Hotel Industry's Day Out With The Davis Group
Founded in 1978, The Davis Group provides innovative media planning and placement services for clients large and small. We use our extensive experience in traditional and emerging media, coupled with our commitment to staying ahead as these media evolve, to create media and marketing efforts that boost our clients' business. At the Davis Group, we're committed to doing business the right way. To us, that means putting time and money to the best possible use to give our clients powerful, focused, cost-effective media strategies and implementation.
SOLUTIONS. SERVICE. VALUE. ACCOUNTABILITY.
For more than 30 years, The Davis Group has dedicated itself to:
Providing solutions in a proactive manner.
Delivering superior account service for every client.
Getting the “most for the least” -- and making it count.
Actively overseeing all client initiatives, down to the last detail.
The key issues for The Davis group on entering the Australian market can be identified by a SWOT analysis.
Strengths:
- Profitability
The Davis Service Group has been successful in generating profit and growing, they had generated pre-tax profits of £82 million in 2007, which was one million up from the previous year, after that they did have a dip due to the recession as all business were hit and The Davis Service Group lost some customers who suffered from the global recession but they did a lot better than most other business as The Davis Service Group still managed to produced £52 million in their last financial year ending in July 2009, this is a big drop but considering the economic climate the results are very good compared to other companies.
- Successful business model
There has been strong competition in the areas in which The Davis Service Group operates in, however the company has been very successful by looking at their growth and their sales revenues and profits over the last few years. This success is only because of their very successful business model, which brings customers back to the business and their operational efficiencies.
Weaknesses:
- Uncertainty in Overseas markets
Due to the recession the hotel industry has crashed as people can't afford holidays anymore, this will affect The Davis Service Group very badly as hotels are having low occupancy rates, also their tool hire business is suffering in the USA as the dollar gets weaker things could even worsen.
- Customers unaware of business type
Market research shows that many customers believe that HSS is a trade only outlet, which has affected the company. The Davis Service Group is now putting money in to marketing campaigns to make customers aware of the nature of the business.
Opportunities:
- Public Sector
There is a very big demand still for textile maintenance services in the public sector, especially hospitals and boutique hotels; these can bring extra business for the company.
- Acquisitions
As we are in the financial crisis and companies are going into big financial problems this can be a good time to take over these companies which could come cheaply for a bargain as they are in problems, this would be a good way to expand into other markets and grow your company and when the financial crisis is over you will benefit.
Threats:
- Competition
The markets here are very saturated and with the potential for differentiation or innovation very low companies will compete on pricing, service and quality.
Opportunities and Threats for the hotel industry
The demand for tourists is also easily managed. Over the long term, the hotel industry has growth potential. When it comes to diverse topography, India is one of the best. The heritage hotels are great and can provide tourists with a unique experience.
If there are opportunities, you can also find threats. Most of the hotels in India are now being replaced by guest hotels. The trend for guest hotels is increasing and so the hotel industry can be greatly affected. Tourists also have second thoughts about visiting India because of the political turbulence there. The manpower is not trained well and so the industry is easily affected by the country’s economic conditions. Through the SWOT analysis, the hotel industry in India can better meet the needs of tourists. The SWOT analysis can be applied in different industries and for hotels, this is also necessary.
WEAKNESSES
Poor support infrastructure: Though the government is taking necessary steps, many more things need to be done to improve the infrastructure. In 2003, the total expenditure made in this regard was US $150 billion in China compared to US$ 21 billion in India.
Slow implementation: The lack of adequate recognition for the tourism industry has been hampering its growth prospects. Whatever steps are being taken by the government are implemented at a slower pace.
Susceptible to political events: The internal security scenario and social unrest also hamper the foreign tourist arrival rates.
Founded in 1978, The Davis Group provides innovative media planning and placement services for clients large and small. We use our extensive experience in traditional and emerging media, coupled with our commitment to staying ahead as these media evolve, to create media and marketing efforts that boost our clients' business. At the Davis Group, we're committed to doing business the right way. To us, that means putting time and money to the best possible use to give our clients powerful, focused, cost-effective media strategies and implementation.
SOLUTIONS. SERVICE. VALUE. ACCOUNTABILITY.
For more than 30 years, The Davis Group has dedicated itself to:
Providing solutions in a proactive manner.
Delivering superior account service for every client.
Getting the “most for the least” -- and making it count.
Actively overseeing all client initiatives, down to the last detail.
The key issues for The Davis group on entering the Australian market can be identified by a SWOT analysis.
Strengths:
- Profitability
The Davis Service Group has been successful in generating profit and growing, they had generated pre-tax profits of £82 million in 2007, which was one million up from the previous year, after that they did have a dip due to the recession as all business were hit and The Davis Service Group lost some customers who suffered from the global recession but they did a lot better than most other business as The Davis Service Group still managed to produced £52 million in their last financial year ending in July 2009, this is a big drop but considering the economic climate the results are very good compared to other companies.
- Successful business model
There has been strong competition in the areas in which The Davis Service Group operates in, however the company has been very successful by looking at their growth and their sales revenues and profits over the last few years. This success is only because of their very successful business model, which brings customers back to the business and their operational efficiencies.
Weaknesses:
- Uncertainty in Overseas markets
Due to the recession the hotel industry has crashed as people can't afford holidays anymore, this will affect The Davis Service Group very badly as hotels are having low occupancy rates, also their tool hire business is suffering in the USA as the dollar gets weaker things could even worsen.
- Customers unaware of business type
Market research shows that many customers believe that HSS is a trade only outlet, which has affected the company. The Davis Service Group is now putting money in to marketing campaigns to make customers aware of the nature of the business.
Opportunities:
- Public Sector
There is a very big demand still for textile maintenance services in the public sector, especially hospitals and boutique hotels; these can bring extra business for the company.
- Acquisitions
As we are in the financial crisis and companies are going into big financial problems this can be a good time to take over these companies which could come cheaply for a bargain as they are in problems, this would be a good way to expand into other markets and grow your company and when the financial crisis is over you will benefit.
Threats:
- Competition
The markets here are very saturated and with the potential for differentiation or innovation very low companies will compete on pricing, service and quality.
Opportunities and Threats for the hotel industry
The demand for tourists is also easily managed. Over the long term, the hotel industry has growth potential. When it comes to diverse topography, India is one of the best. The heritage hotels are great and can provide tourists with a unique experience.
If there are opportunities, you can also find threats. Most of the hotels in India are now being replaced by guest hotels. The trend for guest hotels is increasing and so the hotel industry can be greatly affected. Tourists also have second thoughts about visiting India because of the political turbulence there. The manpower is not trained well and so the industry is easily affected by the country’s economic conditions. Through the SWOT analysis, the hotel industry in India can better meet the needs of tourists. The SWOT analysis can be applied in different industries and for hotels, this is also necessary.
WEAKNESSES
Poor support infrastructure: Though the government is taking necessary steps, many more things need to be done to improve the infrastructure. In 2003, the total expenditure made in this regard was US $150 billion in China compared to US$ 21 billion in India.
Slow implementation: The lack of adequate recognition for the tourism industry has been hampering its growth prospects. Whatever steps are being taken by the government are implemented at a slower pace.
Susceptible to political events: The internal security scenario and social unrest also hamper the foreign tourist arrival rates.