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Developing a Strategy for Sustainable Relationship - Case Study Example
Author : volkmanvidal
Pages 13 (3263 words)
The subject of the case study is Tennyson Ltd., a specialized service provider and tour operator in the activity holiday industry. Based in the UK, it was the result of a merger in 2002 between Merryweather Sailing and Tennyson Ski.
One of the competitive advantages of Tennyson Ltd…
Because it enjoyed a wide client profile, Merryweather had no problem filling its accommodations to capacity, especially since summer is a naturally busy time for vacation sites. With more income-generating opportunities available, the company tended to maintain a relatively large staff base, assigning each guest relations officer a maximum of eight clients at a time. As a result, visitors were provided high-quality, personalized service.
The firm promoted a culture of innovation among employees to reinforce its "customer is king" orientation. As such, its marketing-led business style and acute sense of customer service were, perhaps, Merryweather's most important contribution to the merger.
Tennyson Ski maintained a diverse mix of properties - from chalets and apartments to hotels - to serve the winter vacation industry. Because this is a mass market, it might have entailed high operating costs. Furthermore, the facilities were not full-staffed; one representative attended to as many as 30 guests. Therefore, clients did not experience the level of indulgence that they might expect from luxury accommodations.
According to Pate and Platt (2002), "a merger can only benefit a weak business if operating efficiencies, product synergies, or other marketing ...