Research Topics: Brand Management Research

Research Proposal on Global Marketing

Research problem A firm has a competitive advantage when it can profitably create value in the eyes of the customer in ways that competitors have difficulty copying. A firm’s strategy is defined by its search for advantages, and transfer of those advantages into new geography is requisite for international expansion. Advantages are central to international expansion because a foreign firm is automatically at a disadvantage when it enters a new country (Jones 2005). Compared with local firms, the foreign company has no local know-how, no reputation, and no local relationships. International expansion is all about transferring advantages from the home or existing geography to a new geography where those advantages are not available to local firms.  In order to be best prepared for international expansion, a firm should first understand its own sources of competitive advantage. To facilitate this understanding, the firm should analyze whether its product-or service-type advantages are transferable. It should also analyze its resource advantages, which create the product or service superiority: Are these firm-specific or location-specific? These are important issues for organizing the start-up phase following the FDIs. Internationalization is the process of changing levels of international development, usually to higher levels of development. Through this process a national company is converted into an international company, enters new markets, and creates value-adding activities in geographies outside the home country. A firm will be more internationally developed when a higher proportion of its assets are outside the home country and more of its employees, managers, and officers are non-nationals (Galbraith 2000). This paper is a proposal to create a research study on the alternative tools or strategies for expanding internationally. Aims and objectives <li class="MsoNormal" style="text-align: justify">Determine how firms expand to an international setting.</li> <li class="MsoNormal" style="text-align: justify"> Understand the strategies of international expansion</li> <li class="MsoNormal" style="text-align: justify">Analyze the benefits of the strategies.</li> <li class="MsoNormal" style="text-align: justify">Analyze the disadvantage of the strategies.</li> Literature Review International expansion happens in incremental stages, in an experiential learning and development process. The company must learn how to transfer its competitive advantages to other countries, modify those advantages, and build a local business around them. It is sometimes believed that the internationalization process can be accelerated by using acquisition as the entry strategy. Indeed, acquisitions accelerate the creation of assets and employees abroad. If home-country advantages are easily transferable to the acquired company, the process will accelerate; if they are not, then the learning process will occur, with the learning taking place after the assets are created. This learn-by-doing process does not accelerate easily, inspiring some authors to search for a faster or easier path for international expansion (Contractor 2001). If a firm has set a strategy of international expansion, it will probably need four of the international organizational capabilities that include cross-border product development, brand management, transfer and modification of competitive advantages, and cross-border coordination and integration. A new form of organization thought to be on the rise is the global consortium. Whereas a multinational enterprise owns and controls all the subsidiaries, the global consortium is an alliance of local subsidiaries; each subsidiary is a local enterprise with local ownership. This model avoids ownership of local subsidiaries by foreigners, and local ownership and identity are the strengths of the model. The question is whether this form is able to coordinate across borders; in order to be both global and local; it must achieve the global integration of an independently owned collection of companies. The global consortia will probably constitute a new level of development if they survive. They represent extensive distribution of power and can clearly be local (Ghauri & Prasad 2004). Methodology Sample collection To determine the number of respondents that will be asked to participate and give information regarding the study convenience sampling will be used. Convenience sampling means to collect or interview individuals who actually experience the phenomenon. Convenience sampling will focus on individuals that experienced diabetes mellitus or has someone in the family that experienced such disease. Methodology/Data Collection Primary and secondary sources of data would be used for the study. Surveys will the primary method of data collection.  Internet surveys would be the primary source of data. Internet surveys have been both hyped for their capabilities and criticized for the security issues it brings. Internet surveys would also require less time for the researchers and the respondents.  Secondary source of data would involve the use of books and journals. Data Analysis In analyzing the collected data, the paper will be divided into the demographic profiles of the respondents and the ideas of respondents. The data that will be acquired will be put into graphs and tables. References Contractor, FJ (ed.) 2001, Valuation of intangible assets in global operations, Quorum Books, Westport, CT.   Galbraith, JR 2000, Designing the global corporation, Jossey- Bass, San Francisco.   Ghauri, PN & Prasad, S (eds.) 2004, Global firms and emerging markets in an age of anxiety, Praeger, Westport, CT.   Jones, G 2005, Multinationals and global capitalism: From the nineteenth to the twenty-first century, Oxford University Press, Oxford. Credit:ivythesis.typepad.com

Research Proposal on Global Marketing

Research problem A firm has a competitive advantage when it can profitably create value in the eyes of the customer in ways that competito...

