Group Project MKTG 150 – Case 13: The Royal Dining Membership Program Dilemma | Download for quality grades |

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1) If you were in Erica Liu`s shoes, what would you present to the executive committee? Answer: If I were in Erica Liu`s shoes I would present the committee with a constructed report that shows h... ow the program is profitable to the company`s bottom line along with addressing issues related to customers breaking rules. When there was a shift in the hotel’s ownership Hong Kong Grand was facing major problems related to restaurants within being almost empty. When the Hong Kong Grand launched the program as a way to combat these issues it was a major hit and sold almost 1000 memberships within the first year. As well as informing the committee that after knowing about the discounted rates the hotel had to offer, the locals saw it as a chance to dine and welcome it. Weaknesses in the program includes members constantly trying to find loopholes to outsmart the program`s rules to dine with a much more discounted rate than they would in normal circumstances. Also informing the committee about the server’s negative attitude as a result of RD members behaving in an unscrupulous manner which can then result in loss of brand image. To combat the issue of members breaking rules the committee should do thorough analysis on the rules and make changes to them accordingly which will remove majority of the confusion in the rules. For example, clearly stating in the program guidelines that only their children below a certain age range can eat for free as well as creating a program to help employees cope with stress. 2) As Erica Liu, what analysis would you run to assess the financial performance of the Royal Dining membership program? [Show More]

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