Case Study : PT Citra Putra Mandiri (The Stone Hotel Bali)Case Study : PT
Prepared for
Lecturer of
Leadership Communication
Prepared by
DeriFirmansyah – 15/391909/PEK/21355
Donny RahadianPasca – 15/391915/PEK/21361
IswanArpadi – 15/391945/PEK/21391
Okky – 15/387317/PEK/20867
Jakarta
2017
Ms. MyraniIsnaniati
President Director
PT Citra Putra Mandiri
The City Tower 18th Floor
Jl. MH. Thamrin No.81 Jakarta 10310
Enclosed is the report that you requested in November on whether PT Citra Putra Mandiri should
adopt an alternative strategy to solve business sustainability problem. We believe it should. An
alternative strategy can :
1. Reschedulling credit
2. Request for change of management and shareholders
In establishing the alternative strategy, which is done by identifying the internal and external
environmental conditions that may affect the company’s business to define alternative strategy
for PT Citra Putra Mandiri. The information of external factors containing the opportunities and
threats, as factors affecting the company’s success in formulation the strategy. The external
information should be combined with the company’s internal information that it contains the
strengths and weaknesses of the company, as a primary factor in formulation the company’s
strategy.
The information in this report came from print and online sources, as well as interview with Ms.
MyraniIsnaniati and all parties associated. We appreciate the time they took from busy schedules
to meet with us.
Thank you for the opportunity to conduct this research. We appreciate the chance to apply our
knowledge to helping PT Citra Putra Mandiri to solve the business sustainability problem.
If you have any questions about this report, please ask. Thank you.
DeriFirmansyah
Letter of Transmittal...............................................................................................................ii
Executive Summary.................................................................................................................v
Introduction..............................................................................................................................1
Problem.....................................................................................................................................1
Purpose and Scope...................................................................................................................2
Assumptions..............................................................................................................................3
Limitations................................................................................................................................3
Criteria......................................................................................................................................3
External Environment of The Stones Hotel Bali...................................................................4
Sociocultural Factors...............................................................................................................4
Technological Factors..............................................................................................................4
Legal and Regulatory Factors.................................................................................................5
Porter’s Five Forces Model of Competitive...........................................................................5
Internal Environment of The Stones Hotel Bali....................................................................7
Operational...............................................................................................................................7
Marketing.................................................................................................................................8
Service.....................................................................................................................................10
Human Resource....................................................................................................................11
Technology..............................................................................................................................12
SWOT (Strengths, Weaknesses, Opportunities, Threats) Analysis...................................14
Strengths.................................................................................................................................14
Weaknesses.............................................................................................................................14
Opportunities..........................................................................................................................14
Threats....................................................................................................................................15
Results.....................................................................................................................................17
Conclusions and Recommendatios.......................................................................................17
Work Cited..............................................................................................................................18
Alternative Strategy to Solve Business Sustainability Problem
Executive Summary
Introduction
PT. Citra Putra Mandiri (CPM) is big company in Indonesia. PT CPM is a holding company with
segment business in Property, Transportation, Agri Business, Mining and Strategic Investment.
PT CPM is aprivate company hedquartered in Jakarta. PT Citra Putra Mandiri is better known
company in domestic and international business community as OSO Group – a brand that
represent the visionary & pioneering attributes of its founder. Their vision is to professionally run
company that generates optimum revenue in all business industries it is involved in. and their
mission are to be a compny that is both profit oriented and socialy responsible. To be a company
that is able to give added value to its shareholders, business partners and employees.
Many Project they create in business property such as:
1. Blooming Bar and Restaurant is located at FX Lifestyle Sudirman Jakarta, serving varity of
food suitable for intimate meetings, social gathering and big function.
2. The Stones Entertainment Centre LegianBali, is located at the southern tip of legian across
form Legian beach. Blue Sapphire Club and Bar,Salt Restaurant, Infamy-Rooftop
Lounge,Vinyl are aparts from the Stones Entertainment Centre Legian Bali.
3. PT. Citra Putra Realty is the property and hotel management arm of PT Citra putramandiri.
Under its network, it manages The Stones Hotel and Entertainment center, Mahkota Chain of
hotel in Kalimantan and other on going projects.