Sands Casino Macau: A Case Study

Sands Casino Macau: A Case Study   Introduction             Macau is considered as the Las Vegas of Asia. The Casino industry in Macau is a big industry and it continues to grow. In the third quarter of 2006 Macau had become the world’s biggest gaming center with gross revenues from gaming exceeding those of Las Vegas by US3 million (Gasper 2007). The Casino industry is truly flourishing in Macau. As a result, more and more people are attracted to work in Casinos.   Research Method Survey             In order to clearly illustrate the effectiveness of Sands Macau’s strategies, the researcher intends to employ the descriptive type of research. The researcher will make use of survey questionnaire in order to find out the impact of the company’s strategies in the customers. The survey will present useful information from the respondents regarding the topics.   The Respondents             The researcher will recruit 50 respondents in the study. The researcher will obtain from Travel Agencies lists of tourists from Hong Kong who visited Macau from 2007 to 2008. These tourists will be contacted through electronic mail. Secondary Research             The researcher conducted a secondary research in order to gather information about the topic. The research conducted on the casino industry in Macau and the other resource materials such as books, magazines, journal articles and internet resources were used to form the report. Using the said resources, the researcher was able to form an idea regarding the current state of the casino industry in Macau as well as the future prospects of the industry. The researcher gathered information from the following resources: Search Engines             The internet played a vital role in the research. The researcher used the internet to gather information about the casino industry in Macau, the different hotels and the strategies that each chain group employs. The researcher made used of the following search engines wwww.google.com, www. msn.com and www.yahoo.com. Wikipedia, an online encyclopedia was also consulted. Published Materials             The researcher also used a wide range of research materials. The materials used were books, journals, magazines and newspapers. These resources have helped the researcher in accomplishing the paper.   Mode of Data Collection Survey             To facilitate fast and efficient data collection, and in order to reach respondents who are hard to meet personally due to their busy schedules and because of geographical constraints, the researcher will send the survey questionnaires through electronic mail. This can save both time and money. The questionnaire will be sent to each individual in the sample by electronic mail with a request to be completed and then returned in the given date. The questionnaires will also be collected in a similar manner.  The advantages of this approach are that it is relatively inexpensive and it can be accomplished by the researcher alone. It also allows the researcher to have access to samples that might be hard to reach in person or by telephones, and it permits the respondents to take sufficient time to give thoughtful answers to the questions asked. The data that will be gathered will be organized and presented in a systematic manner to be able to draw valid and accurate conclusions.   Survey Questionnaire 1. How many times have you visited Macau? _Once _2 times _3 times _4 times _5 times and more 2. What is the nature of your trip to Macau? _Business Trip _Visiting Friends and Relatives _Educational Tour _Leisure/Sight-seeing 3. Have you been to Sands Macau? _Yes _No 4. How did you know about Sands Macau? _Advertisements (TV, Radio, Prints) _Internet _Referred by a friend/family (word of mouth) _Travel Agency _Others (Please specify) 5. Rate your stay in Sands Macau. _Excellent _Very Satisfactory _Satisfactory _Poor 6. What do you think is/are the main advantage/advantages of Sands Macau over its competitors? _Effective Marketing and Advertising _Top of the Line Amenities and Facilities _Accessibility _Affordable and Flexible Rates _Quality Service _Others (Please specify)   7. Will you recommend Sands Macau to your family and friends? _Yes _No   Macau: Asia’s Gambling Capital             Macau represents a mixture of eastern and western cultures. Macau represents one of the first and most enduring encounters between China and Europe. Throughout the years, Macau has undergone big changes until it reached its present status as the gambling capital of the East.             In 2002, the government of Macau made a decision that was to have enormous consequences for the former Portuguese colony. Macau is a well-established gambling destination and the only place in China where the pastime is legal. In 2002, the government decided to put an end to a 45-year gambling monopoly held by Hong Kong entrepreneur, Stanley Ho, and open up the lucrative industry to the world.             This move has opened doors of opportunity for Western Gambling tycoons who wasted no time to enter the Macau gambling industry. After the government of Macau liberalised the gaming market in 2002, it awarded licenses to three consortia: Sociedade de Jogos de Macau (linked to Ho), Wynn Resorts, Galaxy Casino Company and Las Vegas Sands Corporation (LVSC). Less than two years later, Sheldon Adelson–the man behind the famous Venetian complex in Las Vegas and the chairman of LVSC–opened the Sands Macau Casino. The territory’s first Western-style casino, the Sands boasts 438 gambling tables, 921 slot machines (known locally as hungry tigers), the world’s largest chandelier and, like almost all the casinos, 24-hour opening. This marble and neon edifice attracts around 20,000 customers a day (Hoare 2006).             Las Vegas Sands Corporation             Las Vegas Sands Corp. and its subsidiaries own and operate The Venetian Resort Hotel Casino, The Palazzo Resort Hotel Casino, The Sands Expo and Convention Center and The Congress Center in Las Vegas, Nevada, and the Sands Macau and The Venetian Macau Resort Hotel in Macau, China (Las Vegas Sands Corp 2007).   Sands Casino Macau             Sands Macau, the first Las Vegas-style casino in the territory is owned and operated by Las Vegas Sands Macau Corporation. The Sands Macau can be found near the Macau-Hong Kong Ferry Terminal on a waterfront parcel centrally located between the Gonbei border gate and the central business district. Sands Macau is able to access a large customer base because of its strategic position. Because of its location, Sands Macau can attract Macau’s visitors who enter the territory by ferry. The visitor numbers entering Macau by ferry reached 9 million in 2007, providing the Casino with a lucrative customer base. The Sands Macao includes approximately 229,000 square feet of gaming space and currently has approximately 630 table games and 1,350 slot machines or similar electronic gaming devices. The Sands Macao also includes several restaurants, a spacious Paiza Club offering services and amenities to premium customers, luxurious VIP suites and spa facilities, private VIP gaming room facilities, a theater and other high-end services and amenities.             The Sands Casino in Macau was the first substantial casino in Asia when it opened in May 2004. Built in the style of the well-known leisure centers of Las Vegas in the United States, Sands casino comprises a leisure complex, various restaurants and bars and plentiful gambling opportunities within a stunning architectural setting (Las Vegas Sands Corporation 2006).             