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Development project of Club Med in Russia

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As all the members in our team is interested in the tourism sector, as part of our research paper in the third year, we decided to offer our services at Club Med. We arrived with a development project for Club Med, "Live 200%", on the mountains of a new Eastern member country of the European Union. After our meeting with the Director of International Development and Heritage of Club Med, we embarked on the development of an entirely new kind of club-spa in a village bordering Russia and nestled among the mountains between the Black Sea coast and the peaks of Caucasus. We chose Sochi and its surroundings, which offered all the necessary elements for the implementation of our type of Club-Med holiday concept.

The Club Med was born in 1950 in Paris; it proposed a new formula, the all-inclusive holiday resort. In 1955, the Club Med in Tahiti was established, and in 1956, winter sports appeared in its catalog. Top athletes, nannies, cooks, singers, dancers and managers, represent the Club Med. The Club slowly gained in popularity owing to the beautiful locations of its villages, originally near the Mediterranean, the dedicated staff and all possible activities in the region. There are more than 20,000 employees worldwide, of varied nationalities. Recently, the Club revised its policy by refocusing on the high end customer. Thus they gradually sold packages that do not meet corporate standards, and bought and created high-end clubs to meet the expectations of the target.

We will first present an overview of Russia and especially the Sochi region, and then will move on to the market study. Subsequently, we will present the finalization and implementation of our project.

The growing importance of the French presence is manifest by the existence of more than 400 French establishments in Russia in various forms (representative offices, branches, corporations). Most large French companies operate in Russia in all sectors (energy, distribution, financial services, agribusiness, automotive, chemicals, construction materials, electrical equipment). With the establishment of an assembly plant of the Logan, Renault is on track to become the leading French investor in Russia, followed by BNP Paribas, Total, Danone, Saint-Gobain. Furthermore, some SMEs are active in Russia with production units but mainly in the form of representative offices.

Although the effort and cost to enter the Russian market are important, many investors are satisfied with the investment and want to develop further. Akin to the issue of Saint-Gobain that will double in 12 months the capacity of its plant in fiberglass in the Moscow region, Rhodia will soon begin the third phase expansion of its plant that manufactures cigarette filters .

Sochi is the Russian seaside resort par excellence. Compared to the St. Tropez of the Black Sea, this huge resort stretches over 150 km of the Lazarevski Adlersi. It is bordered by the peaks of the Caucasus in the north, south and east. The city is located in the Krasnador region and administered by the Governor Tkachev. Nearly 400,000 people reside here, mainly Caucasians, Russians and other Europeans who come to enjoy the economic boom linked to tourism.

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