Analysis of the Apollo Bay Resort Project: A Case Study in Management

This case study analyzes the rejection of the Apollo Bay Resort project in Victoria, Australia, proposed by Oceans United Investment Group. The Victorian government rejected the project due to its excessive size and potential negative impacts. The analysis examines the two major consequences of the rejection: the risks associated with floods, bushfires and disturbing the ecological balance. The assignment also explores three strategies Oceans United Investment Group could have implemented to gain support and ensure future project development, including mitigating risks, reducing the project's size, and selecting an alternative location. The case study highlights the importance of considering environmental factors, stakeholder concerns, and sustainable development practices in resort management and project planning. The analysis draws from academic sources to support the arguments and provide a comprehensive understanding of the situation.

Running head: RESORT AND SPA MANAGEMENT
RESORT AND SPA MANAGEMENT
Name of the Student
Name of the University
Author Note

1RESORT AND SPA MANAGEMENT
Introduction
In this paper, the chief area of focus will be the critical analysis of the two most
dynamic and influential consequences in the area of Apollo Bay on rejecting the project to
construct a grand hotel there, by the Victorian Government. The hotel would be scattered
over a vast area and will be rich in grandeur. The proposals put forward by the Oceans United
Investment Group to build up such a hotel were not accepted by the State Government in
Victoria. By critically re-examining, we would be able to review the Apollo Bay Project
vividly. Besides discussing the two major impacts, three essential strategies to be
implemented by the Oceans United Investment Group would also be taken into account that
would enable the Oceans United Investment Group to gather support and help from different
shareholders who would develop the project in near future.
Case Brief
The plan that was proposed by Oceans United Investment Group Pty Ltd. was to
create a luxurious five-star resort, on the Surf Coast of Victoria near Apollo Bay, a popular
tourist town. The resort was proposed to be named as Apollo bay Resort after the name of its
location. Apollo Bay is a town located in the south-west of Victoria. It is situated near the
driving route that passes along the Tasman sea’s coastline as well as the Great Otway
national Park. It was a project of a hotel property with 180 rooms and 82 separate villa units,
two restaurants, a fitness centre, a swimming pool and place of accommodation for about
forty workers (Ierodiaconou et al, 2013). The main reason of objection and opposition from
the Victorian government and the local inhabitants was that the project involved removal of
208 hectares of native plantations. Moreover, the difficulties resulting from flood and
bushfire were not taken into consideration. The plan did not get success because of its
enormous scale and size and would have created a negative effect on the iconic Apollo Bay

2RESORT AND SPA MANAGEMENT
township. Oceans United Investment Group thought of developing their property in the
town’s west side that is about 3.6 km from the town. Ms. D’ Ambrosio from the organization
remarked that a rigorous and an extensive assessment procedure was performed prior to the
cancellation of the plan. The failure of the project’s development plan accounted to the
Government’s Great Ocean Road Action Plan, which was developed the previous year to
enhance the tourism and give a better protection to the area (Worthington, 2015).
Impacts
The local residents of Apollo Bay and the surrounding environment had to face
various consequences due to the construction of the hotel. Out of which two major impacts
can be discussed as follows:
1. Flood and Bushfire – The area of Apollo Bay is prone to heavy rainfall and as a
consequence the area is affected with frequent floods. Moreover, its closeness to the sea and
the Barham River makes the place prone to floods and riverine flooding. The heavy rainfall
also causes the floodplain to fill and results in extensive landslides blocking the Great Ocean
Road. The blockage of this road leads to detachment of the area from other surrounding areas
for a number of days (Dwyer & Hardy, 2016). The increasing Global Warming nowadays
has led to increase in the level of sea levels which affects the area of Apollo Bay damaging
the splendid coastline of Australia including Apollo Bay. These natural calamities can
negatively affect the luxury hotel and the people coming to reside there if the resort is set up
in the supposed area. Due to flood and landslides the local people and tourists would have to
face transport and communication problems and the property of the hotel can also get
damaged. Besides floods and landslides, there is another factor which affects the area of
Apollo Bay and that is bush-fire. Bush-fires are common in Australia and it adversely affects
the surrounding ecosystem (Marshall). Also, the resort can face severe damages due to these
bush fires. Therefore, it can be rightly said that Apollo Bay faces a lot of natural hazards and

