
advancement country in
universe Team 3 face the issue
of updating technology by
investing high cost in it so that
large base of customers are
attracted towards it. Therefore,
this also creates demand of
using online strategy to attract
or retain Australian customers
in hotel.
Legal factor Country like Australia charges
the corporate tax 30% on the
total profit of company that is
higher than other country
comparison. It creates
challenge for hotel sector as
By understanding this
situation Team 3 need to offer
quality services to customers
so that they are attracted
towards it and they will
generate more profits so that

they spend tax amount in their
total profits and for thief they
earn high profits.
they pay tax amount
prominently.
Environmental factor As Australia is a country that
is highly polluted and affects
people health. This highly
affects business operation of
hotel sector.
To gain profitable results
Team 3 need to focus on
follow environmental laws by
offering environmental
friendly services to customers
so that they gain competitive
advantage within marketplace.
2.2 COMPETITIVE ANALYSIS
PORTER’S FIVE FORCES
MODEL
LEVEL COMMENTS
Bargaining power of
suppliers
The level of bargaining power
is less in terms of hotel
industry (Bawono, (2020)).
It is so because of large
number of hotels, due to this
suppliers don’t want to lose
their customers. In case of
Team 3, they assimilate with
their suppliers on contract
basis so that advantageous
results are attained.
Bargaining power of
customers
This affects the hotel industry
to high level (Wellner &
Lakotta (2020)).
Due to number of hotels
present in marketplace
customers has variety of
options to switch from one to
another by examine several
factors as per own
convenience. This affects
Team 3 to provide quality
services at best price so that

they do not switch to another
brand.
Threat of new entrant The threat of new entry in
hotel industry is low.
In hotel industry if any new
entry want to enter into hotel
market then they need huge
capital and it is quite difficult
for new entry to enter with
effective financial backup. In
case of Team 3 it is beneficial
for gaining profitable results
and long term sustainability.
Threat of substitute There is no major threat face
by hotel industry in terms of
substitute. Hence it is low in
nature.
Therefore, hotel industry is
not threatened by any
substitute products except at
the time of recession when
domestic travel replaces
overseas and international
travel. In this Team3 need to
focus on fulfilling customer
needs and attracts more tourist
while offering quality services
at best price (Garrido-Moreno,
García-Morales & Martín-
Rojas, (2021)).
Rivalry of firm This framework is high in
case of hotel industry.
As there are number of
competitors present in
marketplace at Australia due
to which small hotel in hotel
industry face major challenge
in terms of rivalry. In case of
Team 3 they have number of

competitors such as Supreme,
Tulip Inn, Hot Pot, St. Kilda
hotel etc.
Key points
In this several are the key points that are useful to draw strategic plan to execute and ways of run
hotel in smooth manner. By examine above porter’s five forces and pestle analysis it is
demonstrate that to enhance profits in hotel industry it is necessary to build contacts and
communication network with number of outlets to develops the demand in market for hotel
services. Further they need to focus on follow environmental laws to sustain in Australian market
along with earn high profits to pay taxes on time.
2.3 STRATEGIC CAPABILITY ANALYSIS
Introduction
Strategic capability analysis is useful to understand strategic value analysis. For Team 3
hotel, to analyses strategic capabilities several resources and capabilities are to be demonstrated
below:
Financial In case of Team 3 financial resources is moderate as it is a type of
one star hotel in Australia. The hotel gest financial help easily
from crowd-funding and bank loan. The sales of company are
highly strong that helps in gaining profitable results (Walton,
Zhang & O'Kane, (2020)).
Human resource Team 3 have an effective human resources who are work for
providing best services to customers and manager need to offer
proper training to their employees so that firm will sustain more
time period (Linnik & et. al., (2020)).
Physical Team 3 is operated their business in the street of Australia not in
other countries where they focus on attaining high revenues.
General organisation In terms of general organisation, Team 3 has good brand image
due to this more customers are attracted towards their services and

hotel gain market position in Australia.
Knowledge and learning This aspect is moderately strong of Team 3 as they have good
knowledge regarding customer preference that helps in learn new
things due to these innovative activities are reflected in benefits of
customers.
2.4 TOWS ANALYSIS
It is type of modified version of SWOT analysis that helps Team 3 to recognize best
strategy for long term survival and profitability. The TOWS of team 3 are presented below:
Opportunities
Using advance technology
Threats
More competitors
Strength
 Supply chain
management
 High brand reputation
SO
Team 3 use the advanced
technology in managing
supply chain due to which
they attain the target of high
brand reputation in
marketplace (Tlesova & et. al.,
(2020)) .
ST
Because of high competitors
within the marketplace who
offer same services to Team 3
at low cost affects brand
reputation because customer
switch hotel to another one
Weaknesses
High investment in research
and development
WO
Team 3 major weaknesses is
high investment in research
and development departments
due to which they use the
advanced technology that
helps in attracting number of
customers and firm will raise
their profits effectively.
WT
Major competitors in market
place affect the Team 3
profitability because due to
this they spend more money
on R&D and it enhances
overall expenses of hotel
(Datta, (2020)).