Sands Macau is the first American-operated gaming facility to open in Macau, Special Administrative Region of The People’s Republic of China. The region’s economy has been growing at an impressive rate. Travel rates have exploded in recent years and indications suggest that these numbers will continue to rise. Sands Macau is the first property in Macau from developer Las Vegas Sands Corporation and was designed to appeal to the growing tourism market in the territory, recreating the glitter and glamour of Las Vegas while adding the unique oriental atmosphere in keeping with the culture of the region (Las Vegas Sands Corporation 2005).     Industry Analysis             Macau is regarded as the largest and fastest-growing gaming market in the world and benefits from being the only market in China to offer legalized casino gaming. In 2002, the government of Macau decided to put a stop to the monopolistic form of its gaming industry. It announced its plan to open up the gaming industry and subsequently announced three winners out of eighteen candidates bidding for new gaming licenses. The winners were: 1. Sociedad de Jogoes de Macau (SJM), a wholly-owned subsidiary of the former monopolist.  2. Wynn Resorts from the United States 3. Galaxy, a joint venture of a Hong Kong firm, Galaxy, and the Venetian from the United States.             As a result, the monopolistic structure of the industry, in existence for more than sixty years formally terminated. This move was partly due to the economic instability. Looking at the period before the changes in the industry structure, it was observed that whenever there were crucial policy changes by either Hong or the Mainland government, Macao’s casino industry would always simply react passively by either taking advantage or shouldering part of the costs brought about by the changes. Macao’s casino industry was also vulnerable to the changes in the economic policy that Hong Kong or the mainland introduce. For example when the Hong Kong community proposed to the Hong Kong SAR government in 1999 to explore the possibility of legalizing casino gaming as a way to cope with structural changes and the downturn of the Hong Kong economy since 1997, Macao’s community and gaming industry were shaken. The sense of anxiety flourished because Hong Kong had long been the prime source of customers of Macao’s casino industry (Siu 2006).             Sands Macau, touted as the first Las Vegas-style casino opened in 2004. In 2007, gaming revenues in Macau reached a record .3 billion, a 46 percent increase over 2006. Visits also increased up to 22.7 percent in 2007. According to Macau government statistics, during 2007, 21.4 percent of visitors traveling to Macau stayed overnight in hotels and guestrooms and, for those who stayed overnight in hotels and guestrooms, the average length of stay was between 1 and 2 nights. This figures are expected to increase in the coming years as casinos expand their gaming and non-gaming amenities including retail, entertainment, meeting and convention facility offerings, and the addition of deluxe hotel resort accommodations in Macau.   Customer Analysis             Majority, if not all, of customers that visit Macau’s casinos are tourists. Approximately 1.0 billion people are estimated to live within a three-hour flight from Macao and approximately 3.0 billion people are estimated to live within a five-hour flight from Macao. According to Macau government statistics, 85.4 percent of the tourist who visited Macau in 2007 came from Hong Kong or mainland China and the dominant feeder markets to Macau have been, and continue to be, Hong Kong and China. Although the total number of visitors from Hong Kong continues to grow, that market has shrunk as a percentage of the total visitor distribution from 44.2 percent in 2002 to 30.3 percent in 2007, while visitors from mainland China made up 55.1 percent of total visitors to Macau in 2007. Until recently, mainland Chinese were permitted to visit Macao only as part of a tour group. Now that these travel restrictions have eased for mainland Chinese from most urban centers and economically developed regions, individual travel to Macao is expected to increase, generating increased demand for casino offerings (Las Vegas Sands Corporation 2007).             Gaming customers from HongKong, southeast China, Taiwan and other locations in Asia can reach Macau in a relatively short period of time, using a variety of methods of transportation, and visitors from more distant locations in Asia can take advantage of short travel times by air to Macau, Zhuhai, Shenzhen, Guangzhou or to Hong Kong (followed by a road, ferry or helicopter trip to Macau). In addition, numerous carriers fly directly into Macau International Airport from many major cities in Asia. The relatively easy access from major population centers promotes Macau as a popular gaming destination in Asia (Las Vegas Sands Corporation 2007).   Competitor Analysis             Gaming in Macau is administered through government-sanctioned concessions awarded to three different concessionaires and three sub concessionaires, of  which Sands is one. The Macau government is precluded by contract form granting any additional gaming concessions until 2009. In addition, the current laws only permit the Macau government to grant additional gaming concessions before 2009. If the Macao government were to allow additional competitors to operate in Macao through the grant of additional concessions or sub concessions, Sands Macau would face additional competition, which could have a material adverse effect on our financial condition, results of operations or cash flows (Las Vegas Sands Corporation 2007).   1. SJM             SJM, controlled by Stanley Ho, holds one of the three concessions and currently operates 19 facilities throughout Macao. Historically, SJM was the only gaming operator in Macao, with over 40 years of operating experience in Macao. Many of its 19 casinos are relatively small facilities that are offered as amenities in hotels; however, a number are large operations enjoying significant recognition by gaming customers in the marketplace. SJM was obligated to invest at least approximately 4.7 billion patacas (approximately 4.6 million at exchange rates in effect on December 31, 2007) by March 31, 2009, under its concession agreement with the government of Macao. SJM’s projects include the Grand Lisboa; the Fisherman’s Wharf entertainment complex, which opened in December 2005; and other projects. In addition, MGM MIRAGE has entered into a joint venture agreement with Stanley Ho’s daughter, Pansy Ho Chiu-king, to develop, build and operate two major hotel/casino resorts in Macao. In April 2005,MGMGrand Paradise Limited obtained a subconcession allowing it to conduct gaming operations in Macao. The MGM Grand Macau opened in December 2007 and features approximately 600 rooms, 375 table games, 900 slot machines, restaurants and entertainment amenities (Las Vegas Sands Corporation 2007).     2. Galaxy Casino Company Limited             Galaxy holds a concession and has the ability to operate casino properties independent of us. Galaxy was obligated to invest at least 4.4 billion patacas (approximately 7.3 million at exchange rates in effect on December 31, 2007) by June 2012 under its concession agreement with the government of Macao. Galaxy currently operates five casinos in Macao, including StarWorld Hotel, which opened in October 2006 and has over 500 hotel rooms and a 140,000 square foot gaming floor with approximately 260 table games and 500 slot machines (Las Vegas Sands Corporation 2007). 