Question

Vision Resort is a five-star resort and spa founded in 2012. Vision believes in offering authentic services to every customer by fulfilling and catering the needs of their guests efficiently. Facilities and services include spacious rooms, banquet halls, gardens, restaurants, a wide range of food with delicious cuisines. All its employees are well trained and provide high customer satisfaction.
Vision resort focuses on premium pricing strategy for its products as they cater to high profile business class and upper class of the society. The value provided through the luxurious experience to the customers during their stay in the resort and the first class royal service explains the high prices of the resort packages. However, in light of the current economic condition in the world due to the Coronavirus, the resort is currently trying to provide a combination of high quality and service while also providing fair prices.
Also, Vision resort is the owner and operator of the franchise system. They are present in 20 countries prominent ones being in Bahrain, Oman, Kuwait, and Dubai Chicago, Hong Kong, Manila, Mumbai, San Francisco, and Tokyo. It is noteworthy that the prices of the resort packages differ based on the geographic location. Also, prices fluctuate during different times of the year, as they tend to increase during the weekends and Eid holidays and decrease during the low seasons.
Regarding the promotion strategy, vision resort has built and maintained positive awareness, and brand value by word of mouth. This has been achieved by gaining high customer satisfaction and providing excellent customer relationship management. They reward loyalty to regular clients by their signature membership cards known as Vision Gold Passport accepted globally which fetches them extra discounts and additional perks. Due to the social distancing, vision resort adopted advertising via TV broadcasting. Moreover, digital marketing tools such as instagram sponsorship allowed reaching target customers through a click of a button.
Recently, a new global disease has spread rapidly among people and the resort decided to open its doors to the passengers arriving into the country by air and border crossings and were taken to stay for free in a 14-day coronavirus quarantine. This initiative shows the social responsibility that the resort holds towards the community.

Answer the following questions:
1. What is the major pricing strategy vision resort follows and why?
2. What is the price elasticity of demand for rooms in the resort and why?
3. What is the price adjustment strategy followed by the resort management?
4. Give examples of the promotion mix?
5. The hotel resort management is planning to open a new shop in the resort, a brain storming session was held with the hotel employees where they suggested the following ideas: A coffee shop, diving equipment shop, gifts shop. Explain the process (steps) undertaken by the resort management to introduce a new product.

Answer 1

ANSWER :-

(1) Here we need to describe what is the major pricing strategy vision resort follows and why

Vision resort focuses on premium pricing strategy for its products as they cater to high profile business class and upper class of the society. The value provided through the luxurious experience to the customers during their stay in the resort and the first class royal service explains the high prices of the resort packages.

Why because,

in light of the current economic condition in the world due to the Coronavirus, the resort is currently trying to provide a combination of high quality and service while also providing fair prices.

Vision resort is the owner and operator of the franchise system. They are present in 20 countries prominent ones being in Bahrain, Oman, Kuwait, and Dubai Chicago, Hong Kong, Manila, Mumbai, San Francisco, and Tokyo.

(2) Here we need to describe what is the price elasticity of demand for rooms in the resort and why

It is noteworthy that the prices of the resort packages differ based on the geographic location. Also, prices fluctuate during different times of the year, as they tend to increase during the weekends and Eid holidays and decrease during the low seasons.

(3) Here we need to describe What is the price adjustment strategy followed by the resort management?

Vision resort focuses on premium pricing strategy for its products as they cater to high profile business class and upper class of the society. The value provided through the luxurious experience to the customers during their stay in the resort and the first class royal service explains the high prices of the resort packages.

(4) Here we need to describe Give examples of the promotion mix

Regarding the promotion strategy, vision resort has built and maintained positive awareness, and brand value by word of mouth. This has been achieved by gaining high customer satisfaction and providing excellent customer relationship management. They reward loyalty to regular clients by their signature membership cards known as Vision Gold Passport accepted globally which fetches them extra discounts and additional perks.

vision resort adopted advertising via TV broadcasting. Moreover, digital marketing tools such as instagram sponsorship allowed reaching target customers

(5) Here we need to Explain the process (steps) undertaken by the resort management to introduce a new product.

social distancing

vision resort

TV broadcasting

digital marketing

instagram sponsorship

target customers

the process (steps) undertaken by the resort management to introduce a new product.