4. Clay Hotel, is located at central business district of Jakarta, in between Jaln MH Thamrin
and jalanSudirman. Clay Hotel Jakarta offer the affordable rates and stylist accommodation
to suit your business and leisure purpose.
5. Mahkota Hotel Singkawang,is located in Kalimantan.
In Mining business segment, PT CPM has many sister company too such as PT Riyoto Tin, PT
Total Orbit Prestasi, and PT Karimun granite
PT Citra Putra Energy is the one and only a sister company from PT CPM in Energy Business
segment, and this company is not yet in operation.
The Stones Hotel project integrated many sister company PT CPM, there are PT Oso Bali
Cemerlang (PT OBC). This company is owner the land Stones Hotel Bali. They made
agreement in January 15 2009. PT Citra Putra Realty (PT. CPR),is the company who manage all
PT CPM Asset. PT CPR is managing 3 hotels from PT CPM, there are Hotel mahkota
Singkawang West Borneo, Hotel Grand Mahkota Pontianak West Borneo and PT Hotel
mahkotaKayongSukadana West Borneo
PROBLEMS
Stones Hotel Bali build since December 2010 with first budget plan amount Rp
560.774.000.000,- until June 2012. During the construction, The Stones Hotel Bali has many
constraint because to a change their concept hotel. First concept is 4 stars hotel, and change to be
5 stars hotel, This affects the budget plan of The Stones Hotel and change of construction period.
Because of that constraints, The Stones Hotel Bali can not operate according the original plan,
and then the Stones Hotel Bali unable to pay their debt in Bank. Some other constraints of The
Stones Hotel Bali:
The purpose of this report is to recommend an alternative strategy for PT Citra Putra Mandiri to
sustaining their business in Indonesia.
In this report, we will focus on identifying the external and internal environment of PT Citra
Putra Mandiri. The identification of the external environment will be reviewed various aspects of external
companies that become the opportunities and threats that may affect the business. In the identification of
internal environment will be obtained from the company’s strengths and weaknesses. Which is the aspects
of external and internal are analyzed using SWOT analysis.
We will briefly discuss the evaluation of the strategy that has been done by the company, where the results
of the evaluation will obtain an effective alternative strategy recommendations that should be adopt by PT
Citra Putra Mandiri in order to survive and succeed in the industry.
ASSUMPTION
Our recommendation is based on several assumptions :
LIMITATION
Our limitations are that we have not interact and asked directly to related parties on this issue. This report
depends almost entirely on online sources, The Stones Hotel Annual Report 2014 and 2015. Before we
provide some alternative strategy to solve business sustainability problem of The Stones Hotel, we should
read a reliable sources first. Then we combine the same news from different sources and we conclude the
things, afterward we put in this report.
CRITERIA
An alternative strategy that will be recommended to The Stones Hotel must satisfy several criteria:
1. An alternative strategy should be able to increase net sales (occupancy rate) of The Stones Hotel
3. An alternative strategy can help The Stones Hotel to expand rapidly its business in Indonesia.
SOLUTION
1. Reschedulling credit
2. Request for change of management and shareholders
External Environment of Hotel the Stones
After doing some research we analyzed several factors that became advantages and
disadvantages The Stone Hotel :
Main Factors
As we know in the second quarter of 2015 the economy in Bali experienced a slowdown
in some sectors. One of them is in the tourism sector where the growth of tourist arrivals in Bali
in the same period in 2014 decreased by 8.13% when compared with the same period in 2015.
Similarly, the occupancy rate of star-rated hotels (TPK) in quarter the second quarter of 2015
decreased compared to the second quarter of 2014 from 61.46 percent to 57.99 percent. This
decrease is caused by several factors, including the following:
1. Mount Raung Disaster
One of the causes of the tourists decline to Bali is the eruption of Mount Raung so that Ngurah
Rai airport is closed.
During the period of 2015 recorded the economy of Europe and China was worsen, even
happened several times the weakening of the yuan currency against the US dollar so that
European and Chinese tourists prefer find closer place and travel agents was raised the tariff.