3RESORT AND SPA MANAGEMENT
calamities and constructing a grand resort in such an area is not at all appropriate. The
Victorian government, as a result, has dismissed the plan to construct a luxury resort with a
large scale and size (Leigh et al, 2015).
2. Disturbing the Ecological balance - While going through the case study, it is quite
visible that the plot of land which was allotted for the construction of the hotel by Oceans
United Investment Group is actually an agricultural area used for farming purposes. The local
residents cultivate varieties of eatables and earn their livelihood through it. If such a grand
hotel is built then the entire ecological balance of that area would be severely affected
resulting in killing of many species of animals, birds and insects. Such a disequilibrium of the
ecology would also result in the extinction of aquatic animals as the place is located near sea
(Holmberg, 2015). As such, building of the luxury resort could hamper the ecological
balance of the sea because of the harmful emissions from the hotel. Moreover, the people
residing there will have to face difficulty in earning their livelihood and running their family
(Crockett et al, 2017).
Strategies
In order to ensure a number of shareholders who can provide support to their refused
plan as well as submit it for future development, Oceans United Investment Group could
have implemented the following three strategies:
1. Protection from bushfire and floods – Oceans United Investment Group must
seriously look into the matter of protecting and preventing the locality and business area from
flood and bushfire. This can prove to be an excellent method of attracting shareholders by
showing corporate social responsibility of the organization. The local residents as well as
tourists will be largely benefitted if these two factors can be taken care of. Prevention from
these factors is an essential strategy to develop the business (McSweeney et al, 2014).

4RESORT AND SPA MANAGEMENT
2. Reducing the project’s size – The resort’s huge size and scale needs to be reduced
by Oceans United Investment Group for attracting shareholders and receiving the sanction to
develop a resort. The chief problem of the local people and government of Victoria was the
gigantic size of the project. Hence it would be profitable for the organization all involved
people to diminish the size of the resort. It could be replaced by smaller cottages beside the
sea which in turn will make the place more attractive for the tourists. The company can also
earn taxes by selling the cottage rooms to those tourists. Oceans United Investment Group
can follow the Great Ocean Road Action Plan of the government, produced the previous year,
for developing the tourism and give a better protection to the area. More shareholders will be
attracted by doing so, and thus more cottages can be built (Salehudin, Prasad & Osmond,
2013).
3. Selecting an alternative place – the farmland cannot be used by the company as it
is richly fertile for cultivations. An alternative land is required for setting up the property.
Permission needs to be taken as well from both the local and state governments. The location
must be selected closer to the sea for attracting customers to the resort. But ultimately, the
ecological balance of the place should be properly maintained and must not be hampered for
the purpose of the project (Bryant et al, 2014).
Conclusion
From the above discussed passages, it can be concluded that Oceans United
Investment Group must follow the plan and strategies of the Great Ocean Road Action Plan
as proposed by the Government of Victoria. by doing so, they can not only sanction their plan
in the future, but also, develop their business in the prescribed area. Whether the company is
thinking of building cottages or small resort, the ecological balance should be maintained
properly. In addition to that the area should be prevented from floods and bushfires.

