Coursework Brief:Elliot's has become a global brand since its inception as a confectionarymanufacturer in the 19 century
Posted: Thu Apr 28, 2022 2:51 pm
Coursework Brief:Elliot's has become a global brand since its inception as a confectionarymanufacturer in the 19 century. The company began as a small scale sweetand chocolate manufacturer in York and followed a similar businessprogression path to its nearest rivals, Terry's pnd Rowntree's.Elliot's range of commercial interests have been diverse. At the peak of Elliot'sbusiness life in the 1950's it manufactured sweet and confectionary productsfrom its 12 acre factory site on the edge of the city. It also had extensiveinterest in the catering sector, owning 12 high quality tea/ coffee rooms acrossthe North of England, an outside catering business, contracts to providecatering at 3 racecourses, (race day catering plus event banquetingthroughout the year), a central bakery and a coffee roasting plant for its retailoutlets. The company also owned 500 terrace houses in close proximity to theconfectionery plant, which were purchased to provide affordable housing foremployees.The company started to fragment in the 1960's. The most significantdevelopment was the sale of the confectionary brand and manufacturingcapacity to an American conglomerate that wished to gain a foothold in theEuropean confectionery business. This transaction involved the sale of theproduct and brand names. It also included all manufacturing and distributionequipment to allow the purchasing company to continue to manufacture fromthe existing York factory. However, the sale did not include the factory land orbuildings, which the conglomerate agreed to lease on a 25-year contract.Released from confectionery manufacturing responsibilities and with an influxof capital from the sale of that part of the business, Elliot's board of directorslooked to expand the hospitality and retail portfolio. The directors consideredthat their existing retail range of traditional tea/coffee rooms and outsidecatering had become outdated. However, rather than addressing the needs ofthat division of the business they were left alone. Seven of the high street tea/coffee shop properties are owned outright by the company, the other five areoccupied on leasehold contracts.Instead the directors concentrated their capital in alternative areas of growth.The 1960's were a period of rapid expansion for roadside restaurants androadside hotels, which were dominated by the brands Little Chef andTrustHouse Forte. Elliot's board of directors duly ventured into the roadsidebusiness throughout the late 60's and 70's, acquiring in total 50 'Elliot's Diners'and 15 Elliot's Lodge' hotels. All of these properties and the land they occupy are owned by the company.1990 saw the expiry of the 25-year factory lease and the end of production atthe site. Manufacturing from this site had progressively declined as the leasingcompany had switched the production of brands to its other manufacturingbases. Elliot's were now left with a manufacturing site that was not attractive toother potential leaseholders. The site has rerained unused to this day. Whatwere grand buildings have now fallen into a state of disrepair, making thepotential for development for altemative use more capital intensive. Planningconsent has, however, been obtained to convert the factory into 150apartments. The planning consent also allows for 200 townhouses to be builtin the grounds. Interest has been expressed by a number of buildingdevelopment companies in options available to be involved in theredevelopment of the site.At the time of the new millennium, trends in the retail and hospitality businesshad changed. Roadside diners were no longer in vogue and the market forlodge hotels was becoming saturated. Food and accommodation servicesassociated with the Elliot's brands had becoming outdated, as had the physicalbuilding facilities. Again, the board of directors were faced with makingdecisions; to retreat from the business or to rebrand, refurbish and re-launchthe existing sites, and if so, which ones? The company failed to addressoptions for development choosing instead to keep all the units in operation,with minimal investment in maintenance, just sufficient to keep themoperational.In contrast, the board of directors chose to invest heavily in an alterativerecognised area of growth, the up market country house hotel and spa.The last 20 ears has seen the expansion of Elliot's Country Spa Hotels , Thecompany owns 25 of these hotels; a further 15 are leasehold properties. Asignificant amount of investment has been made in these properties. Somewere purchased or leased as existing hotels, most of which required capitalcost in bringing them to the Elliot's Country Spa Hotels high standards offacilities and décor. Others were purchased as country homes/ estates, whichrequired them to be reconfigured to provide hotel accommodation and guestservices. All of the properties required high levels of investment in the buildingof self contained spa facilities; each of which include a swimming pool, gym,treatment rooms, lounge, Jacuzzi, steam and salt steam room,The board of directors consider the move into country spa hotels to be alucrative one, so much so that they wish to expand rapidly by buying out one of there man competiors.,/with a pottaloo+so properties, This purchase wilmore than double the Elliot's hotel portfolio.The current directors are aware that the company has a legacy of pockets ofbusiness, each with trading and property portfolio implications; retail shops,bakery, coffee roasting plant, outside/ event catering, roadside restaurants androadside lodges, terrace house rentals, factory site grounds and buildings.Before progressing with further expansion plans into spa hotels the directorswish to rationalise the company's business activities. In particular, they wish toensure that future capital expenditure is funded adequately, either from capitalthat exists within the business already that may be raised from the propertyportfolio, and/or from the sale or investment in the most profitable divisions ofthe business.A Retail Division Manager has recently been appointed. They have raisedconcerns over how the Country Spa Hotels facilities are managed. Eachproperty has a general manager and a spa manager. Hotel managers areappointed for their hospitality managerial experience while spa managers havea health and fitness background. The Division Manager has observed that thespa managers are generally allowed to manage their facility with little supportfrom resources available in the hotel. For example, levels of cleanliness in thespas are poor whereas cleanliness in the hotels under the management ofspecialist housekeepers meet high standards. The Division Manager hasconcerns that the lack of attention paid to levels of cleanliness in the spas isoff-putting to members and guests and more worryingly that health safety andhygiene legislative requirements are not being met, placing staff and users ofthe facilities in danger and the company liable to prosecution.
