1. Roger Williams established Imperial Hotel in 1906 at Mombasa, Kenya.
2. By 1920, the seaside hotel became very famous.
3. The hotel was an attractive 200-room property with a private beach and easy access to Mombasa Airport.
4. The hotel was very reputed and has a positive corporate image.
5. Grandiose (Magnificent) Architecture, high quality service, (elegant Décor) sophisticated designs and style.
6. This hotel was …show more content…
E.g. Agriculture, fishing, mining, forestry and extraction.
Market Opportunity:A market analysis studies the attractiveness and the dynamics of a special market within a special industry.
Earlier Roger made good money in primary sector. Now he wants to use this money in some other industry (market opportunity). Means he wants to “Diversify his Investments”.
Diversify Investments:In finance, diversification means reducing risk by investing in a variety of business.
Now that, Roger wants to diversify earnings of primary sector and invest it in a hotel business.
Financial Problems: It is when a business finds difficulty in paying off bills.
Cash Flow Problems: When a business is not able to generate sufficient working capital to pay their employees, suppliers, financiers and landlords.
Causes of Cash flow problems: TB pg 325
Liquidity Management: (working Capital) The business must successfully manage its current assets and current liabilities.
Roger started the hotel as a sole trader.
Sole Trader:A sole trader is an individual who owns his/her personal business.
Roger sold its business, and then on the Imperial was bought and sold for several times.
Global Properties, an international investment group, set up another PLC and purchased The Imperial Hotel under it.
Private Limited Company:
1. It is a company that cannot raise share capital (money) from the general public.