chor chang country resort

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Chor Chang Country Resort


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Project feasibility and evaluation

Present to

A.j. Chaiyawat Thongintr

Produced by

Mr. Kuntapon Kunsaman ID. 5231205010

Ms. Chatpilai Supsong ID. 5231205033

Ms. Benjarat Yingjamsiri ID. 5231205078

Ms. Panida Singyamueang ID. 5231205080

Ms. Pannika Wongnanta ID. 5231205099

Ms. Panwansinee Hanmontree ID. 5231205086Ms. Patchaneewan Churpasurt ID. 5231205100

MS. Phuttida Sungthong ID. 5231205110

Mae Fah Luang University

Semester 2 Acedemic year 2011


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Preface

This Project is a part of 1203302 Project Feasibility Study and EvaluationCourse in

the second semester of 2011. In this project is studying the feasibility of Choa Chang resort in

Chiang Rai, which is include generally of Chor Chang resort, management in resort, analysis

and marketing feasibility, the technical process, the financial feasibility, and risk. This project

will makes everyone who interested about resort business will get knowledge and information

before make decision to investment and get the benefits when doing the resort

We expect that our project will provide benefit more and more interested person, if

there are any error or problem in this project our group must apologize for the mistake.

Group members

Mr. Kuntapon Kulsaman

Ms. Chatpilai supsong

Ms. benjarat yingjamsiri

Ms. Panida singyamueang

Ms. Panwansinee hanmontree

Ms. Pannika wongnanta

Ms. patchaneewan churpasurt

MS. phuttida sungthong

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Contents

Preface I

Content II

Chapter 1: Introduction 1

1.1 Background and Significance of the project

1.2 Objective of project

1.3 Benefit of project

1.4 Time frame of study

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Chapter 2: Industry Profile

2.1 Company Overview

2.2 Nature of industry

2.3 Situation of industry

2.3.1 Number of tourist come to Chiangrai and type of tourist

2.4 Logo of resort

2.5 Vision

2.6 Mission

2.7 Strategies of the company

2.7.1 Corporate level strategy

2.7.2 Business level strategy

2.7.3 Function level strategy

2.8 Production and Operation Analysis

2.8.1 Product Characteristic of Resort

2.8.2 Service Process

2.8.3 Location

2.8.4 Facility layout

2.8.5 Logistic Management

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Chapter 3: Market Feasibility Study 37

3.1 Marketing Analysis

3.1.1 General Environment Analysis (STEEP)

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3.1.2 Competition Analysis (3C Analysis)

3.2 STP Analysis

3.2.1 Market segmentation

3.2.2 Target Analysis

3.2.3 Product Position Analysis

3.3 Marketing Mix

3.3.1 Product Strategy

3.3.2 Price Strategy

3.3.3 Place Strategy

3.3.4 Promotion Strategy

3.4 Sale forecast / Profit estimation

3.5 Marketing expense (sale incentive)

3.6 Conclusion in market feasibility

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Chapter 4: Investment Cost

4.1 Investment Cost

4.1.1 Rooms

4.1.2 Playing things and activities

4.1.3 Kitchen zone

4.1.4 Laundry and house keeping

4.1.5 Outside Resort

4.1.6 Standard Bathroom Accessories

4.1.7 Family Bathroom Accessories

4.1.8 Suite Bathroom Accessories

4.1.9 Office Equipment

4.2 Depreciation

4.2.1 Rooms

4.2.2 Playing things and activities

4.2.3 Kitchen zone

4.2.4 Laundry and house keeping

4.2.5 Outside Resort

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4.2.6 Office Equipment

4.2.7 Toilet

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Chapter 5: Pre-operating Cost

5.1 Pre-Operation cost

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Chapter 6 Management Analysis

6.1 Organization Management

6.2 Organization Chart

6.3 Administration Cost

6.4 Conclusion from Chapter 4-6

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Chapter 7 Financial Statement

7.1 Income Statement

7.2 Statement of Cash flow

7.3 Balance Sheet

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Chapter 8 Risk Management

8.1 Risk Management

8.1.1 Internal Risk

8.1.2 External Risk

8.1.3 Calculate the risk of sale decrease

8.1.4 Calculate the risk of dividend increase

8.1.5 Calculate the risk of cost/Expense increase

8.1.6 Compare

8.1.7 Analyze the result of sale decrease

8.1.8 Analyze the result of dividend increase

8.1.9 Analyze the result of cost/Expense increase

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Chapter 9 Conclusion 236

Appendix 240

Reference 251


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Chapter 1

Introduction

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1.1 Background and significance of the project

Slogan: The northernmost of Siam, the frontier of three lands, the home to the

culture of Lanna and Doi Tung Temple

Vision: Global Golden Gateway of Lanna Culture and

International Trade. The history of Chiang rai was occurred

from King Mengrai expanded south and assembled at the city

of Lao Ku Tao. It was here that the kings prime elephant

escaped into the jungle. King Mengrai himself traced the

elephant to Doi Thong by Kok River. Finding the fertile plain

strategically located, the king founded a new city there, with

Doi Thong enclosed within its wall, on 26 January 1262. The city was called Wiang Chiang

Rai after the kings name. Chiang Rai provinces emblem is a white elephant under the

cloud of prosperity and happiness on purple, the color of Saturday, the day of King Mengrais

birth and the provinces color.

Chiang Rai is the northernmost province of Thailand, 785 kilometres from Bangkok.

Situated on the Kok River basin, Chiang Rai covers an area of approximately 11,678 square

meters or 7,298,981 rais. with an average elevation of 580 meters above sea level and about

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1,198,218 people with 589,890 males and 608,328 females in Chiang Rai. It is adjacent to

Myanmar and Laos on the north, Phayao and Lampang on the south, Laos on the east and

Chiang Mai on the west. The province, which is located within the renowned Golden

Triangle area where Myanmar, Laos and Thailand converge, is also known as the gateway to

Myanmar, Laos and Southern China.

The climate of Chiang Rai, There are three seasons like Chiang Mai. The hot season

is from March to May, the rainy season from May to October and the cool season from

November to February. In the cool season, the temperature may drop to 13 C at night. It can

be lower in the mountains.Another, area of Chiang Rai mostly consists of mountains covered

with forests. There are also fertile plains along the valleys of several rivers, such as the Kok,

Sai, Ing and Mekong.

Administration of Chiang Rai is divided into 18 Amphoes: Mueang Chiang Rai,

Chiang Khong, Phan, Mae Chan, Chiang Saen, Mae Sai, Mae Suai, Wiang Pa Pao, Pa Daet,

Wiang Chai, Phaya Mengrai, Thoeng, Wiang Kaen, Mae Fa Luang, Khun Tan, Mae Lao,

Wiang Chiang Rung and Doi Luang.

Today, Chiang Rai is travelers paradise endowed with abundant natural tourist

attractions and antiquities; the province itself is evidence of past civilization. Attractions

range from magnificent mountain scenery, ruins of ancient settlements, historic sites,

Buddhist shrines and ethnic villages as the province is also home to several hill tribes who

maintain fascinating lifestyles. For those interested in the natural side of Chiang Rai, jungle

trekking is recommended along various trails. Recently tourism has boomed in Chiang Rai,

where visitors have come to explore the pristine natural beauty of the countryside and

immerse themselves in the indigenous culture, including those of a variety of different hill

tribe communities. Fortunately for tourists, Chiang Rai is also a center for community

development projects, helping rural villagers develop their attractions without adverselyaffecting their natural and cultural assets.

Nowaday, Tourism in northern of Thailand is increased continuously because the

weather is cool continuously and there are always promote tourism in northern of Thailand

such as Royal flora Ratchaphruek and Flower Festival. Moreover, the government said that

2011-2012. This year is will be Miracal Thailand Year for support tourism in Thailand as

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well. We found that the most tourists are East-Asia group such as China, Hong-kong, Japan,

Korea and Taiwan. They will interest to travel in northern more.

From the table above, we expect the tourism in northern of Thailand will become

interesting to the future of investors because the climate of northern, natural resources, tourist

attractions and charm of cultural. So, we found that Chiang Rai province is full with natural

resources and dominant in cultural. Then this point is beginning of our project to building our

resort that called Chor-Chang country resort. So, our resort will have 6 rooms and there

are 3 types of rooms; 3 standard rooms, 2 family rooms and 1suite room. We will build

resort at Tambon Mae yao Amphoe Mueang in Chiang rai.