The defection of two defendants in August 2015 slightly contributed to the decline in the number
of tourists, especially Australian tourists who came to Bali, triggered by negative sentiments
from Australians against the Indonesian government. (Source: http://www.tribunnews.com)
Economical Factors
During the period of 2015 recorded the economy of Europe and China was worsen, even
happened several times the weakening of the yuan currency against the US dollar so that
European and Chinese tourists prefer find closer place and travel agents was raised the tariff.
Sociocultural Factors
Sociocultural forces according include the social values, attitudes, cultural influences,
and lifestyles that impact demand for particular goods and services, as well as demographic
factors such as the population size, growth rate, and age distribution.
in the tourism sector sociocultural factors are very important, those who are just married
want a honeymoon in Bali, or the age of teenager who wants to spend with friends of his friends.
this factor as a determinant whether the tourists will spend a lot of money to stay at the
StoneHotel or not. there is the tendency of foreign tourists to use AIRBNB for lodging service
providers of course this becomes obstacle for the stone hotel. this change of behavior had a bad
effect on the stone hotel.
Currently there is a shift in attitude where once many tourists who stay in kuta area, now
in kuta made a wall that people can not see directly, then bus AKAP also can not come. In
addition to this time busy Kuta tourista do not want to stay and choose a more quiet place. This
tourist shift becomes a major obstacle to Hotel Stone, the tourism prefer to stay in the area of
seminyak.
Technological Factors
Bali Nine Execution, the defection of two defendants in August 2015 slightly contributed to the
decline in the number of tourists, especially Australian tourists who came to Bali, triggered by
negative sentiments from Australians against the Indonesian government. (Source:
http://www.tribunnews.com). he rise of cases of terrorism ahead of Christmas and the end of the
year in Indonesia to make other countries wary. Australia and the UK also issued travel advice.
In fact, a few moments ago Datasemen 88 was able to ambush a pot bomb in Bekasi on Saturday
night (10/12) until a bomb in South Tangerang on Wednesday morning (21/12) indicates a plan
of terrorism ahead of Christmas and the end of the year. A few moments ago in November 2016,
the bomb also exploded a monastery in Singkawang (14/11) and Samarinda Church (13/11).
For security reasons, the Ministry of Foreign Affairs of Australia and the UK also issued travel
advice for its citizens who want a holiday to Indonesia ahead of Christmas and New Year.
As is known, travel advice is a cautious appeal and not a visit ban such as travel warning.
Generally travel advice is provided by a country for its citizens who will vacation to certain
countries related to security issues.
Quoted detikTravel from the official website of the Ministry of Foreign Affairs of Australia,
Friday (23/12/2016) the Australian Foreign Ministry advised its citizens to be careful during the
holidays to Indonesia. Especially when holiday to Bali.
The appeal was also taken by the Australian Foreign Ministry related to a number of terrorist
arrests by Datasemen 88 in a number of locations near Jakarta. The latest update from the
Australian Foreign Ministry is on December 21, 2016 or Thursday as written on its official
website.
The same thing was also issued by the British Foreign Office. Judging from the website, the
British Foreign Ministry also urged its citizens in Indonesia to be careful. Especially before
Christmas, New Year and Lunar New Year on January 28, 2017.
"There is a high threat from terrorists: terrorist groups are beginning to plan attacks and have the
capacity and willingness to launch attacks anytime and anywhere in Indonesia," said travel
advice issued by the British Foreign Office on its official website.
If the police and related parties can maintain security in order to avoid terrorism activities ahead
of Christmas and New Year. So that the Australian and British Foreign Ministry can reduce the
status of travel advicenya back. That Indonesia is a safe country for holidays.
Five forces model of competitive from porter is to analyzed industry that used to map
business hotel right now and its development in the future. Analysis of the industry is trying to
describe the conditions in each variable were analyzed: in a state of high, medium, or low. Porter
believes that competition in the industry at least not to lead to perfect competition with a lot of
players. For if to many players, profits obtained will be fewer.
First, competitive pressures created by the rivalry among competing Hotels provider.
