Seeking Competitive Distinction at Damai Lovina Villas
Throughout this analysis, my purpose is to clarify and condense the information so the reader will have a better understanding at the end of the analysis. This analysis will be broken up into six categories; the executive summary, issue statement, alternatives analysis, recommendations, actions and implementations, and data analysis. In the issue statement, there will be a brief overview on how the hotel companies and the environmental regulations clashed. Throughout the alternative analysis we will discuss different alternatives that Damai could have focused on to benefit and sustain his hotels. As we move to the recommendations our group will give clear advice on how we would’ve handled the situation. Actions and implementations will implement the steps that Damai took to clean up his name and benefit the locals that were on the island. The data analysis will be a break up of data to better explain the situation at hand. Issue Statement:
One of the major issues impacting the Hotels was that the environmental regulations were lacking since existing standards were not enforced and growth often was promoted to the detriment of the environment. For years the Balinese government had promoted sand dredging to enlarge the island for more hotel development off the port of Benoa. By the continued dredging of the sand, this would in effect alter the water currents and the new currents have eroded the natural beaches bordering the town Sanur. Dredging projects rarely involved environmental impact studies or guaranteed protection of natural areas as required by law. Tourism was the island only source of income, but this source of income was causing serious social and environmental problems. For example the drinking water often slowed to a trickle during daylight hours due almost exclusively to the high demand for water in the resort area of Nusa Dua. Also the lack of a centralized waste collection system has encouraged alternative solution such as the formation of an informal collection system. Many hotels and residents left used paper and plastic outside of their properties. Despite these challenges the system successfully diverted a significant amount of waste from the landfill. Data analysis:
As the benefits of advertising proactive environmental efforts were recognized by global hospitality hotels targeted environmentally conscious customers to gain competitive advantage as a result of which helped non luxury hotels command premium prices of $30/night in a very competitive industry. Marketing sustainability shows that participation in a VEP could be costly depending on the program. Adopting a formal EMS and certifying it IDO 141001 may typically cost $270-$1370 per employee depending on the extent to which the company had instituted proactive environmental and continual improvement procedures prior to implementing a formalized Ems. Although more than a dozen VEPs and eco-labeling programs targeted the hotel industry by 2006 only handful of these were available to Indonesia hotel. Alternatives analysis:
Damai has several alternatives to ultimately benefit and sustain its hotel. Damai could of considered voluntary environmental programs and take the risk of the hotels luxury to take a negative impact by lacking integration that can possibly have a major impact in the long run. Another alternative damai could of pursued was a better marketing strategy that fully described everything about the hotel in regards to its environment, community status overall. This could have been achieved through a brief slideshow that offered key components of information on the website or brochure developed by Damai. Damai should focus less on advertising its produces of food and more on the sustainability efforts. A better description and more detailed amount of information given about the hotels sustainability...