The aim of this work is to present a winning strategy for business development of a hotel for dogs in Sofia, under the name AMIGOS. We pursue a thorough analysis of the company’s market positioning, growth prospects, resource planning and competitive advantages. Initially, we shape our mission and vision and critically observe both the external and internal environment. We begin with PEST analysis, which enables us to understand better company’s macro surrounding, and afterwards continue with the industry analysis, based on Porter’s five forces.
Further, we outlay the company’s competitive positioning and derive driving forces to change, as well as key success factors. Moreover, determining strategic and financial objectives, we can define the desired market position through growth strategy and generic strategy. The main marketing objectives along with a thorough marketing plan and a complete set of advertising tools is presented in the Marketing section. Besides, Operational part gives the detailed outline of the practical organization and implementation of a whole business idea.
We explore different techniques for process development and improvement. The Finance section encompasses the investments, capital structure and scenario-based profitability analysis. As a result, business evaluation is derived under various assessment methods that are subsequently used in the exit strategy framework. We conclude that a carefully-thought management strategy can turn into successful business venture, when comprehended as a complex of managerial skills, professional expertise and strong market awareness.
We try to create a conceptual model to a specific entrepreneurial activity that has no analogue in the country. As a ground for strategy development, we establish a closed-loop management system (Kaplan and Norton, 2008), describing the business process from various possible aspects – business strategy, markeing, operations and finance. To illustrate our proposal, a strategic map is drawn and various Six Sigma tools are applied — process map and Gantt chart, (George et al. , 2005; Knowles et al. , 2005).
Besides, we refer to relevant research and to market data. In order to overcome the lack of specialized market expertise, we employ a multifunctional team and hire a professional consultant with extensive experience in dog care and training. Our value proposition includes professional upscale dog care and associated services (training, grooming, veterinarian care, consultancy, merchandising and entertainment) at a competitive price. With the growing number of pet raisers, we believe that this is the right timing for entering the market.
Simultaneously, with busy schedules, vacations and other traveling occasions, owners need somebody to look after their pets. Moreover, the dog care service is Sofia is underdeveloped — there are eleven dog hotels with a total capacity of 125 dog crates, available to 150,000 dogs in Sofia. Further, new stringent regulations for dog boarding facilities, imposed by the EU, may force some market participants out of business, thus deeping the market inqualities. Customers We will target dog-owners with above-average income, who are prepared to pay for a professional care for their pets in a high-level environment.
Facility Design Concept: We will develop our dog-care business as a green-field project, construct separate, spacious and cosy doghouses with autonomous electricity, gas heating and sewerage system. Besides, we will allocate large playground areas to ensure sufficient opportunities for our dog-customers to walk and play in the company of our staff and other dogs. Such design will help us to become the best and most preferred dog-hotel in Sofia and outperform all rivals.