Property consultant Colliers International states the level of competition in Bali in tight
conditions. This condition arises due to the development and development of hotels in the
province.The rise of hotel development in Bali is also because the province is considered as one
of the main tourist destinations of the Republic of Indonesia.Based on projections made by
Colliers International, the marketer in Bali is expected to increase by 8,134 in additional year
2017. The supply is dominated by a four star hotel with a total of 4,604 units, which follows
2,959 five-star hotel rooms, then 571 three-star hotel rooms. If there is no policy that can be
done, then the market in the hotel will continue to maintain a level of intense
competition..Viewing conditions will be like this, can be conclude the level of competition in the
Hotel business will be increasingly fierce and can be categorized as HIGH.
Secondly, competitive pressures associated with the threat of new entrants.
Bali still has a high attraction. This is evident from the action of expansion of international hotel
chain that will open a portfolio of new properties on the island.
The brands they rely on are luxury class. In the notes of Colliers International Indonesia, there
are 14 confirmed luxury accommodation facilities covering 2,040 rooms that will operate on the
island until 2019.Of the 14 hotels, almost entirely a prime presence in Bali, even in Indonesia.
Call it the Waldorf Astoria, Hilton Hotel's highest strata hotel & Resorts.Unmitigated, Waldorf
Astoria will be present in Bali with two properties at once. Both are the Waldorf Astoria Bali
Uluwatu with 96 rooms, and the Waldorf Astoria Bali Ubud with 100 rooms.The Waldorf Astoria
Bali Uluwatu is scheduled to open to the public by 2017, and the Waldorf Astoria Bali Ubud in
2019.
Other prime times are Solis Capella Resort Hotel, Cordis Nusa Dua Bali, Langham Place Hotel,
Raffles Bali, Mandarin Oriental Bali, Kempinski Nusa Dua, Rosewood Tanah Lot, Shangri-La
Nusa Dua Resort & Spa, Jumeirah, Andaz Hotel Bali by Hyatt , Edition Hotel & Resort and
Cordis Nusa Dua.
• Shangri-La Nusa Dua Resort & Spa, 180 rooms, opened quarter III-2016
The entry of new entrants in an industry dependent on the size of the barriers to entry to
the concerned industry. Barriers can include capital, technology, patents, and so on. Capital
barriers is not a huge barrier to entry this business. Many people or organizations that have large
capital and they may commit form a joint alliance or merger. So, for Hotel industry is due to the
small entry barriers, in other words the threat to barier of newcomers is large or in the category
HIGH.
The third, competitive pressures from the sellers of substitute products. In the last three
years, the number of star and non-star hotels in Bali. In addition to the new jasmine hotels, cheap
home holiday packages come together to increase the number of non-star hotels in the province.
The existence of hotels concept house until now has not been clearly classified. In the
publication of the regency / city tourism office, some lodging houses are classified into cottage
category. However, there are also classify it as a jasmine or star class hotel. There is no secret
clarity over the hotel concept house, there are some similarities features of such lodging. Hotel
concept of public house. The concept is built by way of designing the place with distinctive
architectural features, relatively quiet location and beautiful environment, as well as the power of
employees who are very attentive to every guest. The number of the two inns is not up to 15
pieces and thick with the nuances of home decoration of Jakarta is simple. The location of the
two inns is also relatively far from the road and green vegetation. The concept of Cheap Lodging
is, according to the analysis of the Regional Tourism Board of Bali, began a lot of developing the
article the last three years. The growth of the home concept house helped boost growth in the
province. Data of regency / municipal tourism agency shows, in 2005 number of star hotel still
37 units, now become 38 unit. Meanwhile, the number of non-star hotels from 1,006 to 1,039
units. It should be an agency that likes to immediately respond to the development of this
concept house hotel as part of the pillars that helped support tourism in Bali. The category of
substitute product pressures in this business is HIGH.
The Fourth, competitive pressures stemming from buyer bargaining power. The number
of hotels that are mushrooming in Bali gives rise to unhealthy price competition among hoteliers.
There are several hotels in Bali who are willing to lower their hotel room rates by 50%. The
condition of this competition is not seen clearly by consumers. The Hotel usually take other
parties, such as airlines or travel services to provide cheaper prices.
