Joint Venture Feasibility Study: Pan Pacific Hotels and Titan Travel

Desklib provides past papers and solved assignments for students. This report analyzes the risks and benefits of a joint venture between Pan Pacific Hotels and Titan Travel.

Risk and benefit of joint venture between Pan Pacific
and Titan Travel
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Table of Contents
Task 1.........................................................................................................................................6
Task 2.......................................................................................................................................11
Conclusion................................................................................................................................26
Reference List..........................................................................................................................27
Appendix 1...............................................................................................................................29
Appendix 2...............................................................................................................................32
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Executive Summary
The globalization has affected countries on a huge scale. It has brought in investments and
profit for the companies that initiate in international trade. With the growth of the economy of
UK, there have been political occurrences such as BREXIT. This has made a lot of
limitations and restrictions for the company. However, with the use of joint venture
collaboration, there is an understanding on the elements related to the growth of the business
project. Hence, it is very important to abide by the rules of the cross border economies. To
start a joint collaboration, the companies should be able to handle the various management
style.
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Introduction
Globalization has initiated countries to undertake business undertakings that affect the
economy and the company. Joint venture businesses have been able to thrive with the
companies incorporating partnership licensing franchising and so on. This has further
affected the lucrative gains of the company and gave an understanding on the concepts
related to the growth of the research. Therefore, the companies that would initiate in the joint
venture are Pan Pacific Hotel in Melbourne Australia with Titan Travel in United Kingdom.
This will provide a glimpse on the factor of globalization after the political loom of BREXIT.
Hence, the report will give a concise study on the subject of Joint venture.
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Task 1
A brief explanation of the proposed topic and why you have chosen it
The impact of the joint venture undertaking is very useful for the companies that make the
use of globalization. The companies take the use of the joint trade to enter foreign markets.
This is also done to produce a better market stand in other countries. The topic is of
significance as there are many factors that have led to the growth of the research. This can
affect the business and boost the lucrative earning. However, the research will formulate and
outline the aims and objectives related to the growth of the research. This is useful for the
joint trade as it will make the use of various foreign markets. Therefore, the study will discuss
the implications of the Australian hotel and its collaboration with the UK tour operator Titan
Travel. With the use of these companies, there will be as survey on the impact of the joint
trade between different countries.
An aim and some objectives for your proposed research
Project Aim
The aim of the project is to provide a comprehensive understanding on the factors related to
the risks and benefits of joint venture collaboration.
Project Objectives
The objectives associated with the project will be enumerated below:
 To assess the impact of BREXIT on international trade
 To comprehend the areas associated with risks and benefit of joint trade
 To strategize plans to mitigate the joint venture risks
 To provide relevant customer oriented data with growth of research
A brief discussion of the scope and limitations of the project
The project scope is important as it takes into consideration all the excluded and included part
of the research. It gives an understanding on the elements that are important for the
researchers to carry on their job successfully. This influences the researchers to work in a
smooth manner.
Excluded scope
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The excluded scope of the research initiates an understanding of the research learning
outcomes that have not been used in the research. The researcher did not make the use of the
secondary data analysis. This portrays a negative and underexplored research taken during th
process of the work. There were no questionnaires for managers of the company for joint
venture collaboration.
Included scope
The research included the use of the primary research methods. It is customer oriented and
has taken into account the quantitative data analysis. With the use of these data, the
researcher is able to function in a progressive manner. There has also been the use of the
literature review that contributed to the growth of the research.
Resources and cost considerations.
The resource cost and consideration is an important part of the research as it discusses the
expenditure of the research. This outlines the costs that are levied while doing the research
and the use of the resources.
Main Tasks Time Period Cost per hour Total expenditure
Resource
Identification
56 30 1680
Human Resource
and Inputs
24 10 240
Data collection
instruments
50 25 1250
Analysis of collected
data
48 19 912
Growth of the
research
24 10 240
Final
Documentations
24 10 240
Total = 4562
Table 1: Budget
(Source: Created by Learner)
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A Gantt chart or work breakdown structure in order to provide timeframes and stages
for completion.
The researcher will make the utilization of the Gantt chart to initiate an understanding on the
outline associated with the research. This will be helpful as the researcher will make the use
of a month to cater to the understanding of the research. The use of the work breakdown
structure will also serve the purpose of the research.
Number Activities Start Date Duration End Date
1 Project Start 2/2/2019 1 2/3/2019
2 Methodology
Selection
2/9/2019 6 2/15/2019
3 Data Collection 2/14/2019 8 2/22/2019
4 Data analysis 2/21/2019 4 2/25/2019
5 Conclusion and
Recommendations
2/26/2019 5 3/3/2019
6 Writing Final file 3/1/2019 5 3/6/2019
7 Final Submission 3/4/2019 1 3/5/2019
Table 2: Work Breakdown structure
(Source: Created by Learner)
Project Start
Methodlogy Selection
Data Collection
Data analysis
Conclusion and Reccomendations
Writing Final file
Final Submission
2/2 2/7 2/12 2/17 2/22 2/27 3/4 3/9
Figure 1: Gantt chart
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(Source: Created by Learner)
A risk registers covering the main risks with the proposed research.
A risk register is an important document taken during a research or survey. It covers the
significant and high risks that could hamper the progress of the research. Therefore, the
researchers make the use of the risk register to monitor the risks during the time of the
research.
Type of Risk Occurrenc
e of Risk
Risk
Nature Risk Impact End result Mitigation of
the risk
No proper
resources
Medium High The whole
research
objective can
be interrupted.
This will be
dangerous for
research.