3. Wynn Resorts S. A.             Wynn Macau, a subsidiary of Wynn Resorts Limited, holds the third concession. Wynn Macau opened in September 2006 and expanded the property in late 2007. Wynn Macau now includes an approximately 600-room hotel, a casino and other non-gaming amenities. In 2006,Wynn Macau sold its subconcession right under its gaming concession to an affiliate of Publishing and Broadcasting Limited (“PBL”). The subconcession right permitted the PBL affiliate to receive a gaming subconcession from the Macao government. In May 2007, a PBL affiliate opened the Crown Macau, which includes an approximately 216-room hotel, a casino and other non-gaming amenities (Las Vegas Sands Corporation 2007).         PEST Analysis A PEST analysis looks at the Political, Economic, Social and Technological drivers of a particular industry. PEST are external factors that must be analyzed and understood in order for an organization to succeed. The PEST analysis focuses on the external forces that affects the organization. It is most useful when used together with other tools such as the SWOT analysis. Political Factors             Political factors play an important role in shaping the businesses and operations of Sands Macau. The casino is subject to local laws and regulations. Changes in the laws and regulations may affect the business. In Macau, tax laws and regulations may be subject to amendment or different interpretation and implementation, thereby affecting the profitability of Sands Macau after tax.             The activities of Sands Macau are subject to administrative review and approval by various government agencies. Sands Macau’s sub concession arrangements with Galaxy can be terminated by the government. In the event that the sub concession is terminated, Sands Macau would be prohibited from conducting gaming operations. Economic Factors             Significant number of Sands Macau’s consumers come from China, general economic conditions and policies in China could have significant impact on the financial prospects of the casino. Any slowdown in economic growth or reversal of China’s current policies of liberalizing restrictions on travel and currency movements could adversely impact the number of visitors from China to Macau as well as the amounts they are willing to spend at Sands Macau.             The revenues of Sands Macau are dominated in patacas, the legal currency pf Macau, and Hong Kong dollars. Although currently permitted, there is no assurance that patacas will continue to be freely exchangeable into US dollars. Also, because the currency market for patacas is relatively small and underdeveloped, the casino’s ability to convert large among of patacas into US dollars over a relatively short period may be limited. Sociological Factors             The government requires casinos and other establishments to employ locals. The casino relies heavily on the local labor market. The strength of the casino’s labor force is affected by factors such as the education and skill levels of the labor force. The increase mobility of mainland China and Hong Kong residents affect the strength of Macau’s tourism. It is expected that the wealthier Chinese middle class will become more mobile and will be encouraged to visit Macau because of less onerous travel restrictions, greater ability of Chinese citizens to bring ‘renminbi’ (the Chinese curreny) to Macau, increasing regional wealth and the opening of world-class facilities will transform Macau from primarily a day-trip market to a multi-day travel destination (Las Vegas Sands Corporation 2006).  Technological Factors The rapid development and wide adoption of digital technology in Macau has lead to great changes in the hospitality and tourism industry. Because of the advancements in technology, physical distance has lesser effect on tourists. Telecommunications and transportation become more efficient and less expensive. Distance is bridged even further using the Internet. Technology allows tourists to book hotel accommodations and air tickets online. Electronic brochures are now widely used in the promotion of trade fairs and travel products.   SWOT Analysis             SWOT (Strengths and Weaknesses, and Opportunities and Threats) is a basic analytical tool in management that has become popular in recent years. SWOT analysis is often used by strategic planners and top management in developing competitive strategies. It is typically used to decide corporate strategies and to make product or market level analyses (Reddy 1994). SWOT is a widely used thinking framework for identifying Strengths, Weaknesses, Opportunities and Threats. It enables key factors to be visibly recorded as a high-level summary of a business. SWOT analysis is a summary that is simple but powerful. It also enables a judgment to be made about aspects of the external business environment, which can affect the performance of the business, through looking at the Opportunities and Threats it faces in the wider world (Elkin 1998). Strengths 1. Quality Products and Services – Sands Macau is committed to product and services. 2. First Mover/Innovator – Sands Macau is seen as an innovator in terms of amenities, facilities, designs, technology and products. Weaknesses 1. Unable to Maintain Leadership Position – Because of intense competition Sands Macau cannot maintain its leadership position in the casino industry. Opportunities 1. Development of the Cotai Strip – The Cotai Strip in Macau is being further developed as a business district where hotels, casinos and other establishments can be accommodated. This offers new opportunities for Las Vegas Sands Corporation to expand its businesses in Macau. 2. Increase in Visitors – Macau is experiencing a steady growth of visitor numbers. Threats 1. Political, Social and Economic Changes – political, social and economic developments in Macau, particularly the changes in policies of the governments or changes in laws and regulations or their interpretations may adversely affect the company’s operations and cash flows. 2. Intense Competition – the hotel, resort and casino businesses are highly competitive. Sands Macau current competes with numerous other casinos located in Macau. In addition, it is expected that the competition will increase in the near future from local and foreign casino operators. Sands Macau will also compete to some extent with casinos located elsewhere in Asia, such as Malaysia’s Genting Highlands, as well as gaming venues in Australia, New Zealand and elsewhere in the world, including Hong Kong, Japan, Singapore, Taiwan and Thailand and other gaming centers worldwide. 3. Typhoon and Other Natural Disasters – Macau us susceptible to severe typhoons that may disrupt operations. Macau consist of peninsula and two islands off the coast of mainland China. On some occasions, typhoons have caused a considerable amount of damage to Macau’s infrastructure and economy. In the event of a major typhoon or other natural disaster in Macau, Sands may be severely disrupted and the results of operation could be adversely affected. Porter’s Five Forces Porter identified the five forces model of competitive strategy. He identified the five forces as: 1. Competition among existing firms – this is the natural competitive rivalry, which exists between the various business operating within the industry market place. 2. Threat of new entrants – this is the potential likelihood of, and ease of, entry for new firm into the market. 