"Called the benefit, by a certain plane can be a cheap price.From Rp 500,000 one night, could be
two nights," said Secretary of Indonesian Hotel and Restaurant Association (PHRI) Bali Perry
Markus to detik Finance, Sunday (14/09/2016) According to him automatically, the market price
for hotel rooms in Bali to be damaged. Many hotels are then dropping prices lower to reach
consumers. This step is usually done when not during peak holiday season, such as school
holidays, Lebaran, and the end of the year. The management of the hotel can lose if this
condition continues. Moreover, hotel entrepreneurs bear the tariff increase of electricity, LPG and
labor gas. So the margin received by hotel owners is getting smaller. margin is smaller, this
investment will not be profitable. Perry said to address the issue of 'war' this price, is quite
difficult. This is because usually hotels do not do blatantly at hotel rates. Previous Executive
Director of Indonesia Property Watch Ali Tranghanda said the increase in land prices in Bali is
very high inversely proportional to the level of hotel occupancy in Bali which declined to an
average of 60 percent. This makes the hotel owners start to fight tariffs. Room rate which was Rp
600.000 per night has been corrected to Rp 350.000 per night. From the existing conditions it is
estimated that the investment rate of the hotel will not be feasible to survive for the long term. At
least a hotel project can still be gradually with 60% occupancy rate with the assumption that the
market price is still reasonable according to its class. For consumers it is to be benefited, but
investment in this case becomes unhealthy for the national hospitality industry. In this condition,
the bargaining power of buyers is HIGH.
And lastly the fifth, competitive pressures from supplier bargaining power. the hotel
supplies providers are now very much priced at the same average, so there is no competition in
the provision of hotel equipment that distinguishes only the facilities purchased whether luxury
or ordinary. but also the model of the hotel itself with the more modern hotel made then the more
investments that are diluted but that does not mean the competition for the procurement process
becomes very different. can be said bargaining power from supplier is LOW.
After doing some research we analyzed several factors we found any factor in the Stone Hotel :
Operational
And also other standard standards that are still within the scope of hospitality management itself
without exception.
1. As a benchmark or reference in carrying out the work for all hospitality staff so that they can
do the job as expected
3. Provide a good written understanding for new or old employees who also become learning
materials to support the work.
4. For new employees, the standard as part of a written medium makes it easier for seniors to
guide the employee so as to provide a comprehensible understanding either in writing or orally.
5. In a case the standard is often used as a comparison material with other hotels as an additional
reference in applying the discipline of work.
Marketing
As mentioned in Kompas Denpasar published on June 22, 2016 stating that "Bali Excess
Hotel" which is the result of an interview with the Head of Bali Tourism Office AA Yuniartha
Putra, this is because the continued development of hotels that are beyond the control of the
government and result in sales competition room in winning the hearts of consumers so that
consumers dare to choose the hotel offered. Judging from the number of competition in
providing hotel accommodation services would require the implementation of appropriate
strategies in achieving the target company. The Stone Hotel chooses to emphasize the use of
marketing strategies in the promotion of online and offline media on the grounds that Online
media promotions most consumers can access the hotel web and information about the hotel
anytime and anywhere, without time limitations, and for offensive media such as: posters,
brochures, booklets are still selected because the use of offlline promotional media can help
guests visit directly to The Stone Hotel. However, it continues to work together between relevant
stakeholders such as travel middler promotional providers that are often conducted in countries
and tailor the target market to be achieved such as ASEAN Tourism Forum (ATF), ATM
(Arabian Travel Market), Cruise Shipping Asia-Pacific, IT & CMA (Incentive Travel &
Convetions Meetings Asia), ITB Asia. With the many types of rooms by The Stone Hotel
certainly opens the opportunity in providing special offer-offering in support of the product sales
strategy is packed with interesting, as for the product offerings offered are as follows:
Hotel Property "The Stones" aiming for upper middle consumers. This consumer group is
foreign and local executives who travel frequently and understand well what is wanted
and needed during their stay.
Entertainment Center, Hotel and Convention Hall in the hotel property "The Stone" has a
strong theme, where hotels like this are still very rare in Bali, especially in the Kuta beach
area. While Kuta beach itself is still the main tourist destination in Bali and visited by
many foreign and local tourists.
