STUDY ON IMPACTS OF SEVERE ACUTE RESPIRATORY SYNDROME (SARS) TO OCEAN PARK HONG KONG

DISSERTATION

STUDY ON IMPACTS

SEVERE ACUTE RESPIRATORY SYNDROME (SARS)

OCEAN PARK HONG KONG

In Partial Fulfillment of the Requirements for the Honour Degree of Bachelor of Science in Hospitality Management

ABSTRACT

Due to the sudden onset of Severe Acute Respiratory Syndrome (SARS) in 2003, the operations and market status of Ocean Park Hong Kong (OPHK) particularly on the customer aspect of the industry was affected. The main purpose of this study is to investigate the management solutions of OPHK on the SARS issue. To see the effect of SARS to OPHK, this study has used descriptive research to describe the nature or conditions and degree in detail of the present situation, so the emphasis is on describing rather than on judging. As tourists are increasingly knowledgeable, demanding and more experienced in leisure seeking, in this context, marketing activities prove to be necessary in creation destination image and attraction and maintenance of profitable customers. Possible solutions to tackle problems are to establish sales quotas, relationships with tourists, local agents, corporate tour, and even travel departments of major corporations, or more.

CHAPTER 1 INTRODUCTION

In the era of various occurrences such as globalization, industrialization and technological advancement, the international marketplace including the particular areas and systems is overly affected by the processes intrinsic to them (2001;2003). Among the observable impacts of such emerging conditions in the business world is competition among various industries in every given economy is rapid and stiff. It is as if ‘survival of the fittest, extinction of the weakest’ phenomenon.

Today, as various industries are aiming for competitive advantage and sustainable development among its management and operations, there are numerous actions that are being implemented and are directed to the eventual success and growth of the company’s assets. In competition, there is motivation in every business to improve and develop their objectives. To succeed in global competition, there is a continuous plan to develop marketing techniques such as innovation of new products with higher quality than its competitors.

Aside from competition, there are countless factors that affect the overall conditions of business like customer satisfaction, loyalty, service / brand quality, or others. Initially, it is determined that the ability of a business to stay in significant period of time in the industry where it belongs is on measure of its success. This means that being able to survive is a necessity and survival translates to the ability of a business to compete and marketing strategies are playing key roles in planning to overcome challenges. It is believed that this line of thinking will continue to direct the activities of business into the 21st century (1999). Accordingly, every business is subject to factors that affect its function as a whole. These factors are the ones attributed for the success or even the failure of a business (1997). As a result, there are certain ways or techniques that can be considered in order to emerge and continue to be competitive within the marketplace and address the needs of clients and changes in terms of marketing and management. In a profit-making business, the business organization obviously has to try and achieve this level of customer satisfaction as a way of staying ahead of the competition and making a profit (1994). In order for an organisation to be more competitive in the marketplace, the management must always see to it that they use a management system and strategy that would sustain the capability, strength and competitive position ( 2000; 2003).

However, there are several other factors that are relevant to consider when talking about the future of the business. Among these are the internal as well as external conditions affecting the overall operations and its management. Basing it from the existing knowledge of management, internal conditions such as management, marketing, financial capability, human resources, business strategies, etc. are supplemental factors to the overall business status. On the other hand, external conditions like target market, competition, economic environment of the business, legal matters and legislations, emerging approaches, the threat of outbreak of diseases is a sample determinant of business progression or downfall.

In any business like theme and amusement parks industry, it is important to recognize the most appropriate strategy to be used in promoting the deliberate goals. The management‘s decision in conceptualizing the strategy to be utilized in all the operations of the business is crucial. The position that the management will take in relation to this matter can make or break the overall stature of the firm. As a universal fact, it is natural for every goal-oriented business to plan or learn new things that will facilitate its problem-solution process, expansion and eventual progression.

Background of the Study

Today, companies within and outside the theme and amusement park industry are striving to deliver not only their products and services but also high or even world class quality and satisfaction that will lead to increased customer loyalty and market share – significance of customer satisfaction and relationship with service quality, occupancy rate and profitability has long been exhorted by both management experts and researchers in the tourism field (1994;1996). The positioning in the Hong Kong’s theme and amusement park industry propelled marketing managers to build brand image for their brand names in order to create brand loyalty among its customers. However, in line with this propelled brand-building initiative, organizations must address on many issues in order to create brand loyalty among its customers and improve its position.

On the given issues, organization like Ocean Park in HK requires a massive amount of skill in specialized marketing – that includes establishing sales quotas, establishing relationships with tourists, local agents, corporate tour and even travel departments of major corporations, and more. Also, other external issues affects the company’s marketing operations like the emergence of the dreaded disease SARS (Severe Acute Respiratory Syndrome). It is perceived that the sudden onset of this disease among the Asian countries caused significant damage to the economic environment. Thus, this study attempts to see the effects of SARS in the business operations of OPHK.

As one of the most visited tourist attraction in Hong Kong and even Asia; the Ocean Park HK features several attractions like Headlands Rides, Adventure Land, Marine Land, Lowland Gardens, Kids’ World, Bird Paradise and others (2006). The park was opened on January 10, 1977 and caters to a total of 4.2 million visitors annually – both domestic and foreign. Local residents as well as tourists enjoyed the facilities and services provided by the theme and amusement park. Being one of Hong Kong’s featured tourist attractions, it is also safe to acknowledge to active role of the theme and amusement park as one of the economic drivers of the island. With the emergence of various occurrences like the sudden onset of SARS, the operations and market status particularly on the clientele aspect of the industry is affected. To address such, the management devices strategic plans and implementations that will bring back the prestige and ‘normal’ business processes and outcomes of the theme and amusement park.

Meanwhile, SARS is a disease characterized by atypical pneumonia caused by the SARS corona virus (SARS CoV) (WHO 2004). In 2003, Hong Kong’s economy was hurt by measures undertaken to control an outbreak of SARS, which spread there from China. Hong Kong’s SARS epidemic is closely connected to its complex systems of mobility as a tourist centre and, at the same time, as a global-gateway city (2001;1999). SARS rapid spread from Southern China to Hong Kong and thereafter to 30 other countries was related to the mobility and transnational travel of these actors. According to (2004), on 27 March 2003, WHO recommended that all areas with recent local transmission should screen every international departing passenger to ensure that those who were sick with SARS, or in contact with SARS cases, do not travelling. Following that order, on 2 April 2003, a travel compliance memorandum was issued to warn those who intend to visit Hong Kong and recommended the deferment of it all except for essential trips. These orders are done in order to minimize the international spread of SARS. Also, these warnings began to stigmatize Hong Kong as a ‘no-go area’ (2004). The Hong Kong Tourism Commission (HKTC) recorded a vast drop of visitor arrivals between April and June 2003. With this fact alone, the operations of the OPHK were relatively and extensively affected.

Many countries in the world are developing their theme parks and amusement park sector for increasing revenues for their respective countries in the tourism department. Likewise, many companies or organizations that is heavily dependent upon overseas expenditures by guests as a source of income for the enterprises that export services to these overseas. Thus, tourism development is one of the strategies employed to promote a particular region for increasing commerce through exporting goods and services to non-locals (2001).

In a fact that Ocean Park in Hong Kong is a service and entertainment industry that comprises of numerous tangible and intangible components. Tangible elements include transport systems, hospitality services, and related services (2001). On the other hand, intangible elements include breaks and relaxation, culture, diversion, adventure, new and different experiences (1990). The SARS event constituted a watershed incident for the theme and amusement park industry and to the tourism industry in general. Certainly, Ocean Park HK was one of many theme parks that were challenge by this issue. With direct foreign investment and external trade seriously affected, it is increasingly apparent that SARS has exerted an unfavourable influence on the domestic economy. In particular, SARS has impacted on the marketing operations of the tourism, entertainment, transportation, commerce and other industries (2003). Thus, the disease has slowed down whole sectors of the Hong Kong economy and could threaten long-term development goals. To address the challenge of SARS, the management of every company structured their individual strategies to do away with the adverse effects of the disease. Some companies, like OPHK, implemented various marketing and management scheme, communications, and risk management plans to save the whole organization. The question is, how applicable and effective are these strategies especially their level of significance in addressing the plague.

Research Aims and Objectives

To investigate the management solutions of Ocean Park HK on the issue of SARS, this study provides a case study analysis of the park. Particularly, this study aimed to meet the following:

1. Determine how effective are the approaches in creating brand loyalty among its customers and in improving its position.

2. Investigate the impacts of management solutions on the issues of SARS.

3. Reveal the significant effect to the operation.

Research Questions

OPHK put up a framework strategy in order for them to provide overseas and local guests with experiences of mix entertainment and education together with the park conservation facilities and also to support in understanding and practice of wild life conservation. With these evaluated statements, the study answers the following questions:

1. What are the impacts of SARS issue on external (competition, substitution effect, lower prices) and internal (profitability, operation efficiency and operating cost) operations?

2. How did the management respond to the issue of SARS?

3. With regards to safety and health of customers, what are the strategy to improve and expand service standards and facilities?

Significance of the Study

Theoretically, this study is intended for academicians, business and management students in an attempt to contribute on the existing literature focusing on the effects of SARS in the theme and amusement park industry. Moreover, this study seeks to give information on issues ranging from the effects of SARS on businesses and the possible management solutions. It is also a source of valuable information on how to manage and create management solutions within theme parks on the issue of SARS.