3. Threat of substitute products or services – this is where a product or service, perhaps produced through a different technology, enters the market. 4. Bargaining power of suppliers – this examines the relationship between businesses in the industry and the suppliers to those businesses. Where the suppliers have a unique or restricted availability product they can exert a strong influence over process and conditions of supply, therefore potentially putting pressures on the businesses purchasing their product/services. 5. Bargaining power of buyers – this examines the relationship between businesses in the industry and the customers of those businesses. The purpose is to identify the relative strength of the business in the customer relationship (Elkin 1998). 1. Competition among existing firms – the growing casino and hotel industry in Macau, Hong Kong, Singapore and the rest of Asia presents a fierce competition among the existing firms in the region. Sands Macau faces competition among other casinos both locally and regionally. In the hotel and casino industry gaining and maintaining customer loyalty is very difficult. There are a lot of choices and customers can switch brands quickly. Moreover, every hotel and casino offers enticing packages and promos making strong positioning difficult for every hotel and casino. 2. Threat of New Entrants – The fierce competition among existing hotels and casinos is further intensified by the entrance of new players. Since the opening of the Macau casino market in 2002, many local and international organizations have expressed interest in developing casinos in the territory. Joint ventures, mergers and collaborations are common. Local organizations are partnering with giant groups in order to establish deluxe casinos in Macau. 3. Threat of substitute products or services – many facilities, services and technologies are being introduced. There is also a threat that consumers are attracted by different destinations in Asia that offer similar products or services as well as substitutes. One example is Singapore, which is also developing its hotel and casino market in order to attract visitors. Sands Macau faces competition from casinos located in other areas of Asia, such as the major gaming and resort destination Genting Highlands Resort, located outside of Kuala Lumpur, Malaysia and casinos in South Korea and the Philippines, as well as pachinko and pachinslot in Japan (Las Vegas Sands Corporation 2007). 4. Bargaining power of suppliers – Sands Macau is able to develop a strong relationship with its suppliers. The casino collaborates with different suppliers. 5. Bargaining power of consumers – Sands Macau has revolutionized the gaming industry in Macau. It introduced different innovations and changes in order to attract more customers. The customers have a strong bargaining power.   Competitive Advantages         Competitive advantage can be considered as a condition, which facilitates more efficient operation and higher quality products and/or services for an organization. Michael Porter considers an organization where earning exceeds cost as an organization that achieved competitive advantage. Competitive advantage in Porter’s perspective is being able increase earnings despite the competitive pressures. Major Functions and Support Functions             The value chain is a model that describes a series of value-adding activities connecting a company’s supply side with its demand side. According to Rayport and Sviokla (1996) by analyzing the stages of a value chain, the organization is able to redesign its internal and external processes to improve efficiency and effectiveness. The value-adding functions of a firm is divided into two – major and support. The major functions are operations; marketing; accounting and finance; and product service development. The support functions human resource management; purchasing; and technical function. In order for an organization to achieve competitive advantage, all functions must be related to each other. 1. Product Service Development First Las-Vegas Style Casino in Macau             The Sands Macau was the pioneer in transforming the face of gaming in Macau with its lavish interiors and a choice of games pitched at a wider segment of gamblers. In the past, visitors to Macau’s casinos frequently complained about cramped environments, smoke-filled tables and indifferent servers. The sands Macau has raised standards by offering luxury, comfort, service and spacious gaming areas (Silk Road 2006). Gaming Facilities Development             Table games are the dominant for of faming in Asia. Baccarat is the most popular game followed by other traditional US and Asian games. Slot machines are offered in Macau, but they are few in number because the structure of the gaming market in Macau has historically favored table gaming. However, with the increase in the mass market gaming in Macau, this is changing and slot machines of international standards are becoming an important feature of the market. Sands Casino is taking opportunity of this trend by introducing more moderns and popular products to appeal to the Asian marketplace. In order to help Macau become an even more desirable tourist destination, Sands Macau is introducing new facilities and standards of service (Las Vegas Sands Corporation 2006). 2. Advertising and Marketing             Sands Macau advertises in many types of media, including television, newspapers, magazines and billboards, to promote general market awareness of its properties as unique vacation, business and convention destinations. Sands Macau actively engages in direct marketing, which are targeted at specific market segments, including premium slot and table games markets. Target Marketing             Through target marketing, Sands Macau focuses its advertising and marketing efforts on its target market segments. Target marketing requires an ability to: <ul style="margin-top: 0in; margin-bottom: 0in" type="circle"> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Find the key characteristics that break a market into relevant ‘actionable segments’</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Identify and quantify which customers fall into which segments</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%">Target the best segments most likely to give the best results</li> </ul> Strong Brand             Applying marketing strategies to a specific product, product line, or brand is called Brand Management. Brand management is the application of marketing techniques to a specific product, product line, or brand. Brand management aims to increase the perceived value of the product to the customer, thereby increase brand franchise, and brand equity. Brand is seen as a promise that the level of quality people expect from a brand will develop customer loyalty. The amount of profit that is generated by a brand determines its value. Brand management starts with understanding what “brand” really means. This starts with the leaders of the company and especially to the people who interface with customers or who create the products that customers use. Strategic Brand Management involves the design and implementation of marketing programs and activities to build, measure, and manage brand equity. These concepts and techniques are to improve the long-term profitability of the brand. Brand Management focuses on targeting the right consumers, awareness of the competition, the need for marketplace credibility for the offering and clearly defined benefits to the consumer. The benefits your brand represent to consumers may trigger emotional feelings that can motivate them to consider your brand as superior to your competitors’. The benefits themselves have to be credible and presented in language that consumers understand.             