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Resource: http://www.tourismchiangrai.com/?p=chiangrai

Resource:http://www.bot.or.th/Thai/EconomicConditions/Thai/North/ArticleAn

dResearch/DocLib_Article/service%20Report%202011.pdf


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General information of Mae Yao

Tambon Mae yao is call follow the main river of Mae yao that flow through many

villages. Mae yao far away from district office of Chiang rai about 11 km. This area is high

mountains and plain between some mountains about 265.70 square kilometers. Border of

Mae yao: The north connects with Bandoo municipality, Amphoe Mueang Chiang rai,

Tambon Pa-Tueng, Amphoe Mae Chan. The south connects with Tambon Doi Hang and

Tambon huaychompu. The east connects with Amphoe Mueang Chiang rai. The west

connects with Tambon Thaton Chiang mai. There are 18 villages in these areas.

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Moreover, these areas are fulfillment with naturals, fresh air and hill tribe. It makes

tourists passionate these all things and unforgettable with happiness when they come here.

Our resort is a good luck because these areas are near with Ruammit Village, Kok River and

Mae Yao administration also there are many tourist attractions such as;

Chiang Rai Elephant Camp or Ruammit Village

The Karen village of Ruammit, on the banks of Nam Mae Kok (Mae Kok River) is

promoted as a Karen community, but nearby are Lahu, Lisu and Akha villages clustered onits outskirts. Despite its equally mountainous location, it is quite different to adjacent towns

of Baan Thaton and Doi Mae Salong.An old village, Ruammit is famous for its elephants,

with a long tradition of elephant training and logging and it remains distinctly Karen. It

retains its traditional culture and traditions, and has become one of the major tourist

attractions both on the Nam Mae Kok and within the Chiang Rai Province.Ruammit is a 1-

hour boat ride from the provincial capital of Chiang Rai province and boats depart at regular

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Resource: http://www.maeyao.go.th/links/etc.htm


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intervals from the Chiang Rai pier. Ruammit is a favoured stop for an elephant ride on the

boat trip to Thaton, or as a destination in its own right. Mini-buses and songthiews ply the

route from town at equally regular intervals.

Huay Kaew waterfall

Huai Mae Sai Waterfall is a part of Mae Kok National Park that located in Huai Mae

Sai village, M. 10 Mae Yao Sub-District and 19 km away from the city of Chiangrai. The

way to go to the waterfall quite rough then most tourists ride elephants from Karen Ruammit

Village or drive 4x4 instead of driving cars. Huai Mae Sai waterfall is 2 levels waterfall, the

first level is 15 m. high and 100 m. away from another level. The first level is covered

with moss and fern when the second level has a pond where tourists can swim.

Ban Jalae Hill tribe Life and culture center

Ban Jalae is a traditional Laba Lahu village located in the capital district of Chiang Rai

province, twenty-two kilometers from the city of Chiang Rai. Ban Jalae is adjacent to Huay

Mae Sai Waterfall and is surrounded by Akha, Lahu, and Mien tribal villages. The villagers

of Ban Jalae still practice their traditional beliefs and have a lifestyle rooted in the wisdom

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Resource: http://www.chiangraitourandtrekking.com/chiangrai%20information-

/Elephant%20Camp.html


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accumulated over hundreds of years of surviving in the mountain jungles.

Similar to most tribal communities in Thailand, however, Ban Jalae is experiencing a rural

exodus as restrictions on farming land force families to send their children and young adultsto work in the city make ends meet. Losing this generation to the city produces not only a

strain on the social fabric of the village, but also an abrupt discontinuity in the Lahu culture

and lifestyle that have been passed down for centuries. Most concerning, Lahu youth working

in the city often simply reject all aspects of their culture as "old fashioned."

To address the dual problems of cultural erosion and lack of sustainable sources of

income near the village, the Mirror Art Group and Ban Jalae chose to create the Ban Jalae

Hill tribe Life and Culture Center. This multi-media center powered by solar energy

combines displays about traditional Lahu culture, handicrafts and know-how with video

presentations that show that the deep and intricate cultures of the tribal peoples in and around

Ban Jalae are anything but "old fashioned."

The Ban Jalae Hill tribe Life and Culture Center is very much a community

endeavor. All artifacts in the Center come from Ban Jalae and surrounding Akha and Lahu

communities, with each home in Ban Jalae donating at least one item. The community also

invested six months of labor to construct the four adobe buildings that comprise the Center.

The villagers of Ban Jalae have made this investment so that they may not only share their

culture with guests to the village, but in hopes that the Center will rekindle among hilltribe

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Resource:http://www.tourismchiangrai.com/e-ctmc/index.php?option=waterfall


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youth throughout Thailand an interest in tribal culture that has waned over the past

generation.

Ban Yafu view point

If youve spent the night at Ban Yafu, do remember to set your alarm clocks to wake

you up early. Take a short trek up to a viewing platform near the village and witness the

beautiful sunrise over the sea of clouds near the village. Truly a great way to begin any

day.The Doi Boa Viewpoint is a short hour and a half hike away. The initial section may

seem steep but that soon gives way to a gentler grade that would bring you straight to the

open grassy field that is the Doi Boa Viewpoint. Pitch your tents and rest by the fire as you

and your guides prepare an al fresco dinner under the stars. Turn in early so that you wont

miss another magnificent sunrise that the Doi Boa Viewpoint is so famous for.

Had Pha Kwang

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Resource: http://www.cbtchiangrainetwork.com/eng/maeyao_yafuview.html


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Is located in Ban Panaswan Moo.13, Muang, Chiangrai. Distance from the

city about 30 kilometers. The way to go to the Had Pha Kwang by boat, Float raft

downstream or by land The journey by car, motorcycle. The period from March to May is the

dry season; water is reduced, therefore suitable for rafting. And surroundings of the beach are

beautiful. Have a point for the tent camp or relax. Visitors enjoy hiking around the

forest areas. There are abundant forests suitable for timber trees Trekking Association and

watch the tribal way of life.Especially in Ban Jale.

Song Kwai Waterfull

The waterfall is same named with the Ban Song Kwai Pattana. And this area is

Akha hill tribe villages

The Buddha Cave Temple

Located in Ban Paaor, maeyao, muang,chaing rai ,6 km away from the city of

Chiangrai.A high mountain about 800 meters.

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Resource: http://www.hilltribe.org/museum/01-museum-banjalae.php


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Thum Chang Lung

Located in the south of mountain, About 150 meters away from the Buddha Cave

Temple. The cave is open ground and there is little light.

Thum Lom

About 50 meters from the Thum Chang Lung.The cave is not very deep.

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Thum Wai

About 100 meters from Thum Lom and the cave is about 100 meters deep the way

into the cave is tunnel and within the cave include stalagmites and stalactites When exposedto ultraviolet light is shining a flashlight shining. This cave is history side and suitable for

travelers who like adventure and excitement.

Agricultural development center

Located in Ban Lor Bue. This location is agricultural experiment station

redevelopment areaby the initiative of Her Majesty Queen Sirikit.

Therefore, our resort wants to be a leader of soft adventure in Mae Yao because we

regard these areas appropriate any resources for soft adventure in Mae Yao. Soft adventure is

the term used to describe the type of adventure tourism that requires little or no experience

and is low risk (as opposed to hard tourism which requires greater levels of skill and

incorporates more of significant risk). Soft adventure tourists may also use mechanized

transport (cars, motorbikes, etc) and comfortable accommodation. Soft adventure activities

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are often based upon their hard adventure equivalents, although they occur at a less

physically demanding level. Examples include horse riding, snorkeling, canoeing/kayaking

and walking in areas of outstanding natural beauty.

Nowadays, there are a few soft adventures in Mae Yao. For the example, in some

place they have only climbing and other place is about rafting. All of them are not popular

enough, because they have just only one activity and other place just newly open. Although

our resort just open, but we have like a many activities about soft adventure here such as,

ATV, climbing, zorb ball, and rodeo bull etc. Our resort also provide everything in order to

make our customer more convenience, for example we have a transportation for pick up

tourist to our resort and other destination if they would like, restaurant to provide the variety

of food such as northern food and American food etc., and wireless etc. And another reason is

when we talk about adventure in Chiang Rai, the first thing they guest is Mae Yao. So, we get

the competitive advantage in this topic also. We went to tourist police at Muang, Chiang Rai

and we also found that mostly the tourist like trekking at Mae Yao and the environment

surrounding is suite for soft adventure, because when we talk about adventure, it must be in

the environment or the forest. However, we regard that this point is a good opportunity for

our resort that want to be a leader of soft adventure in Mae Yao. Then we will make our

resort become Land of happiness for you by Chor Chang Country Resort.