Scope and Limitations

This study is limited in finding the overall effects of SARS to business operations of OPHK. Through this study, readers will know about how Ocean Park and its management act for the development and recovery from the effects of SARS. However, the limitation of this paper is the chance where respondents are not able to give all information needed due to strict confidentiality or other purposes. Another limitation is that there might be other development-based policies to employees that will not allow any interviews. On other occasions, respondents may give answers that they believe are true but are simple versions of the true reasons. There are limitations in the respondents because some of them tend not to take time and concern in the answering of questions no matter how brief or detailed the question may be. They are limitations themselves because of their attitude towards the research procedure. Lastly, the research is also limited by time and circumstance since the topic is extensive in nature but local-based literature is neither unavailable nor inadequate.

Chapter 2 LITERATURE REVIEW

The wide range of literatures related to business management and marketing as well as various phenomena affecting its totality are extensive. Given with this fact, this chapter goes over the related literatures conducted on the area of study. By embarking on such pursuit, the research may be guided accordingly by firstly discovering where the research is coming from, what and how much have been studied regarding the topic and what it is yet to tackle. Besides providing background to the study, this study will provide the necessary theoretical and conceptual aspects in order for the research to stand credible. References from this segment of the paper are a product of broad researching and information retrieval.

The Concept of International Tourism

Tourism, the world’s largest industry, is expected to grow to 1.6 billion arrivals by 2020 (2003). As this subject directly linked to tourism industry, it is imperative to provide an intersecting point of discussion. Majority of authors define tourism within the context of leisure and recreation. According to (1987) “tourism may be thought of as the relationships and phenomena arising out of journeys and temporary stays of people travelling primarily for leisure or recreation purposes”. Moreover, (1995) defined it as “the theories and practice of travelling and visiting places for leisure related purposes”. Thus, the concepts of leisure, recreation and tourism are realized in a variety of activities that offers the opportunity for people to experience enjoyment, satisfaction as well as self-expression making the overall experience motivational. It is also designated from other activities due to its independence from actions involving employment or family care.

However, the World Trade Organization (WTO) broadened the concept of tourism as “the activities of persons travelling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes” (1996). Though not usually thought of as a single cohesive industry, the growth of tourism since World War II has nonetheless been dramatic. Especially nowadays, higher discretionary incomes, smaller family size, changing demographics, lower transportation costs, improved public health standards, infrastructure development, and hospitable environments for tourists in many destinations have made tourism, especially long-distance tourism, an activity within the reach and desires of many members of many nations (1990; 1992; 1998).

Furthermore, developments in marketing, management, vertical and horizontal integration, pricing, and tour packaging, as well as capital investments in physical facilities — “bricks and mortar” — and public infrastructure, have provided tourism with the necessary framework to allow the tremendous growth it has experienced over the past half century (2003). Thus, tourism has indeed emerged as an “industry” which the WTO (1989) generated approximately 74 million jobs in its direct and service-related industries, such as airlines, hotels, travel services, and publications.

Tourism, particularly internationally-based that includes all other types of tourism and activities, remains a consistently productive industry in a volatile global economy. Tourism and travel make up one of the world’s largest industries. In 1999, the World Travel and Tourism Council (WTTC) reported that across the global economy, travel and tourism generates directly and indirectly: 11% of GDP; 200 million jobs; 8% of total employment; and 5.5 million new jobs per year until 2010. The WTO data for 1999 showed that 663 million people spent at least one night in a foreign country, up 4.1 per cent over the previous year. Spending on international tourism reached US3 billion – a growth rate of nearly 3 per cent over 1998 (2002). (2001) added that tourism is frequently perceived as an outstanding means of invigorating and branching out the regional economic base, creating new employment and income potentials for communities and fortifying interpersonal contacts.

With the evolution industries, comes the commercialization of tourism (1990). Overlapping tourism and leisure services, with a growing business services component is a highly competitive global industry (2003). However, there are several issues in the tourism industry that needs further attention and sufficient amount of problem-solution and decision making and taking strategies. With the issues and problems faced, it is but necessary to address educational tourism accordingly. Tourism education and the changes in the social, economic and cultural environment of the global communities call for the necessary measures of proving other wise the claims made in the previous researches. The challenge that confronts the people in the industry is how to manage the attractions grounded on the standards and ideals of the preservation of the historic context and integrity of promoting particular places and artefacts.

Many tourism studies have given much importance on knowing why people travel, which destinations they choose and the factors that play an important role in the selection of vacation destination (2002). Much of the tourism studies have been focused on the push and the pull factors (1980; 1990; 2002). Push or motivational factors enable potential tourist to develop attitudes toward travelling while pull factors refer to the attractions in destinations. (1999) develop a model that lists the factors that influence tourism.

According to most studies ( 1989; 1990;1999;2006), success in tourism marketplace lies on the overall attractiveness and the experiences a destination delivers to its visitors. The strengths and weaknesses of a tourism destination can be recognized through determining the factors underlying destination competitiveness. Destination competitiveness determines the ability of a destination to attract markets and is linked to the ability of a destination to deliver goods and services that perform better than other destinations.

Today, the concept of sustainable tourism is growing. This is a global effort to protect the environment and all factors in tourism. It involves social responsibility, a strong commitment to nature and the integration of local people in any tourist operation or development. Recently, the formation of the idea of sustainable development provided new momentum for tourism planning. For example, (2000) and (1991) identified sustainable development as a primary planning and development theme. In addition, (1994) considered sustainable development as a critical element of effective tourism planning. Recent contributions to tourism planning show a diversity of perspectives. For example, (1999) focused on urban tourism as an economic development strategy. (1999), on the other hand, advanced tourism planning from a growth management perspective and presents case studies of historic districts (e.g. Santa Fe and New Orleans). (1997) and Ioannides (1995) address rural tourism planning in the United States and tourism planning in less developed countries. (1995) extensive tourism planning bibliography remains a useful guide to seminal research in the field. Finally, the WTO’s (1994) National and Regional Tourism Planning offer tourism planning case studies from an international perspective.

Tourism in Hong Kong

Meanwhile, Hong Kong’s identity as one of the most promising and vibrant tourist destination in the world is uncontested. It projects an aura of opulence, efficiency, and high-tech competence ( 2002). Hong Kong had many unique competitive advantages such as the hardware and software required of a world-class city, including keen business acumen, a well-developed infrastructure, a versatile financial system, robust legal institutions, policies conducive to a free and open society, a clean and efficient civil service, simple and low tax, a large pool of talent and a very cosmopolitan community (2003). Because of its abundance in several attractions like the Ocean Park, tourists flock their way to experience Hong Kong’s magnificence and top offers. Among these offerings to the various visitors of the country are the rich assortment of food, entertainment, culture and lifestyle. Hong Kong locates in a favourable geographic location in the centre point of Asia Pacific region with a minimum 5 hour fly reaching most of the areas worldwide, with the support of HK’s hardware, events tourism thrives on this piece of land. Different kinds of events that consist of both commercial, social, cultural, educational in nature are present in this venue ( 2004;2003;2005; 2006).

This year, the Hong Kong Tourism Board (HKTB) works its way to promote HK as “Events Capital” in Asia. There are several ways and means being studied, designed and implemented to realize such vision. The primary responsibilities of HKTB are to market and promote HK as a destination worldwide, as well as to take initiatives to enhance the experiences of its visitors once they have arrived. Its mission, on the other hand, is to maximise the social and economic contribution that tourism makes to the community of Hong Kong, and to consolidate Hong Kong’s position as a unique, world class and most desired destination (2006).

The existence of the developmental action plans, policies, and programs to promote Hong Kong as a top tourist destination is evident. As an example, the promotion of the 2006 Discover Hong Kong with the full support of the state and its stakeholders is highly applicable. The HKTB together with the government established innovative campaign and promotion to develop and promote the country. Historically, Hong Kong is a British colony. With this known fact, there is a wide assortment of information that documented the efforts of developing its tourism planning and economy.

The historical brief of Hong Kong tourism development is limited. This is rooted on the history of the island being British colony for several years. There are other information and developmental facts that are not credited to the present situation. However, in reference to the previous national history, it could be said that Hong Kong tourism is just fresh and pioneering. With the influence of free trade, globalization and advent of modern technological means, the island becomes an instant role model in international tourism. The development of the tourism is still in the making. Thus, it is still on the process of development in cooperation of the government, tourism-related individuals, and Hong Kong people.

Tourism and SARS in Hong Kong

Tourism is a “hidden” industry, encompassing transportation, lodging, and entertainment (2003). But it is not just something that occurs in the environments of destinations overseas but is a function of the interaction of different factors in contemporary society ( 2003). Thus, there are many factors to be considered in dealing with such subject. Among these is the presence of contagious diseases like SARS.

Much has been written and documented in the subject of SARS. Research studies range from medical, economic, sociological, political, industrial, entrepreneurial, and business perspectives. Generally, a comprehensive authoritative guide for managing crises and disasters in tourism risk management for the Asia Pacific region was provided by (2004). This is a useful guide for tourists and hosts in handling tourism-related crises. (2005) have conducted a research study on the SARS-related perceptions in Hong Kong. (2003) wrote an inclusive literature of the SARS epidemic in Hong Kong. (2005) discussed pertinent factors about SARS and its effects in relation to public health. The author enumerated the peculiarities of the disease like its novelty, its ease of transmission in certain settings, and the swiftness of its spread through plane travel, joint with extensive media coverage; psychological impacts; international travel policies released by authorities; governments’ and press’ role in fair and balance communication and risk management; pre-departure screening in airports; screening and infection control capacities at points of entry into the healthcare system; and others. Incorporated in the research body are lessons learned during the outbreak and its effects on the overall scope of international travel.

