Building your career is like building your home and one of my goals is to create a new business in the tourism sector. That is why I conducted my study on the French company Club Mediterranean. This company exists worldwide and in some of the most exotic locations. In this analysis, I decided to open a new winter Club Med village in Russia, on the highest mountain, Leprous, which is the highest peak of Europe. I want to come up with a hotel named “5 Tridents” which means high level of services.
In 2008, the Club Med launched the first (5 Trident) luxury space in Asia Pacific at its magnificent resort in the Maldives. All rooms being very luxurious, customers enjoy the classic activities existing in the other Club Med but at a higher grade.
This concept has been successful and I think it can be a good opportunity to try and extend this new method in one of the BRIC countries. It not a secret that these countries will become the largest economies of the world and that they know a new social phenomenon: the increase of billionaires.
The Club Med is still present in Brazil with 4 villages and concerning China and India, they are not the best place to go now. So to enter the BRIC, I think it is a good idea to target the Russian elite in order to take advantage of the increasing demand for luxurious and prestigious services in this country.
The Club Med was started in 1950 by the former Belgian water polo champion, Gérard Blitz, and the first village opened on the Spanish island of Mallorca. The number of village increased sharply under the direction of Gilbert Trigano from 1963 to 1993.
At the beginning, the Club Med was targeting singles and young couples but after the opening of the Mini Club in 1967, the Club became a destination for families.
[...] Threat of substitutes: Low The Club Med strategy is to create something that doesn't really exist in Russia because it's an old Communist country and these kind of businesses weren't the base of the old industry. But today with the globalization, a new phenomenon appears: the new rich people, their needs changed as the country changed with time. For the moment, Russians go abroad to indulge in tourism. Threat of new entrant: Medium The entry is not too easy but thanks to our office in Moscow it will be. [...]
[...] The competitors The competition for Club Med is not on the local level but on the international level. The local firms of tourism are really insignificant and are not dangerous for the Club Med. The danger comes from the international companies of tourism that will enter the market to face the new concept of Club Med in Russia. But the French brands of tourism are also potential competitors because they will be aware of our new market and they will propose new formula and destination to their customers. [...]
[...] Some elements are linked to the religion like the consumption of alcohol in Muslim countries whereas the political factor is also very important for the Club Med concerning the welcoming of tourists. Some countries can face violent rebellion or protests that can hurt one's image. For Russia, the Club Med has an office in Moscow that will be really helpful to enter the market. Russia is a place where the corruption exists everywhere. It is important to respect the rules and the political opinion of the Russians. [...]
[...] It good to take a certain time to observe and learn about the local habits in order to harmonize well the existing service of Club Med with the local needs. It can also be a good idea to see the online information about people on social network as Facebook, blogs and so on. This could help me to learn more about the culture. And finally, I could send some questionnaires to Russians that are available in France to enhance tourism via the Club Med in order to know if they will be interested in this new service in their own country, or simply ask questions that will allow us to better describe them. [...]
[...] He will know what the customers expect from the Club Med in term of entertainment, tastes, etc. Conclusion Establishing a new village in Russia will be not so easy but can be a key in the fight of Club Med to become profitable. It will be hard to enter the market and to create a product that corresponds perfectly to the Russian people, but it will be an amazing source of benefit in the future. The Russians are well aware of Club Med and if they adopt this kind of village and services as a holiday place, it will offer important opportunities to the Club Med to develop this activity in this country. [...]
Online readingwith our online reader
Content validatedby our reading committee