1.2 Objectives of Project

1. To analyze market and financial risk in business

2. To Summary of the feasibility of resort business

3. To study about the business that concern about resort

4. Can management process in resort business.

1.3 Benefit of the project

1. Know more about the knowledge in business project and can apple in future.

2. Know about the behavior of customer in Chiang Rai.

3. Can planning and management business.

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1.4 Time frame of study

Operations Methods November December January February

1 2 3 4 1 2 3 4 1 2 3 4 1 2 3

To established groupand select the topic

To search the

information of resort

To prepare the

chapter 1

introduction of the

project and

submission

To analyze the

Industry Profile

and prepare chapter2 for submission

To analyze the

marketing feasibility

and prepare chapter

3 for submission

To study about

Investment cost

To study about pre-

operating cost

To study aboutmanagement analysis

To study about

financial analysis and

prepare chapter 5 for

submission

To analyze about risk

management and

prepare chapter 6 for

submission

To summary the

project and submitchapter 7

Recheck the report

and submission

Resource: http://english-for-thais-2.blogspot.com/2009/09/1181.html

http://www.tourismchiangrai.com/?p=chiangrai

http://www.tourismchiangrai.com/e-ctmc/index.php?option=main

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Chapter 2

Industry Profile

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2.1 Company Overview

New experience of country resort in Chiang Rai for leave from the busy life you can

enjoy with many activities here. Chor Chang resort is around by beautiful natural that will

give you fresh air. Learn with the way of life from native people and northern life style. The

accommodation we provide you the room that make you feel comfortable by modern

northern style that included by Standard room, Suite room and family room. The existing of

Chor Chang country resort that we proud to present is activity of soft adventure. You will get

existed experience from many activities such as ATV, climbing wall, Zorb ball, Redeo Bull.

Let shared the happiness and unforgettable experience with your friends, your family or your

lover in here. The quality restaurant is already to serve you by several delicious foods. Moreover to you can enjoy your meal which give you more good feeling by Kok river view. For

take a break we have Coffee shop to provide you of the high quality ingredient that we

choose from quality production. Chor Chang country resort, we are attend of every details of

your happiness.

2.2 Nature of industry

The role of hotel has a long history and was development for a long time. In manycountries, hospitality industry is the main that gain a lot of income to domestic. The way of

hospitality industry is different in each country and it cans definition by:

A hotel is an establishment of a permanent nature, which consists of four or more bedrooms,

and offers bed and breakfast on a short term contract and provides certain minimum

standards

(Ref: Hotels and Catering Economic Development Committee, South Africa).

Hotels may be classified in many different ways, for different purposes, to different countries.

The main reasons for classifying hotels are:

Comparisons.

Analyses of performance.

Identifying market gaps.

Marketing strategies.

Customer requirements.

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The hospitality industries in Thailand are growing. Now a day hotel and Resort is the

way to meet the successful of economic the main reason that make customer choose to

stay re the environment and design of hotel and resort.

If we know about the advantage of this industry we will see that the hospitality

industry can be more growth and never stop to develop to meet the demand of market andthe interesting factors to investment in hospitality industry in Thailand are the good

geographic such as:

The effect of natural disaster is not severe.

Thailand is the good canter of commercial between China and India.

The statistic show that have more foreigners come to settle down in Thailand.

Thailand is inexpensive in living cost.

The food is inexpensive and several style.

Nice weather.

The process of investment is easily than many countries.

The number of guests in hospitality industry is depending on season in each period. So, the

important of nature of hospitality industry to keep this industry to be alive is not just waiting

customer but the industry should have the networking with travel agencies or organization

such as provide the promotion in low season.

2.3 Situation of Industry

Nowadays, Thailand has been becoming so popular in foreigners groups. Therefore

a great number of the foreigners come to Thailand. According to Ministry of Tourism &

Sport (2011), There are inbound tourists come to Thailand increasing about 19.1 millions or

19.84 percents which are compose of East Asia increases about 32.24 % ,ASEAN increases

about 21.96 % ,South Asia increases 16.54 % ,Oceania increases 21.61 % ,America increases

12.85 % ,Europe increase 11.40 % ,Africa increases 6.73% and Middle east increases 5.95 %.

As Ministry of Tourism & Sport mentions, it can show that tourism industry in Thailand are

going to growth more. Of course, hospitality industry are going to growth also, because

hospitality industry as a close relative of tourism industry. Both of these have to mutually

depend on each other. For example, if tourists come to travel, the accommodations will be

booked. The popular destinations of foreigners are not only the sea site, but are cultural, way

of life and etc also.

According to Department of tourism of Thailand (2011), inbound tourist came to

Chiang Rai province grows from 2009 about 48.08 %. That means the inbound tourists more

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like to travel in cultural and heritage site, way of life, ethnics groups and natural, because

Chiang Rai plenty of natural attractions, cultural attraction, hill tribe and etc. In addition Nok

Air sees the growth of tourism, so they create new route that is from Bangkok to Chiang Rai

and fly 2 times a day to responding with number of tourists. So when transportation was

developed, tourism and hospitality will be developed also. Because transportation encourages

numbers of tourists to come to Chiang Rai (Introduction to Tourism transportation, 2011).

2.3.1 Number of tourist comes to Chiang-Rai and types of tourist

The number of tourist comes to Chiang Rai

Internal tourist in Chiang-Rai

January December

2010 2009 (%)

Visitor

Thai

2,288,2181,903,623

1,680,2481,430,375

+ 36.18+ 33.09

Foreigner 384,595 249,873 + 53.92

Tourist

Thai

1,996,3741,655,907

1,441,9611,212,034

+ 38.45+ 36.62

Foreigner 340,467 229,927 + 48.08

Average Length of stay

Thai

2.85

2.75

2.40

2.17

+ 0.45

+ 0.58

Foreigner 3.31 3.63 - 0.32

Average expenditure (baht/person/day)

Visitor

Thai

Foreigner

2,514.582,320.373,310.59

2,540.052,318.183,280.19

- 1.00+ 0.09+ 0.93

(Data from department of tourism)

The tourism situation in Chiang-Rai is growth compare from 2009 as a base year and

2010; these data were declared by department of tourism. The tourist both Thai and foreigner

are both increasing in year 2010, to compare in percentage in year 2010 number of tourist

increase by 38.45 compare with year 2009. Not only tourist the one who come for the tourist

purpose but visitor also that need the accommodation to stay we are lucky that the number of

visitor also increase like number of tourist by it increase for 36.18 percentage. The data that

show in the table tell us that the average length of stay in Chiang-Rai increase also that

benefit for hospitality industry that mean we have more chance to get more benefit because

Resource:http://www.thailandtourismcouncil.org/btcot/01_tctnews/popup.php?id=250

http://www.manager.co.th/Travel/ViewNews.aspx?NewsID=9550000007733

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the more they stay the more benefit we get. The average expenditure of the visitor of Thai

people are increase by 0.09 percent and foreigner increase by 0.93 percent.

Moreover Kasikorn research center estimate that will growth not less than 20

percents in year 2012 that mean we have a chance to get more benefit from growth of tourism

industry. The Kasikorn research center forecast number of foreigner tourist that will come to

Thailand around 19.26 million people. This number not include Thai tourist that travel within

the country.

To summarize about the number of tourist come to affect the situation about tourism

and hospitality industry that go together from the statistic show us to recognize that the

situation about tourism and hospitality are growth measure from the number that tourist

come, the average length of stay and average expenditure these factors are all growth and

have tendency to growth. This is a good sign for us to establish an adventure resort in Chiang

Rai province.

Resource:http://www.kasikornresearch.com/TH/K-

EconAnalysis/Pages/ViewSummary.ahe spx?docid=27598

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2.4 Logo of Chor Chang Country Resort

: Flowers show that we are concern the environment and show about the

natural.

: It means House in resort.

: Elephant is the symbol of Chiang Rai and that area has many elephant.

: The letters show about Lanna culture.

: Gold reflects the prosperity of the resort.

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2.5 Vision: Leader of soft adventure in Chiang-Rai and to be social responsibility.

2.6 Mission

1) Promote and do marketing to reach target market.

2) Strong management team by hard training and make a study trip in strong

organization.

3) Build customer relationship management by recording information of customer to

educate customer behavior and etc.

4) Continuously improve according to the world change.

5) Accommodation construct from mud to less deforestation.

6) Employ labor from local people to improve their performance, quality of life and

distribute income to the local communities.

2.7 Strategic of the company

2.7.1 Corporate level strategy

Chor Chang country resort is a new business and will open in Mae Yao, Chiang Rai.