Meanwhile, (2004) reviewed the spread and impact of the SARS virus within Southeast Asia from a human security perspective. It is intended that the utilisation of human security in this instance will not only provide a better understanding of the impact of SARS on regional states but will also advance the conceptualisation of the human security model (2004).

Several empirical research studies conducted are bounded on the economic aspect. (2004) provided an assessment of the global economic impacts of SARS and a more comprehensive approach to estimating the global consequences of major disease outbreaks using the a global model called the G-Cubed (Asia Pacific) model. Specifically, (2004) conducted their research on the economic impact of SARS in Hong Kong. Included on their research output are the chronologies of SARS as the first deadly infectious disease of the 21st century – its spread in Hong Kong, number of cases, and affected regions. Also, demand and supply side is discussed.

In relation to tourism industry, numerous research articles are published. For instance, (2004) made a case study on the impact of SARS on Hong Kong’s tourism industry, with special attention given to the chronological arrangement of critical SARS-related events. Their findings affirmed that the epidemic had brought out negatively profound impact not only in Hong Kong but also to world tourism. Proven strong impacts are found on Southeast Asian countries. On the macro environment perspective, (2004) conducted his research on the effects of SARS on the Chinese tourism and hotel industry – from Mainland China and territories like Hong Kong and Macau. Findings avowed that the overall effect of SARS to the Chinese economy is relatively minimal yet reiterated that the main lessons are deemed to be social and political in applications. (2005) also conducted a related study on the effects of SARS on Hong Kong tourism industry. Their study is an empirical evaluation that provided an extensive body of knowledge on the pervasive effects of the disease to almost all industries related to hospitality, travel and tourism.

With the onset of such conditions, the entire tourism and hospitality industry had severe setbacks. Furthermore, disasters also contribute to the adverse effects. In their case study, (2006) evaluated the survival of Hong Kong hotels during disasters. It can be claimed that the SARS epidemic is a type of disasters. On the other hand, (2004) dig deeper on the topic of overreaction to SARS and the eventual collapse of Asian tourism. They evaluated the sensationalism brought about by various channels of communication (e.g. media) and provided significant facts about the real nature of the condition.

Other related studies on the effects of SARS in the tourism industry fall in the subject of structural change, consumers and their behaviours, and marketing management conditions. For instance, (2003) examined the possibility of a structural change in Hong Kong’s inbound tourism demand model as a consequence of the Asian financial crisis in 1997. Both authors underwent empirical research methodologies (such as Wald test) to identify the potential of structural change particularly to the Hong Kong’s inbound tourism. They investigated the differences manifested in the model parameters before and after the crisis using pooled time-series and cross-sectional data. Both tourist arrivals and tourism receipts were used as the indicators for tourism demand, and the major economic factors included in the model were income and price. The results supported the hypothesis that structural shift was prevalent in Hong Kong’s inbound tourism demand model. Lastly, important marketing implications for the tourism industry in Hong Kong were also discussed throughout the research body.

(2004) explored the consumers’ perspective in their research. Their research topic discussed the reluctance of Hong Kong consumers in purchasing travel online due to issues like privacy, security and poor customer service, time savings, site usability and information provision. Other consumer-based researches are mainly focused on consumer satisfaction and other consumer and marketing related issues.

In a study conducted by (2004), they investigated the patterns of behaviours and attitudes related to SARS prevention in Hong Kong cross border traveller population using the survey method. They found out several practises done by the respondents surveyed as follows:

ü Around 40% of the respondents were using masks all or most of the time in public places or washing their hands frequently (>10 times per day) and about one third avoided visiting crowded places in mainland China.

ü Around 70% of the travellers would have delayed medical consultation for influenza-like illness in China; 12.7% would not wear masks during such episodes of illness.

ü About 30% of the respondents used to wear masks in Hong Kong but not in mainland China.

ü Gender differences were also observed.

Tan and Enderwick (2006) examined the impact that SARS on the marketing management functions using the case study method. The authors provided recommendations for how uncertainty may be managed in an increasingly globalised world. The aspects of strategic and risk-management, supply-chain management and corporate strategy, and planning are extensively discussed.

Records from WHO (2004) stated that SARS outbreak in the 2002-2003 only resulted in 774 deaths. Together with weak domestic demand conditions, it resulted in low growth in parts of East and Southeast Asia (such as Hong Kong, Korea, Taiwan and Singapore) ( 2004). Generally, the outbreak of SARS directly and indirectly affected the tourism and hospitality industry of Hong Kong and the world.

International Tourism Marketing and Management

With the introduction of open international trade, businesses now have more opportunities to offer their products and services to foreign markets. In order to do this, companies typically answer the questions as to which foreign market will they be entering, how will they enter it and when will be the best time to enter it (2002). Once the company has identified it market prospect, it is then important that the company analyze and understand its selected market segments.

International tourism as a business is undisputedly thriving (2005). As a matter of fact, many countries have recognized tourism as an attractive economic activity due to its major positive economic impacts as it increases foreign exchange earnings as well as income and employment (1997). In a book edited by (2004), they provided different tourism mobility where tourist destinations worldwide are discussed together with some case studies regarding their operations. They focused mainly on modern types of tourism like ecotourism, sports and adventure.

The processes of globalization and market liberalization have made tourism a truly international business activity where tourists or international customers and their satisfaction with the product and its value create need for different business activities (). Although identified as very resistant to changes in different dimension (e.g. economics, politics, etc.), tourism trends – both the supply and demand, have changed during the past few decades. According the manuscript of the said authors, the supply side trends of concentration, specialization and standardization of values and quality as well as the market segmentation are evident, they emphasise certain extent contributed to new demand patterns in international tourism:

l postponed booking (wait-and-see strategy),

l price sensibility

l preference for individual over group travelling

l preference for alternative accommodation over hotels ().

On specific studies, barriers of tourism are considered rigorously. In a study conducted by (2005), she discussed several barriers to leisure travel that causes fear tourist such as contagious diseases. Respondents are varied and came from both domestic and international tourism. In the findings of the study, the analyses of tourism-related fears are proven to be effective method in devising the marketing strategies particularly in marketing communications aspects. Also, Dolnicar’s research recognized the importance of strategic and operational marketing particularly in application to the tourism and leisure industry.

(2003) focused her research on the perspective of international tourism and global public health consequences. Her article argued that there is a unique and growing public health crisis associated with global tourism. The threat is not only among the tourists but also to host societies and the tourists’ home nations. Various considerations like demographics, deforestation, deregulation, decentralization, privatization, and the fragmentation of power pose a dreadful urgency to dealing with this issue(s) are addressed. Studies of warning and advisory mechanisms, authority and political will of international bodies, and the overall importance of tourism to most nations illustrate that regulation and coordination are eroding as the need for international collaboration grows (2003). Richter concluded her research by imposing an action agenda for attempting to deal with this crisis. Due to the threats that hinder tourists to travel, tourism development is affected. In general, tourists are becoming increasingly knowledgeable, demanding and more experienced. Their destination choice, as well as their final evaluation of tourist destination depends on complex package of motives and expectations.

The Hong Kong Ocean Park is a direct product/service offered to its clients. Thus, there are various elements of the marketing field that should be considered like the marketing mix (or the four Ps – product, price, place, and promotion). For example, the relative price of competing tourism destinations can have a significant influence on the choice of destination by potential customers – tourists (2000) especially within the trend of increased price sensitivity. Others like product distribution systems in tourism are complex and affected by many factors. The increased accessibility of both information and destinations significantly influence traditional distribution systems and calls for new technologies and know-how in the area of distribution (). Besides, (2005) found out in an interview with , former Director of the Americas and Hong Kong Tourism Board (HKTB), that the Hong Kong tourism industry under the main umbrella of HKTB are finding ways to draw mare tourists to visit the island. recognized the presence of many complications and obstacles that are affecting travellers. She stated that some are beyond her control, however, she and her staff had overcame numerous challenges including SARS and kept Hong Kong as a top-calibre and forefront travel destination (2005).

In addition, (2005) stated that the economic damage from new diseases (e.g. SARS) far exceeds the number of actual deaths or damages. But the uncertainty that is created by new diseases leads to sharp contraction in certain types of economic transactions; particularly those that involve close social interactions. This tends to centre on the services sector. In addition, the more stringent health and security measures taken by governments are likely to increase the transaction costs of international trade. Considering the contribution of Ocean Park in the tourism industry of Hong Kong, there is a limited scope of research made. However, annual reports are consistently published on the corporate web site for the benefit of people’s knowledge and research efforts. Such annual reports contain financial declarations, chronology of events took place for the whole year, programmes, projects, other innovations and implementations.

In this context, marketing activities prove to be necessary in creation of destination image and attraction and maintenance of profitable customers. These activities start with management of tourist destination, including infrastructure, environment and natural attractions, development of specific strategies and investments, segmenting and monitoring the tourist market, communication with tourist market, and finally organization and management of tourism marketing (1996).

