The Viridian Business Plan

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Business Plan

Final Exam Report

1/2/2016

Kavitha Balakrishnan

21590802

I. Overview

        In this report I summarize my validation of my business plan and business idea of a startup company called "The Viridian”, which is an affordable boutique luxury resort in the Philippines, with a particular draw to eco-minded travelers looking for a unique experience. The resort’s target guests are the urban professional. Guests are expected to come from all parts of the world; however most travelers are expected from Western Europe and the U.S. In first part of the report I would be detailing on my new business idea, business model, value proposition, etc. And in second part of the report, validation of my business plan will be done, where I would be taking a critical look at the plan more like an “outsider”.

II. Executive Summary

        The Viridian Resort is located on Philippines, surrounded by forest area and beach on both the sides. Located in the recently expanded Mali area, The Viridian resort will offer customers 10 two-bedroom units with underground parking, fully-equipped kitchens, laundry facilities, Private pools and stone fireplaces. The Viridian Resort also will offer a common-area outdoor hot tub as well as an on-site store and on-site front desk service.

Each year, over 4.6 million and nature lovers visit the Philippines. On average, 52% of Travelers who indicate they are likely to choose hotel/destination based on social or environmental impact. Roughly 200% of travelers likely to book “Green” accommodations in 2015 than in 2014. On Average, visitors spend over $250 million, annually, for lodging, food, and recreational activities at Philippines.  

2.1. Objectives

The objectives of the Viridian Resort for the first three years of operation include:

• Exceeding customer's expectations for affordable green luxury resort.
• Maintaining a 90% occupancy rate during the peak periods.
• Assembling an experienced and effective staff.

2.2. Mission[pic 5]

[pic 6][pic 7][pic 8][pic 9]The mission of the Viridian Resort is to become the number one resort of choice with visitors to Philippines. 

III. Company Summary

The Viridian Resort, located in the one of the exotic location of Philippines, has 10 two-bedroom units with underground parking, fully-equipped kitchens, private pools, Spa services, Organic food Restaurants, laundry facilities and stone fireplaces. Viridian Resort also has a common-area outdoor hot tub as well as an on-site store and on-site front desk service.

3.1 Start-up Summary

Initial investment will be $1,300,000. Along with that we will also purchase the property for $800,000 and will have an initial set up expenses for $470,000 approximately.

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3.2 Product

The Viridian Resort will offer customers an Affordable, sustainable, luxury hotel experience. The product includes:

• Green Globe Certification
• Locally sourced food materials
• Organic restaurant ingredients
•  All-natural spa products
• Local + Internationally trained staff

3.3 Place

The Viridian Resort is located in one of the exotic location of Philippines.

• Surrounded by Blue oceans and Emerald hills

• Beach and forest area
• Easily accessible from the nearest city.

3.4 Price

The Viridian Resort will offer customers 3 types of luxurious villas with two-bedroom units, fully-equipped kitchens, Organic food restaurants, private pools, Organic Spa services laundry facilities and stone fireplaces. Below are the villa types and its prices:

• Superior Villa: $150 / room / night
• Deluxe Villa: $200 / room / night
• Premium Villa: $250 / room / night

3.5 Promotions

We believe a good word spreads itself, below are some of the promotional plans for the Viridian resort:

• Advertise in eco-magazines
• Booths at “Green” and environmentally-themed events
• Sponsor events like marathons
• Pamphlets on recycled paper, vegetable ink
• Organic, word of mouth through local community

IV. Positioning the Viridian as a Green Brand

We became interested in potentially leveraging the Viridian’s sustainability investment to build brand awareness and gain revenues. In recent times, 16 percent of consumers from Europe, US and Asia showed a strong preference to purchase goods and services from eco- friendly businesses and indicated that the customers are willing to pay price premiums for these goods and services. Additionally, 25 percent of consumers were committed to achieving personal health and while not committed to environmental concerns, sought out products and services that are perceived as health-conscious.

So in order to achieve the Green brand the Viridian resort will be certified with “Green Globe” certification, which is certified by an NGO named VEP: Voluntary Environment Program to inform potential guests about hotels sustainability activities.

Following are the measures which led the Viridian to receive the “Green Globe” certification from VEP.

• Conservation and management
• Environmentally sensitive products
• Energy efficiency
• Environmentally sensitive purchasing policy
• Avoiding hazardous substances
• Involving staff, customers, and communities in environmental issues
• Land use planning and management
• Management of fresh water resources
• Noise control
• Partnerships for sustainable development
• Protection of air quality
• Re-use and recycling
• Transport
• Waste minimization
• Waste-water management

The above measures helped the resort in Reduction of electric bill by 60% and

Reduction of water consumption by 70%.

V. Situational Analysis

The situation analysis provides the information necessary to create a company mission statement. To begin this process, organizations should observe the internal company environment. This includes: