Analysis of Sri Lanka's Tourism Industry: A Competitive Evaluation

This report presents a comprehensive analysis of the Sri Lankan tourism industry, focusing on its competitive landscape and investment potential. The report begins with an application of Porter's National Diamond model to evaluate the industry's competitiveness. It then explores Foreign Direct Investment (FDI) as a market entry strategy, discussing its advantages, appropriateness, and limitations within the context of Sri Lanka's institutional environment, offering specific recommendations. Finally, the report identifies and discusses two key management issues that must be addressed before entering the Sri Lankan tourism market, drawing on the analyses from the previous sections. The report utilizes real-world examples of companies operating in both the UK and Sri Lanka and provides a detailed examination of the types of FDI prevalent in Sri Lanka, supported by relevant references. This comprehensive approach provides a detailed overview of the opportunities and challenges within the Sri Lankan tourism industry.

You are employed by a consulting company. Your company has been recently
approached by a British company that is looking for new business opportunities
overseas. One option that has been suggested to the board of directors is tourism
industry in Sri Lanka. Your task is to evaluate the attractiveness of this industry.
You are required therefore to carry out the necessary research to construct an
analysis of the overall competitiveness and investment attractiveness of the Sri
Lankan tourism industry. You should use a range of published sources of
information in this task, such as books, academic journals, periodicals, web
resources and relevant databases.
Part 1: Porter’s National Diamond Analysis (60 marks)
Apply the extended version of Porter’s National Diamond (PND) model to the Sri
Lankan tourism industry.
Part 2: Market Entry Strategy (20 marks)
Based on your research and analysis of the country’s institutional environment,
discuss the advantages, appropriateness and limitations of using Foreign Direct
Investment (FDI) as an entry strategy to Sri Lankan tourism industry. You need to
provide clear recommendations.
Part 3: Contemporary Management Issues (20 marks)
Discuss TWO key management issues that are identified in your analysis (Part
1 and Part 2) that should be taken into account before starting operations in
the Sri Lankan tourism industry.
• The word limit for the overall assignment is 3600 words.
• There should be no first person references (I, we, us) in the report. If self-
reference is required, you may refer to yourself as "the author" or "this report".
• The report should have the following structure:
Cover page – including the module code, title and
word count
Table of contents - including the page numbers
Part1
Part 2
Part 3
List of references
Appendices (if necessary)
DO NOT NEED ABSTRACTION, EXECUTIVE SUMMARY,
INTRODUCTION AND CONCLUSION

Please use Real Companies in UK and Sri Lanka.
You will need to identify what FDI is sri lanka using? Is it green fields, acquistions,
majority joint venture, minority joint venture, 50-50 joint venture, majority joint
venture. Support with references as well.
Talk about the adventages and disadvantages of chosen FDI.

This table must be presented in part 1. You will need to do identify the areas in
Sri Lanka Format.
Positive and negatives per box.