Feasibility study on the hotel industry

Essay by nudlifejUniversity, Bachelor's October 2013

download word file, 9 pages 0.0

Downloaded 1 times

Feasibility Study on the Hotel industry

Table of contents

1. Introduction ................................................................................................... 3

2. Executive summary ....................................................................................... 3

3. Area Review ................................................................................................... 4

4. Site Review ..................................................................................................... 5

5. Supply and demand ...................................................................................... 7

6. Projected year end performance based on the market, conslusions ........ 9

Appendix ............................................................................................................ 10

3

1. Introduction

As a hospitality consultant for PayableLuxury Ltd., I would like to introduce my

feasibillity study of a boutique hotel located in the heart of Paris. The establishment would

both service the guests of the hotel and locals as well. For this study I used my personal

experiences as well.

Assumptions for the proposed development include the following:

i. The hotel component of the proposed development will be a

boutique hotel, will contain 50 guest rooms, 2 suites, a

conference room and a full service restaurant.

ii. The full service restaurant located on the ground floor of the

hotel will also function as a wine bar with a terrace, with the

capacity of 130 guests.

The scope of my study included the following:

a) Site review

b) Area review

c) Supply and demand

d) Projected year end performance, based on the market

2. Executive summary

I recommend developping a boutique hotel in the Opera District of Paris. It is a highly

accessable location, there are several monuments and sights favored by visitors, and the locals

consider it a posh shopping area. In this location it is expected to pay more for a dinner or a

hotel stay than in other areas of Paris. There are a few competitors nearby, but they do not

offer good quality and low prices at the same time, what PayableLuxury Ltd. had in mind.

Finding the nieche in the area, running a wine-bar-like restaurant will increase the popularity

and the income of the establishment.