Australian Budget Monitoring and Preparation

Fiscal Foresight: Integrating Strategy and Financial Insight

Project 3
STUDENT NAME: SHANE JASMIE LOPEZ
BATCH:
TEACHER: MR. JOSEPH DIMAANO

eVersity
Case Study 1: Urban Boutique Hotel Expansion
Background:
Urban Boutique Hotel, a well-established brand known for its unique customer experiences, is embarking on an expansion to open a new property in the heart of
the city. The location is prime real estate, close to cultural hotspots and business centres, offering an attractive proposition for both leisure and corporate guests.
Finance and Marketing Strategy:
 Initial Capital: The hotel secured initial capital through a mix of equity financing from existing stakeholders and a loan from a commercial bank, focusing
on the hotel's strong operating history.
 Budgeting: The budget includes substantial allocations for construction, staffing, marketing, and a contingency fund for unforeseen costs.
 Marketing: The marketing strategy is built around the hotel's proximity to city attractions, targeting both new and existing customers through digital
campaigns, partnerships with travel influencers, and corporate event packages.
Success Indicators:
 Pre-Opening Reservations: A key performance indicator set is the number of reservations made prior to the opening, driven by early bird offers and
special packages.
 ROI Milestones: Return on investment is projected within the first five years, with incremental goals set for each quarter post-launch.
Challenges:
 Regulatory Hurdles: Navigating city zoning laws and obtaining the necessary permits delayed the initial timeline, impacting the budget due to extended
financing costs.
 Construction Delays: Supply chain disruptions led to construction delays, necessitating budget reallocations to maintain the project timeline.

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Case Study 2: Culinary Ventures Launch
Background:
Culinary Ventures, a new entrant into the restaurant industry, plans to launch a gourmet restaurant chain that emphasizes sustainable and locally-sourced
ingredients. The start-up aims to capitalize on the growing trend of health-conscious dining combined with a luxurious ambiance.
Budgeting Approach:
 Start-up Costs: Forecasts include kitchen equipment, interior decor, hiring of top-tier chefs, initial inventory, and marketing.
 Funding Sources: The venture is funded through a combination of angel investors, a crowdfunding campaign, and a small business loan focusing on its
innovative concept.
 Break-even Analysis: A detailed break-even analysis dictates the pricing strategy and the expected turnover rate necessary to cover fixed and variable
costs.
Marketing Strategy:
 Branding: A strong branding effort focuses on the restaurant's unique selling proposition of gourmet yet healthy dining.
 Community Engagement: Hosting pop-up events and cooking classes to engage the community and build brand awareness before the official launch.
Success Indicators:
 Customer Acquisition Cost: Monitoring the cost of acquiring new customers through different marketing channels to optimize the marketing budget.
 Average Revenue Per Customer: Tracking revenue per customer to ensure menu pricing and customer spending align with financial projections.
Challenges:
 Vendor Reliability: Ensuring the reliability of local vendors to maintain a consistent supply of high-quality ingredients without interruptions.
 Market Penetration: Differentiating the brand in a competitive market, requiring innovative marketing techniques and exceptional customer service to
establish a loyal customer base.
** These case studies provide a context for students working on the Major Project to apply the concepts learned in a real-world setting, ensuring a deeper
understanding of the financial and strategic considerations involved in such business initiatives.

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 COMPREHENSIVE BUDGET WITH STRATEGIC INSIGHTS TEMPLATE
TASK 1:

Section Description Details / Example Data

 Room bookings
Revenue Streams List all expected revenue sources.  Events
 Dining services

 Marketing campaigns
Strategic Initiatives Initiatives to increase revenue.
 Partnerships

 Staff salaries
Costs Detailed list of expenses.  Utilities
 Marketing

 Supplier issues
Risk Analysis Potential risks for each cost centre.
 Staff turnover

Forecasting Project future revenues and expenses.  Use past data to project next quarter

Feedback Integration Adjustments made based on previous feedback.  Customer service training upgrades

 Increased competition
Market Analysis Summary of market trends affecting the budget.
 Seasonal fluctuations

This template was provided by eVersity for the purpose of this project. All entries and content are the responsibility of the student.

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 RISK MANAGEMENT AND DEVIATION RESPONSE PLAN TEMPLATE
TASK 2:

Risk Factor Potential Impact Mitigation Strategy Response Plan

Activate alternative suppliers, adjust

Supply Chain Disruptions Delays in service, increased costs Diversify suppliers, maintain inventory
service

Cost reduction strategies, focus on Promotional offers, cost savings

Market Downturn Decreased revenue
loyalty implementations

Regulatory Changes Increased compliance costs Stay informed, legal consultation Adapt operations, adjust budgets

Regular maintenance, backup Implement contingency plans, IT

Technological Failure Disruption of operations
systems support

Property damage, business Insurance coverage, emergency Evacuation procedures, property

Natural Disasters
interruption protocols restoration

This template was provided by eVersity for the purpose of this project. All entries and content are the responsibility of the student.

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 FINANCIAL STRATEGY PRESENTATION OUTLINE TEMPLATE – USE THIS TEMPLATE AND THEN PRESENT YOUR POWERPOINT
TASK 3:

Slide # Content Notes / Example Data

1 Introduction to Financial Strategy  Overview of the financial goals

 Environmental sustainability
2 Long-Term Sustainability Goals
 Profit margins

 Expand services
3 Revenue Growth Plan
 Enter new markets

 Lean operations
4 Cost Management Strategies
 Automation of services

 Financial buffers
5 Risk Management
 Investment diversification

 Best case
6 Scenario Planning
 Worst case scenarios

7 Conclusion & Next Steps  Summarize the strategy and immediate actions

This template was provided by eVersity for the purpose of this project. All entries and content are the responsibility of the student.

NOTE: This format can serve as a guide to help students systematically cover all necessary aspects for a robust, compliant project that aligns with academic
standards and provides practical insights for the industry.

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