Answer to Question #291472 in Marketing for Malefa

Question

The Regal Inn is a 30‐unit, motel in the less scenic part KZN. The owner, Mr. Mkhwanazi, firmly believes that there is a need for his style of low‐cost family accommodation amid the luxury and beauty of the area. His rooms are large, family‐style rooms. Although there is plenty of room for future expansion, the grounds are fairly bear with a bit of landscaping. Mr. Mkhwanazi can serve breakfast to the rooms and provides tea‐making facilities. Mr Mkhwanazi prices are less than half of what similar motels charge and only a fraction of what the big five‐star properties are charging. The problem is occupancy. He has some regulars who come every holiday period. Currently Mr. Mkhwanazi does very little advertising in local district guides and the holiday papers, mainly because he really thinks word‐of‐mouth is the best form of advertising.  In the form of an essay of no more than 1 page, discuss what a SWOT analysis entails and apply this to Regal Inn. 

Answer 1

A SWOT Analysis is a tool used by my companies to evaluate the strength, weaknesses, opportunities, and threats to help mr. Mkhwanazi understands his restaurant business and identifies the possible areas of growth. According to mr mkhwanazi restaurant the ASWOT analysis includes, 1 strength - is that his hotel rooms are large and family-style which will be an advantage for turning them into luxury rooms. He also has the opportunity for expanding his hotel since he has free rooms that are conserved for future use and large ground to accommodate more visitors. Therefore he won't incur the cost of purchasing land and building new rooms. Despite having those advantages, Mr mkhwanazi also has some weaknesses and threats to his business that will cost him to expand it. The weakness includes lack of digital marketing and advertising methods, hence the information about his new packages will not reach more people and will talk more time. Another weakness is that his ground has a beer landscape that may not be pleasant for his customers. Furthermore, the thread he has in the business is that his regular customers are used to his cheap rice, and raising the price may make him lose customers.