For this reason we use growth strategy for improve our business and bring our business to

achieve our goal and more well-known in Chiang Rai. In order to make us can survive in this

industry we should begin with built only six houses and make it different are suit room,

family room, and standard room. Then after we have an experienced in this business we will

improve our strategies and expand our resort to be bigger than now, because at that time we

know every competitor and we can complete with them as same industry. Then we will be a

leader in this kind of resort is soft adventure in Chiang Rai.

2.7.2 Business level strategy

This strategy is going to help the owners gain competitive advantages, added value

to service and product to match with customers need and to be different from other resortsand hotels that available in Chiang rai. Furthermore, this strategy will help the owners

concern to specific group of tourist which the business can set a little the high price more

than the market. In business level strategy, the owners are going to use two strategies as the

following:

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1. Differentiation strategy

In Chiang Rai has many resorts and hotels, but a few of them are soft adventure.

So Chor Chang country resort concern about soft adventure. In our resort have many

activities that different from other resorts such as riding bicycles to sightseeing around resort

and nearby which nearby have ka-ren village and elephant camp, zorbball, climbing wall,

ATV, rodeo bull and camping. The tourists can do the activities by their interest. Our resort

tries to serve differently product and service from the market. Besides our resort is located in

Mae-yao district that surround by natural like a Kok-river, mountain and local way of life

where other resorts do not have these things and our target (foreigners) love to learn the way

of life that they do not familiar. And our resort is going to add local culture for tourists get

new experiences. So our resort has chance to get more tourist and income other resort that

mean our resort gain competitive advantages. Moreover soft adventure resort in Chiang-Rai

still not exist in the market this can make Chor Chang resort unique and different from other

resort.

2. Focus strategy

Our resort specifies to the foreigners group because they love to adventure and learn

way of life such as ethnic groups. And it is easy for our resort to do products and services to

serve with direct customer. And foreigners can afford to our products and services. From this

strategy our resort can set a little high price more than the market.

2.7.3 Function level strategy

Marketing strategy

Product

Chor Chang Country Resort is provide about the accommodation that around with

cultural, good environment and also the soft adventure activities to provide you the new

experience because in Mae Yow has many resource to response this concept so we can usethis place to provide the new experience to you as much as we can and also concern about the

environment and support the native culture, traditional or product from local area too. You

can enjoy with many activities in our resort such as cycling, climbing or Zorbing ball. Our

resort also provide you a quality of food to we has many type of food to serve to you and the

beautiful room for you to relax with the nature after tired from enjoyed with the activities that

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you was spend all time. Our product include food and beverage that will service within our

resort also.

Accommodations

Room Picture Detail

Standard

Room(3 rooms)

-Air-conditioning

-IDD telephone

-Bathrobe/Slippers

-Refrigerator

-Multi channel satellite

TV's

-Hair dryer

-Internet Access

in room

- 1 double bed

Suite Room

(1 rooms)

- 1 double bed

- Air-conditioning

- IDD telephone

- Bathrobe/Slippers

- Tea & Coffee making

facilities

- Refrigerator & Mini-

bar

- Multi channel satellite

TV's

- Hair dryer

- Interconnecting

rooms

- Internet Access

in room

- More luxury

Family Room(2 room)

2 rooms

2 floors

4 double beds

Air conditioner

Hair dryer

Bath and shower

Direct dial

telephone

Television in the

2nd room

2 bath rooms

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Playing things and activities

Small refrigerator

Tea and coffee

making facilities

Activities Picture detail

Bicycle Cycling to see the beautiful nature around resort

and move from one activity to other activities.

Rodeo Bull Game Get fun with the rodeo bull. Its challenge for you

with your friends to see how long that you can

ride the rodeo bull.

Zorbball Zorbing is generally performed on a gentle slope,

but can also be done on a level surface, permittingmore rider control. It can be the thing that be

indirect exercise too

Climbing wall We have the climbing wall outdoor for you to

enjoy. Many level of climbing wall for you topractice and also the safety equipment for you to

make more fun without envious.

ATV We have the ATV race for you to get moreadventure and safety equipment for you. In the

race we set many kind of slope for you to enjoy.

Camping In our resort we set the place for camping whichnear the river and also good environment. We

have the camp for rent or guest can bring it by

themselves. You can enjoy campfire with your

friends or your family. We also have the security

to make you feel safe.

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Food & Beverage

Coffee shop In resort has the coffee shop to provide you

Price

Our resort set the price from the competitor around that area and set from our quality

also the facility and function that including in each room. In term of activities, we set from

charge of each destination and the price will include a charge 15% from cost. In low season

we will set the promotion or discount to stimulate customers in the period.

Accommodations

Room Normal season Green season High season

Standard Room 1,500 1,200 1,800

Suite Room 3,000 2,500 3,500

Family room 2,500 2,000 3,000

Normal season Mar May

Green season Jan Oct

High season Nov - Feb

Remark: Long holiday will be charge as high season. Extra bed is 300/person

Activities

Price of activities is different between guests who stay in resort and excursionist

Activities Price(Baht)

Bicycle 80/person

Zorbball 350/person,

2people up 250/person

Climbing wall 350/person

ATV 300/hour

Redeo Bull 450/hour

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Place

Chor Chang Country Resort is located in Ban yaw district in Chaing Rai and beside

the Kok-river. It goes to the resort from city to resort around 10 km. In this area it has scenery

of hill and river too. Then, the near of resort have destinations such as; Karen villages,

waterfalls, elephant camp.

Promotion

The promotion as follows;

1. Advertising

- Give information of resort to customer that promote on the tourism magazine or

newspaper.

- Introduce information about theme of resort and detail of activities.

- Contact to travel agency and give a brochure for customers.

- Deal with a tour agency that separate commission for our resort.

- Make a video presentation within resort and around resort for attract of customers to

choose enter resort.

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2. Personal selling

- Chor chang country resort will focus on a service to customers. The important of

resort to serve and help customers for good experience. It also takes care and good

relationship between workers and customers.

3. Internet advertising

- To present in social network such as facebook, twitter and provide a website.

Human recourse management strategy

The field of human recourse management, we will be trained our employee to

be standard to serve high quality services to customers such as personality skill and customer

service skill for a good service experience and created positive word of mouth. We will

divide tasks to employee for match with position of each employee depend on technical skill

of employee. Another, we will concern with health and safety in our resort as well.

Financial strategy

We have accounting system to analyze the revenue, expense and operation.

We have financial database which can separate every expense and also have financialstatement to clear in every month and auditor to allocate our money and do the report to us.

And also loan money from bank.

2.8 Production and operation analysis.

2.8.1 Product characteristic of resort

Our company provides resort 6 houses with 3 styles consist of sweet room that

support 2 people per room which suite as married couple. In term of it we provide to 1 room

per 1 house. Family room that support 2-3 people per room. And, standard that supports 2-4

people per room.

Sweet room (1-2 people), has 1houses and 50 square meters per house

Double bed 1

Air condition 1

Private bathroom

Resource: http://www.maeyaoclub.com/category/

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Shower with warm water

Refrigerator 1

Hair dryer 1

TV 1

Table for Television 2

Table 2

Sofa 1

Wardrobe 1

Vanity 1

Chairs 1

Family room (2-3 people), has 2 houses and 50 square meter per house

Double bed 8

Air condition 2

Private bathroom


Refrigerator 2

TV 4

Table for Television 4Table 4

Wardrobe 4

Vanity 4

Chairs 4

Sofa 2

Standard room (2-4 people), has 3 houses 25 square meter per room that 120 square meter

per house

Double bed 6

Table for Television 3

Table 3

Wardrobe 3

Vanity 3

Chairs 3

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Telephone 3

Private bathroom


Refrigerator 3

TV 3

Air condition 3

Coffee and restaurant house

Serve healthy food and beverage that customer want, has 60 square meter per house-

10 tables- Fans 2- Cabinet 2- Wood table 1

*Our resort has local buffer food and international food for guests that dont like test of

local food that spicy more than they eat.

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2.8.2 Service Process

1) Reception service process

This process start from guest arrive at the hotel in front office zone. Receptionist will

greeting and ask for room that guest require by show picture and explain in detail each type

of room. Then guest will fill information in information form for make an reservation. Next

guest will make an payment of room fee, then bell boy will escort guest and carry baggage of

guest to the room. After that when the end period of reservation of guest will be in process of

check out and clear addition payment such as any food and beverage that guest order though

room service. The last step is take guest to the airport or any destination that guest require

Third step

Guest Check out take guest to airport (if guest require)

Second Step

Guest make a payment of room Bell Boy escort guest to the room

First step

Guest Arrival Conduct reservation

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2) Food and Beverage Process (In Case Guest Be At Restaurant)

This process start from guest arrive at restaurant. Then waiter and waitress will come

to greeting and take and order from guest after that they will come to serve menu that guest

order. After guest done their business they will call waiter and waitress to check bill and

made a payment.