5RESORT AND SPA MANAGEMENT
References
Bryant, R. A., Waters, E., Gibbs, L., Gallagher, H. C., Pattison, P., Lusher, D., ... & Sinnott,
V. (2014). Psychological outcomes following the Victorian Black Saturday
bushfires. Australian & New Zealand Journal of Psychiatry, 48(7), 634-643.
https://journals.sagepub.com/doi/full/10.1177/0004867414534476
Crockett, P., Johnson, K., Brenker, M., Ierodiaconou, D., & Carnell, P. (2017). Undaria
pinnatifida in Port Phillip Bay Marine Sanctuaries: Removal strategies and
interactions with the native algal canopy. Parks Victoria Technical Series No. 113.
Parks Victoria, Melbourne. Parks Victoria Technical Series, (113), 3.
https://parkweb.vic.gov.au/__data/assets/pdf_file/0009/701199/PV_TS113_complete.pdf
Dwyer, G., & Hardy, C. (2016). We have not lived long enough: Sensemaking and learning
from bushfire in Australia. Management Learning, 47(1), 45-64. Retrieved from:
https://journals.sagepub.com/doi/abs/10.1177/1350507615577047
Holmberg, H. (2015). Consumer attitudes towards hotel products and services. Retrieved
from: https://www.theseus.fi/bitstream/handle/10024/96183/Holmberg_Heidi.pdf?
sequence=1;Consumer
Leigh, C., Bush, A., Harrison, E. T., Ho, S. S., Luke, L., Rolls, R. J., & Ledger, M. E. (2015).
Ecological effects of extreme climatic events on riverine ecosystems: insights from A
ustralia. Freshwater Biology, 60(12), 2620-2638.
https://onlinelibrary.wiley.com/doi/abs/10.1111/fwb.12515
Marshall, A., Choi, J., Torre, P., Fisher, G., & Frame, J. WHERE THERE’S FIRE THERE’S
SMOKE: MANAGING COMMUNITY CONCERNS ABOUT SMOKE IN
VICTORIA.

6RESORT AND SPA MANAGEMENT
https://www.researchgate.net/profile/Gavin_Fisher/publication/
307603371_WHERE_THERE%27S_FIRE_THERE
%27S_SMOKE_MANAGING_COMMUNITY_CONCERNS_ABOUT_SMOKE_IN
_VICTORIA/links/57ccdb1d08ae3ac722b4728a/WHERE-THERES-FIRE-THERES-
SMOKE-MANAGING-COMMUNITY-CONCERNS-ABOUT-SMOKE-IN-
VICTORIA.pdf
Ierodiaconou, D., Miller, A. D., Rattray, A., Weeks, A. R., Gorfine, H. K., Peeters, H., ... &
Worthington, D. (2014). Spatial patterns, landscape genetics and post virus recovery
of blacklip abalone, Haliotis rubra (Leach), in the western commercial fishing zone of
Victoria.
262493944_Spatial_patterns_landscape_genetics_and_post_virus_recovery_of_blacklip_abal
one_Haliotis_rubra_Leach_in_the_western_commercial_fishing_zone_of_Victoria
McSweeney, S. L., Kennedy, D. M., & Rutherfurd, I. D. (2014, July). Classification of
intermittently closed and open coastal lakes and lagoons in Victoria, Australia. In 7th
Australian Stream Management Conference (pp. 23-30).
https://www.researchgate.net/profile/Ian_Rutherfurd/publication/
271706260_Full_Proceedings_of_the_7th_Australian_Stream_Management_Confere
nce_held_in_Townsville_Australia_July_2014_Edited_by_Vietz_G_Rutherfurd_ID_a
nd_Huges_R/links/54d026350cf29ca81100ea50/Full-Proceedings-of-the-7th-
Australian-Stream-Management-Conference-held-in-Townsville-Australia-July-2014-
Edited-by-Vietz-G-Rutherfurd-ID-and-Huges-R.pdf#page=11
Salehudin, M. S., Prasad, D., & Osmond, P. (2013). A FIELD SURVEY OF LOCAL
COMMUNITY EMPOWERMENT INITIATIVES AT SELECTED RESORT IN

7RESORT AND SPA MANAGEMENT
MALAYSIA. In Conference of the International Journal of Arts & Sciences(Vol. 6,
No. 1, pp. 445-452).
https://www.researchgate.net/profile/Paul_Osmond/publication/
265051403_A_field_survey_of_local_community_empowerment_initiatives_at_selec
ted_resorts_in_Malaysia/links/5591f0ba08ae47a34910c0c8.pdf
Worthington, A. C. (2015). Natural disasters and national natural disaster insurance: An
Australian perspective. Report commissioned by the Australian Centre for Financial
Studies. Melbourne: Griffiths University.
https://australiancentre.com.au/wp-content/uploads/2016/04/Comm-Paper-03022015.pdf