CHAPTER 3 RESEARCH DESIGN AND METHODOLOGY

This study focused on the effects of the disease Sever Acute Respiratory Syndrome (SARS) to Hong Kong’s theme and amusement park industry particularly Ocean Park. To see the effects of SARS issue to Hong Kong Ocean Park, this study has applied descriptive-qualitative research approach. The descriptive research method is primarily concerned with describing the nature or conditions and degree in detail of the present situation (1994). The emphasis is on describing rather than on judging. This study will extend from being descriptive to being analytical as descriptive research alone is not sufficient in the formulation of conclusions (2003).

A purposive sampling design was used in determining the perception of managers and employees of Ocean Park in Hong Kong on management solutions regarding the impact of SARS. The respondents are people who possess extensive background in relation to the study. They are regular employees of Hong Kong Ocean Park. In the survey method, 30 respondents are asked to answer the predetermined statements. The respondents are inclined to the business operations of Ocean Park. Because of their experiences and existing knowledge on the subject, they are very relevant and reliable subject in which the researcher obtained useful and accurate information for the benefit of the study. Frequency, percentage and ranking were used as statistical tools.

The researcher did the actual data collection following these steps: First, formal letters attached in the questionnaire (see Appendices 1 and 2) are sent. Assurance was given on anonymity upon the actual data collection. Data analysis employed in the study was carried out in steps. Every form of data was carefully read in order to have an idea of the whole results concept. The text was read again and divided into meaningful units as the researcher see fit. Data were condensed and formed into syntheses which were integrated to form the address the research questions. When the data has been collected and collated, the results were presented, interpreted, and analyzed.

Primary data are gathered with the aid of the predetermined questionnaire consistently distributed to the respondents. Close-ended survey questionnaire are used in obtaining the information relevant to this study in order to draw out substantial amount of information yet limited in number. This method is useful in collecting data for the following reasons: subjects were asked to respond to the same set of questions in the same order, they had the same set of options for their responses, economical, facilitate easy tabulation and orderly treatment of data. The primary data are then supported by literature reviews using library and internet research. It included books, journals, magazines and newspaper articles, classified documents, and other related publications. The researcher visited online libraries to conduct purposeful readings. The secondary data were used to support and rebut the claims of the study wherein critical examination and analysis of the findings were compared and contrasted with each other.

The importance of exercising caution when interpreting results and drawing conclusions from data was reiterated, since it relates only to a sample. The more carefully the sample size and make-up has been selected, the more value the final data will have.

CHAPTER 4 PRESENTATION, INTERPRETATION AND ANALYSIS

This chapter presents, interprets, and analyzes the data gathered from the survey questionnaire conducted by the researcher from the identified respondents. The general population for this study is composed of 30 respondents who are purposively selected. The researcher used attitude questions to collect quantitative data. Basically, the findings of the study are presented in different sections using the research questions as the heading. The table below also summarizes the result of the survey conducted and served as the sole basis for analysis.

1. What are the impacts of SARS issue on external (competition, substitution effect, lower prices) and internal (profitability, operation efficiency and operating cost) operations?

According to 60% of the total respondents, they strongly agreed that Hong Kong Ocean Park was severely affected by SARS. Similarly, 50% of them agreed that Hong Kong businesses in general are affected by SARS. The outbreak of SARS in Hong Kong from March to June 2003 resulted in a sharp drop in the number of both Mainland and overseas visitors, to a low level that was unprecedented in recent years. The tourism industry was adversely affected. In terms of the external and internal impacts of SARS to the organization, there have been numerous marketing challenges that were identified form the result of the survey questionnaire. Among these are the following:

EXTERNAL IMPACTS (Competition, Substitution Effect, and Lower Prices)

67% of the respondents stated that the number of visitors and tourists who visited OP decreased as a result of this global threat. Due to the fear of acquiring or even spreading the virus, scheduled visitors and tourist of the park cancelled or postponed their visits. This is a natural reaction that occurs among people and is directed for safety purposes.

As a practical and expected outcome, the sales of the theme park also decreased as stated by 53% of the respondents who agreed. The most credible explanation is provided in the annual financial report of the park particularly focusing on the months of March to June 2003. a publicly accessed financial statement is located on the organisation’s corporate web page.

33% of the total population of the respondents believes that competition was no longer stiff during the outbreak of the disease or its growing worldwide. The presumption that potential OP clients tend to travel in other places to avail the services of other amusement and theme park is either valid or not. This is due to the fact that people are still fearful that the virus is also present in the area in which they choose to go. SARS evidently spread among intercontinental borders such as Singapore, Canada, the Philippines, and other specified locations.

With the presence of SARS outbreak that affected HK and other countries who acquired the virus, 50% of the respondents are not particularly certain if local and international tourists who intend to visit OP seek the services of other amusement and theme parks in other countries. In relation to the previous item, the substitution of the products and services of OP by travelling to other countries is not actually feasible. Given the fact that SARS spread all throughout the world, the fear of acquiring the virus is also high. Thus, if OP do not have visitors during the period of the outbreak, it is most likely that other theme and amusement parks do not also have its visitors. However, exemptions are taken to countries that are specified to be SARS-free.

In response to the challenges brought about by the outbreak of SARS, 50% of the respondents agreed that the management and stockholders of OP deliberately conduct internal corporate meetings and engagements to address the effects of the disease. Strategic planning is consists of the process of defining objectives and developing strategies to reach those objectives. In marketing, strategic planning is defined as an organization-wide planning as a way of responding to market opportunities, external environment and target audiences; when doing strategic marketing planning, the decision must be in line with the mission, vision, internal strengths and resources available to the company (1996; 2003; 2003). It has been stated that strategic marketing planning takes place in the context of corporate planning (1985; 1992; 2003).

87% of the total respondents agreed that decision making and taking are very crucial to the management particularly in addressing the difficulty of the existing problem. This may be the case since strategic management is an organization-wide task. Corporate management is process of leading an organization by deploying and manipulating resources. As such, strategic management, which includes strategic marketing planning, takes place in the context of the corporate planning. In addition, the analyses being performed include the investigation of the internal weakness and strengths of the company in relation to the competitors. This means that the whole organization is involved in the process. Aside from investigating the weakness and strengths of the company, strategic positioning is also and important aspect of strategic marketing planning (1996;1998; 2001). Thus, strategic planning creates an avenue for future positive results in relation to the outside world as well as adaptation of potential programs and actions within a long-range planning process of the organization.

80% of the respondents agreed that risk management efforts are reinforced not only to reduce risks but also to eradicate them if possible. Ultimately, it is pertinent that risks are effectively managed for the company to prosper, because by managing business risks, an organization’s health, assets and opportunities will be secured and taken full advantage of ( 2000). Criticality Analysis enables companies like OP to assess and evaluate risks that focus on the gravity of the consequences of an event. The Criticality Analysis involves the identification of an initiating event that can turn out to be risky, the outcome of the initiating risk event, the mode of failure in the negative outcome, and the consequences that are faced by a particular organization.

60% of the respondents also agreed that the OP management lowered its price and improved its existing pricing strategy. Pricing is a dynamic element in the marketing mix since it directly dictates the susceptibility of the consumers to try or purchase the products or services being offered. In this regard, pricing has been a strategic tool among business organizations throughout the life cycle of the products and services in the market because the prices offered affect how the customers well behave in the long term along with its implications on the perception of the market on the value proposition of the goods (1999). According to (1992) pricing in a fluid environment can single-handedly manoeuvre the long-term corporate profitability. An average 1 percent price increase can result to a 12 percent improvement in the company’s operating margin which is four times as profitable as a 1 percent increase in its equivalent production or output volume. The contrary is likewise true and problematic since a price decrease of 5 to 10 percent can eliminate most of the company’s profits. Among the price determinants relevant to mangers in utilizing a comprehensive pricing strategy include the overall company objectives and strategies; the costs; the demand; the competition; and the legal issues (1990). It should always be keep in mind that every pricing consideration must be carefully studied using the perspective of the customers since they alone represent the ultimate reality of the success and growth of the company ( 1971;1988).

77% of the respondents agreed that OP management came up with new promotions that aim to bring back and attract more visitors and tourist. Among these are discounts, raffles, giveaways, membership and loyalty cards, and others. Whereas advertising offers a reason to buy a product, sales promotion gives the customer an incentive to buy it (2003). Sales promotion is a tool that influences the cognitive (behaviour) component of buying behaviour, whereas tools such as advertising, sponsorship and marketing PR play a greater role in the cognitive and affective components of the buying decision. Also, some of the ways that OP acquired cost advantages are by improving process efficiencies, gaining unique access to a large source of lower cost materials, making optimal outsourcing and vertical integration decisions, or avoiding some costs altogether.

67% of the respondents agreed that the management also devised several marketing communications plans and methods to enhance and improve the position of the brand. As stated, there are many actions done by the park’s management to promote the services and products that they offer. Primarily, pricing strategy was done. Pricing strategies provide a theme that guides all of the firm’s pricing decisions for a particular product line and a particular time period and could be either a cost-based or the market-based pricing strategy (1979; 1986). Among the cost-based pricing strategies are: (a) the mark-up pricing, and (b) the target-return pricing. Meanwhile, the market-based pricing strategies include: (a) the floor pricing, (b) the penetration pricing, (c) the parity pricing, (d) the premium or skimming pricing, (e) the price leadership pricing, (f) the stay out pricing, (g) the bundle pricing, (h) the value-based pricing, and (i) the cross-benefit pricing (1988; 1961;1987).