Coursework Brief:
Elliot's has become a global brand since its inception as a confectionary
manufacturer in the 19 century. The company began as a small scale sweet
and chocolate manufacturer in York and followed a similar business
progression path to its nearest rivals, Terry's pnd Rowntree's.
Elliot's range of commercial interests have been diverse. At the peak of Elliot's
business life in the 1950's it manufactured sweet and confectionary products
from its 12 acre factory site on the edge of the city. It also had extensive
interest in the catering sector, owning 12 high quality tea/ coffee rooms across
the North of England, an outside catering business, contracts to provide
catering at 3 racecourses, (race day catering plus event banqueting
throughout the year), a central bakery and a coffee roasting plant for its retail
outlets. The company also owned 500 terrace houses in close proximity to the
confectionery plant, which were purchased to provide affordable housing for
employees.
The company started to fragment in the 1960's. The most significant
development was the sale of the confectionary brand and manufacturing
capacity to an American conglomerate that wished to gain a foothold in the
European confectionery business. This transaction involved the sale of the
product and brand names. It also included all manufacturing and distribution
equipment to allow the purchasing company to continue to manufacture from
the existing York factory. However, the sale did not include the factory land or
buildings, which the conglomerate agreed to lease on a 25-year contract.
Released from confectionery manufacturing responsibilities and with an influx
of capital from the sale of that part of the business, Elliot's board of directors
looked to expand the hospitality and retail portfolio. The directors considered
that their existing retail range of traditional tea/coffee rooms and outside
catering had become outdated. However, rather than addressing the needs of
that division of the business they were left alone. Seven of the high street tea/
coffee shop properties are owned outright by the company, the other five are
occupied on leasehold contracts.
Instead the directors concentrated their capital in alternative areas of growth.
The 1960's were a period of rapid expansion for roadside restaurants and
roadside hotels, which were dominated by the brands Little Chef and
TrustHouse Forte. Elliot's board of directors duly ventured into the roadside
business throughout the late 60's and 70's, acquiring in total 50 'Elliot's Diners'
and 15 Elliot's Lodge' hotels. All of these properties and the land they occupy are owned by the company.
1990 saw the expiry of the 25-year factory lease and the end of production at
the site. Manufacturing from this site had progressively declined as the leasing
company had switched the production of brands to its other manufacturing
bases. Elliot's were now left with a manufacturing site that was not attractive to
other potential leaseholders. The site has rerained unused to this day. What
were grand buildings have now fallen into a state of disrepair, making the
potential for development for altemative use more capital intensive. Planning
consent has, however, been obtained to convert the factory into 150
apartments. The planning consent also allows for 200 townhouses to be built
in the grounds. Interest has been expressed by a number of building
development companies in options available to be involved in the
redevelopment of the site.
At the time of the new millennium, trends in the retail and hospitality business
had changed. Roadside diners were no longer in vogue and the market for
lodge hotels was becoming saturated. Food and accommodation services
associated with the Elliot's brands had becoming outdated, as had the physical
building facilities. Again, the board of directors were faced with making
decisions; to retreat from the business or to rebrand, refurbish and re-launch
the existing sites, and if so, which ones? The company failed to address
options for development choosing instead to keep all the units in operation,
with minimal investment in maintenance, just sufficient to keep them
operational.
In contrast, the board of directors chose to invest heavily in an alterative
recognised area of growth, the up market country house hotel and spa.
The last 20 ears has seen the expansion of Elliot's Country Spa Hotels , The
company owns 25 of these hotels; a further 15 are leasehold properties. A
significant amount of investment has been made in these properties. Some
were purchased or leased as existing hotels, most of which required capital
cost in bringing them to the Elliot's Country Spa Hotels high standards of
facilities and décor. Others were purchased as country homes/ estates, which
required them to be reconfigured to provide hotel accommodation and guest
services. All of the properties required high levels of investment in the building
of self contained spa facilities; each of which include a swimming pool, gym,
treatment rooms, lounge, Jacuzzi, steam and salt steam room,
The board of directors consider the move into country spa hotels to be a
lucrative one, so much so that they wish to expand rapidly by buying out one of there man competiors.,/with a pottaloo+so properties, This purchase wil
more than double the Elliot's hotel portfolio.
The current directors are aware that the company has a legacy of pockets of
business, each with trading and property portfolio implications; retail shops,
bakery, coffee roasting plant, outside/ event catering, roadside restaurants and
roadside lodges, terrace house rentals, factory site grounds and buildings.
Before progressing with further expansion plans into spa hotels the directors
wish to rationalise the company's business activities. In particular, they wish to
ensure that future capital expenditure is funded adequately, either from capital
that exists within the business already that may be raised from the property
portfolio, and/or from the sale or investment in the most profitable divisions of
the business.
A Retail Division Manager has recently been appointed. They have raised
concerns over how the Country Spa Hotels facilities are managed. Each
property has a general manager and a spa manager. Hotel managers are
appointed for their hospitality managerial experience while spa managers have
a health and fitness background. The Division Manager has observed that the
spa managers are generally allowed to manage their facility with little support
from resources available in the hotel. For example, levels of cleanliness in the
spas are poor whereas cleanliness in the hotels under the management of
specialist housekeepers meet high standards. The Division Manager has
concerns that the lack of attention paid to levels of cleanliness in the spas is
off-putting to members and guests and more worryingly that health safety and
hygiene legislative requirements are not being met, placing staff and users of
the facilities in danger and the company liable to prosecution.
The way that hotel and spa managers are allowed to operate autonomousfrom one another is replicated throughout the retail division. Managers are notrequired to liaise with one another to share information on best practice and tocombine their purchasing potential. Instead, managers are allowed to sourceservices locally, resulting in an array of arrangements and varying levels ofconsistency and costs. The Retail Division Manager is extremely concernedabout the condition of the company's legacy retail and hospitality businessesthat have had minimal investment. These concerns have been brought to theattention of the board of directors, along with the recommendation thatconsultants should be commissioned to provide advice on the management ofthe Country Spa Hotels and legacy retail business assets.You have been appointed as a property portfolio investment consultant by theElliot's board of directors to advise them on options available to finance thepurchase of a further 50 country house hotels.the question is :You are required to prepare a report that will describe options for developingassets/ parts of the business or options to disposing of them, which shouldinclude the following:a) Describe the key considerations and components of an estates strategy.b) Outline your recommended strategy for the Group, explaining the reasoningbehind your proposals.In dealing with the case study you should:) State clearly any reasonable assumptions you feel necessary.li) Note that marks will be awarded on the basis of the relevance to theanswers to the case study.
The way that hotel and spa managers are allowed to operate autonomous
from one another is replicated throughout the retail division. Managers are not
required to liaise with one another to share information on best practice and to
combine their purchasing potential. Instead, managers are allowed to source
services locally, resulting in an array of arrangements and varying levels of
consistency and costs. The Retail Division Manager is extremely concerned
about the condition of the company's legacy retail and hospitality businesses
that have had minimal investment. These concerns have been brought to the
attention of the board of directors, along with the recommendation that
consultants should be commissioned to provide advice on the management of
the Country Spa Hotels and legacy retail business assets.
You have been appointed as a property portfolio investment consultant by the
Elliot's board of directors to advise them on options available to finance the
purchase of a further 50 country house hotels.
the question is :
You are required to prepare a report that will describe options for developing
assets/ parts of the business or options to disposing of them, which should
include the following:
a) Describe the key considerations and components of an estates strategy.
b) Outline your recommended strategy for the Group, explaining the reasoning
behind your proposals.