Third Step

Check Payment

Second Step

waiter/waitress take an order Serve Menu that guest order

First Step

Guest Arrival waiter/waitress greeting

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3) Food and Beverage Process (Guest make an order in room service)

This process is start from guest order food and beverage though telephone by

using room service, then waiter and waitress will come to serve menu that guest already

order. The payment will be paid when guest check out.

2.8.3 Location

Map of Chor Chang country resort.

Step 1 Guest take an oder though telephone

Step 2

Waiter serve menu to the guest at

room

Step 3 Payment when guest check out

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The transportation to karen ruammit village has two ways as follow:

1. On the slurry. This is comfortable one you can go through this every season and the distance

about 19km.

2. On the water by long-tailed boat (8-10 person) from the port of Mae Fah Luang bridge go

through Kok river pass a beautiful scenery and take about 40 minutes and cost of 700Baht/boat

Transportation

By car start from King Mengrai monument go straight to Kok river bridge then turn left at first

intersection and use highway1207. Then you will see the sign Hui Mae Sai waterfall and Rim

Kok sign. When you pass through a kilometer stone on the road 7 you will see 3-way junction then

turn left and if you see the sign Karen Ruammit village it means you will arrive our resort and

take about 6km. left. Our resort located before you arrive at Karen Ruammit village about 1km.

By red minibus go to Chiang Rai Mae Yao. You can see minibus at market.

2.8.4 Facility Layout

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The layout of resort has 6 parts follows as:

1. A parking zone is near a lobby that customers can contact employee of resort directly.

2. Lobby zone is an office of resort that operates for customer.

3. Restaurant zone is near lobby and activities zone that customers choose to order food

to riverside.

4. Mud house zone provides 6 houses 3 styles consists of 1 sweet room, 2 family rooms,

and 3 standard rooms that in this area has bicycles to ride for customers

5. The activities park zone including to zorbball, rodeo ball, ATV, climbing and

camping field.

6. Plant organic vegetables zone has a kind of vegetables for example, Chinese cabbage.

Then, we have animals to provide for customers such as, rabbits, goats, horses.

2.8.5 Logistics Management

Original name: Ban Mae Yao

geographical location: Chiang Rai, Northern, Thailand, Asia

geographical coordinates: 19 53' 0" North, 99 45' 0" East

1. Logistics management is defined as a process to planning, implementation and

operation in the organization. It also data management that related the financial transactionssuch as, transport, storage, collection, distribution of raw materials and security. Logistics is a

channel of the supply chains which add the value of time and place utility too.

Chor Chang County Resort uses a logistics management by place tourists from airport

to our resort. We use vans as a transportation to pick up that we used Pahonypthin Rd. and

turn right at nantawan souvenir shop. It spend the time around 30-45 mins.then, we have a

service for tourists by take customers go to Karen villages and elephant camp in that area.

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2. It is similar road that go to Ruammit Karen village. But on three separate houses

Karen driving along the main highway 11 km. to 8 km, turn left again at the beginning of the

pavement. The Home Ranch, the akha house. Forests long then. It is dirt through the house

in the car. And turn left up the steep. If no to the right of the curve left to drive up a steep hill

at first to be concrete enough to drop the concrete directly into the village of Ya Fu, turn right

up the hill. The total to approximately 2-3 km along the route from Chiang Rai about 20km

3. To travel to reach the second district is the first use of the Road. It's a bridge across the

river. Turn left along Chiang Rai Huay Kom .

4. And the one of Chiang Rai city,Bridge across the Mae Fah Luang short cut road baan

Nam rud and enter the Mae yao district and you meet Chor Chang Resort.

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Chapter 3

Market Feasibility Study

And Analysis

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3.1 Market Analysis

3.1.1 STEEP Analysis

Environment

In order to done the business to be successful depend on many factors. Not only

internal factors but external factors are very important also. External factors consist of

political, economic, socio-cultural and technology factors. Changing of these factors have an

effect on the opportunities and restrictions of the business. Furthermore, from this study the

owners will know ability to gain the competitive advantages, reach a good position and

achieve the goal. To study these factors will help owners to see the problem or opportunities

and what should owners do in action to overcome difficulties.

Socio-culture

In hospitality industry as everyone know they divided hotel into stars, moreover there

are many kind of resort to suitable with customer that have their own interest and lifestyle

more niche market. Most of people go to travel for leisure. In soft adventure is good for

tourist because they have the activities to let customer enjoy with the activities that not too

much use skill like trekking or hard activities just enjoy activities within resort and there are

facilities to support customer all the time not like hard adventure that quite hard do somebusiness like toilet sometime quite risk to injure if dont have skills enough. So soft adventure

is more comfortable than hard adventure resort. Moreover it like a social interaction to enjoy

with activities together enhance relationship among family and friend like Maslow hierarchy

of need in love and belonging.

Technology

We are living in the globalization world, today everything look easy because the

impact of technology, we can transfer information across the nation within minute, we can

meeting through video conference although we are living in different country, we can

withdraw cash from ATM nearby your home no need to go to the bank office as tradition.

These are the example that we more convenience because of we have development of

technology. A also in tourism and hospitality industry because of technology we can book

the hotel through internet by use technology that we call global distribution system, customer

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relationship management gathering and use of customer data to be used to personalize the

guests stay in the hotel. By personalizing the experience, the guest feels special and is more

likely to return to the same hotel, thus aiding in the maximization of return on the inventory

asset. It have more chance to create customer royalty in company if we have technology to

help in kind of service to be more convenience, technology also help to manage the

information, collecting data to analyze and improve service to match with customer need and

create competitive advantage to be survive and get more profit in the industry.

Economic

According to annual report in 2011 from office of national economic and social

development board. In dimension of macro economics they mention that the whole image of

economic of national level expand around 7.8 percent in year 2009. The main industry that

make economic expand are exporter, consumer and investment from private sector and

expansion from hotel and restaurant industry. They mentioned that the reason that hotel

industry growth because of the number of tourist who come travel in Thailand highest in

many year round. The general situation about stability of economic is in status as normal

situation. Inflation in percentage of 3.53 and 2.66. Unemployment rate was decrease by 1.5

percentage. These are the sign that tell the economic in Thailand is in the good way.

Moreover great opportunity of Thailand in economic dimension is Asian Economic

Community of Asian nation that will open Asian free trade in year 2015. Thailand will get

benefit because Asian have a big population (580 million people), able to reduce capital in

producing product, attract investment and commercial and have power in negotiation.

Especially free flow of service, there will be provide service and establishment company.

Thailand will get benefit especially in hospitality industry that Thailand get benefit from

outstanding of the resources and tourist attraction. Not only on hospitality but other sector

also. Investor have tendency to invest in Asian country more than former time.

In Chaing-Rai get benefit from connected with GMS nation. The cooperation within

6 countries ; Thailand, Myanmar, Cambodia, Laos, Vietnam, China(Yunnan). There is

develop rout in Mae sai, Chiang tung, Chiang rung and Khunming (Chaina). In tourism

development dimension they will develop six countries one destination project and develop

GMS visa to encourage and comfort for member nations. The hospitality will get benefit

from this issue also.

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Politics

Politics situation is the one crucial factor that can effect to tourism and hospitality

industry. Politics situation and tourism are coherent each other as you can see from graph

above, if politics situation within country are stress tourism will recession as well. In the

other hand if politics is stable tourism industry can growth well because Thailand have many

kind and beautiful attraction, living cost is not too high and quite popular among foreigner to

travel. So tourism cannot growth if politics situation is not stable.

Current politics situation in Thailand is back to ordinary after we have got election

and new prime minister. No violence and protester in current time. The mechanism of

parliament is still go on, there are issue the policy to support business within the country

encourage investment within the country. The overview in political situation in Thailand

there are nothing to worried, the government can do their work as usually. Recently there

were reshuffle the cabinet to improve performance of the government and will be the benefit

for the nation. In Chiang-Rai province there is nothing to worried about political situation. In

overview political situation within the country now is back to be normal everything still go

on and improve in the good way and government have more stability.

3.1.2 Competitive Analysis

In Chiang Rai have a lot of resort because they are tourism city in northern of

Thailand and have natural attraction in this province that many of people like to travel. So we

will have a lot of competitors too but all of them can separate like this.