83% of the respondents agreed that public relations, press release, advertisements, and other sales promotions activities are strengthened. The common denominator in marketing communications is the fact that they uses all the given traditional forms of marketing communications such as advertising, direct selling, promotions, public relations, and other or even the sophisticated ‘new media’ technologies or the integrated marketing communications (IMC) model. The IMC is a product of the advertising, direct marketing, and public relations practices (2004). Also, it is a fact that all organizations aim to provide the most appropriate, sustainable and effective marketing communications strategy to the benefits of consumers, the products or services and the organization as well. To this case, it is very well and purposively applied.

INTERNAL IMPACTS (Profitability, Operation Efficiency, and Operating Cost)

The profitability of the park during the peak of alarm caused by SARS lowered, according to 70% of the respondents. Basing on other cases, the profitability of OP is affected as similar to other business in HK particularly those that operates in the tourism and hospitality sectors. It cannot be denied that SARS left the region with constant financial degradation and decrease of revenues as customers are no longer able to avail the services and products of the park. Again, to support such claim, it is very much imperative to see the Annual Report of the park with particular emphasis in the months of March to June 2003.

67% of the respondents also agreed that human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park. It is predetermined that any organisation, may it be profit oriented or not-for-profit, the most vital asset is its employees. And for these organisations to maximise their assets, they should manage the employees’ working condition with intelligence and efficiency ( 1998). They must be allowed to be involved in making work-related decisions to further enhance the organisational structure (1996). Furthermore, the structure of tasks among the employees strengthens the organizational performance (1989). It is therefore necessary to understand the employees for the organization to be effective. The development, building, motivation, enhancement and enrichment of the employees of any organization largely depend on the leadership, mandate and vision of the organization ( 1999). These principles were implemented in the case of OP employees.

With the decrease of tourists and visitors that come in OP or in HK in general does not mean the operating cost of the business also decreased. This is according to the response of 40% of the respondents who are undecided. This is because there are other factors that should be considered in order to validate such claim. However, it can be practically stated that the park and its management implements the most cost-effective mechanisms to save company resources especially so that the influx of tourists and visitors in the park and in HK in general is relatively low.

87% of the respondents agreed that OP personnel rigorously entail efforts to market the products/services of the theme and amusement park. Advertising using different media and focusing on safety and SARS-free environment were utilised to intensify the campaign of attracting more visitors to the park, this is according to 57% respondents who strongly agreed while the 43% remaining also agreed. Similarly, all the respondents agreed (60%) and strongly agreed (40%) that continuous marketing communications activities were practiced. The implementation of IMC and other promotional initiatives that are carefully studied by the management is very evident. The usual strategies were reinforced by strategic partnership to the government, civic organisations, and other tourism and hospitality industry sectors such as Hong Kong Tourism Board (HKTB), travel agencies, and the likes. 50% of the respondents agreed that strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island.

87% of the respondents strongly agreed that safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well. The presence of deliberate information drive and campaign on the prevention and other whereabouts of SARS were done by OP in cooperation to the government and other agencies. Bulletins and memorandums are circulated among the employees. Training, seminar, free regular medical check-up and other medical services, and strict security was ensured among the employees.

67% of the respondents agreed while 33% strongly agreed that the management added facilities and equipments that provide additional safety to the well-being of the visitors and tourists. Aside from the identified mechanisms implemented by the park’s management, there were development of materials that informs the visitors about SARS, free face masks, identified restricted places and other government orders that served as standard operating procedure (SOP) of the moment.

77% of the respondents agreed while the remaining 23% strongly agreed that travel, health and safety bulletins are standardized. This is in response to the national call for unity against the SARS virus. The OP management attended conferences that elicit information that will be used in constructing frameworks that will minimise the adverse effect of the killer disease.

67% of the respondents agreed that there were coordinating efforts to communicate and cooperate with related areas of the government like tourism and hospitality industry and all of these are planned. Again, this is directed to the eventual construction of solutions to the existing problem that affects almost all businesses in the area.

40% of the respondents agreed that the role of the government in helping businesses was highly needed. Like no other organisation can do, the government’s role in protecting the welfare of the contributors to its economy is significant. Thus, the authorities made all the possible solutions that will eventually minimise harmful effects of SARS. It also included the health and medical attention of all people living in the region. In connection with this, 53% of the respondent agreed that laws and regulations are provided to serve the interest of the public. It is all directed to safety and immediate prevention of the disease, eradication of the virus, and overall condition of living in HK. 63% of the respondents agreed that policy and regulations were also standardized by the OP management in response to the need of providing the most effective and immediate solutions.

With the overall result of the survey in both external and internal aspects, it could be safely claim that the operational efficiency of Ocean Park improved during the SARS outbreak but not in terms of profitability but in the application of the most appropriate and satisfactory management and marketing functions. The external and internal impacts of SARS in Ocean Park and Hong Kong in general served as the reactant for the management to evaluate its capabilities to solve risky and challenging situation like this.

2. How did the management respond to the issue of SARS?

There have been few management and marketing strategies that were implemented as a response to the issue of SARS. Among these are:

Development of Brand personality and identity

Ocean Park corporate missions intend to provide local and overseas visitors with experiences that combine entertainment and education. Also, they assist in the understanding and practice of wild life conservation. The brand identity and personality of OP among its clientele is a theme and amusement park and a venue that mixes entertainment and education. In every given business, the name itself portrays different meanings. This serves as the reference point and sometimes the basis of customers on what to expect within the company. Since personality affects product image (1994), the presence of brand helps in the realization of this concept. Traditionally, brand is a symbolic manifestation of all the information connected with a company, product, or service (2003; 2003). A brand is typically composed of a name, logo, and other visual elements such as images, colours, and icons (2001; 1994). It is believed that a brand puts an impression to the consumer on what to expect to the product or service being offered ( 1995). In other application, brand may be referred as trademark, which is legally appropriate term. The brand is the most powerful weapon in the market (1999). Brands possess personality in which people associate their experience. Oftentimes, they are related to the core values the company executes.

The art of creating and maintaining a brand is called brand management. Brand management is the application of marketing techniques to a specific product, product line, or brand. It seeks to increase the product’s perceived value to the customers thereby increase brand franchise and brand equity. Marketers see brand as an implied promise that the level of quality of people have come to expect from a brand will continue to present and future purchases of the same product. This may increase sales by making a comparison with competing products more favourable. It may also enable the manufacturers to charge more for the product. The value of brand is determined by the amount of profit it generates for the manufacturer. This results from a combination of increased sales and increase price. Brand management begins with the understanding what brand really means.

In the case of OP, while the park’s management practically and continuously expands and improves its facilities and services, particularly entertainment, they also seek out and introduce new educational programmes and opportunities to promote lifelong learning. Thus, the original brand personality and identity of OP as an established venue for entertainment, education and wild life conservation is developed and reinforced during the outbreak of SARS. This is apparently related to the presence of numerous integrated marketing communications techniques that are deliberately implemented together with selected marketing strategies.

Implementation of Selected Marketing Strategies

Today’s market is characterized by highly competitive organizations which are all vying for consumer’s loyalty. Firms are faced with the challenge to maintain their own competitive edge to be able to survive and be successful. Strategies are carefully planned and executed to gain the ultimate goal of all: company growth. However, external factors are not the only elements which influence growth. There are also internal factors, components working within the organization which shape the direction of the company. One of these is marketing mix. Marketing mix, according to (1990), is “the set of controllable marketing variables that the firm blends to produce the response it wants in the target market.” The marketing mix is composed of 4Ps known as product, price, place, and promotion. Ocean Park perfected the application of the marketing mix. It is notable to restate that with the constant research and development in their product, pricing, placement and distribution, as well as promotion, their brand remain as the leader in the theme and amusement park in the Hong Kong as well as Asian market. In their product/service, high quality is maintained. This is evident in their continuous development of existing facilities and equipments or addition of other park attractions that will eventually increase and ensure customer satisfaction. For example, in November 2006, Ocean Park exposed its Redevelopment Strategy with the purposes to maximise the so-called “Edutainment Experience” ( 2007). The fact that their products/services exceed the customers’ requirements, the price is relatively fair. In terms of distribution, their strategic placement of the park contributes to the increase numbers of visitors and tourists both domestic and international in nature. Also, Hong Kong is known for sustaining its competitive advantage especially in Asia’s hotel as well as tourism industry ( 2000; 1994). Hong Kong’s favourable geographic location in the centre point of Asia Pacific region with a minimum five (5) hour fly reaching most of the areas worldwide makes it one of its selling points. Furthermore, OP products/services are highly prominent due to the different marketing communication tools used in promoting to the target market. There are numerous promotions during the outbreak (see Press Releases). These promotional efforts go hand in hand with the marketing communications strategies identified by the survey respondents. Generally, OP management’s continuous integration of all the elements of the marketing mix and the appropriate marketing and management of the internal organization also serves as a powerful weapon in combating the rapid and stiff competition in the global marketplace.

Designing and Application of Marketing Communications Techniques

The marketing concept states that the nature of the marketing orientated organization, whether product or service based, profit or non profit based, is the identification and genuine satisfaction of customers needs and wants, more effectively and efficiently than the competition (1999). (1996) affirmed that “the advent of new communication technologies has facilitated the use of a number of sophisticated marketing communications devices to support either mass marketing or focused marketing activities” (). With this fact, the present marketing communication mechanisms that operate in the industry today is a bit different with the past decades. The general concept of marketing communication pertains to any messages and related media used to communicate a product, service, brand, organisation or company. Aside from the five usual major models of communication used – advertising, sales promotion, public relations and publicity, personal selling, and direct marketing (2002), others concepts like branding, graphic design, packaging, and online marketing are integrated. Marketing communications activities contribute to the organization’s reputation and image (2002).

