Business Case Analysis: GE's Mindanao Entertainment Center Plan

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Case Study
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This case study analyzes the proposed cultural entertainment center project on the island of Mindanao by Global Entertainments (GE) and Arboleda Corporation (AC). The analysis examines the causes and consequences of the project, focusing on the potential impact on the island's tourism and environment. The key stakeholders, including GE, AC, government officials, and local companies, are identified and their interests are discussed. The study then applies the Triple Bottom Line (TBL) approach, considering the project's impact on people, profit, and the planet. It highlights how the cultural entertainment center aims to address social needs, generate economic benefits, and mitigate environmental concerns. The analysis also acknowledges the limitations of the TBL approach, particularly concerning CSR governance and reporting. The document concludes with a bibliography of relevant sources supporting the analysis.
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Running head: CASE ANALYSIS
Stakeholder Relationships & CSR: Case Analysis Global Entertainments (GE)
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1CASE ANALYSIS
Table of Contents
Question 1: Causes and Consequences...........................................................................2
Question 2: Main Stakeholders.........................................................................................2
Question 3: The CSR model/approach.............................................................................3
Bibliography.......................................................................................................................6
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2CASE ANALYSIS
Question 1: Causes and Consequences
In the case study given, the causes and consequences of a future project to be
led by the Arboleda Corporation (AC) and Global Entertainments (GE) are being
discussed. The project is the establishment of a 'Cultural Entertainment Center' on the
island of Mindanao and to feature the culture of the Philippines. This entertainment
center will showcase a variety of live shows on the Philippines' culture. Additionally,
rides and visits to exhibits and restaurants will also be taken care of.
The island of Mindanao that once was a great tourist attraction might now lose its
attractiveness due to the exploitation of a few of the most well-preserved parts of the
island. The New York-based GE thinks that the footfall of domestic and international
travelers have drastically fallen for Mindanao. It is one of the reasons why GE has
increased interest in cultural entertainment program in Mindanao. Additionally, GE
wants this project to affirm a fact that they care about their people, the business benefits
and the environment they operate in.
The consequence of this initiative from GE and AC should result in the
establishment of a culturally-based entertainment center. The project should be a
success for both of these companies considering their past success with a water
entertainment park and a casino outside Manila.
Question 2: Main Stakeholders
The development of a cultural entertainment center on the island of Mindanao
will have a few key stakeholders such as those mentioned below:
GE and AC – They have been together for a few years now. GE and AC have
successfully handled the development of a casino and a water entertainment
park outside Manila two years back. They will now be taking care of the
development of this cultural entertainment park in Mindanao. GE and AC can
have many interests in the project such as economic and ethical benefits. They
would look around this project as a potential way to gain more money and boost
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3CASE ANALYSIS
the business. GE can also have an interest in the ethical outcomes of doing such
projects. They can find this as another initiative to secure its position on the CSR
and sustainability acts.
Government officials – The cultural entertainment center in Mindanao is aimed
at attracting both its domestic and international travelers. If the project can boost
up the figures for the domestic and international travelers to Mindanao, there will
be monetary benefits for GE and AC, the local government officials and the local
companies of Mindanao. The local government on the island might see its
funding reached a new height. The increased funding capability thereof should
give the government more opportunities to benefit its citizens. The government
can utilize its funds in the development of the education sector, infrastructural
development of the island and so forth.
Various local companies The local companies will get the business
opportunity with this new cultural entertainment center. The local interest groups
can utilize this opportunity to boost their business income and serve its people
more effectively. The transit companies, for example, can serve the riding needs
of the project.
Question 3: The CSR model/approach
The ‘Triple Bottom Line (TBL)’ approach can be adopted for this study to
establish the points of consideration for GE’s expansion into Mindanao.
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4CASE ANALYSIS
Fig 1: Triple Bottom Line
The above is a diagrammatic presentation of TBL. It shows that GE must fulfill its
interests at three different layers of TBL to defend its position on CSR. These three
layers are people, profit and planet. The reasons why this model was chosen, are
mentioned below:
People – The island in Mindanao has suffered losses in forms of its scenic
beauties and damage of preserved areas. These factors have significantly
contributed to the fall of travelers' count to Mindanao. The development of a
cultural entertainment center should, therefore, address the social needs of the
destination. The international tourists, in particular, should know the glories and
fame of the island. To let them understand the local culture and know more about
the history of the Philippines, the cultural understanding of the tourists can be
increased. An increased cultural understanding should enable them to interact
effectively with the local people. Moreover, international tourists will feel highly
attached to the culture, which is necessary for a boost in the international tourist
footfall to Mindanao.
Profit – This project has some economic benefits for the case organizations, GE
and AC. To do well with the project, GE and AC should have attractive content
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5CASE ANALYSIS
and modules of cultural programs for the domestic and international travelers.
The travelers should be able to connect with the cultural programs or else the
purpose of the development of this entertainment center might be affected. The
economic benefits of the project should encourage the teaming of GE and AC to
invest more in innovative ideas to boost cultural awareness for travelers.
Planet – Some of the preserved areas on the island have been exploited. The
environmental condition of the island is not very appreciating either. The tourism
sector of the island is in the development needs. The situation as such this gives
some great opportunity to GE and AC. By taking some environmental remedial
actions, GE and AC can make a difference to the environment state of the island.
Any good cause done to the environment will be a boost to the corporate image
of GE and AC.
The TBL approach adopted for the case as shown in the case study of
organizations GE and AC have some limitations. Companies trying to prove their
worth in CSR activities lack a good CSR governance structure. They lack a good
CSR reporting practice needed to accurately show the feats achieved so far as well
as goals to achieve in the future. In addition to this, companies lack good CSR
support at their board members' level. The board members can affect a CSR project
by being ignorant of its related activities. Indeed, the financial, physical and human
supports required for the project needs the approval of the board members of a
company.
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6CASE ANALYSIS
Bibliography
Bosch-Badia, M, J Montllor-Serrats, & M Tarrazon-Rodon, "Efficiency and Sustainability
of CSR Projects.". in Sustainability, 9, 2017, 1714.
Kim, J, K Cho, & C Park, "Does CSR Assurance Affect the Relationship between CSR
Performance and Financial Performance?.". in Sustainability, 11, 2019, 5682.
Lee, S, Y Kim, & T Roh, "Modified Pyramid of CSR for Corporate Image and Customer
Loyalty: Focusing on the Moderating Role of the CSR Experience.". in Sustainability, 11,
2019, 4745.
Ruggiero, P, & S Cupertino, "CSR Strategic Approach, Financial Resources and
Corporate Social Performance: The Mediating Effect of Innovation.". in Sustainability,
10, 2018, 3611.
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