You are to write a report. Use Havard style of referencing, use academic language, use grammar.
Make it simple, precise and straight to the point. the report has to be Plagiarism free as it will be
submitted to turnitin.
Albion Theme Park
Introduction
Tom, Julie’s and Jack’s father, established the Albion Theme Park in the 1980s. After
inheriting a huge farm in Hampshire, and since he had little interest in farming, Tom allowed the
farm manager to do most of the arable farming while he concentrated on running visit days for
the local children that wanted to see and touch animals in addition to seeing the local farm
(Garrod, n.d.). Eventually, visit days were particularly popular in the lambing season where
many school children were attracted between March and October. The first ride was made using
a hay cart that was pulled by the tractor. Small rides were introduced over the years. By 1985,
immense farming land was already sold out and the money used for reorganizing the farm
attractions based on three themes that were related to the British history; Farmland, St.
George’s Challenge, and Robin Hood’s Hideaway. Tom aimed at providing families with a place
where they could enjoy a day out far from the strains and stresses of the everyday life. After
their education, Julie worked as an Operations Manager while Jack was a Marketing Manager
at the park. This paper aims at conducting an internal and external analysis of Albion Theme
Park and proposing a strategic plan and how it will be implemented so as to promote
developments at the company.
Part 1: External Analysis: the macro-environment
Positive or negative social issues can affect the future performance of Albion Theme
Park. The natural environment issue indirectly impacts the policy on which the theme park
should operate (McGrath, 2012). Recently, there have been critical natural environment issues
including global warming that can cause terrible disasters globally. In this case, there is a need
for the management at the theme park to be informed of the environmental pollutions that are
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likely to threaten its survival and indicate its concerns on global warming as well as support
activities and companies on going green (Hall & Lew, 2009). Hence, the park should practice
and engage in activities aimed at reducing global warming. For instance, the park can install
water flow restrictors so as to minimize water consumption by approximately five percent every
month. In addition, there can be the use of energy devices and boilers so as to reduce air and
heat pollution.
There are also economic elements in the macro-environment that are likely to impact on
the future operation of the park. One of the major factors that will affect attendance to the theme
park in future is the rate of unemployment (Weiermair & Mathies, 2004). The high levels of
unemployment in the oversea and local will bring in differing effects to attendance; either more
tourists with less local visitors and vice versa. Part of the revenue earned by people will be
spent with families attending the theme park for leisure and enjoying public holidays or
weekends together. If the rates of unemployment go very high in countries, it will be impossible
for people to spend part of their money visiting theme parks. As a result, the theme park may be
forced to provide cheaper tickets and longer promotion periods, which will definitely affect their
returns (Weaver, 2001).
Industry Analysis
The theme parks’ industry in the UK is faced with a number of competitive forces and
these have an impact on the Albion Theme Park.
Substitutes’ threat; this is one of the greatest challenge that the UK’s theme park
industry is forced to overcome. While some theme parks are 1 or 2 days travel destinations,
other larger resorts try to sell multi-day ticket packages. The Albion Theme Park may be faced
with the challenge of identifying ways of having customers spend time with them on vacations
as opposed to having trips to cruises and beaches. Moreover, Albion Theme Park is faced with
a great challenge of ensuring that exclusive and unique services are offered so as to ensure
that customers get a wide array of experiences (Fyall et al., n.d.) The park should remain
aggressive on staying current not only amongst the competitors but other substitutes in the
industry. The substitutes’ threat will always be there since families will always make the decision
on where to use their money on vacation. Hence, it is important for Albion Theme Park to
remain relevant as well as offer a wide array of activities that customers can enjoy. As a result,
the effects of substitutes will be less and profit margins will grow.
The suppliers’ bargaining power; as noted, Albion Theme Park is keen on remaining
relevant as well as appealing to the customers through debuting novel offerings or attractions as
regularly as possible. As a result, suppliers operate under this impression and they have
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immense bargaining power. Annually, the International Association of Amusement Parks and
Attractions hosts conventions aimed at displaying the newest technologies for theme park
consumers. So as to keep its customers excited always, Albion Theme Park should attend such
conventions so as to evaluate the latest technologies first hand and make decisions on what to
include in their park later (Fyall, 2008). However, this might affect the profit level negatively as
parks bid against each other and as they vie for the best technologies, which would increase
suppliers’ reputation and prices.
Part 2: Internal Analysis
Marketing Issues
It is noteworthy that the company dedicates some of its funding to promotions. Notably,
these spending are important in bringing in more visitors, which also increased the turnover.
Promotional spending is used for TV, radio, press, internet, outdoor, direct mail, and cinema and
this is particularly for advertising the services being offered and making any communications.
The company also sells tickets online and there are different categories for the same; children
less than twelve years, adults, and family tickets. The company should engage in different and
far-reaching methods of advertising so as to ensure that it reaches huge masses of people,
which will be the basis for expansion and huge turnovers.