In dealing with the case study you should:
) State clearly any reasonable assumptions you feel necessary.
li) Note that marks will be awarded on the basis of the relevance to the
answers to the case study.
and not less then3000words
also the report should including yhe below contents:
1.executive summary
2.introduction
3.background( an overview of elliot's business developments
4.business strategy
4.1 strategic property protfolio management
4.2 strategic planning and strategies
4.3 competitive advantage
4.5 examine on the exidting property protfolio
4.6 elliot's corporate strategic objective
4.7 business strategy
5. rationalization of tge property portfolio
5.1?rationale for acquistion
5.2rationable for tge disaposal of legacy retail budiness
5.3mainrenance consiseration
5.4 Locational consideration
5.5. consideration of sustainability
5.6 fincial consideration
6.conclusion
7.reference
Coursework Brief:
Elliot's has become a global brand since its inception as a confectionary
manufacturer in the 19 century. The company began as a small scale sweet
and chocolate manufacturer in York and followed a similar business
progression path to its nearest rivals, Terry's pnd Rowntree's.
Elliot's range of commercial interests have been diverse. At the peak of Elliot's
business life in the 1950's it manufactured sweet and confectionary products
from its 12 acre factory site on the edge of the city. It also had extensive
interest in the catering sector, owning 12 high quality tea/ coffee rooms across
the North of England, an outside catering business, contracts to provide
catering at 3 racecourses, (race day catering plus event banqueting
throughout the year), a central bakery and a coffee roasting plant for its retail
outlets. The company also owned 500 terrace houses in close proximity to the
confectionery plant, which were purchased to provide affordable housing for
employees.
The company started to fragment in the 1960's. The most significant
development was the sale of the confectionary brand and manufacturing
capacity to an American conglomerate that wished to gain a foothold in the
European confectionery business. This transaction involved the sale of the
product and brand names. It also included all manufacturing and distribution
equipment to allow the purchasing company to continue to manufacture from
the existing York factory. However, the sale did not include the factory land or
buildings, which the conglomerate agreed to lease on a 25-year contract.
Released from confectionery manufacturing responsibilities and with an influx
of capital from the sale of that part of the business, Elliot's board of directors
looked to expand the hospitality and retail portfolio. The directors considered
that their existing retail range of traditional tea/coffee rooms and outside
catering had become outdated. However, rather than addressing the needs of
that division of the business they were left alone. Seven of the high street tea/
coffee shop properties are owned outright by the company, the other five are
occupied on leasehold contracts.
Instead the directors concentrated their capital in alternative areas of growth.
The 1960's were a period of rapid expansion for roadside restaurants and
roadside hotels, which were dominated by the brands Little Chef and
TrustHouse Forte. Elliot's board of directors duly ventured into the roadside
business throughout the late 60's and 70's, acquiring in total 50 'Elliot's Diners'
and 15 Elliot's Lodge' hotels. All of these properties and the land they occupy are owned by the company.
1990 saw the expiry of the 25-year factory lease and the end of production at
the site. Manufacturing from this site had progressively declined as the leasing
company had switched the production of brands to its other manufacturing
bases. Elliot's were now left with a manufacturing site that was not attractive to
other potential leaseholders. The site has rerained unused to this day. What
were grand buildings have now fallen into a state of disrepair, making the
potential for development for altemative use more capital intensive. Planning
consent has, however, been obtained to convert the factory into 150
apartments. The planning consent also allows for 200 townhouses to be built
in the grounds. Interest has been expressed by a number of building
development companies in options available to be involved in the
redevelopment of the site.
At the time of the new millennium, trends in the retail and hospitality business
had changed. Roadside diners were no longer in vogue and the market for
lodge hotels was becoming saturated. Food and accommodation services
associated with the Elliot's brands had becoming outdated, as had the physical
building facilities. Again, the board of directors were faced with making
decisions; to retreat from the business or to rebrand, refurbish and re-launch
the existing sites, and if so, which ones? The company failed to address
options for development choosing instead to keep all the units in operation,
with minimal investment in maintenance, just sufficient to keep them
operational.
In contrast, the board of directors chose to invest heavily in an alterative
recognised area of growth, the up market country house hotel and spa.
The last 20 ears has seen the expansion of Elliot's Country Spa Hotels , The
company owns 25 of these hotels; a further 15 are leasehold properties. A
significant amount of investment has been made in these properties. Some
were purchased or leased as existing hotels, most of which required capital
cost in bringing them to the Elliot's Country Spa Hotels high standards of
facilities and décor. Others were purchased as country homes/ estates, which
required them to be reconfigured to provide hotel accommodation and guest
services. All of the properties required high levels of investment in the building
of self contained spa facilities; each of which include a swimming pool, gym,
treatment rooms, lounge, Jacuzzi, steam and salt steam room,
The board of directors consider the move into country spa hotels to be a
lucrative one, so much so that they wish to expand rapidly by buying out one of there man competiors.,/with a pottaloo+so properties, This purchase wil
more than double the Elliot's hotel portfolio.
