Growth Strategies for Egelund Slot

Kaja Byskov & David Hindberg

Student thesis: Master thesis

Abstract

The vast majority of all companies will at some point in their life cycle experience a period of time, where sales or profits are decreasing. This can either be caused by internal factors or external factors. In a critical situation, it is valuable for the company to have a strategy for future growth. This is the case for Egelund Slot, a conference center, located in the northern part of Zealand in Denmark. During the financial crisis, Egelund Slot experienced first-hand how much impact the crisis had on the Danish conference industry. However, Egelund Slot managed to get through the crisis, still the crisis left its marks on the industry. During the crisis, several companies choose the possibility of hosting in-house conferences, whilst some companies completely cut expenses, like conferences, out of their budget. At the moment, Egelund Slot is doing great and are managing to maintain market share. However, external factors can quickly turn the situation around and therefore Egelund Slot would like to learn more regarding their future options. The purpose of this thesis is to look at how Egelund Slot can maintain market share while still ensuring a potential growth in the future. The problem statement will be explored using Ansoff’s four growth strategies, market penetration, market development, product development and diversification. Moreover, the thesis will create a better understanding of how a company can use different growth strategies in practice. The thesis starts off by creating an internal view of Egelund Slot. Thereafter the four growth strategies are looked into. The thesis consists primarily on qualitative date provided by Egelund Slot and its customers. For the purpose of this thesis, several in-depth interviews have been held, in order to collect primary data. This data is then supplemented with secondary data as well. In the end, it is concluded that Egelund Slot should focus mainly on the growth strategy market penetration, since this strategy could be easily implementable and is found suitable for them. Moreover, it is recommended that Egelund Slot should implement a product development as well. A mix of these two strategies would create both long-term and short-term growth and hereby ensuring Egelund Slot a potential growth in the future.

EducationsMSc in International Business, (Graduate Programme) Final Thesis
LanguageEnglish
Publication date2019
Number of pages135