The concept of hotel property marketing "The Stones" is essentially divided into 3
interrelated groups:
- Entertainment Center
- Hotel
- Convention Hall
Marketing activities in order to get tenant / tenant, has been done the company since the
beginning of the hotel development and currently almost all tenants have been filled
To increase the sale of Hotel The Stones do a lot of work with tour agents in several
countries such as Australia, China, Japan, Korea and now the Stones start to target the
Southwest Asian market (Dubai, UAE, Saudi Arabia).
In addition The Hotel Stones works together with several event organizers such as events
that are held on 5 and 6 November 2015 is a World Harley conference where the event
was attended by about 1000 people and the main hotel in the place of lodging is Hotel
The Stones.
Hotel property "The Stones" in its operations is managed under the management of PT.Citra
Putra Realty (PT CPR), a subsidiary of PT. CPM established to manage the assets of PT. CPM in
the form of property. Has established cooperation with world-class hotel operators, Marriott
International Inc. ("Marriott")
Resource
The "The Stones" hotel consists of the Entertainment Center, Hotel & Convention Hall buildings,
with the following explanation:
I. Entertainment Center
Entertainment Center is built on an area of 7,704.20 m2, with a total gross floor area of
13,430.57 sqm. Entertainment Center building consists of Restaurant, bar, retail, café, spa
and private pool. Details The floor space of each floor of the Entertainment Center building
is as follows:
TOTAL 5.940,25
B.Renovation Existing
BuildingRenovasi Bangunan
Existing
1. Floor 1 StoreyLantai 1 1.872,58 Retail, F&B
Storey
TOTAL 7.490,32
Hotel & Convention Hall is built on an area of 16,000 m2 with a gross floor area of 38,525
m2 and consists of 5 (five) floors, with 308 rooms divided into four room types:
F-1
1.1 DeluxeDeluxe 3333 3333 3333 3333 1.34 Deluxe16 3332 332,580,000
. 6
4. Suite 4 4 4 4 4 20 77 5,053,000
Jumlah 64 64 64 63 65 308
Averange Room 3.015.657
Based on the results of the visit on October 3, 2015, Hotel The Stone consists of 6 types
of rooms where for room type no. 1 s / d 3 is actually the same room type only the tariff is
distinguished by viewnya, while for other types are distinguished by the room and room
facilities. In addition to the 4 types of rooms above there is also the type of president suite room
which is equivalent to 50 rooms and consists of 3 floors and luxurious facilities. The hotel is also
equipped with various facilities, including:
Location Of
The Area (m2)Luas
No.No. FacilitiesFasilitas
FloorLetak (m2)
Lantai
5. FO Lt. 1 105
JUMLAH 14.849
For Convention Hall consists of 3 (three) floors, as for the function of each floor and floor area
are as follows:
Floor I, an area of 3212 m2 functioned as a main kitchen, restaurant, banquet store and
retail.
Level II, an area of 3,500 m2 used for meeting room, some small ballroom, concert
BOH / Store and pre-function.
Floor III, an area of 3,500 m2 is used for grand ballroom.
Especially for the second and third floors of each wall divider / partition meeting room and
small ballroom is designed to be moved / flexible, so that later the room can be set / diseting as
needed with a maximum capacity of 3000 people. Based on internal data obtained from the
management of The Stone at this time the use of ballroom every year increased from the target
where in 2013 by 33%, then 2014 by 71% and sampaoi with October 2015 by 80% (Source: The
Stone's Internal Data). But in general, sales from the Convention Hall have not been maximized
and reached the target.
The hotel property of "The Stones" which includes Entertainment Center, Hotel & Convention
Hall is located in one of Bali's most famous tourist areas, precisely at Jalan Pantai Kuta, Banjar
Legian Kelod, Kuta, Badung Regency, Bali Province, - the hotel area limit
The location is located on the shore of a natural nuance and is perfect for the
development of tourist areas.
Accessibility, location of "The Stones" is relatively easy to reach from Ngurah Rai
International Airport, a short distance from Ngurah Rai bay pass road-Imam Bonjol Street
- Kuta Beach Road + 10 km. Location next to Kuta Beach Right which has direct view to
Kuta beach.