There will be a
lot of delay in the
progress of the
research
There should
be a significant
understanding
on the
objectives
related to
research
concept
Improper
data
collection
Medium High There will be
no scope for a
good analysis.
This will
hamper the
project
There will be no
alignment
between the
research and
outcome
There should
be a better
training before
starting the
project
No proper
data analysis
Low High The survey
could goes
through a loss
because of this
issue.
It will be
dangerous for the
predicament of
the survey.
The use of
better and
effective
instruments can
benefit the
research
General
Issues
Medium Medium Goals and
objective of
the research
can be affected
This would result
in false
information
There should
be better and
effective
methods to
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minimize the
risks
Table 3: Risk Register
(Source: Created by Learner)
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Task 2
CHAPTER 1 Introduction
The joint venture undertaking is collaboration between well thriving companies. The
company takes the use of this strategy to enter the foreign markets. This has an impact and
influences the growth of the business. The companies that make the use of the strategy are
able to boost the lucrative gains of the company. The company explores into the realm of the
global media and initiates a cross cultural trade. There are implications that prevent the cross
cultural trade such as BREXIT. However, the global investors are varying on the issues that
are prevalent in the other countries. However, joint venture collaboration is significant as it
caters to the growth and development of the company. This is very important for the
company managers as it provides a better understanding on the ethics of the company. There
are creation types of risks and benefits which are associated with the joint venture
collaboration. This influences the growth of the business to function in a smooth and
effective manner. The company should be able to make the use of better understanding of the
legislation to cater to understanding of the business. This is an important element for the
understanding of the concepts related to the business.
However, the importance of the study lies in the production of effective measures to enter the
global market. The global investors are varying on the subjects related to the growth of the
business. This influences the operation of the company and also helps in procuring better
effective gains for the company. Therefore, there are no uncertainties regarding the rationale
of the subject. It provides a concise understanding on the growth and initiation of the
business. This is very useful for comprehending the areas related to contributing to the
growth of the joint venture business. However, the companies, Pan Pacific and Titan travel
would initiate in such business dealing with each other.
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CHAPTER 2 Literature Review
Introduction
The literature review is an important narrative that is embedded with scholarly knowledge
and theoretical articles. The significance of the literature review lies in the incorporation of
current knowledge and methodological findings based on the subject. It is a collaborative and
sustained research from a number of authors and researchers contributing to the specific topic
The importance of International Joint Venture
The international joint venture is a result of two successful businesses that form partnership
with each other. The company that initiates in this area of partnership explores into the realms
of international trade. The international trade is beneficial is it s a hallmark of lucrative gains
and market boost of the company. The company that partakes of the trade keeps in mind the
necessary usefulness and the legal measures associated with that particular company. There
are cross-border schemes and laws that have an influence on the measures of the company.
The companies that take part in the International joint venture are subjected to positives and
negatives. They are to sustain their business by making the use of the schemes and legal
measures important for the growth of the company. In the words of Yan (2016), the
companies should be able to abide in the theories and practices that help them to function in a
coordinated manner. As stated by Reuer (2017), the international joint venture can be risky
as it is often disastrous.
As opined by Westman (2016), the companies that make the use of the international joint
venture can be very conflicting. The clash of the idea of management can create havoc on the
growth of the company. This could be challenging for the company and, create a pressure on
the business managers.
Positive and Negative impact of Joint Venture on Businesses
As opined by Pisani et al., (2017), the companies that initiate in the trade internationally are
subjected to positive and negative factors. These have an effect on the growth of the business
and the profit margin of the company. The business managers are not able to have the ideas
for initiating their growth for their company. The international joint venture can boost the
profit of the company and also increase the customer base of the company. In the words of Lu
Jin (2016), the positive effect of the international joint venture on the business is to compel
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the growth of the business in a positive way. This is very important for the business as the
companies are able to gain an access to the international market. The companies are also able
to cover the risks and the costs associated with the growth of the business. Therefore, many
companies initiate in this business, as the companies are able to boost their growth and profit.
However, with the initiation of the negative factors, there are some of the areas that the
business is able to get negative results.
These negative results are miscommunication between partners on the growth of the company
and the business. This can be very harmful the business to make profits in the long
run.However, keeping in mind these businesses ensures the growth of the business and are
able to thrive in the business.
Methods to mitigate Joint Venture Risks
As opined by the Carr (2017), the risks which are faced by the company can be mitigated
with the application of extensive strategies. This affects the goals of the company and ensures
the safety of the company. These risks can be countered by possessing a clear knowledge on
the goals and aspiration of the company. This can improve the performance and the
productivity of the business. The business must possess the understanding of the clear
ideology and growth of the business to succeed in its business undertaking. This would have
an impact on the business and ensure the escalation of the market profits of the company. In
the words of Chen (2016) the method of understanding and abiding with the legal and cross
borders can reduce the risks. The risk to joint venture can also be reduced with the use of the
communication and effective functioning. This would have an influence and growth on the
communication of the business.
In the words of Doherty (2015), the managerial and corporate risks can be reduced with the
integration of the governance and joint venture. With the idea of setting planning and exit the
company is able to procure lucrative gain and materials for the company. This would set the
platter for the growth of the business and help in succeeding. Therefore, these are the
methods that are used to mitigate the risk related to the joint venture undertaking.
The impact of BREXIT on Joint Venture
In order to initiate business in the United Kingdom, the companies are to encounter the
political incidence of BREXIT. With the undertaking of BREXIT, the companies are
subjected to rules regulations and policies. This has an effect on the growth of the business
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