Tabia Nazari, Member of Insight Journalism

15th September 2021

Everyone has that perfect summer vacation in their mind, which includes: a few days in a fancy resort near the countryside, fun outdoor sports activities, blowing off some steam after the season of long hectic schedules, taking a break from the busy city life and spending some quality time with family and friends. Where will the majority of us go to fulfill these purposes? 

Obviously to a renowned resort! It must be located in a place where the surroundings give off rural vibes accompanied by a pleasant scenario that can nurture our mental health. In addition to that, the resort must provide comfortable accommodation at a reasonable price. 

Resorts that manage to meet most of the criteria are distinguished by the public. Hence, resort businesses have almost always been successful as most of the mentioned criteria are easy to manage. However, if an entrepreneur is considering this field of business they must be aware of the certain ups and downs that arise in this field; notably, how the global coronavirus pandemic affected the resort market and how some of these problems can be tackled. 

Through this article, we will briefly explain the condition of the resort businesses in the pandemic, the measures that were taken by the owners to avoid a big drop in profit and survive the competitive market of the resort business. Guided by Mr Mostofa Mahmud Arifee, Chairman of CHUTI Resort, Gazipur. Mr Arifee shares his experience in the resort business field, answers some of the most commonly asked questions and provides some words of advice for enthusiastic entrepreneurs out there who are considering getting involved in this field.

Firstly, when considering getting into a field of business, entrepreneurs are rather keen on getting to know about the major conflicts that they are more likely to face once they are in the process of growing their business. In the case of resort businesses, the most recent coronavirus pandemic serves to be one of the examples of the major conflicts in the resort market. In the year 2020 coronavirus swiftly surged worldwide with lockdowns, social distancing and travel bans being adopted by countries globally.

However, these measures were not implemented in Bangladesh immediately as many people could not adapt to these new changes; another reason is: Bangladesh being a country with a high population and having a lower-middle-income economy when the pandemic hit the country many people were losing jobs or getting their wages cut off which meant that there would be fewer customers for resort owners and hence the profit in resort business was in risk. 

Unavoidable circumstances like the pandemic are bound to cause significant damage to the annual profit yet there are some tactics to limit the damage afterwards.

 Mr Arifee, Chairman of CHUTI Resort mentioned in an interview that the tourism industry took the maximum damage in this pandemic; they could not generate revenue, he also mentions that they could not let go of the experienced employees and had to pay off their monthly salary.

Not only that, but resort owners also had to spend a large amount of monetary value to maintain their property yet the involvement of the pandemic has shaped their business strategies for the rest of the year. 

Here, Mr Arifee says that “A businessman has to come up with different strategies every time according to the type of circumstances they are dealing with. Adapting to a problematic circumstance and focusing on finding a solution to that problem is a businessman’s greatest skill. In this pandemic, most of the general population had to face a loss in their income range”. This reduction in income of the general public will also be the cause of fewer customers in the resort. Mr Arifee’s word of advice in combating this situation from his experience is that: reducing the rate that was being charged from customers and arranging different types of discounts and offers so that maximum people can experience their resort service; if the customer is satisfied they would not hesitate to return or suggest this resort to others they know. This way even if the gain of profit is less it will remain constant.

Secondly, does the government offer any aid in this time of crisis? To this Mr, Arifee responds by mentioning that the Government cannot provide support through resources and monetary values but the government has been providing great mental support for which he is thankful. The government also launched a fund but the demand is high so everyone will not get that aid but he still appreciates this gesture.

From this, we can conclude that relying on external sources is not the wisest choice and it is always more secure to have a backup business fund before starting a business in case things don’t go the way they were planned. Another important factor is: maintaining a positive relationship with shareholders and employees, the key is communication, so that unity is maintained during the time of crisis. So make sure you are choosing the right people to start a business with. 

Mr Arifee suggests reducing the extra service charge but paying employee’s usual amount of salary to keep them satisfied instead of reducing their salaries, keeping it due or reducing the number of employees because a reduced number of experienced employees can have adverse effects on the business. He also mentions that back when vaccines and antiviral drugs were yet to be approved for coronavirus, and Bangladesh declared lockdown on March 25; many of the educational institutions, businesses and non-essential organizations were closed. The pandemic hampered millions of people’s livelihoods and income sources by reducing employment opportunities as most of the companies stopped their recruitment process to stop their operational costs. Resort owners were in a state of confusion nevertheless Mr Arifee refused to panic and tackled the condition logically. Hence, his suggestion is to think logically; finding out and implementing new strategies instead of panicking.

Apart from the pandemic situation, the most challenging part of the resort market is the intense competition. To be well distinguished by the public, resort owners have to keep certain factors in their minds. This includes a visually appealing interior and exterior design, located in a serene environment full of greenery that can entertain customers, encourage children’s mental growth and serve a break from the chaotic urban life. 

There are only a few renowned tourist spots in Bangladesh. Namely, Cox’s Bazar, Rangamati, St Martin, Bandarban and Sunderban but since most of the population of the country resides in the capital city Dhaka, CHUTI resort was conveniently constructed in Dhaka, Gazipur, located near the more rural area. The last factor is good and friendly service. These are some of the additional services offered by CHUTI resort to ensure customer’s safety during this Pandemic: sanitizing hands and body, cleaning the dining area and accommodations more frequently, ensuring hygiene among employees, strictly enforcing the rule of wearing masks within most of the property and putting up dustbins in corridors for the disposal of used masks and tissues. All the mentioned factors add up to customer satisfaction and in future will contribute to gaining more referral customers and popularity amongst the other competitors in the industry. The main objective of CHUTI is to fulfil customers’ necessities while gaining a fair profit.

So is resort business the right choice for you? Are you capable enough to deal with the conflicts that may arise in this field? Well, that varies from person to person. However, resort businesses will certainly stay on the shelf of successful businesses for many years to come.