3.0 STRATEGIC STATEMENT
3.1 STRATEGIC DIRECTION
Vision
Team 3 visions is to give customers the warmth of services by providing exceptional
personalized and professional services every time they visit by focus on eco-friendly technology.
Mission
To become a leader in hotel industry within Australia market by offering remarkable
experience to visitors (Aujirapongpan & Pattanasing, (2020)).
Values
Team 3 values are based on build eco-friendly technology along with developing waste
management plan to remove harmful effects within society and environment.
Objectives
The main objective of Team 3 for develop business plan is to enhance profit share and
market position along with developing high customer base in narrow market.
Strategic direction
The strategic direction of Team 3 hotel is focus on product development strategy because
they have strong human resource that is highly efficient to gain targets on time.
CSR Commitment
Community- By sponsoring local events and volunteer in local area school to create
awareness related to business and environment friendly usage helps in attracting customers
towards hotel and due to this they attain profitable results.

Environment- Use technology for offering services to customers that does not harm the
environment, for booking customers cannot visit hotel premise as they book through online
website due to this air pollution is to be reduced to some extent (San Román, Puig & Gil-López,
(2020)).
3.2 KEY OBJECTIVES AND OUTCOMES
Basis SMART
Goal
Actual
results
Variance Justification SMART
Goal
Finance Increase net
profit by
20%.
It is done by
17%.
+3% Positively
justified
Enhance
profit by 17%
to 20%.
Operations Enhance
operation by
10% for
gaining
profits.
Actually it is
gained by
10%.
+4% Highly positive
justified
(Fratini,
(2020)).
Increased
operations by
10% within
last 24
months.
Marketing Adopts online
social media
marketing
strategy.
To gain
profits by
20%.
+5% Positive
justified
Using online
official
website to
gain positive
results by
20%.
3.3 COMPETITIVE ADVANATGE
To gain competitive advantage Team 3 manager adopts the focus differentiation strategy
so that high profitability results are enjoyed by hotel in their long term sustainability in
Australian market. Focus differentiation strategy defines as those in which company offer unique
features at narrow market to fulfill customer demands and attain profits (Li & et. al., (2020)). In
terms of Team 3 , they adopts this strategy where they use online marketing strategy to attracts
customers, offer on call doctor service to customers so that they retain will hotel for longer time
period. As it is different from their competitors so that high profits are attained (Jelassi, &
Martínez-López, (2020)).

3.4 STAKEHOLDER VALUE CREATION
Key stakeholder Interest Value creation
Shareholder High interest, High power If they work well, the value is created in
positive nature as they invest high amount in
company to gain high rate of return.
Directors and
management
High interest, High power They show high interest in Team 3 as it helps
in creating value under company. Due to this
all work is to be managed effectively so that
employees perform their task in smooth
manner.
Suppliers Low interest, Low power They need to supply profitable products to
hotel so that they provide it to customers for
gaining positive outcomes (Freudenreich,
Lüdeke-Freund & Schaltegger, (2020)).
Employees High interest, low power They work well and attend customers
positively that helps in attaining long term
sustainability in market.
Customers Low interest, High power Team 3 examine customer power as it is
essential to retain and attract more and more
visitors.
Government Low interest, low power Team 3 adopts all environmental laws and
fulfills government rules and regulation to
sustain in market.
3.5 INTENDED BUSINESS

CONCLUSION
From above report it is concluded that strategic business plan is very significant to
develop because it helps in gaining competitive advantage within marketplace. in this firm
adopts the use of internal and external environment analysis so that they proficiently understand
company resources and capabilities as per market trends that are examined by using Pestle and
porters model. Further it elucidates strategic statement that helps in understand Hotel vision,
mission, intended strategy, stakeholder value creation that helps in attaining objective of long
term survival.
Intended business strategy
In case of Team 3 to gain
competitive advanatge
they adopts focused
differentaiaion strategy to
fulfill narrow market
demands.
Timing
This show the positive
results in around 12 months
by gaining profitsbale results
and attracting number of
customers (Bayo-
Moriones, Galdon-
Sanchez,& Martinez-
de-Morentin, (2020)).
Realised business strategy
In this firm focused on
offering CSR practice,
focus on environmental
laws to attractlocal area
people of australia.

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