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Direct Competitor

1. Mae yao resort

Mea yao resort is located at an 342 Soi 1, Soi 2, Moo 17, Tambon Mae Yao Dong

Charoen, Chiang Rai 57000, just 7 kilometers away from downtown and takes 10 minutes

only. Mae yao resort is near many attraction such as elephant camp (Ruammit elephant),

Karen village, Huai mae sai waterfall and other.

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The room prices and facility

Type of house Price/Night facility The number

of house

Twin house made

from soil

2,000 Air

conditioning, 2 bedrooms (size 5

foot), toilet (2 rooms), television and

water heater.

1

Single house made

from soil

1,500 Air conditioning, 1 bedroom(size 5

foot), toilet (1 room), television and

water heater *(the bed made by soil)

2

Single house made

from soil

1,000 Fan, 1 bedroom(size 5 foot), toilet

(1 room), television and water heater

*(the bed made by soil)

4

Single teak house 1,000 Fan, double bed (1 bed room), toilet (1

room), television and water heater.

3

Bamboo house 700 Fan, bamboo bed (5 foot&1room),

toilet (1 room), television and water

heater.

9

Tent 350 Pillow and blanket (toilet and not

include water heater).

*Extra bed add 200 baht

*Special for the winner has servicer such as big room for 20-25 person on the special price

5,000 baht/night (have toilet and not include water heater) and in the room can make a party

and create meeting in this room.

*Have the area for make activity on night.

*Free! Breakfast, Start time: 7 am.-10 am. If you want dinner add 150/person (local food and

have 3 menus).

Special servicer! Have tour servicer, car rental and food service.

Strength of Mea yao resort is the resort concern about environment such as building the

house made from the mud and bamboo and the furniture in house it concern the environment

such as bed, table and etc. and they also provide full service. The majority tourist recognizes

this resort because this resort appears in Agoda website.

Resource: (http://www.maeyaoresort.com/)

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Weakness of Mae Yao resort is they lack of taking care the resort and atmosphere and

physical environment is not ready to welcome the guest.

2. My dream guesthouse

Located is 83 moo 12 Baan wang kum, Mae yao, Muang, Chiang rai

57100.Our guesthouse is located between Chiang Rai (30km to the east) and

Thaton,Chiang mai (60 km to the west) overlooking the Mae Kok River on its north-

side. We are part of the small Karen Village Khaew Waaw Dam. Our Bungalows are

building into a tropical garden surrounded by nature and just next to the River Kok.

This guesthouse offer different-sized bungalows with either a river- or garden-view.

All have attached bathrooms with western-style toilet, hot/cold shower and fan.

Towels and bed sheets are provided. Bungalows have either single-beds or queen-

size-beds, all of good quality. The bungalows are clean and spacey, especially the

river-front bungalows. Each bungalow has a private terrace with comfortable

deckchairs.

River View Bungalow

400 Baht/Night

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Garden View Bungalow

250 Baht/Night

Restaurant near river. Have a good view and this place have a quiet. Our menu includes

Thai and western food. Sometime have Karen food. And my dream house have internet

corner for tourist.

This guesthouse have garden for relax and many activity such as Tai Chi, Meditation, Yoga,

BBQ and other.

Free Pick-up from Chiang Rai City or Chiang Rai Airport provided with a minimum one-

week booking and at least one booked day tour! Otherwise pick-up can be arranged for 500

Baht, 11 Euro, and 14 USD for one car for up to 6 persons.

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Jeep-Tours to Hill tribe Villages, Hill tribe Trekking, Elephant Riding, Bamboo Rafting

Northern Thailand, especially Chiang Rai with its surrounding hills, mountains and

valleys of the golden triangle are a paradise for nature lovers and people who like to

experience the life of the various Hill tribes living there. Jeep-Tours to Villages, Hill Tribe

trekking, elephant riding and river tours are some of the activities we offer. During our tours

you can enjoy exotic jungle, beautiful nature, hot springs, cool waterfalls and rivers and good

food! If you wish, you will sleep in traditional tribal villages without electricity and learn

about the various Hill tribes and their local customs and culture. We offer a variety of single

or multy-days activities. Jeep-Tours, Minivan-Tours, Trekking and overnight-stays to Hill

tribe-Villages. With us you will visit the Hill tribes more like a friend rather than a tourist or

customer.

Tours include - free Transportation - Accommodation - Food & Water - English speaking-

and TAT-licensed guide

Price-Example:

1 Jeep (3person) 1 day 1.200 Baht.

2-day/1-night Tour Trekking 1.800 Baht.

3-day/2-night Tour Trekking 2.500 Baht. (all including Food/Drink/Accommodation)

Strength ofmy dream guesthouse is the resort has a good location and they provide many

things for tourist such as tour package (have a tour guide), accommodation, food (have local

food and western food) and transportation. And have many size of room for select.

3. Akha hill house

Resource :(http://www.chiangrai2.com/E/rooms_my_dream_guesthouse_chiang_rai.php)

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Located 97/7 Doihang, Muang, Chiang rai 57000.The Akha hill tribe hosts a

guesthouse, situated in the mountains 23 kms. Outside Chiang rai, 1500 m. above sea

level. The village is overlooking a majestic valley surrounded by tea plantation, rice

fields, waterfalls and native jungle. The Akha hill house is the only locally owned &

managed hill tribe retreat in the Chiang rai province.

Style of rooms in Akha Hill House

VIP 1 its Bamboo Bungalow Double Bed Private Bath Room, Hot Shower, with fan.

Refrigerator FREE WI-FI 24Hours, Free use computer Available, The beautiful mountain

View and Sunrise from your Balcony 600 baht per night Extra Bed 300 baht.

VIP2 its Mud Bungalow Twin Bed Private Bath Room, Hot Shower, with air

condition. Refrigerator FREE WI-FI 24Hours, Free use computer Available, The beautiful

mountain View and Sunrise from your Balcony 800 baht per night Extra Bed 300 baht.

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VIP 3 Mud BungalowDouble Bed Private Bath Room, Hot Shower,withair

condition.RefrigeratorCABLE TV,FREE WI-FI 24Hours, Free use computer Available,The

beautiful mountain View andSunrisefrom your Balcony1100 baht per nightExtra Bed 300

baht.

VIP 4 and 6 Mud Bungalow Double Bed Private Bath Room, Hot Shower, with Air

condition Refrigerator CABLE TV, FREE WI-FI 24Hours, free use computer Available, he

beautiful Mountain View and Sunrise from your Balcony1100 baht per night Extra Bed 300

baht.

VIP 5 Mud Bungalow Double Bed Private Bath Room, Hot Shower, with Air

condition Refrigerator CABLE TV, FREE WI-FI 24Hours, free use computer Available, he

beautiful Mountain View and Sunrise from your Balcony 900 baht per night Extra Bed 300

baht.

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VIP 7 Mud Bungalow Double Bed Private Bath Room, Hot Shower, with Air

condition Refrigerator CABLE TV,FREE WI-FI 24Hours, Free use computer Available, he beautiful Mountain View and Sunrise from your Balcony 900 baht per night Extra Bed 300

baht.

VIP 8 itsBamboo BungalowPrivate Bath Room, Hot Shower, with fan.

RefrigeratorFREE WI-FI 24 hours, free use computer available, the beautiful

Mountain View andSunrise from your Balcony600 baht can Not putextra.

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Special room

Mud House Sleeps8 people with fan Private baht room with hot shower 2,000baht per night.

Facility in Akha Hill house have openair restaurant and outdoor sitting area, extensive all

day Akha or Thai menu, laundry service, internet service(free WIFI available), Laos visa

service, free transport daily to and from Chiang rai.

Strength of Akha hill house is Focus on simplicity, show about lifestyle of akha hill, and

give the experience and many activities for the tourist such as cooking, trekking. The house

has many styles for select and they provide full service.

Weakness of Akha hill house is the way to access this village quite hard.

1. Thammachat resort

Located 21moo 6 Doihang, Muang, Chiang rai. Near mae Kok River and this resort

have a good point for relax. Now they change their name from Thamachart to be SP

hot spring resort.

Resource :( http://www.akhahill.com/index.htm)

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The price of rooms in Thammachat resort

Types of room Single Twins Extra

Standard room 830 830 300

Deluxe room 1230 1230 300

Deluxe mineral

water room

2230 2230 300

This price include breakfast, service and tax.

Free! For the children under 5 years old.

The children have 6- 12 years old add price about breakfast 60 baht/person

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Strength ofThammachat resort is providing about luxurious in the past, this resort

has a good point for relax. The resort surrounding with beautiful atmosphere.