The current directors are aware that the company has a legacy of pockets of
business, each with trading and property portfolio implications; retail shops,
bakery, coffee roasting plant, outside/ event catering, roadside restaurants and
roadside lodges, terrace house rentals, factory site grounds and buildings.
Before progressing with further expansion plans into spa hotels the directors
wish to rationalise the company's business activities. In particular, they wish to
ensure that future capital expenditure is funded adequately, either from capital
that exists within the business already that may be raised from the property
portfolio, and/or from the sale or investment in the most profitable divisions of
the business.
A Retail Division Manager has recently been appointed. They have raised
concerns over how the Country Spa Hotels facilities are managed. Each
property has a general manager and a spa manager. Hotel managers are
appointed for their hospitality managerial experience while spa managers have
a health and fitness background. The Division Manager has observed that the
spa managers are generally allowed to manage their facility with little support
from resources available in the hotel. For example, levels of cleanliness in the
spas are poor whereas cleanliness in the hotels under the management of
specialist housekeepers meet high standards. The Division Manager has
concerns that the lack of attention paid to levels of cleanliness in the spas is
off-putting to members and guests and more worryingly that health safety and
hygiene legislative requirements are not being met, placing staff and users of
the facilities in danger and the company liable to prosecution.
The way that hotel and spa managers are allowed to operate autonomousfrom one another is replicated throughout the retail division. Managers are notrequired to liaise with one another to share information on best practice and tocombine their purchasing potential. Instead, managers are allowed to sourceservices locally, resulting in an array of arrangements and varying levels ofconsistency and costs. The Retail Division Manager is extremely concernedabout the condition of the company's legacy retail and hospitality businessesthat have had minimal investment. These concerns have been brought to theattention of the board of directors, along with the recommendation thatconsultants should be commissioned to provide advice on the management ofthe Country Spa Hotels and legacy retail business assets.You have been appointed as a property portfolio investment consultant by theElliot's board of directors to advise them on options available to finance thepurchase of a further 50 country house hotels.the question is :You are required to prepare a report that will describe options for developingassets/ parts of the business or options to disposing of them, which shouldinclude the following:a) Describe the key considerations and components of an estates strategy.b) Outline your recommended strategy for the Group, explaining the reasoningbehind your proposals.In dealing with the case study you should:) State clearly any reasonable assumptions you feel necessary.li) Note that marks will be awarded on the basis of the relevance to theanswers to the case study.
The way that hotel and spa managers are allowed to operate autonomous
from one another is replicated throughout the retail division. Managers are not
required to liaise with one another to share information on best practice and to
combine their purchasing potential. Instead, managers are allowed to source
services locally, resulting in an array of arrangements and varying levels of
consistency and costs. The Retail Division Manager is extremely concerned
about the condition of the company's legacy retail and hospitality businesses
that have had minimal investment. These concerns have been brought to the
attention of the board of directors, along with the recommendation that
consultants should be commissioned to provide advice on the management of
the Country Spa Hotels and legacy retail business assets.
You have been appointed as a property portfolio investment consultant by the
Elliot's board of directors to advise them on options available to finance the
purchase of a further 50 country house hotels.
the question is :
You are required to prepare a report that will describe options for developing
assets/ parts of the business or options to disposing of them, which should
include the following:
a) Describe the key considerations and components of an estates strategy.
b) Outline your recommended strategy for the Group, explaining the reasoning
behind your proposals.
In dealing with the case study you should:
) State clearly any reasonable assumptions you feel necessary.
li) Note that marks will be awarded on the basis of the relevance to the
answers to the case study.
and not less then3000words
also the report should including yhe below contents:
1.executive summary
2.introduction
3.background( an overview of elliot's business developments
4.business strategy
4.1 strategic property protfolio management
4.2 strategic planning and strategies
4.3 competitive advantage
4.5 examine on the exidting property protfolio
4.6 elliot's corporate strategic objective
4.7 business strategy
5. rationalization of tge property portfolio
5.1?rationale for acquistion
5.2rationable for tge disaposal of legacy retail budiness
5.3mainrenance consiseration
5.4 Locational consideration
5.5. consideration of sustainability
5.6 fincial consideration
6.conclusion
7.reference