During the SARS outbreak, there have been initiatives that the management utilised in order to do away with the adverse effects of the deadly virus particularly in the business operations. According to facts, OP used the integrated marketing communications (IMCs) principles due to the fact that it is the most compelling method to be used during the time. The condition of the market needs to be addressed by influx of information that will maintain the brand personality of the OP and still attract visitors amidst the present danger. The IMC is a product of the advertising, direct marketing, and public relations practices ( 2004). (2000) defines IMC as “a strategic business process used to plan, develop, execute, and evaluate coordinated, measurable, persuasive brand communication programs over time with consumers, customers, prospects, and other targeted individuals”. The IMC was used to increase the presence of the brand among various media and at the same time emphasising safety. Channel communications, at the same time, works in a two-way system wherein information transfers to the user and bounces all the way back to the producer (1992). In other words, marketing communications works like a feedback system, which allows company producers to relay information to the customers. In response to the provided information, consumers give certain reactions or behaviours towards the subject. OP management wanted to assure potential visitors that their stay in the park will be safe and SARS-free. According to (1990), if consumers somehow become better customers – that is, more knowledgeable, participative, or productive – the quality of the service experience will likely be enhanced for the customer and the organization. With the designing and application of marketing communications initiatives, the respondents believed that OP will still be marketable. Among the most persuasive and remarkable marketing communications done by OP is the publication of Press Releases.

During the peak of SARS outbreak from March to June 2003, there are several press releases that are indirectly aims to market or offer the services and products of OP. As based on the list, there are no press releases circulated during the month of March to mid-April. The first press release dated April 16, 2003 and tackles on “Encouraging the Public to Take a Breath of Fresh Air This Easter Holiday Outdoor education programs promise to be a fun, out-of-the-box learning experience”. For the month of May, the most remarkable news release was dated May 20, 2003 and states that the park will have new operations arrangement as it will be open in 6 days a week. If taken into closer look, this action that the management implemented could be interpreted as a strategic marketing technique. Other press releases are the following:

Ocean Park Launches Fathers’ Day Special in June Half-price entry for fathers to encourage the public to enjoy a fresh and healthy holiday released on 27 May 2003.

Ocean Park offers free admission to children released on 23 June 2003.

New Sea Animals Join Atoll Reef at Ocean Park released on 11 July 2003.

Ocean Park Re-opens on Mondays Rolling out of Summer campaigns to get the business back on track released on 17 July 2003.

Ocean Park Kicks Off Wild Summer Bring out your wild side with Ocean Park Saturday Gone Wild — Kittyland released on 21 July 2003.

Spotlights shine on the stars at Ocean Park’s aquariums Narrative tour offers visitors a closer look at the stars of the sea released on 25 July 2003.

Just after the outbreak, there are other press releases issued by the management as an action that aims to attract visitors and tourists to experience the OP adventure once again. Supported by other marketing communications techniques, the OP management gradually brought back its operational efficiency and normalcy.

3. With regards to safety and health of customers, what are the strategies to improve and expand service standards and facilities?

Aside from the aforementioned discussions, the OP management focused on the safety and health of customers by having some health advisories in cooperation with Government and international organisations that are also fighting a similar advocacy. Increased marketing strategies particularly on pricing and promotions and reinforced marketing communications techniques also associated the message of customer safety and health protection. Strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island. Safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well. The management added facilities and equipments that provide additional safety to the well-being of the visitors and tourists. Travel, health and safety bulletins are standardized. There were coordinating efforts to communicate and cooperate with related areas of the government like tourism and hospitality industry and all of these are planned.

Since SARS is a contagious and deadly virus, it is expected that people are afraid to be inflicted. The result is that they will just stay on the comfort of their homes never minding the idea of leisure and entertainment. As the business of OP continues, it is necessary for the park to attract tourists and visitors no matter how bad the situation is. Thus, the management implemented some strategies that alleviate the fear of people. One of these is the cooperation of the park’s authorities with regards to the implementation of national policies and regulations. According to the statistics released by the Immigration Department, about 800,000 to 900,000 Mainland visitors travel to Hong Kong each month. The ratio of visitors under the scheme rose from 5% to 16.8% between August and October 2003, and to more than 30% in May 2004. The number of visitors prompted OP authorities to issue health and safety advisories, increased security check, distribution of free face mask or even voluntary and preliminary medical check-up upon entry to the park’s premises. When it comes to the employees, they are given sufficient amount of information and precautionary measures on how the virus is acquired, what causes it, how to avoid it, and issues alike. This strategy shows that the park management is concerned not only to the welfare of the employees but most importantly the visitors and clients who bring profit to the company.

SUMMARY TABLE

STATEMENTS

1. Hong Kong Ocean Park was severely affected by SARS. According to 60% of the total respondents, they strongly agreed that Hong Kong Ocean Park was severely affected by SARS.

2. Hong Kong businesses in general are also affected by SARS. Similarly, 50% of them agreed that Hong Kong businesses in general are affected by SARS.

3. As a result of this global threat, the number of visitors and tourists who visited Ocean Park decreased. 67% of the respondents stated that the number of visitors and tourists who visited OP decreased as a result of this global threat.

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4. Ocean Park sales also decreased. As a practical and expected outcome, the sales of the theme park also decreased as stated by 53% of the respondents who agreed.

5. Competition was no longer stiff during the outbreak of the disease or its growing worldwide. 33% of the total population of the respondents believes that competition was no longer stiff during the outbreak of the disease or its growing worldwide.

6. Local and international tourists who intend to visit Ocean Park resulted to other theme and amusement parks in other countries. With the presence of SARS outbreak that affected HK and other countries who acquired the virus, 50% of the respondents are not particularly certain if local and international tourists who intend to visit OP seek the services of other amusement and theme parks in other countries.

3.3

7. Internally, the management and stockholders of Ocean Park deliberately conduct corporate meetings and engagements to address the effects of SARS. In response to the challenges brought about by the outbreak of SARS, 50% of the respondents agreed that the management and stockholders of OP deliberately conduct internal corporate meetings and engagements to address the effects of the disease.

8. Decision-making and taking are crucial to the management. 87% of the total respondents agreed that decision making and taking are very crucial to the management particularly in addressing the difficulty of the existing problem.

9. Risk management efforts are reinforced. 80% of the respondents agreed that risk management efforts are reinforced not only to reduce risks but also to eradicate them if possible.

10. In its specific business strategies, the Ocean Park management lowered its price and improved its existing pricing strategy. 60% of the respondents also agreed that the OP management lowered its price and improved its existing pricing strategy.

11. They came up with new promotions that will bring back and attract more visitors and tourists (e.g. discounts, raffles, giveaways, membership and loyalty cards, etc.). 77% of the respondents agreed that OP management came up with new promotions that aim to bring back and attract more visitors and tourist. Among these are discounts, raffles, giveaways, membership and loyalty cards, and others.

12. The management also devised several marketing communications plans and methods to enhance and improve the position of the brand. 67% of the respondents agreed that the management also devised several marketing communications plans and methods to enhance and improve the position of the brand.

13. Public relations, press release, advertisements, and other sales promotions activities are strengthened. 83% of the respondents agreed that public relations, press release, advertisements, and other sales promotions activities are strengthened.

14. Ocean Park profitability significantly lowered during the peak of alarm caused by SARS. The profitability of the park during the peak of alarm caused by SARS lowered, according to 70% of the respondents.

15. Human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park. 67% of the respondents also agreed that human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park.

16. The operating cost of the business decreased during the outbreak of the disease. With the decrease of tourists and visitors that come in OP or in HK in general does not mean the operating cost of the business also decreased. This is according to the response of 40% of the respondents who are undecided.

17. Ocean Park personnel rigorously entail efforts to market the products/services of the theme and amusement park. 87% of the respondents agreed that OP personnel rigorously entail efforts to market the products/services of the theme and amusement park.

18. Advertisements through various media focusing on safety and SARS-free environment were used to intensify the campaign of attracting more visitors to the park. Advertising using different media and focusing on safety and SARS-free environment were utilised to intensify the campaign of attracting more visitors to the park, this is according to 57% respondents who strongly agreed while the 43% remaining also agreed.

19. Continuous marketing communications was practiced. All the respondents agreed (60%) and strongly agreed (40%) that continuous marketing communications activities were practiced.

20. Strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island. 50% of the respondents agreed that strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island.

21. Safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well. 87% of the respondents strongly agreed that safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well.

22. The management added facilities and equipments that will provide safety and wellbeing of visitors and tourists. 67% of the respondents agreed while 33% strongly agreed that the management added facilities and equipments that provide additional safety to the well-being of the visitors and tourists.

23. Travel, health and safety bulletins are standardized. 77% of the respondents agreed while the remaining 23% strongly agreed that travel, health and safety bulletins are standardized.

24. Communication and cooperation with related areas of the government like tourism and hospitality was also premeditated. 67% of the respondents agreed that there were coordinating efforts to communicate and cooperate with related areas of the government like tourism and hospitality industry and all of these are planned.

3.3

25. The role of the government in helping businesses was highly needed. 40% of the respondents agreed that the role of the government in helping businesses was highly needed.