Weakness is nowadays the owner of this resort was pass away and his kid come to

take care resort from her father but she do not do any marketing that make this resort

lack a lot of income.

Indirect Competitor

Baandin Laguna Resort

Monman Resort

HuaiKhum resort

Amarin resort

Teak garden spa & resort

Rimkok Resort Hotel Chiang Rai

Dusit island resort chiang rai

Chiangrai Resort

The River House Resort & Spa Chiang Rai

Santico Resort Chiang Rai

Luck Swan Resort

Resource:http://www.teawchiangmai.com/

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Customer Analysis

Chor Chang resort is focus on soft adventure, for sure if we talk about adventure the

tourist must be foreigner and we have a reason involved. According to table 3.1 shows that,

the percentage of foreigner tourist from 2009 to 2010 increase about 48%, the average length

of stay of foreigner is 3.31 in 2010 which more than Thai, and also average expenditure per

person and day of foreigner is more than Thai people about +1.54%. According to table 3.2,

the nationalities of foreign tourists in 2010 mostly are France about 23,674 people, USA

15,954 people, Israel 11,935 people, Germany 10,399 people, and Taiwan 10,170 people. The

average age customer is between 25 to 54 years old. Mostly they will travel with friends,

family, and boy/girlfriend around 75.21%.

Target market

Now we analyze the information above and make us easy to decision, so we choose

foreigner as the main target market because, our activities in resort is soft adventure and plus

with the behavior of foreigner like this thing more than Thai people and mostly are western

country such as France, USA, Israel, Germany. And some are Taiwan, Malaysia, and

Netherlands. Other reasons are the percentage of foreigner is increasing, the average of stay is

more than Thai people, and the most important one is average expenditure of foreigner per

day in 2010 is 3310.59 Baht that more than Thai people about 990.22 Baht. It means

foreigner can make more money than Thai people.

In the future we think the number of foreigner tourists and also other nationalities will

increase more and we can adapt and improve our product and service to suit with customers

and also make a competitive advantage.

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Table 3.1 Internal tourism in Chiang Rai

January - December

2010 2009 (%)

VisitorThai

Foreigners

2,288,218 1,680,248 + 36.18

1,903,623 1,430,375 + 33.09

384,595 249,873 + 53.92Tourist

Thai

Foreigners

1,996,374 1,441,961 + 38.45

1,655,907 1,212,034 + 36.62

340,467 229,927 + 48.08

Excursionist

Thai

Foreigners

291,844 238,287 + 22.48

247,716 218,341 + 13.45

44,128 19,946 + 121.24

Average Length of Stay (Day)

Thai

Foreigners

2.85 2.40 + 0.45

2.75 2.17 + 0.58

3.31 3.63 - 0.32

Average Expenditure ( Baht/Person/Day )Visitor

Thai

Foreigners

2,514.58 2,540.05 - 1.00

2,320.37 2,318.18 + 0.09

3,310.59 3,280.19 + 0.93

Tourist

ThaiForeigners

2,555.76 2,602.99 - 1.81

2,354.76 2,376.69 - 0.923,367.78 3,316.61 + 1.54

ExcursionistThai

Foreigners

1,712.55 1,625.26 + 5.371,688.31 1,613.20 + 4.66

1,848.71 1,757.24 + 5.21Revenue ( Million Baht )

VisitorThai

Foreigners

15,024.64 9,404.64 + 59.7611,145.31 6,603.43 + 68.78

3,879.33 2,801.21 + 38.49Accommodation establishments

RoomsOccupancy Rate ( % )

Number of Guest ArrivalsThai

Foreigners

10,209 6,144 + 66.1627.56 29.78 - 2.22

1,365,431 911,104 + 49.87

1,110,352 754,399 + 47.18

255,079 156,705 + 62.78

Source: (http://www.tourism.go.th/2010/upload/filecenter/file/stat_2554/Sep/Update53%

20on%206sep/n.pdf)

(http://www.tourism.go.th/2010/upload/filecenter/file/stat_report/north/cheangrai%2051.

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Table 3.2 Guest Arrivals at Accommodation (Hotels,Guesthouses,Resorts)

in Chiang Rai

Nationality January-December

2010 2009 (%)

Thai 667,750 754,399 - 11.49

Brunei 577 238 + 142.34

Cambodia - 14 -

Indonesia 368 850 - 56.69

Laos 1,630 689 + 136.68

Malaysia 9,434 6,643 + 42.01

Myanmar 854 1,107 - 22.87Philippines 410 299 + 37.21

Singapore 2,238 2,354 - 4.93

Vietnam 9 27 - 64.79

China 6,091 3,119 + 95.31

Hong Kong 870 668 + 30.37

Japan 6,766 5,731 + 18.06

Korea 2,687 2,458 + 9.33

Taiwan 10,170 9,908 + 2.64

Austria 1,460 1,200 + 21.63Belgium 3,743 5,779 - 35.23

Denmark 2,429 1,906 + 27.43

Finland 598 342 + 75.18

France 23,674 20,138 + 17.56

Germany 10,399 12,013 - 13.44

Italy 4,792 8,271 - 42.07

Netherlands 9,626 11,126 - 13.48

Norway 1,158 1,426 - 18.85

Russia 958 582 + 64.46Spain 3,685 7,711 - 52.22

Sweden 1,389 1,736 - 19.99

Switzerland 5,021 4,893 + 2.61

United Kingdom 8,528 6,036 + 41.28

East Europe 583 282 + 106.63

Canada 2,802 1,870 + 49.83

USA 15,954 11,411 + 39.81

India 543 266 + 104.00

Australia 5,436 4,280 + 27.01

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Competitive advantage

Chor Chang resort located near Karen Ruammit village in Mae Yao, Chiang Rai. The

good point of us is soft adventure and nowadays many people especially foreigner like to

travel in the concept of environmental concern and we also built such a house made by soil.

We have many activities for soft adventure, for example zorb ball, climbing wall, ATV, and

rodeo bull. We located near the river with full of good atmosphere. The other one is we use

50% as local community and 50% worker for service our customers. For all of this reason we

think that we can bring our business successful.

Chor Chang country resort is focus on soft adventure, for sure if we talk about

adventure the tourist must be foreigner. According to table 3.1 shows that, the percentage of

foreigner tourist from 2009 to 2010 increase about 48%, the average length of stay of

foreigner is 3.31 in 2010 which more than Thai, and also average expenditure per person and

day of foreigner is more than Thai people about +1.54%. According to table 3.2, the

nationalities of foreign tourists in 2010 mostly are France about 23,674 people, USA 15,954

people, Israel 11,935 people, Germany 10,399 people, and Taiwan 10,170 people. The

average age customer is between 25 to 54 years old. Mostly they will travel with friends,family, and boy/girlfriend around 75.21%.

New Zealand 979 811 + 20.77

Middle East 147 217 - 32.21

Israel 11,935 13,051 - 8.55

Africa 101 45 + 126.54Others 7,380 7,207 + 2.40

Grand Total 833,173 911,104 - 8.55

Thai 667,750 754,399 - 11.49

Foreigners 165,424 156,705 + 5.56

Source: http://www.tourism.go.th/2010/upload/filecenter/file/stat_2554/march/North.xls

http://www.tourism.go.th/2010/upload/filecenter/file/stat_report/north

/cheangrai%2051.pdf

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In the future we think the number of foreigner tourists and also other nationalities will

increase more and we can adapt and improve our product and service to suit with customers

and also make a competitive advantage.