One of the group’s strategies is to build a strong brand. Differentiation is accomplished by building a strong brand that creates brand equity. Brand equity produces value to the customer. Brand equity causes brand loyalty among customers. The group (Las Vegas Sands) has been in the business for a long time. The group is able to develop a strong brand that serves as one of its competitive advantages. Because of the strong brand, the group is able to keep its customers. The service providers – all the staff are trained in order to maintain the quality of service. The Group obliges every staff to adhere to the standards in service, product quality, design, construction and operation. The management ensures that opportunities for training, development and continuous learning is available for everyone.  3. Human Resources             The success of Sands Macau in large part depends upon its ability to attract, retain, train, manage and motivate skilled employees. The company’s human resources are considered as one of the sources of competitive advantage.             Human resources or human capital is the intangible resources of abilities, effort, and time that workers bring to invest in their work (Davenport 1999). The people at Sands Macau are the major contributors of strategic capability to the company. One of the advantages of Sands Macau over its competitors is the quality of service that the staff provide to its customers. Service has a big impact on the customers’ perceptions about the company’s product. Because of the importance of its people, Sands Macau formulated an employee development strategy through proper and effective training. This strategy is expected to strengthen Sands Macau’s position in the marketplace.  Employee development can be an essential ingredient of an organization’s competitive advantage. Employee development includes all of the education and training that organizations might invest in their employees such as training employees to perform effectively in their current jobs, orienting employees to the workplace, developing them for advanced positions or programs, and building organizational capability for future success. One of the keys to successful competition in the global market is the effective deployment of human resources to achieve strategic capability and competitive advantage.  Human resources as an internal resource of a firm are one of the sources of strategic capability (Mcwilliams et al 2001). Human resources are among the top contributors to Sands Macau’s strategic capability. Effective management of an organization’s human resources according to Sims (2002) is a major source of competitive advantage and may even be the single most important determinant of an organization’s performance over the long term.   Key Learning 1. Organizational Strategies and Operation are Influenced by External Factors             Sands Casino Macau is considered as one of the most popular and most successful properties in Macau. The casino attracts large numbers of tourists and visitors. Despite the company’s obvious success, it is still affected by different external factors. The PEST analysis made it clear that political, economic, social and technological factors have a big impact on the company’s operation. In the political arena, Sands Macau is subject to different government polices and regulations. In the economic sphere, the company is affected by economic movements in the region. In the social sphere, we see the developments in the Chinese society and the different social policies have affected Sands Macau. In the technological arena, we see the company compete for supremacy in technology, amenities, offerings and facilities. Other external factors such as competition and the overall condition of the gambling industry affect the company’s strategies.   2. Internal Factors Affect Company’s Capabilities             The company’s capabilities rely on its resources, particularly its human resources. The company’s success can be attributed to its ability to manage and allocate its financial resources and enrich its human resources. We also had a glimpse of the company’s future plans.   3. Strategic Planning is Important             Sands Macau operates in a very competitive and unpredictable business environment. Many forces will shape the industry. In order to keep pace with the changes in the environment, to deal with issues and to use opportunities, the company conducts strategic planning.   Conclusion             The paper presented a case study of Sands Casino Macau. Through the case study, the researcher was able to discover many things about Sands Casino, its business environment, and its strategies. The paper presented a case study of Sands Casino Macau. Through the case study, the researcher was able to discover many things about Sands Casino, its business environment, and its strategies. Sands Casino prides itself as the first Las-Vegas style casino in Macau and has earned strong consumer support because of this reputation. Sands Macau is the first American-operated gaming facility to open in Macau, Special Administrative Region of The People’s Republic of China. Sands Casino Macau goes head to head with other large gambling facilities such as SJM, Wynn Resorts, and Galaxy. Other than its reputation as the first Las-Vegas style casino in Macau, Sands also invests in advertising and marketing. The company uses advertising and marketing to reach and attract its target markets. It employs different advertising tools and marketing strategies. Human resources is also a big factor in the company’s success.   Bibliography Elkin, P 1998, Mastering Business Planning and Strategy: The Power of Strategic Thinking, Thorogood, London.   Follows, J 2007, ‘Macau’s Big Gamble: Even as Foreign Investors Pour Billions into Ever-Glitzier Casinos, the Tiny Peninsula’s Bid to Become the Vegas of the Orient Depends on China’s Larger Willingness to Embrace Transparency and the Rule of Law’, The Atlantic Monthly, vol. 300, no. 2, pp. 96+.   Hoare, N 2006, ‘Building on the Past, Gambling on the Future’, Geographical, vol. 78, no. 10, pp. 72+.   Macau Asia’s New Boom Town 2006, Silk Road, viewed 06 November, 2008  from <http://www.acrc.org.hk/misc/doc/2006_spring.pdf>.   Rayport, J and Sviokla, J 1996, ‘Exploiting the Virtual Value Chain’, The McKinsey Quarterly, no. 1, p. 21.   Reddy, A C 1994, Total Quality Marketing: The Key to Regaining Market Shares, Quorum Books, Westport CT.   Las Vegas Sands Corporation Annual Report 2005, Las Vegas Sands Corporation, viewed 06 November, 2008 from <http://media.corporate-ir.net/media_files/irol/18/185629/2005AnnualReport.pdf>   Las Vegas Sands Corporation Annual Report 2006, Las Vegas Sands Corporation, viewed 06 November, 2008 from <http://media.corporate-ir.net/media_files/IROL/18/185629/2006_Annual_Report.pdf>   Las Vegas Sands Corporation Annual Report 2007, Las Vegas Sands Corporation, viewed 06 November, 2008 from <http://media.corporate-ir.net/media_files/irol/18/185629/2007_AR.pdf>   Sims R 2002, Organizational Success through Effective Human Resources Management, Quorum Books, Westport CT.   Witzel, M 2003, Fifty Key Figures in Management, Routledge, New York.                   Credit:ivythesis.typepad.com