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26. Laws and regulations are provided to serve the interest of the public. 53% of the respondent agreed that laws and regulations are provided to serve the interest of the public.

27. Policy and regulations were also standardized by the Ocean Park management in response to the need to provide solutions. 63% of the respondents agreed that policy and regulations were also standardized by the OP management in response to the need of providing the most effective and immediate solutions.

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CHAPTER 5 SUMMARY, CONCLUSION AND RECOMMENDATION

This chapter presents the summary, the conclusions, and the recommendations of the researcher in relation to the study – Impacts of Severe Acute Respiratory Syndrome (SARS) to Ocean Park Hong Kong.

After conducting an extensive period of doing research and probing, the researcher accomplished the results of the study through the aid of the facts collected in the survey, interview, and related literatures. The researcher came up with the following summary, conclusions, and recommendations.

SUMMARY

The main purpose of this study is to find out the impacts of SARS to Ocean Park Hong Kong. Specifically, this study focused on the following research questions:

1. What are the impacts of SARS issue on external (competition, substitution effect, lower prices) and internal (profitability, operation efficiency and operating cost) operations?

2. How did the management respond to the issue of SARS?

3. With regards to safety and health of customers, what are the strategy to improve and expand service standards and facilities?

This study was based on the theories and concepts of business management and marketing strategies particularly on difficult challenges like SARS. For this research, the researcher employed the descriptive-qualitative research approach. In order to collect facts and information to be used in answering the research questions, the researcher decided to use the survey questionnaire method and is distributed to 30 respondents regardless of demographic profile. The questionnaire form is a series of close-ended attitude questions that will asked if they agree or disagree with the identified statements. After the survey method, data are tabulated, interpreted using the frequency, percentage and ranking as statistical instruments, and finally analyzed. In the same manner, a general table is presented. In the analysis, literatures collected from related sources are used to back up such claims and statements.

Summary of Findings

Hong Kong Ocean Park was severely affected by SARS. According to 60% of the total respondents, they strongly agreed that Hong Kong Ocean Park was severely affected by SARS. The remaining 40% plainly agreed.

Hong Kong businesses in general are also affected by SARS. Similarly, 50% of them agreed that Hong Kong businesses in general are affected by SARS. 10% are undecided while 40% strongly agreed.

As a result of this global threat, the number of visitors and tourists who visited Ocean Park decreased. 67% of the respondents agreed that the number of visitors and tourists who visited OP decreased as a result of this global threat. 6.7% are undecided while 27% strongly agreed.

Ocean Park sales also decreased. As a practical and expected outcome, the sales of the theme park also decreased as stated by 53% of the respondents who agreed. 39% are undecided while 17% strongly agreed.

Competition was no longer stiff during the outbreak of the disease or its growing worldwide. 33% of the total population of the respondents believes that competition was no longer stiff during the outbreak of the disease or its growing worldwide. The remaining respondents are divided into: 10% strongly disagreed, 17% disagreed, 23% undecided, and 17% strongly agreed.

Local and international tourists who intend to visit Ocean Park resulted to other theme and amusement parks in other countries. With the presence of SARS outbreak that affected HK and other countries who acquired the virus, 50% of the respondents are not particularly certain if local and international tourists who intend to visit OP seek the services of other amusement and theme parks in other countries. Meanwhile, 13% disagreed, 33% agreed and 3.3% strongly agreed.

Internally, the management and stockholders of Ocean Park deliberately conduct corporate meetings and engagements to address the effects of SARS. In response to the challenges brought about by the outbreak of SARS, 50% of the respondents agreed that the management and stockholders of OP deliberately conduct internal corporate meetings and engagements to address the effects of the disease. 17% are undecided and 33% strongly agreed.

Decision-making and taking are crucial to the management. 87% of the total respondents agreed that decision making and taking are very crucial to the management particularly in addressing the difficulty of the existing problem while 13% strongly agreed.

Risk management efforts are reinforced. 80% of the respondents agreed that risk management efforts are reinforced not only to reduce risks but also to eradicate them if possible while 20% strongly agreed.

In its specific business strategies, the Ocean Park management lowered its price and improved its existing pricing strategy. 60% of the respondents also agreed that the OP management lowered its price and improved its existing pricing strategy while the remaining 40% strongly agreed.

They came up with new promotions that will bring back and attract more visitors and tourists (e.g. discounts, raffles, giveaways, membership and loyalty cards, etc.). 77% of the respondents agreed as 23% strongly agreed that OP management came up with new promotions that aim to bring back and attract more visitors and tourist. Among these are discounts, raffles, giveaways, membership and loyalty cards, and others.

The management also devised several marketing communications plans and methods to enhance and improve the position of the brand. 67% of the respondents agreed that the management also devised several marketing communications plans and methods to enhance and improve the position of the brand. Both 17% was allocated for undecided and strongly disagree responses.

Public relations, press release, advertisements, and other sales promotions activities are strengthened. 83% of the respondents agreed while the remaining 17% strongly agreed that public relations, press release, advertisements, and other sales promotions activities are strengthened.

Ocean Park profitability significantly lowered during the peak of alarm caused by SARS. The profitability of the park during the peak of alarm caused by SARS lowered, according to 70% of the respondents who agreed and 10% who strongly agreed. However, 20% are undecided.

Human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park. 67% of the respondents also agreed that human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park. 10% are undecided and 23% strongly agreed with this statement.

The operating cost of the business decreased during the outbreak of the disease. With the decrease of tourists and visitors that come in OP or in HK in general does not mean the operating cost of the business also decreased. This is according to the response of 40% of the respondents who are undecided. 17% also disagreed while 27% agreed and 17% strongly agreed.

Ocean Park personnel rigorously entail efforts to market the products/services of the theme and amusement park. 87% of the respondents agreed wile 13% strongly agreed that OP personnel rigorously entail efforts to market the products/services of the theme and amusement park.

Advertisements through various media focusing on safety and SARS-free environment were used to intensify the campaign of attracting more visitors to the park. Advertising using different media and focusing on safety and SARS-free environment were utilised to intensify the campaign of attracting more visitors to the park, this is according to 57% respondents who strongly agreed while the 43% remaining also agreed.

Continuous marketing communications was practiced. All the respondents agreed (60%) and strongly agreed (40%) that continuous marketing communications activities were practiced.

Strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island. 50% of the respondents agreed that strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island. 13% are undecided and 37% strongly agreed.

Safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well. 87% of the respondents strongly agreed while 13% agreed that safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well.

The management added facilities and equipments that will provide safety and wellbeing of visitors and tourists. 67% of the respondents agreed while 33% strongly agreed that the management added facilities and equipments that provide additional safety to the well-being of the visitors and tourists.

Travel, health and safety bulletins are standardized. 77% of the respondents agreed while the remaining 23% strongly agreed that travel, health and safety bulletins are standardized.

Communication and cooperation with related areas of the government like tourism and hospitality was also premeditated. 67% of the respondents agreed that there were coordinating efforts to communicate and cooperate with related areas of the government like tourism and hospitality industry and all of these are planned. The remaining respondents resulted to: 3.3.% disagree, 13% undecided, and 17% strongly agree.

The role of the government in helping businesses was highly needed. 40% of the respondents agreed that the role of the government in helping businesses was highly needed. Meanwhile, 6.7% are disagreed, 27% are undecided and 27% strongly agreed.

Laws and regulations are provided to serve the interest of the public. 53% of the respondent agreed that laws and regulations are provided to serve the interest of the public. 17% are undecided and 30% strongly agreed.

Policy and regulations were also standardized by the Ocean Park management in response to the need to provide solutions. 63% of the respondents agreed that policy and regulations were also standardized by the OP management in response to the need of providing the most effective and immediate solutions. 6.7% are undecided and 30% strongly agreed.

CONCLUSION

According to the result of the survey questionnaire conducted among the respondents, the outbreak of SARS significantly affect the overall business condition of Ocean Park and Hong Kong economy in general. The impacts vary from EXTERNAL IMPACTS (e.g. Competition, Substitution Effect, and Lower Prices) and INTERNAL IMPACTS (e.g. Profitability, Operation Efficiency, and Operating Cost). In competition, it was no longer stiff during the outbreak of the disease or its identified growth worldwide. However, it could be deemed that local and international tourists may or may not seek the services of other amusement and theme parks in other countries. Also during the outbreak, the management and stockholders of OP deliberately conduct internal corporate meetings and engagements to address the effects of the disease. Decision making and taking are very crucial to the management particularly in addressing the difficulty of the existing problem. Further, risk management efforts are reinforced not only to reduce risks but also to eradicate them if possible. There have been many marketing strategies that were implanted during the difficult times. The OP management lowered its price and improved its existing pricing strategy. The park’s management also came up with new promotions that aim to bring back and attract more visitors and tourist. Among these are discounts, raffles, giveaways, membership and loyalty cards, and others. They devised several marketing communications plans and methods to enhance and improve the position of the brand. Public relations, press release, advertisements, and other sales promotions activities are strengthened.

Internally, the profitability of the park during the peak of alarm caused by SARS significantly lowered. Human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park. However, it is not particularly identified if the operating cost of the business also decreased during the situation. OP personnel rigorously entail efforts to market the products/services of the theme and amusement park. Advertising using different media and focusing on safety and SARS-free environment were utilised to intensify the campaign of attracting more visitors to the park. Continuous marketing communications activities were apparently practiced.

