On The Development Strategy Of The Tourism Resort Hotels Of Hainan State Farms Zhongxin Group Co., Ltd

Hainan State Farms Zhongxin Group Co., Ltd (hereinafter referred to as Zhongxin Group) is a wholly-invested state owned enterprise, set up in June,2008within the background of implementing "views on the reform of the management system of Hainan State Farms" passed by the State Council. Hainan State Farms (hereinafter referred to as HSF) has a history of60years with its predecessor named Hainan reclamation and construction group. The group company is made up of5investment companies and2tourism resort hotels and its business involves four industrial sectors, namely, modern high-efficiency tropical agriculture, modern tourism industry, the real estate industry, and modern service industry (tourism resort hotels). In January,2011Zhongxin Group became the subordinate enterprise of Hainan State Farms Group Co., Ltd.In December2009, the State Council issued the "views on promoting the construction development of Hainan international tourism island". The construction of Hainan international tourism island officially rose to national strategy. Therefore, Hainan has entered a new period of history which speeds up the development of modern service industry with tourism industry as the leading.How to seize the historical opportunity, and make bigger and stronger the two business sectors----modern tourism and modern service---is a significant strategic problem that Zhongxin Group must ponder carefully. Based on this, this paper takes the business development strategy of tourism resort hotels of Zhongxin Group as its topic, and makes a comprehensive analysis of internal and external environment and business combination that Zhongxin Group is facing, using the principles and the basic theories of strategic management, in close contact with the realities of Zhongxin Group; On this basis, we draw up the company’s mission, vision, strategy goals and the business strategy goals of tourism resort hotels, and further propose the realization of the strategic target of the strategy thinking, strategy mode and competition strategy; Finally, we put forward some operable suggestions for the implementation of tourism resort hotel business strategy of Zhongxin Group. The research and research conclusion of this paper aim at offering guidance for the actual operation and management of Zhongxin Group, and constructive suggestions with practical value for the formulation and implementation of the business development strategy of tourism resort hotels of Zhongxin Group. The paper is divided into six chapters.Chapter One IntroductionThis chapter briefly introduces the research background, purpose, significance of the topic, theoretical basis, research methods and logical thinking.Chapter Two The analysis of the business environment of the tourism resort hotels of Zhongxin GroupBy analyzing the external environment including macro environment, industry environment, market environment, the construction environment of international tourism island etc, this chapter will evaluate the internal resource capacities including enterprise human resources, financial resources, material resources, land resources, marketing abilities, management abilities, thus reaching the conclusion of internal and external environment analysis:the external opportunities, challenges and internal advantages, disadvantages. Environmental analysis results tell us that Zhongxin Group are facing more opportunities than challenges in the development of tourism resort hotel business, more advantages than disadvantages. We can make full use of the internal advantages and seize the external opportunities to realize its development.Chapter Three The analysis of business combination of the companyThrough the analysis of the company’s general business, business combination and the hotels’business combination, this chapter makes us realize that the company needs different levels of development in its engaging four sectors---modern tropical high-efficiency agriculture, modern tourism industry, the real estate industry, and modern service industry (tourism resort hotels). Among its main businesses, the company considers agricultural production, processing of agricultural products and logistics as its fat cattle businesses, sports and health resort tourism service and hotel management as its rising star businesses, real estate, building materials, engineering design and construction as its problem businesses. Among hotel service businesses, accommodation and catering services are fat cattle businesses; Recreation and leisure services are rising star businesses; Vehicle rental and hotel service management export business are problem businesses. Therefore, we should be prudent in the development of the real estate business in the future strategy, steadily develop modern tropical high-efficiency agriculture, and vigorously develop modern service industry (tourism resort hotels) and modern tourism industry, In the hotel service industry, we should steadily develop accommodation and catering service, vigorously foster and develop recreation and leisure services, and carefully solve the