Human Resource Issues
Tom had not named the successor. Hence, Jack and Julie were left out to decide the
roles they took at the park. Regardless of the fact that Julie appreciated the marketing expertise
Jack had, she was not impressed with the fact that he decided on the business’s future strategic
direction singlehandedly. This brought about frequent arguments on many issues. Tom had,
hence, to intervene so as to arbitrate and as a result, he assumed more control of the business.
Unfortunately, the staff always noted these disputes and as a result, they were forced to seek
for decisions directly from Tom (Mintel, 2004). Tom has the feeling that he is doing more than
was the case when his children were not managers. He also knows that this cannot go on for
too long since he feels tired and old. He is not interested in the role of running the park. In
addition, his wife insists that he should delegate more so that he can retire. Tom should be keen
on having a successor so as to ensure that he or she makes the major decisions at the
company, but after seeking the opinions of others. In addition, this will end the disagreements
between Julie and Jack, which might make the employees lose trust in them. This implies that in
future if one of them heads the company, he or she will already be disrespected by the workers,
and they may never obey his authority. It is evident that Jack and Julie’s arguments also involve
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how the park is being managed and run, as well as future dreams. The employees are not free
to offer their opinions for the fear of upsetting the family bosses (Liu, 2008).
Operations Issues
It appears that there are no clear guidelines on the rules and regulations at the
company. As a result, an attendant is found arguing with a father who is insisting that his son
should be allowed into the Dragon’s Tail ride regardless of the fact that he has not attained the
required height level. Another attendant is trying to take beer cans from three youths who are
protesting regardless of the fact that there were entrance signs forbidding carrying alcohol into
the park (TV Choice Productions, 1990). Attendants are normally pressurized into doing wrong
things, which is risky for the company’s insurance policy. Moreover, the attendants are unable to
deal with the difficult customers. Considering the huge supplier payments, customer bookings,
and the huge numbers of the part-time hourly paid workers, Jim has to deal with too much paper
work.
Financial Issues
The turnovers at the company have been increasing gradually. While the gearing
percentage increased over the years, the current ratio was reducing. In the year 2012, the
return on capital reduced to a -3, which raises a concern. In this regard, there is a need to
evaluate and determine the factors that contributed to this, address them, and lay down
measures of ensuring that they never occur again. It is also important to note that the creditor
days have been on an increase but something ought to be done so as to ensure they are
regulated accordingly. The departments are never allowed to present their budgets and
although Jack is a principal member of the team, he is never interested about the company’s
finances (Mintel, 2009).
Part 3: Conclusions and Proposals
Proposed Strategy
Internet; Albion Theme Park should engage more in internet marketing considering that a
majority of the families have at least one device through which they can access the internet.
This implies that the spending on the internet should be increased. This will ensure that more
people are informed about the park (Tourish & Robson, 2006).
Dealing with difficult clients; the park’s management should be very clear and strict with the
rules and regulations to be followed by visitors. This will ensure that visitors are aware of what is
expected from them and that they do not argue with attendants.
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The human resource arguments; Tom should select the successor and that all major changes
should be agreed upon by the top management. This will prevent his children from arguing
about what is being done.
The use of information technology; the management should use information technology so
as to get rid of the strenuous paper work. Operations and bookings will be easier, same to
communication between different departments.
Sharing financial information; it is important that all the top management are called to
meetings where they are briefed about all financial matters.
Departments should have their budgets; departments should be allowed to plan their
budgets since that are fully aware of what is needed.
More departmental meetings; there should be frequent departmental meetings where vital
matters should be discussed.
Attracting and retaining customers; the park should come up with unique methods of
attracting new customers, retaining the old ones, and promoting clients’ spending on a single
visit (Conference on Tourism And Culture et al., 1996).
More permanent employees should be employed and trained on handling difficult
customers.
Customer segmentation; this is very important where the park should focus on premium
priced guests. This will ensure more profits are made with less customers.
Communication issues; there is a need for the employees to feel free when discussing
matters to deal with the business. Making them feel tense or making comments when they are
presenting their opinions can make them not be open on real issues affecting the business.
Labor costs; considering that more clients are visiting the park, there should be no limitations
on labor costs. In addition, there is a need for attractive ways of compensating and rewarding
employees.
Proposed Implementation
In a bid to promote customer segmentation, attract and retain customers, prevent long
queues at the Dragon’s Tail, and ensure that clients get a unique experience, Albion Theme
Park should focus on providing the visitors with a wide array of special experiences. This should
include water parks, a dining and retail shopping district, other incredible theme parks, miniature
golf, championship golf course, a state of the art athletics and sports complex, and unique
hotels with marvelous dining experiences. In addition, a vacation club can be provided (Anton
Clavé, 2007).
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Reference List
Anton Clavé, S. (2007). The global theme park industry. Wallingford, UK, CABI.
Conference on Tourism And Culture, Robinson, M., Evans, N., & Callaghan, P. (1996). Tourism
and culture: towards the 21st century : conference proceedings. Sunderland, [England],
Centre for Travel and Tourism in association with Business Education Publishers.
Fyall, A. (2008). Managing visitor attractions. Oxford, Butterworth-Heinemann.