Sands Casino Macau: A Case Study

Sands Casino Macau: A Case Study Introduction Macau is considered as the Las Vegas of Asia. The Casino industry in Macau ...

Malaysia’s Casino de Genting :A Research Proposal Paper

1. Introduction Known as Malaysia’s sole gaming venue, the project will consider the case of Malaysia’s sole casino named Casino de Genting. Casino de Genting is divided into various themed sections. Casino de Genting features international games including Roulette, Baccarat, Blackjack and Caribbean Stud Poker with jackpot machines and Las Vegas-style entertainment as added attractions. The casino also offers the latest gaming technology comprised of electronic table games and cashless gaming systems for its slot machines via its Starworld while also offering gourmet quality coffee through @Latté among others. Set in 20, 000 square feet, Casino de Genting is open everyday of the year. From 1980 onwards, players from different parts of the world such as US, Europe, Taiwan and Macau continued to visit Casino de Genting.   Asian casino industry is escalating, and is predicted to further develop in the succeeding years. Kaur (2004) emphasise that ‘only a few casinos in even fewer Asian countries have a monopoly on Asian gamblers’, stating that 85% of the legal casino industry is concentrated on countries as Philippines, Macau, South Korea and Malaysia.   In Malaysia in particular, the annual gaming revenue of the sole casino amounted to US.63 billion. There are conjectures that new casino licenses would be issued to a second player but the Genting group remains to be the sole casino operator in the place today and boasts for its Casino de Genting. Casino de Genting is located in the Genting Highlands, a mountain peak within the Titiwangsa Mountains. Casino de Genting opened at the same time as the Genting Resort. The establishment of the infrastructure was meant to rival any casino in Asia. Evidently, Casino de Genting faces no strict competition to date. Nonetheless, if other regions and neighboring countries will loosen up their anti-gambling laws and allow the building of casinos, Casino de Genting will face fierce rivalry through them.   2. Focus for the Study 2.1 Statement of the research topic Such a case study, this project will analyse how Casino de Genting protects and promotes its corporate image especially in aspects of invoking interest among patrons and potential clients, creating share of mind, generating brand equity and therefore facilitating profitability. Further, the project will provide in-depth investigation of how the brand was communicated, how internal and external stakeholder perceived brand equity, how the brand is being measured and what the roles of marketing communications plan are in strengthening the brand. How Casino de Genting will combat the possibility of emerging competitors using sound and effective brand management strategies is the rationale behind the study.   2.2 Statement of the research objectives This study purports to explore the extent to which a brand plays a role in the success of Casino de Genting as the only player in Malaysian casino industry. Through this study, it is also aimed to evaluate whether the brand management strategies of Casino de Genting proved to be profitable or there are areas of improvement. To understand why Casino de Genting remains to be an important element in the global casino industry is another aim of the project.   2.3 Initial understanding from several references According to LePla and Parker (1999), communications for the brand is two-fold: build the brand internally and integrate it to general communications externally (p. 230). Brand communications commenced with revealing your brand which is done through an integrated branding process. Logically, the ‘how tos’ include the realization of the how company can sell on the integrated brand model; setting-up a brand team and identifying who should be on it; conducting a successful brand environment audit; developing a brand environment you can act upon; creating preliminary brand tools which can stimulate team thinking; facilitating successful brand meetings; developing and establishing a practical brand structure (pp. 101-125; 199) conducting brand planning and benchmarking.   In creating a brand-driven marketing, the company must begin with a strong naming strategy that reflects the promises of the brand. Communicating the brand means to use marketing communications vehicle. Since the goal of brand communications is conveying a brand message that strengthens the brand, the marketing communication plan must start with a creative brief or creative platform. A marketing communications plan is a design that incorporates brand meaning, visuals and messages in a logical, systematic way and must contain objectives and overall strategy (pp. 29-30).   Aaker and Biel (1993), moreover, defined brand equity as “everything the consumer walks into the store with” (p. 33). It is a mental association that reflects the concept as a broad and influential aspect. In simpler terms, brand equity is the marketing effects or outcomes. The measurement of brand equity is intended for the firm, product/service and consumer levels. Brand strength or the utility beyond functional product characteristics – the physical attributes of the product; set of associations – the ‘positive’ brand knowledge acquired via different distribution channels; and (relative) consumer preference – the extent to which a brand is “attractive” to consumers is being measured (Waser, pp. 55-57)   2.4 Key areas of investigation and the targeted audiences/participants There are three key areas for the project which are all under the brand management strategy umbrella: brand communication including the marketing communication plan, brand equity, brand measurement. In lieu with this, the project will seek to answer the following questions. Brand Communication 1)    How does Casino de Genting communicate the brand to internal and external stakeholders? 2)    What are the marketing communication strategies does Casino de Genting employs? 3)    Does the marketing communication plan need improvement?   Brand Equity 1)    How do clients perceive the Casino de Genting brand? 2)    What is the first thing that clients think when they hear the name Casino de Genting? 3)    To what extent does brand equity is being promoted?   Brand Measurement 1)    Is there a positive brand knowledge? 2)    Do clients prefer Casino de Genting over other casinos? 3)    What are the reasons behind brand preference?   Palpably, the target participant in the investigation is the external stakeholder comprising of the clients and potential clients.   3. Expected Outcomes and Schedule 3.1 Outcome of the research Brand Audit Report and Recommendation Report are the expected outcomes of the project. The Brand Audit Report refers to the document which outlines the how Casino de Genting conveys its brand message to stakeholders, how brand equity becomes a source of competitive advantage and how brand is being measured. The Recommendation Report will outline the opportunities that can be exploited and suggestions for consideration for Casino de Genting.   3.2 Learning objectives <ul style="margin-top: 0in; margin-bottom: 0in" type="square"> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> To be able to apply theories and models into practice as well as skills and competence in conducting a case study</li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> To properly conduct internal and external analysis of the case study casino using SWOT, Porter’s five forces and PESTEL </li> <li class="MsoNormal" style="text-align: justify; line-height: 200%"> To perform in-depth literature analysis by which the basic knowledge regarding brand management will be acquired from    </li> </ul>   3.3 Timeline of the research process To accomplish such outcomes, the researcher will be guided by the following plan.   Weeks 1st 2nd 3rd 4th Problem identification         Writing Proposal/Obtaining Approval         Acquiring Access         Update Literature Read         Research Design         Data Collection         Data Analysis         Writing up Draft         Editing         Final Document         Binding of document         Necessary Correspondence           4. Planned Methodology 4.1 Data collection and analysis method Majority of the report will be based on secondary research with data that will come from archival data from online websites, official statistics, annual reports, journal, newspaper and magazine articles and books. Interviews to Casino de Genting’s client will be also conducted and will be the primary data of the research.     Thematic content analysis will be conducted. Such analysis refers to collating and digesting themes from the literature. The purpose of this is to be able to build theories relating to the internal and external situation of Casino de Genting. The processed information will be further analysed for SWOT, Porter’s five forces and PESTEL, and also scenario analysis. Recommendations will be based on scenarios.   4.2 Related parties Given that Casino de Genting is under the Genting Group, it would be plausible to obtain and build on insights of the parent company. Expectedly, Casino de Genting might have partner media or brand consultant in advancing their brand identity. They will be consulted to provide richer background to the project.   4.3 Types of questions to be asked A) Hypothetical – to get interviewees to think of new situations and how people might cope with new situations B) Reflective – to encourage interviewees to related alternatives C) Probing – to check for more detail and clarifications D) Specific – to determine facts   4.4 Likely source of data Corporate websites and review sites are the likely source of data in addition to local and online libraries such as Emerald, High Beam, Questia and Oxford.   4.5 Specific literature as research background Aaker, D. A. (2004). Brand Portfolio Strategy: Creating Relevance, Differentiation, Energy, Leverage and Clarity. Free Press.   Aaker, D. A. and Joachimsthaler, E. (2000). Brand Leadership: Building Assets in an Information Company. Free Press.   Hankinson, G. and Cowking, P. (1993). Branding in Action: Cases and Strategies for profitable Brand Management. McGraw-Hill.   Kapferer, J. N. (2008). The New Strategic Brand Management: Creating and Sustaining Brand Equity Long Term. Kogan Page Publishers.   Malaysia Casinos and Malaysia Gambling. Collection of articles, documents, presentations about the casino industry http://www.casinocity.com/my/cities.html.   5. Significance of the Study It is of my best belief that the research will be a significant endeavor in promoting awareness of the benefits of the casino industry in Malaysian economy. On a wider context, the findings of the project will be of importance to the business players planning to penetrate the casino industry either inside or outside Malaysia. As for my practice, I am aware that upon the completion of the course, I will assume a role in the business environment. It would be necessary to put emphasis on putting strategies into actions, which I could learn while in the process of putting learning in practical applications.   Reference   Aaker, D. A. and Biel, A. L. (1993) Brand Equity & Advertising: Advertising’s Role in Building Strong Brands. Lawrence Erlbaum Associates   Kaur, G. (2004). Asia poised for casino boom. Malaysian Business.   LePla, F. J. and Parker, L. M. (1999). Integrated Branding: Becoming Brand-Driven through Companywide Action. Westport, Connecticut: Quorum Books.   Walser, M. G. (2004) Brand Strength: Building and Testing Models Based on Experiential Information, DUV. Credit:ivythesis.typepad.com

