Viril Lodging House: You dont Know Me

I.
II.
III.
IV.

Time Context: present

Viewpoint: Mr. Virgilio Ilagan, a business management graduate
Statement of Problem: How will Mr. Ilagan promote his business to increase its
market share?
Statement of Objectives
Long Term:

1. To increase his market share

2. To expand his business
Short Term:
1. To increase his profit
2. To make his lodging house known in Aurora
V. Areas Of Consideration/SWOT Analysis
Strengths

Weaknesses

1. The lodging house is located in the

1. Lack of services offered.

towns business district.

2. Its location also is accessible.
3. The lodging house is composed of
air-conditioned rooms.
4. It can also accommodate three
persons per room.
5. It is also affordable with a price of
P350 per day.
6. The
owner

is

business

management graduate.
7. The business operates on a 24-hour
basis.
Opportunities
Threats
1. Aurora will be more active in some
1. Two of his competitors are also in
economic endeavors.
2. A port is planned to be operated

the same district.

2. The remaining

four

of

his

soon in Dingalan.
3. ICC, a telecommunications firm, has
already put up its facilities in Baler.
4. Aurora, Baler has high potential as

competitors are located near the

beach.
3. Most of the lodging houses serve
food and provide laundry services

a tourist destination with its white

sand

beaches

and

fantastic

waterfalls.
5. The business is located in Baler

on request.
4. One has a disco pad where clients
from other towns can check in
anytime.

which is the capital town and center

of trade and entertainment.
VI.
Alternative Courses of Action:
1. Advertising which includes television, radio, newspapers, magazines, billboards,
2.
3.
4.
5.
VII.

public transportation, catalogs, handouts, leaflets and social networking sites.

Personal Selling
Publicity
Sales Promotion
Word of mouth
Analysis of Alternatives
ACA #1
Advantages
1. Can

reach large

Disadvantages
numbers of

people in a short period of time.

2. You can convey your message to

1. Very Expensive.
2. Information might be limited.
3. Message is temporary, and may
require multiple exposures for the

your target market using a highad to rise above the clutter.

quality medium.
3. It offers the ability to convey your
message with sight, sound and
motion.
ACA #2

Advantages

Disadvantages

1. You can convey more information.

2. Personal selling has a greater

1. You

cannot

customers

reach

as

as

quickly

many
through

impact on buyers.
personal sales.
2. Personal selling is also expensive,
especially when considering the
salesperson's salary, commission,
bonus and travel time.
ACA #3
Advantages

Disadvantages

1. Low-cost or sometimes it will

1. Lack of control over how your

typically cost nothing.

2. Publicity from non-affiliated parties

releases will be used.

2. Frustration
over
the

low

can often seem more credible in

percentage of releases that are

the eyes of potential customers.

taken up by the media.

ACA #4
Advantages
1. When

Disadvantages
sales

promotions

are

1. It

can

create

message

offered for a limited time, it

miscommunication to customers if

creates

there

urgency

among

the

is

discrepancy

between

customers because they have to

what is published and the real

act before the promotion expires.

2. For the business it means that

offer.
2. It can create price sensitivity

stocks are replenished regularly

among customers, they purchase

with items that have recently been

only when there is a sale rather

made.

It

also

encourages

than buying it at a regular price.

distributors to buy more of the

items and ensure that they always
have adequate supplies.
ACA #5
Advantages

Disadvantages

1. Buyers tend to trust someone who

1. Spreads slowly.
2. Limited in the number of potential

gives them a referral because

clients you can market to in a
they assume the person was
happy

with

the

services

or

products, and is unbiased.

2. Customers
who
purchase

given period.
3. It's
virtually

impossible

for

business owners to track every

aspect

of

word-of-mouth

products or services based on a

referral are more likely to buy

marketing.
4. Customer might tell others about

more than people who find your

a bad experience they have had

company.
3. Inexpensive marketing tool.
4. Helps build positive feelings about

with

your

business.

your products and services, and

that helps build your companys
brand.
Recommendation:

VIII.

We recommend alternative course of action # 1 because we believe that this is

the most applicable for a small business like the viril lodging house. It can reach
many customers in a small period of time.
IX.

Conclusion/ Implementation Program

Long Term:
1. Place print ads in magazines, newspapers and trade journals.
2. Create a television and radio commercial.
3. Create a billboard.
Short Term:
1.
2.
3.
4.
X.
1.
2.
3.

Create a website for the business.

Create a facebook page.
Create blogs.
Distribute flyers, leaflets, and catalogs.
Management Lessons learned from the case
The importance of promotion for a small business.
The different methods used in promoting a business.
Choosing the applicable promotional method for a kind of business is important.