Around the location of "The Stones" looks very crowded by tourists all the time, making
it suitable to be developed into Entertainment Center, Hotel & Convention Hall.
Electricity facilities, telecommunications, water bresih and BBM available well.
Optimal Land, where the land used is owned by PT. OBC, a subsidiary of PT. CPM (PT
CPM owns 82.5% shares of PT OBC).
Based on the above considerations, it can be concluded that the location chosen to establish the
hotel Entertainment Center, Hotel and & Convention Hall has been appropriate in terms of
technical aspects of the hotel and retail business..
Based on the above description mentioned that there is a decline in the number of tourists in
Bali, but actually the prospects of Hotel Investments in Bali is still very promising this is
evidenced by the increasing growth of hotels in Bali every year, which is projected by 2015 3
star hotel growth of 11.7% 8.3% for four star and 3.3% for the growth of five star hotel
(http://mpi-update.com/bali-tapap-menjadi-magnet-kuat-bagi-business-hotel) this can be seen
from some of the following factors:
Hotel business in Bali is still a prospect because Bali until now is still the number one
tourist destination in Indonesia where foreign tourists more familiar with Bali in the
appeal of Indonesia.
The high average occupancy room or occupancy rate of hotel rooms especially in the
holiday season is one of the indicators. The hotel business opportunity for four and five
stars in Bali especially in Kuta area is still open.
PT.CPM is targeting middle and upper consumers. This consumer group is foreign and
local executives who travel frequently and understand well what is wanted and needed
during their stay.
PT.CPM builds an entertainment-themed hotel and cooperates with Marriot Inc. so that it
has international standrt and is able to compete with similar hotels like Hard Rock etc.
Special Risk:
Every business has a risk to its operational activities, both internal and external factors. But the
risks we can recognize earlier will be able to strive to anticipate well. The risks that can arise
include:
The Stone hotel is five star hotel and under Marriot Management Hotel International,
Marriot Hotel have offers 30 hotel brands across 5700+ locations in more than 110 countries.
Based on discription at above last page, our tim have SWOT analysis :
a. STRENGTHS
1. Location and property
2. High quality services
3. Best luxury hotel in Denpasar
4. Credit worthiness
5. Competent and Experient staff
6. Strong financial position
7. Only hotel of Pacific Asia have The Stone Brand
8. Rich in traditional culture
9. Have great training and developing program
10. Best guest facilities and services
The Stone hotel build in 2010 and eshtablised on 2012, The Stone under Marriott
International Inc is the leader in the global hotels market, with a near 5% value share in 2007 and
a large geographic presence. The company owns less than 1% of its hotel portfolio and is thus
less vulnerable to real estate price fluctuations than rivals. Moreover, its emphasis on franchising
facilitates the rapid expansion of its portfolio. Marriott International is pursuing a growth
strategy to further consolidate its presence in foreign markets and capitalise on the booming
travel and tourism industries of emerging markets, which should continue to serve its business
well in terms of revenue over the forecast period. Unfortunately, the global economic downturn
is hindering expansion plans, particularly as consumer confidence softens and demandfor travel
accommodation falls. Marriott International's website guarantees the best rates available,
enticing price-conscious consumers away from third party websites. Marriott International is
upgrading its properties with technology that responds to the needs of business and leisure
travellers. In the latter part of the review period, for example, it has transformed its public areas
to encourage guests to work and socialise through the adoption of the latest design, technology,
food and beverage offerings.
b. WEAKNESSE
1. Limited target market high cost
2. High tariff rates
3. Long working hours, cause employees fatigue and stress
4. Very low salaries
5. High turnover
Despite international expansion, Marriott International remains heavily reliant on the US,
making it sensitive to the changing fortunes of its domestic market. Mid-scale and upscale hotel
brands leave Marriott International vulnerable to any potential global economic downturns,
particularly given that economy travel accommodation is gaining increased penetration in major
destination markets. The Courtyard brand is maturing and losing its core business customers.
Industry experts believe the revitalisation process may not be enough to lure customers back
mainly due to a fierce competitive environment, packed with exclusive offers and increasingly
modern accommodation, particularly at a time when business travellers want to cut costs.