In terms of health of the park’s visitors and tourists, strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island. Safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well. The management added facilities and equipments that provide additional safety to the well-being of the visitors and tourists. Travel, health and safety bulletins are standardized. There were coordinating efforts to communicate and cooperate with related areas of the government like tourism and hospitality industry and all of these are planned. The role of the government in helping businesses during the difficult times was highly needed. Laws and regulations are provided to serve the interest of the public. Such policy and regulations were also standardized by the OP management in response to the need of providing the most effective and immediate solutions.

Various marketing and management techniques, initiatives and schemes are widely applied. These are all product of intensified decision making and taking of the authorized OP individuals. The deliberate goal of minimizing the risks that the outbreak shall make is very outstanding. With these efforts of the park’s management, the damages are not large in actuality, business profitability is still consistent, and business operations are continuously done taking in mind the welfare of park’s clientele in balance with the management.

RECOMMENDATIONS

After some detailed and eclectic analysis, the following could be considered as practical recommendations to further intensify the competitive edge of the company. Deriving from the analysis between the industry, operations management and capabilities of Ocean Park Hong Kong and its management, many strategic options would become imperative. It is therefore essential to evaluate these strategic options as to whether they are appropriate to the issues addressed, whether they are feasible enough to be implemented and their acceptability to key stakeholders.

Ocean Park must intensify risk management strategies so that if problems such as SARS or even terrorism occur, they are competently and completely prepare to combat the impending dangers – without sacrificing too much of the organisations assets and resources.

In organizational planning and decision making, there is definitely a need to reconcile both the inside-out and outside-in capabilities. While OP’s operations management involves focusing on its core competencies with market position following its resource base, the park will be put into a disadvantageous position if they choose to neglect both the macro as well as the micro industry environment. Therefore, they must be aware of the latest operations management changes, as well as changes in political, economic, legal and even demographic trends in order to develop the outside-in capabilities, such as market sensing, customer linking, channel bonding and technology monitoring.

The advantages enjoyed by OP may come in the form of increased revenues. Knowing what the market demands and the latest trends could help the company fully exploit its research and development (R&D) capabilities to come out with products which are not only cost-effective but also high in quality. The strategic option can even be used as marketing tool where the focus is on staying close to their customers and listening to their feedbacks. On the flip side of the coin, there will be huge mobilization of resources involved, and the associated risks bestowed on the restaurants’ authorities.

Nevertheless, the mentioned strategic option seems the most practical in the wake of globalization, since there is a sudden shift towards a more integrated and independent world economy. The key stakeholders too should not have any objections so long as OP’s core business is not threatened. By virtue of the restaurants’ centralized control of its business, it is being expected that major barriers should not exist in carrying out such an option except additional time may be required given the scope and span of operations.

Understanding the strategic importance of operations and risk management is something that OP personnel have to be familiar with. Authorities normally practice a centralized and globally scaled configuration of operations and capabilities. This allows information dissemination to be retained. There are many factors that contribute to the success and perhaps the minor setbacks that the OP faces. What brought them to success is the fact that they consider, not only the amount of profit they make, but also the satisfaction of the customers. Lastly, their continuous innovations and outstanding social responsibility must persist. The effectiveness of the restaurant authorities in coping up with changes can be related to the Model of Continuous Improvement (see Appendix 3). The Model of Continuous Improvement may help organizations to have sufficient knowledge on the factors that are directly involved in the process. With this, continued patronage and expansion is not far at hand.

The need to be innovative and the need to explore new approaches in the future are integral parts of the company’s culture. There is a willingness to take risks and an eagerness to break new ground. People are hired for their creativity and diversity. Innovative people are appropriately recognized. Thus, formal training sessions are used to help people free up their creative energies and become more innovative ( 1995). R&D programs must be directed to the progress and growth of the company. This will also help in developing more products that will address the competition in the market.

In customer welfare, consumer feedback system must be reinforced. The resolution of customer complaints and problems is a key for companies to be able to maintain the loyalty of their unsatisfied customers. Discontented customers are more likely to tell people about their experience than satisfied customers are (1997). After finding out the problems from the viewpoint of the customers, the park’s management should undertake actions that would not only address the complaints of the customers but as well as actions that would lead to organisational improvements.

In implementing marketing strategies, there is a need for continuing optimization – the ability to assess a myriad of possibilities in order to find the best one or near best one (2003). In cooperation with the other elements of marketing and business management, strategies must be evaluated and improved. In building the impression of people about the company, OP must reach out to a broader target market and must project an image relevant to every members of the society. Its corporate social responsibility must be defined.

In the management of Ocean Park, leadership and administration of the company must be a supplemental mechanism in the workforce. Human resources management improvements must be considered to fully utilize human asset. With the growing market and competitive edge of OP, its workforce also plays a significant role in materializing defined objectives and achieving success.

According to (1995), “corporate success is based on the distinctive capabilities of the firm – those things, often the product of its particular history, which competitors cannot reproduce even after others realize the benefits these capabilities bring to the company that enjoys them.” For some people judge success by size, they look at a firm’s sales, its market share, and its value on the stock market. Sometimes performance is assessed by reference to rate of return. This can be measured as return on equity, on investment, or on sales. And sometimes success is measured by growth, reflected in increase in output, movements in earnings per share, or prospectively, the firm’s price-earnings ratio. All of these are aspects of successful performance. The current position of Ocean Park in the theme and amusement industry of Hong Kong and Asia in general is a clear definition of success.

All in all, the Ocean Park management survived the SARS outbreak that predominantly affected almost all economic aspect of the region. With the implementation of carefully studied and appropriate marketing and management strategies, the park eventually learned its lesson and constantly developed its ability to cope up with such challenges – harder or larger – in the future.

APPENDICES

Appendix 1 Letter to the Respondent

To the respondent,

Greetings!

The researcher is conducting a survey concerning the effects of the disease Severe Acute Respiratory Syndrome (SARS) in the business marketing management of Ocean Park Hong Kong. To enable the researcher to make the necessary conclusions and recommendations for this study, it would be very much appreciated if you answer all the items in this questionnaire.

Information given will be treated in strictest confidence.

Thank you!

The Researcher

Appendix 2 Survey Questionnaire

Part 1. Personal Data

Direction: Please fill up in all the necessary information about yourself. Do not leave any item unanswered.

a. Gender

( ) Male ( ) Female

b. Age Group

( ) 18-22 ( ) 23-27 ( ) 28-32

( ) 33-37 ( ) 28-42 ( ) 43-above

c. Civil Status

( ) Single ( ) Married ( ) Separated ( ) Widow/Widower

d. Highest Educational Attainment

( ) Completed Primary ( ) Completed Secondary

( ) Undergraduate ( ) Graduate

Part 2. Perception of the Respondents

Directions: Check the best choice that accurately corresponds to your answer.

STRONGLY DISAGREE

DISAGREE

UNDECIDED

AGREEE

STRONGLY AGREE

STATEMENTS

Hong Kong Ocean Park was severely affected by SARS.

Hong Kong businesses in general are also affected by SARS.

As a result of these global threats, the number of visitors and tourists who visited Ocean Park decreased.

Ocean Park sales also decreased.

Competition was no longer stiff during the outbreak of the disease growing worldwide.

Local and international tourists who intend to visit Ocean Park resulted to other theme and amusement parks in other countries.

Internally, the management and stockholders of Ocean Park deliberately conduct corporate meetings and engagements to address the effects of SARS.

Decision-making and taking are crucial to the management.

Risk management efforts are reinforced.

In its specific business strategies, the Ocean Park management lowered its price and improved its existing pricing strategy.

They came up with new promotions that will bring back and attract more visitors and tourists (e.g. discounts, raffles, giveaways, membership and loyalty cards, etc.).

The management also devised several marketing communications plans and methods to enhance and improve the position of the brand.

Public relations, press release, advertisements, and other sales promotions activities are strengthened.

Ocean Park profitability significantly lowered during the peak of alarm caused by SARS.

Human resources was affected especially the direct outdoor/indoor workers of the theme and amusement park.

The operating cost of the business decreased during the outbreak of the disease.

Ocean Park personnel rigorously entail efforts to market the products/services of the theme and amusement park.

Advertisements through various media focusing on safety and SARS-free environment were used to intensify the campaign of attracting more visitors to the park.

Continuous marketing communications was practiced.

Strategic alliances with the government and related agencies are considered especially in building up the brand name and confidence of clients and boosting tourism development in the whole island.

Safety and precautionary measures are imposed not only to the employees but to the visitors and clients as well.

The management added facilities and equipments that will provide safety and wellbeing of visitors and tourists.

Travel, health and safety bulletins are standardized.

Communication and cooperation with related areas of the government like tourism and hospitality was also premeditated.

The role of the government in helping businesses was highly needed.

Laws and regulations are provided to serve the interest of the public.

Policy and regulations were also standardized by the Ocean Park management in response to the need to provide solutions.

Appendix 3 The Model of Continuous Improvement

This model incorporates the necessary elements in managing change. As a given fact, change is directed to the eventual development and continuous improvement of the whole organization. It aids in foreseeing the competitive position in the highly competitive global business environment.

STUDY ON IMPACTS OF SEVERE ACUTE RESPIRATORY SYNDROME (SARS) TO OCEAN PARK HONG KONG

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STUDY ON IMPACTS OF SEVERE ACUTE RESPIRATORY SYNDROME (SARS) TO OCEAN PARK HONG KONG

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