Table 3.1 Internal tourism in Chiang Rai

January - December

2010 2009 (%)

Visitor

Thai

Foreigners

2,288,218 1,680,248 + 36.18

1,903,623 1,430,375 + 33.09

384,595 249,873 + 53.92

Tourist

Thai

Foreigners

1,996,374 1,441,961 + 38.45

1,655,907 1,212,034 + 36.62

340,467 229,927 + 48.08

Excursionist

ThaiForeigners

291,844 238,287 + 22.48

247,716 218,341 + 13.4544,128 19,946 + 121.24

Average Length of Stay (Day)

Thai

Foreigners

2.85 2.40 + 0.45

2.75 2.17 + 0.58

3.31 3.63 - 0.32

Average Expenditure ( Baht/Person/Day )Visitor

ThaiForeigners

2,514.58 2,540.05 - 1.00

2,320.37 2,318.18 + 0.093,310.59 3,280.19 + 0.93

Tourist

ThaiForeigners

2,555.76 2,602.99 - 1.81

2,354.76 2,376.69 - 0.923,367.78 3,316.61 + 1.54

Excursionist

Thai

Foreigners

1,712.55 1,625.26 + 5.37

1,688.31 1,613.20 + 4.66

1,848.71 1,757.24 + 5.21

Revenue ( Million Baht )Visitor

Thai

Foreigners

15,024.64 9,404.64 + 59.76

11,145.31 6,603.43 + 68.78

3,879.33 2,801.21 + 38.49

Accommodation establishments

RoomsOccupancy Rate ( % )Number of Guest Arrivals

ThaiForeigners

10,209 6,144 + 66.1627.56 29.78 - 2.221,365,431 911,104 + 49.87

1,110,352 754,399 + 47.18255,079 156,705 + 62.78

Source: http://www.tourism.go.th/2010/upload/filecenter/file/stat_2554/

Sep/Update53%20on%206sep/n.pdf

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Table 3.2 Guest Arrivals at Accommodation (Hotels,Guesthouses,Resorts)

in Chiang Rai

Nationality January-December

2010 2009 D(%)

Thai 667,750 754,399 - 11.49

Brunei 577 238 + 142.34

Cambodia - 14 -

Indonesia 368 850 - 56.69

Laos 1,630 689 + 136.68

Malaysia 9,434 6,643 + 42.01

Myanmar 854 1,107 - 22.87Philippines 410 299 + 37.21

Singapore 2,238 2,354 - 4.93

Vietnam 9 27 - 64.79

China 6,091 3,119 + 95.31

Hong Kong 870 668 + 30.37

Japan 6,766 5,731 + 18.06

Korea 2,687 2,458 + 9.33

Taiwan 10,170 9,908 + 2.64

Austria 1,460 1,200 + 21.63Belgium 3,743 5,779 - 35.23

Denmark 2,429 1,906 + 27.43

Finland 598 342 + 75.18

France 23,674 20,138 + 17.56

Germany 10,399 12,013 - 13.44

Italy 4,792 8,271 - 42.07

Netherlands 9,626 11,126 - 13.48

Norway 1,158 1,426 - 18.85

Russia 958 582 + 64.46Spain 3,685 7,711 - 52.22

Sweden 1,389 1,736 - 19.99

Switzerland 5,021 4,893 + 2.61

United Kingdom 8,528 6,036 + 41.28

East Europe 583 282 + 106.63

Canada 2,802 1,870 + 49.83

USA 15,954 11,411 + 39.81

India 543 266 + 104.00

Australia 5,436 4,280 + 27.01

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Competitive advantage

Chor Chang country resort located near Karen Ruammit village in Mae Yao, Chiang

Rai. The good point of us is soft adventure and nowadays many people especially foreigner

like to travel in the concept of environmental concern and we also built such a house made by

soil. We have many activities for soft adventure, for example zorb ball, climbing wall, ATV,

and rodeo bull. We located near the river with full of good atmosphere. The other one is we

use 50% as local community and 50% worker for service our customers. For all of this reason

we think that we can bring our business successful.

3.2STP Analysis3.2.1 Segmentation

Geographic segmentation

Geographic segmentation of our company is the Northern of Thailand at the Chiang Rai

province. If we establish the resort at this area we can get more revenue because we think in

this area has a little competition and area that appropriate for activity and style of our resort

and we focus at foreigner tourists because we have statistic of tourists that came to Thailand

since 2548 to 2553 that increase in each year about 7.51% the most tourists that came to

Thailand is ASEAN about 4,415,789 person or 27.87% and second European tourist the East.

Asia, South America, Oceania, Middle East and Africa, respectively, compared with

the proportion. The year 2548 found that ASEAN is vital, up from No. 3

Tourist arrivals by region of Laos, with average annual increase of 47.70%.increasing ease

of travel.

New Zealand 979 811 + 20.77

Middle East 147 217 - 32.21

Israel 11,935 13,051 - 8.55

Africa 101 45 + 126.54

Others 7,380 7,207 + 2.40

Grand Total 833,173 911,104 - 8.55

Thai 667,750 754,399 - 11.49

Foreigners 165,424 156,705 + 5.56

: Last updated 15 February 2011

Source: http://www.tourism.go.th/2010/upload/filecenter/file/stat_2554/march/North.xls

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Demographic segmentation

Chiang Rai has more investment and more population that most are singer group,

family group and investor about resort. Then we will use demographic for focus on group of

customer for we can get high profit.

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Psychographic segmentation

About psychographic we use values of people and life style to decide the business.

We think many people want to different or want to get specific that we will serve our service

and product follow those things. About values nowadays the Northern of Thailand can attract

more tourists that it is mean the resort and hotel have an important. Then if we establish

business we will get work and get money. About life style we separate two to three group that

we get more money and they want to have time to join activity and time to relax as well and

have room that provide to customer for select depend on they like in follow Sweet room,

family room and general room then we will have a promotion and advertising that we think it

can contact more people and we will get more customers.

Behavior segmentation

Our resort will serve a service follow the demand of customer for they satisfaction in

finished of product. if customers satisfy about our service that provide with resort they will

use our service again and we hope the customer will use world of mouth to people for other

people use the service of our company.

3.2.2 Target Market

The target markets of our resort are the people who want time for relax with family or

singer group the people who want to meet the activity that provide with resort. About the

people who want to leave from city to rural area our resort will get money from the customer

of this group can contact us direct for tell me about the style of house that they want to get.

And about resort our company will decorate resort follow the style that locate want to get

and follow the area and we will have some promotion to the customer who use our service

that depend on the season, the area that they decorate and the area of resort. Back packers

group is the group that they going to stay in resort and mostly they decide by themselves. In

this group people want to select their house that if they decision to stay here our resort will

get the money from service. In family group have to decide for their self and they want to

stay at our resort and join activity that provide to them. Target market of our resort is

foreigner and people who want to leave from city to rural area that stays with natural and

back packers. Then we think if we focus this group

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We will get the money. Next we focus is family group. We think this group likes about the

nature and activity with their family. They will select our resort because when they want to

stay with their family and with nature that far away from people in the city, they want the air

fresh for their child and they want to get a nice nature for their child can run and do the

activities with the family. In this group we will make a nice garden and give advice to

customers about garden. We will set the garden that has an atmosphere look like natural for

them feel relax. And their children in the family want to get wide area for their activity. This

group has a high purchasing power that we will receive more money for them. Our company

will set it follow the demand of customer because customer satisfaction is very important

more than other reason. In above that we mention is the target group but not the main target

because in above is the target that our house can provide to them but We focus on this group

that the most important is foreigner tourists because from statistic of tourism of Thailand

mention to foreigner tourists came to Thailand and increase every years since 2548 to 2553

and opportunity to increase in next year, from year 2553 tourists increase about 25% .The

most tourists that came to Thailand is Asia about 24.98%

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3.2.3 Product Position

Adventure Activity

Chor.Chang country resort

Life style &design of

Resort

Position of our resort is Style of our resort , If compare between competitor resort in

Chiang Rai we have adventure activity that provide for customer and design of resort that

mix between modern and Lanna or local style by we build our resort that different design,

different character of elephant and activity that join with local people.

3.3Marketing Mix

3.3.1 Product

Chor Chang Country Resort is provide about the accommodation that around with

cultural, good environment and also the soft adventure activities to provide you the new

experience because in Mae Yow has many resource to response this concept so we can use

this place to provide the new experience to you as much as we can and also concern about the

environment and support the native culture, traditional or product from local area too. You

can enjoy with many activities in our resort such as cycling, climbing or Zorbing ball. Our

resort also provide you a quality of food to we has many type of food to serve to you and the

beautiful room for you to relax with the nature after tired from enjoyed with the activities that

you was spend all time.

Sources:

http://123.242.133.66/tourism/th/home/tourism.php

http://123.242.133.66/tourism/th/home/download_list.php?gid=4

http://thai.tourismthailand.org/about-tat-page/about-tat/statistic/

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Accommodations

Room Picture Detail

Standard

Room

(3 rooms)

-Air-conditioning

-IDD telephone

-Bathrobe/Slippers

-Refrigerator

-Multi channel satellite

TV's

-Hair dryer

-Internet Access

in room

- 1 double bed

Suite Room

(1 rooms)

- 1 double bed

- Air-conditioning

- IDD telephone

- Bathrobe/Slippers

- Tea & Coffee making

facilities

- Refrigerator & Mini-

bar

- Multi channel satellite

TV's

- Hair dryer

- Interconnecting

rooms

- Internet Access

in room

- More luxury

Family Room

(2 room)2 rooms

2 floors

4 double beds

chor chang country resort

Documents