Case | HBS Case Collection | June 2010

Playa Dorada Tennis Club: Expansion Strategy

by W. Earl Sasser Jr. and Brent Kazan

Abstract

Playa Dorada Beach & Resort in Boca Raton, Florida, faces a growing seasonal demand for tennis services. The number of guests is expected to double in the next few years, and while the tennis facilities are a popular and well-promoted amenity at the resort, court space is limited. The director of tennis operations analyzes court capacity, usage history, pricing, and other factors as he assembles a plan for expansion. He must also consider how his strategy affects other divisions of the Playa Dorada Corporation, including finance, operations, marketing, and sales. Can he transform the resort's tennis operations into a profit center? To prepare for case discussion, students complete a quantitative analysis of past and expected future usage of the tennis facilities and formulate a growth strategy.

Keywords: Service Operations; Planning; Price; Expansion; Tourism Industry; Accommodations Industry; Travel Industry; Florida;

Citation:

Sasser, W. Earl, Jr., and Brent Kazan. "Playa Dorada Tennis Club: Expansion Strategy." Harvard Business School Brief Case 104-221, June 2010.