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SEPT Analysis on Mandalay Resort Group (Environmental Analysis)

Social System

Economic situation

Political stability

Technology

  1. The popularity of casino  gambling in US
  1. Increase in demand for hotel rooms due to building boom in Las Vegas
  1. US political instability due to September 11 terrorist attacks
  1. Changing Electronic Gaming Machine Industry and Technology
  1. The consuming public’s attraction to newer properties
  1. Fierce price competition among gaming companies and casinos

2.  No more approval of casino-type gambling by states since 1993

  1. developments in hotel room technology

  1. Change in the taste of consumers to gambling and luxurious entertainment complexes

  1. Economy recession due to  terrorist attack of September  11

3.  Various restrictions on the development of casino operations

3- Exploitation of many technologies by gaming resorts to transform their call centers into high-value/low margin customer care machines

  1. Allowance of Nevada style gaming in California

4-  Explosion of internet as a gaming venue

Competitive Profile Matrix

(CPM Matrix)

British Steel

Europe and  North American Steel

South Korea

Critical Success factors

Weight

Rating

Score

Rating

Score

Rating

Score

Product quality

0.10

4

0.40

4

0.40

4

0.40

Price

0.15

2

0.30

3

0.45

4

0.60

Technology

0.20

2

0.40

4

0.80

4

0.80

Financial position

0.05

4

0.20

4

0.20

3

0.15

Distribution

0.10

1

0.10

3

0.30

4

0.40

Labor cost

0.10

4

0.40

2

0.20

3

0.30

Management

0.10

4

0.40

4

0.40

4

0.40

Market share

0.20

1

0.20

4

0.80

4

0.80

Total

1.0

2.40

3.55

3.85

Notes:

  • While all manufacturers are maintaining product quality by scoring 0.40, South Korea had competitive edge in price by 0.60 over other competitors
  • British Steel is very weak in distribution and market share
  • British Steel is also very weak in technology.
  • In financial position South Korea is surprisingly low
  • In overall performance South Korea secure first by recording the total score of 3.85, followed by 3.55 by Europe and North American Steel and 2.40, a very weak position secured by British Steel

SWOT analysis

On Mandalay Resort Group

Strength

Weakness

Opportunity

Threat

1. Aggressive growth strategy

1. No vision and mission statement

  1.  Dissemination of gambling across the country

1. Intense price competition

2. Mandalay Mile

2. Lack of diversity in top management employees

2. Increased dollar spent in gaming industry

2. No more approval or restrictions of casino-type gambling by states since 1993

3. Differentiated and distinctive resorts

4. strong horizontal relationships (Joint Ventures)

3. Lack of an East-coast presence

3. Increase in demand for hotel rooms due to building boom in Las Vegas

4. Explosion of internet as a gaming venue

3. Economy recession due to  terrorist attack of September  11

4. Lack of gaming innovation

4. Ethical problems of gambling industry

...

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