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Management challenges facing Great Ocean Road
It is evident that all hotels have to deal with different challenges that they face in order to improve their profitability and guest satisfaction. Great Ocean Road faces unique industry challenges in terms of management as well. Due to the downside that the economy has had on the tourism industry, managers have to deal with the increased fixed capital and the variable income.
The first management challenge that Great Ocean Road faces is that the cost of food is constantly rising. While managers may want to ask the price break on the food and beverage break down, it is evident that the beverages and foods have increased by over 2.7 percent in the last year. This has to do with the impact of climate change and the rising fertilizer prices. Though Great Ocean Road has worked consistently towards adjusting their menus to accommodate the different individuals with food allergies, slashing the prices of the beverages and foods has become more challenging.
As noted in The second management challenge that the Great Ocean road faces is that Loyalty is a lost art. Initially, Great Ocean Road used to bank on the loyalty of its customers. In today’s environment, the development of the online deals travel has left Great Ocean Road reeling. The online services that the customers have mean that they have more options due to the consumer research programs provided on the internet.
Thirdly, ease of access is another management challenge that the management of Great Ocean Road faces. It is vital that Great Ocean Road ensures that accessing the tourist destination is easy. Tourists tend to keep away from the area sue to the high costs of travel to the area. In order for Great Ocean Road to keeps its amenities and hospitality facilities as full as possible, the reads should be constructed to permantendt roads by tarmaking them (O’Fallon and Rutherford, 2011, p. 56).
The fourth management challenge that Great Ocean Road faces is the climate change. The impacts of climate change cannot be understated. Managers have to deal with the issue of climate change even if they are not in a position to change its impacts. The only thing that the managers can deal with is the impacts. Sometimes the area floods keeping the tourists out of the tourist destination.
The fifth management challenge that Great Ocean road faces is the stagnant innovation. The hotels are built on what is considered as what has already been done by competitor destinations without new innovations. Wood and Brotherton (2008, p. 76) note that new target markets are emerging, and it is up to the management to conduct research on what they consider as making improvements to their tourist destinations in terms of what Millennials like.

In order to deal with the loss of customer loyalty, Great Ocean Road has to adopt a wider range of how it views its loyalty building and reinvent programmatic approaches to suit the emerging markets of the millennials. This is because the millennials have lots of options. In order for Great Ocean Read to deal with the issue of dwindling revenues, the marketing and sales efforts that they provide could be intensified. Customer service could also be improved curb the issue of rate fluctuations, Great Ocean road could ensure that they maximize on the prices during the peak seasons and reduce their prices so as to attract more customers. Great Ocean road should ensure that they create an environment that is convenient to the millennials by providing wireless activities and enough space for their partying habits.
Target market
As noted in, the target market of Great Ocean Road is the millennials. These are individuals who are constantly on the move and love technology. According to Silver (2007, p. 45). By creating an environment that is conducive to these millennials such as the provision of wireless services and enough space for having fun, then the Great Ocean Road might just attract the millennials.

Wood, R. C., & Brotherton, B. (2008). The SAGE handbook of hospitality management. London,SAGE Publications.
O’Fallon, M. J., & Rutherford, D. G. (2011). Hotel management and operations.
Silver, A. D. (2007). Smart start-ups: how entrepreneurs and corporations can profit by starting online communities. Hoboken, N.J., John Wiley & Sons.


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