Name : David Pramudya Agape Simanullang

NPM : 1806196296
Class : Simulasi Industri - 03

1. CASE 1 :
Growth has been phenomenal for China Lodging Group, and targets going
forward are equally so. But challenges abound. Apart from organisational
challenges such as maintaining corporate culture and competencies, and talent
acquisition, there is also stiff competition from both Chinese and international
hotel groups. How can China Lodging Group leverage its resources and
experience accumulated from the middle and low-end segments to shake up the
upper-middle and top-end - and even luxury hotel segments?
a. Problem Statement:
China Lodging Group has experienced impressive growth and aims to
sustain this momentum in the face of various challenges. These
challenges include maintaining its corporate culture and competencies,
attracting top talent, and competing with both domestic and international
hotel groups. The central problem is how China Lodging Group can
leverage its existing resources and experience from the middle and
low-end hotel segments to disrupt and succeed in the upper-middle and
top-end, and even luxury hotel segments.
b. Key Question:
How can China Lodging Group effectively utilize its accumulated
resources and experience from the middle and low-end hotel segments to
strategically enter and excel in the upper-middle and top-end, and
potentially luxury, hotel segments while addressing the challenges posed
by organizational culture, talent acquisition, and intense competition from
both Chinese and international hotel groups?
c. Metrics can be use
i. Market Share Gain in Upper-Middle and Top-End Segments:
Use to measures the percentage increase in China Lodging Group's
market share in the upper-middle and top-end hotel segments over a
specific period. It provides insight into the company's ability to penetrate
and succeed in these segments.
ii. Employee Retention Rate:
gauges the percentage of key talent and employees in leadership
positions who choose to stay with the company over time. It directly
relates to the challenge of talent acquisition and retention, reflecting the
company's ability to maintain a skilled workforce.
iii. Customer Satisfaction Score (CSAT):
measures the level of satisfaction among guests staying at China Lodging
Group's upper-middle and top-end hotels. Higher CSAT scores indicate
better customer experiences, which are crucial for success in the luxury
segment.
d. Charts for presenting the outcome using dummy data

i.

ii.
e. Variables to be included :
i. Market Share Gain in Upper-Middle and Top-End Segments:
1. Total revenue from upper-middle and top-end hotels.
2. Total revenue from all hotel segments.
3. Year-on-year comparison.
ii. Employee Retention Rate:
1. Number of key employees retained.
2. Total number of key employees at the beginning of the period.
3. Year-end date.
iii. Customer Satisfaction Score (CSAT):
 1. Survey responses from guests in upper-middle and top-end
hotels.
2. Average CSAT score on a scale of 1 to 5.
3. Timeframe for data collection (e.g., monthly, quarterly).
f. Associated Risk :
i. Market Share Gain:
1. Competition Intensification, competitors may respond aggressively
to China Lodging Group's entry into the upper-middle and top-end
segments, potentially leading to price wars and increased
marketing expenses.
2. Market Conditions, Economic downturns or unforeseen events
(e.g., pandemics) can impact travel and hospitality demand,
affecting market share gains.
ii. Employee Retention:
1. Industry Poaching, Highly skilled employees may be targeted by
competitors, making retention challenging.
2. Cultural Misalignment, maintaining a unified corporate culture may
become more difficult, potentially leading to key talent departures.

2. CASE 2 :
A US snack foods company specializing in snacking peanuts, Peanut Co., is
planning to acquire another company specializing in snacking almonds, Almond
Co. Peanut Co. is currently the market leader in snacking peanuts, but the overall
segment is growing slowly compared to the market and they want to diversify.
They have hired you to tell them whether this is a good idea or not.
a. Problem Statement :
Peanut Co., a prominent U.S. snack foods company, is considering the
acquisition of Almond Co., a company specialized in snacking almonds. Peanut
Co. currently dominates the snacking peanuts market, but this segment is
experiencing sluggish growth compared to the broader market. In light of this,
Peanut Co. seeks to diversify its product portfolio and market presence. The
company has enlisted your expertise to evaluate the feasibility and wisdom of this
potential acquisition.
b. Key Question :
Is acquiring Almond Co., a company specializing in snacking almonds, a
strategically sound decision for Peanut Co. to diversify its product portfolio and
market presence, considering the slow growth in the snacking peanuts market
and the potential opportunities and challenges in the snacking almonds
segment?
c. Metric can be use :
i. Financial Viability Matrix:
include financial metrics such as revenue growth, profit margins, return on
investment (ROI), and net present value (NPV) to assess the financial
feasibility and potential return on investment of acquiring Almond Co.
 ii. Market Synergy Matrix:
assess the synergy between the snacking peanuts and snacking almonds
markets, helping to understand potential market opportunities and risks.
d. Charts for presenting the outcome using dummy data

i.

ii.
e. Variables to be included :
i. Financial Viability Matrix :
1. Revenue Growth: (Almond Co. Revenue Growth - Peanut Co.
Revenue Growth)
2. Profit Margins: (Almond Co. Profit Margin - Peanut Co. Profit
Margin)
3. ROI: (Almond Co. ROI - Peanut Co. ROI)
4. NPV: (Almond Co. NPV - Peanut Co. NPV)
 ii. Market Synergy Matrix:
1. Market Share: (Almond Co. Market Share - Peanut Co. Market
Share)
2. Customer Overlap: (Percentage of Peanut Co. customers who
also purchase almonds)
3. Growth Projections: (Projected growth rate of the snacking
almonds market)
f. Associated Risk :
i. Market Risk, Changes in consumer preferences or economic conditions
that could affect demand for snacking peanuts and almonds.
ii. Integration Risk, Challenges in integrating Almond Co.'s operations with
Peanut Co., such as cultural differences and supply chain disruptions.
iii. Competitive Risk, Potential reactions from competitors and how they
might impact market dynamics.
iv. Regulatory and Compliance Risk, Changes in regulations affecting the
snack foods industry that could impact both companies.
v. Financial Risk, Fluctuations in commodity prices and currency exchange
rates.