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Sleepy Inn Motel - Case Study Example

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Author : jwilderman

Summary

Sleepy Inn Motel: A Marketing Case Study Word Count: 1060 (4 pages) There are three things that Huang needs to do in order to ensure success: build an indoor pool; build or offer a restaurant or restaurant-like atmosphere with a free continental breakfast; and become part of the franchise of Days Inn…

Extract of sample
Sleepy Inn Motel

If the Sleepy Inn could manage to maintain 90% occupancy at the rate of $75 per night, they would make roughly $4,050 per day. If about half of that were put towards paying off the loan on a $300,000 inground pool to be installed ($2000 per day, or $60,000 per month)—Huang could pay off the pool in 150 days or less, depending upon occupancy rates. The other $2,050 that Huang would collect could be divided between salaries for the staff and upkeep. If he had the forethought to do so, it might behoove Huang to also set aside some of that daily income towards a retirement account. He could even retire early if he wanted. The addition of a restaurant to the Sleepy Inn could also generate some more business. When people get up after their night in a motel, the last thing that some of them want to do is to have to dress up really nice to go to breakfast—especially if they’re on vacation. Thus, flip-flops, a comfortable, old, worn T-shirt, and jeans might be the preferred clothing of choice. ...
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