SWOT analysis

 STRENGTHS

 

WEAKNESSES 

  • Uniqueness of location, high visibility of the hotel
  • Option to divide the project into two hotels for both standard and long term stays
  • Prague’s leading position within the CEE region
  • A new development on the banks of the Vltava River within the greater city centre
  • The centre is accessible by foot, by car or bus from the Czech Republic’s main motorways as well as by metro and other public transit
  • Excellent accessibility to the airport
  • The hotel’s own congress centre with adequate capacity to hold up to
  • The attractive combination of the river embankment with the functionality of the congress centre, allowing for the possibility of organizing large social events along Prague’s riverfront
  • Possible savings on fixed expenses by using economies of scale
  • Lower cost of construction when compared to hotel construction costs within the city centre
  • Economically vibrant business centres in the Zlatý Anděl locality
  • Availability of leisure activities with Prague’s first beachfront
  • Transportation to and from the hotel complex by water taxi
  • Competition with other 4 and 5 star category hotels
  • EUR, USD/CZK exchange rate fluctuations
                                                                                                       

 OPPORTUNITIES

THREATS

  • Planned investment in the surrounding area – Smichov Station (Smíchovské nádraží ) and Zlíchova
  • Continuous increase in ADR even during the economic crisis
  • The perception of Prague as an attractive tourist and business destination  
  • Establishing Prague as a highly attractive host city for conferences
  • Other 4 and 5 star category hotel projects are being planned
  • Decrease in tourism as a consequence of the economic crisis