Project Scope

Our office was engaged by a hospitality development firm, to conduct a market and financial feasibility study for a proposed upper upscale resort. The primary goal was to assess the project’s viability by analyzing market demand, competitive environment, and financial projections to guide investment decisions.

We began with an extensive market analysis focused on the upper upscale segment within the target region. This included evaluating tourism trends, guest demographics, seasonality, and economic indicators affecting travel and hospitality demand. We analyzed the competitive set, assessing existing resorts’ market positioning, service offerings, and performance metrics.

A site analysis was performed to assess the proposed location’s suitability, considering factors such as accessibility, environmental impact, regulatory compliance, and proximity to demand generators like tourist attractions or business centers. The site’s unique attributes were identified to determine potential competitive advantages.

Our team developed a conceptual plan for the resort, outlining key facilities, amenities, and services that cater to the expectations of upper upscale clientele. Emphasis was placed on incorporating innovative design elements, sustainable practices, and exceptional guest experiences.

The financial feasibility study involved creating detailed financial models projecting revenues, operating costs, capital expenditures, and cash flows over a ten-year period. We calculated key financial indicators, including Net Present Value (NPV), Internal Rate of Return (IRR), and payback period, to evaluate investment attractiveness. Sensitivity analyses were conducted to assess the impact of variations in critical assumptions on financial outcomes.

We explored funding strategies, including equity investment, debt financing, and potential government incentives such as tax breaks or development grants. A risk assessment identified potential challenges, including market risks, construction delays, and regulatory changes, with corresponding mitigation strategies proposed.

The final report provided comprehensive insights into the market potential and financial viability of the proposed upper upscale resort. Our analysis enabled [Client Name] to make informed decisions regarding project development, investment strategies, and alignment with their overall business objectives.

Project Location

Ha Long Bay, Vietnam