problem businesses in car rental and hotel service management export business.Chapter Four Business strategy formulation of the tourism resort hotels of Hainan State Farms Zhongxin Group Co., LtdBased on the comprehensive strategic analysis, the company formulates its mission, namely, the company will thoroughly implement the scientific outlook on development. The company’s vision:"Zhongxin Group will be a modern enterprise group committed to providing high-quality agricultural products, excellent tourism real estate, and tourism services, ranking among the top one hundred enterprises with a certain scale and efficiency in Hainan Province." The company’s mission:"Zhongxin Group will provide customers with safe and high-quality products and services; provide opportunities for staff to realize their personal values; provide a platform for business cooperators to realize the sustainable development; assume its responsibilities for society; offer an ideal reward for shareholder. Therefore, Zhongxin Group will be based in Hainan, face the world, and be pragmatic and innovative, dedicated to realizing its beautiful vision." The company’s overall strategic objectives:"In2023, Zhongxin Group will achieve sales revenue of1billion Yuan, total profit of100million Yuan, and investment return rate more than10%, ranking among the top one hundred enterprises with a certain scale and efficiency in Hainan Province." The company’s business strategic target:"by2023, Zhongxin Group will have10hotels, and more than2,500rooms, with business incomes reaching350million Yuan, and profits reaching70million Yuan." The business strategy model for the tourism resort hotels of the company:"Zhongxin Group will make use of the advantages of regional distribution of land resources to set up self-run hotels; with capital combined mergers and acquisitions, it will consolidate the overall development strategy for tourism resort hotels." The competitive strategies realizing the business advantages of tourism resort hotels of the company:"Zhongxin Group will provide more diversified hotel accommodation environments and green ecological food directly supplied by state farms through the reasonable layout of Sanya tourism circle hotels. The combined competitive strategies will be differentiated strategy as the center and cost leading strategy as the supplement."Chapter Five Strategic implementation of the tourism resort hotels of Hainan State Farms Zhongxin Group Co., LtdWith regard to the strategic implementation of the tourism resort hotels of Zhongxin Group, this chapter puts forward opinions from seven aspects: Organizational leadership:A hotel management team is set up with the group deputy general manager as the representative, and a professional management team in accordance with the hotel group development strategy; Target decomposition:The group will draw up three-year, five-year, and ten-year development plan as well as the group’s tourism development strategy and make a detailed decomposition; Resources guarantee:The group will bring into play the advantages of land resources, geographical district, equipment resources and other advantages, and guarantee all the demands in the process of development implementation of the tourism resort hotels; Characteristics forging:Team building: The group will set up corresponding and affiliated tourism resort hotel management companies according to the strategic planning of the group’s tourism resort hotel, thus building a professional management team with the characteristics of tourism resort hotels; Enterprise culture:The group will shape ecological, safe, characteristic, harmonious corporate culture with regard to different development strategies of tourism resort and in combination with characteristics operating style of Zhongxin Group; Risk management:The group will make a detailed analysis of the national policy laws and regulations, a careful analysis of the market environment and self advantages and disadvantages, and a reasonable development from the angle of operation, finance management and human resources etc,.Chapter Six ConclusionThe main contributions of this paper:1. For the first time, the paper makes a comprehensive and systematic analysis of the inside and outside environment of Zhongxin Group, helping us have a clear understanding of external opportunities and challenges and internal advantages and disadvantages, with knowing ourselves as well as the rivals;2. According to the scientific analysis of business combination, the paper helps us realize that the four major business sectors need different levels of development. Particularly, we can achieve the development of modern service industry (tourism resort hotels) and modern tourism industry through the great development of tourism resort hotels;3. The paper proposes reasonably the strategic objectives of the company and hotel business strategy goals. We can formulate business strategies of tourism resort hotels and competitive advantage strategies of tourism resort hotels’ businesses, so as to know that the enterprise can realize its scheduled strategic goals with the right strategic mode and competitive means on the right way.