The Glacier Inn was established in Northern Minnesota after the owner and her partners visited Quebec’s Ice House. They were convinced a similar styled hotel would be popular with Americans and Canadians. The owner and partners invested all their life savings onto the project and secured a three-year loan from the government. They purchased a plot of land that bordered a river that would provide the hotel’s main construction material of ice. The vision statement of the hotel was to be an ice hotel of global renown, where innovative and unique offerings provide an unmatched value, an unrivaled experience and total satisfaction for our guests. The hotel consisted of 28 rooms the first year all made from ice, and included an art gallery for traveling visitors could visit for free. The Glacier Inn first opened in January, but uses mother nature to dictate the …show more content…
There are three key areas an organization has to focus on: revenue growth, productivity and asset utilization. Step two helps to determinate which of these strategies needs most effort and activity. Revenue growth is important for any organization. Some companies reduce prices and increase volume and turnover to grow revenue, others have price premiums for their newest products. Companies that focus on productivity want to optimize the variable cost structure of the organization. They may achieve it by reducing costs and offering very competitive prices. The asset utilization optimizes the fixed cost structure of an organization. It means that if a company invests heavily it has to get the most return of investment. The Glacier Inn has to focus primarily on generating revenues that will involve financial strategies as The Glacier Inn is a product leadership. It could invest in build additional capacity and infrastructure to add revenue. Hotel rooms and unique ice features will make the guests be willing to pay a premium