Malaysia’s Casino de Genting :A Research Proposal Paper

1. Introduction Known as Malaysia’s sole gaming venue, the project will consider the case of Malaysia’s sole casino named Casino de Gent...

Essay Instructions on Marketing Assignment

Marketing   Course Outline This subject will provide you with an introduction to the field of marketing. We will look at the environment marketing operates in, the marketing mix, how to develop a marketing plan and how to analyze case studies. To achieve a distinction grade you will have to spend some extra time in reading and studying to prepare for tutorials, do assignments, and reading the text book. Even to be able to just pass the subject, you still will have to set time aside beside the attendance   Aim of the unit: ¨          Demonstrate an understanding of the principles and role of marketing ¨          Recognize the importance of customer needs in determining business and consumer market behaviour ¨          Distinguish between a product/service’s features and the benefits it offers ¨          Employ the principle of market segmentation to define the market for a product or service ¨          Explain the concept of the marketing mix-Product-Price-Promotion-Place (the 4Ps) plus People-Physical evidence (or Proof)-Processes (the 7Ps). ¨          Identify and describe the purpose and practices of the main marketing activities and functions -          product and brand management and development -          advertising, market communication and promotion -          market research -          distribution and merchandising -          customer service and sales administration, selling and sales promotion -          marketing planning -          corporate identity and promotion ¨          identify and evaluate marketing objectives in relation to: -          different markets and products -          market needs -          the effects of competition and change -          sales growth and increase profitability -          markets, diversification of products and services -          market share and market penetration -          customer service, retention and churn rates ¨          assess the factors the influence pricing decisions: -          direct and indirect costs -          competition -          legislation -          seasonality -          advertising and branding -          quality -          discounts and margins in the distribution channel ¨          evaluate the effectiveness of sales and promotion strategies to achieve marketing objectives -          face to face selling -          internet, e-mail, fax and telephone selling -          direct mail -          public relations and sponsorship -          product promotions -          advertising ¨          identify market research objectives, to explore: -          attitude and behaviours in existing and potential markets -          product development opportunities -          competitor behaviors and performance -          market trends -          effectiveness of advertising and promotions ¨          compare and contrast the two main research sources: -          primary research: information gathered for a specific purpose -          secondary research: information gathered for another purpose ¨          identify sources of marketing research information: -          primary research: questionnaires, interviews, observations, surveys -          contact methods: telephone, face-to-face, mail, email, internet etc -          secondary: -          internal: sales records, customer registration cards, occupancy figures etc -          external: government statistics, tourists office statistics or surveys, trade -          journals, professional organizations ¨          plan marketing research: -          setting objectives -          select suitable research methods -          carry out research -          summarize findings ¨          use marketing research findings to make decisions about products, customer service, markets and marketing strategy ¨          recognize appropriate marketing objectives ¨          assess how well the marketing strategy has -          identified and reviewed the “product” bundle (augmented product), and its Unique Selling Proposition (USP) -          planned the product development process, taking note of the position of products on the product life cycle curve and the effects of the diffusion of innovation curve -          developed a pricing strategy to reflect customer sensitivity, competitive pricing and sector practice -          measured market penetration -          selected appropriate promotional media and their associated costs ¨          assess the suitability of these elements of the marketing strategy and their likely effectiveness in achieving the defined objectives   Learning Resources Kotler P. and Armstrong G (2006) Principles of Marketing, 11th ED, Pearson Prentice Hall.   Assessment: The world-processed report, of approximately 600 to 1,000 words, which contains an evaluation of marketing strategy for a product and/or service within an organization. It should include: ¨          Identification and assessment of the appropriateness of the marketing objectives for the organization’s market or market segments ¨          A review of any market research activity and its utility in shaping marketing strategy ¨          A review of the purpose and likely effectiveness of the marketing functions ¨          Conclusions and fully costed and justified recommendations to improve the marketing strategy   Plagiarism Students are asked to note the following College policy on plagiarism. The College assumes students are honest and expects from students honest work in all their assignments. Good scholarship necessarily requires building on and borrowing from the work of others but this use must be acknowledged. Cheating, plagiarism, and falsification of data are dishonest practices which contravene academic values of respect for knowledge, scholarship and scholars. These practices devalue the quality of learning, both for the individual and for others enrolled in the course; they also finish the reputation of a College course. The College imposes strict penalties on students who are found to contravene the College plagiarism policy. “Do not plagiarize. You will receive a “F” if you plagiarize materials directly from other authors (from books, internet or any other sources). However, you may quote and give credits to other authors, but you must not plagiarize.”   Credit:ivythesis.typepad.com

Essay Instructions on Marketing Assignment

Marketing Course Outline This subject will provide you with an introduction to the field of marketing. We will look at the environment...