Marriott International does not have a low-cost lifestyle brand in its product portfolio, like aloft
from Starwood and Hotel Indigo from IHG. The launch of "Edition" by Marriott, a new genre of
a lifestyle brand that combines an intimate and unique travel accommodation experience, will
come at a turbulent period, characterised by weak demand for luxury hotels in the US.
c. OPPORTUNITIES
In order to offset the negative impact of such a challenging business environment and to
capitalise on the opportunities present in emerging markets a number of hotels have turned to
them. Marriott International is no different and Asia-Pacific countries became key target markets.
The growing consumer demand for an individuated travelling experience is generating potential
d. THREATS
1. Existing competitors
2. Insecurity and terrorism in the country
3. High costs on energy due to load shedding
4. Opening of new hotels
5. Head to head competition with Pulman Bali, Hard Rock Hotel
6. Decreased prestige Kuta area
General economic and business conditions, which adversely impact the income levels of
potential travellers, coupled with a rising lack of confidence in strong markets like the US, can
have a negative impact on Marriott International's operations. This is particularly true given its
strong presence in North America, where it is the largest hotel brand in value terms with a strong
focus on mid-scale and luxury brands. A downturn in business travel – poor economic conditions
are forcing businesses to reduce travel and spend less on travelling. Marriott's brands, especially
the luxury brands, are likely to see less travellers. The rapid growth achieved by economy hotel
brands in the last three years poses a potential threat for mid-scale, limited-service brands such as
the SpringHill Suites. There is a fear that the global travel and tourism industry will see a
corresponding slowdown in revenue as consumers spend and travel less in the short term.
Marriott International is dependent on the availability of consumers willing to enter into credit
agreements, and, therefore, a general spending reduction will result in a drop in revenue. This
also applies to potential investment from prospective hotel owners and franchisees looking to
fund construction, renovations and investments.
Picture of Hotel
As a five star hotel the stone has complate facilities, The Stone have great pool, Best
room in twon :
Pool in Hotel The Stones
Results
According to the information from our research, we have known that PT. Citra Putra
Mandiri especially in the stone hotel has has a several problem in Indonesia to sustain their
business. The main problem is the revenue was decrease because of the occupancy rate is high
but Average low room rate, so the income is not worth the expenditure.
Conclusions
1. External Environment of Hotel the Stones
Main Factors, is event that make the stone income decrease that divide by 3
factors
The economic collapse of Europe and China, this issue make tourism from europe and
chine decrease
Sociocultural Factors
Shifting to airbnb ordering . Airbnb changed the behavior of tourists and finally they find
the cheapest price, best service and the nearest location of the tourist attractions
Technological Factors
Shifting to airbnb ordering. Airbnb changed the behavior of tourists and finally they find
the cheapest price, best service and the nearest location of the tourist attractions
Bali Nine Execution, this issue triggered by negative sentiments from Australians against
the Indonesian government
Marketing
Resource
I. Entertainment Center
II. Hotel & Convention Hall
The hotel property of "The Stones" which includes Entertainment Center, Hotel &
Convention Hall is located in one of Bali's most famous tourist areas, precisely at Jalan
Pantai Kuta, Banjar Legian Kelod, Kuta, Badung Regency, Bali Province, - the hotel area
limit
a. STRENGTHS
Location and property, High quality services, Best luxury hotel in Denpasar, Credit
worthiness, Competent and Experient staff, Strong financial position, Only hotel of
Pacific Asia have The Stone Brand, Rich in traditional culture, Have great training and
developing program, Best guest facilities and services and under Marriott International's
management
b. WEAKNESSE
Limited target market high cost, High tariff rates, Long working hours, cause employees
c. OPPORTUNITIES
Alliance with airlines, Trend to tourism, Have international network under Marriot
Management, Improving living standards of people, Main attraction for foreign tourists,
Diversified services for different economy classes and have International conferences and
seminars
d. THREATS
Existing competitors, Insecurity and terrorism in the country, High costs on energy due to
load shedding, Opening of new hotels, Head to head competition with Pulman Bali, Hard
Rock Hotel
And Decreased prestige Kuta area
Recommendations
http://www.tribunnews.com.2015
http ://www.cpm.co.id