ANBT Hotel

ANBT  Hotel Case Study 

Introduction :

The General manager of ANBT Hotel has ordered for the preparation of a team of vendors ( a new team of vendors) for the new order contract of the next five years for the development and the preparation of strategic policy implementation of alcoholic and non alcoholic beverages for a period of the next five years.

Topic for Discussion :

To prepare a new list of potential vendors for the supply of alcoholic or non alcoholic beverages for ANBT Hotel.

The Strategy Involved :

The proper type of a planned strategy for the development and the implementation of the different types of the suppliers for the development and the distribution of contract orders for the new alcoholic and non alcoholic beverage suppliers for the development of a new vendor for the ANBT Hotel may lead to the development and the formulation of different types of strategies.

ANBT Hotel

Steps in the Development of strategies :

The first step deals with the development of a team of people who can be good in interviews and surveys of a good number of vendors in this concerned field.

Step 1 : Conduction of informal interviews to select the potential candidates among the vast crowd of vendors or suppliers.

Step 2 : Negotiation with price and other formalities that may take place in such a way that it may turn out to be a successful venture for both the parties in the long run.

Step 3 : Formulation of a Legal agreement for both the parties so that they may be able to follow and abide by certain legal principles in the concerned agreements.

Step 4 : Negotiation in terms of Financial aspects and a final draft of the agreement to be prepared by the concerned hotel authorities.

Development of Business Negotiations :

Communication :

Depending on the different types of the communication strategies we can ensure the development of different types of business negotiations for the implementation of special offers to attract the vendors for offering their supplies to the concerned Hotel.

Offers :

Some of the offers may include :

  • A perfect negotiation in the financial matters and time of credit repair. It is important because most of the people are interested in a mutually beneficial agreement or rather in an agreement which is of long term and secured money.
  • To provide the vendors the assurance of proper payment , the best in the industry within a stipulated time period ( that will be mutually settled by both the parties) and also with other additional fringe benefits that will make the offer look more lucrative.
  • To provide with free facilities of special fringe benefits from the Hotel if the supplier or the vendor provides quality materials for a considerable period of time, in an honest and efficient manner.

Further Discussions :

Organization Structure :

The company has twelve board of directors, which includes the chairman, independent, executive and non-executive board of directors. It is noteworthy to state that independent and non-executive board of directors form the majority in the board of directors. This is a positive development in the light of best corporate governance practices.

Further, there are six committees that oversee operations in their respective domains. Prominent among these are Audit committee, finance committee and the risk management committee

Risk factors  :

Raw material

The availability of raw material. The primary raw material of the cement company is the limestone. Although, the company has huge reserves that are granted through the lease. The lease is expected to expire in 2030 or 50 years after the last renewal, whichever is later.


Currently the industry is facing overcapacity as the supply far exceeds the demand. However, the experts are of the view that such condition will not remain the same in coming years. It is projected that the future demand would far outstrip the present supply.

Regulatory and compliance

The company is headquartered in the country of evolving regulatory framework. Any non-compliancy would increase the company’s reputational risk and thus have a potency to impact its operations and sales. Therefore, in order to lessen such risk the company has implemented adequate measures in the form of periodic review mechanisms so that the company remains in compliance with the requisite prevailing rules and regulations.

Financial risks

The company is exposed to the financial risks in the form of interest rate risks, foreign exchange risks and other risks such as risk of change in the price of commodities. However, in order to mitigate these risks, the company has adopted the best practices of the financial markets and regulations.

Agreement :

A valid type of formal agreement is made between the different types of suppliers and vendors, a copy of the agreement is attached in the appendix.

Report Format ;

A specific type of report format for the monitoring and control of the concerned activities will be developed top keep a track of the different types of the activities that are being performed by the vendors and the different types of responses that we are getting in regards to the materials being supplied by them and the corrective actions being taken against it.


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Appendix :

The Legar agreement of Vendorship is being Formed between the Two Partiesnamely, by (A) M/S …………….. represented by Mr.Abul Kalam Azad, P.O. Box : , Australia, as the First party , and (B) By Mr. ……..of the ANBT Hotel, herein called the Second Party.

Object :

The contract is being made on account of the Legal form of vendorship agreement of address……..of Victoria, Australia..

Duration of the Contract :

The First party agrees to form a contract with the  second Party and The Second party will be liable to abide by the rules and regulations of the contract for a period of 5 years ( if not terminated due to unavoidable circumstances).

The Amount:

The second Party pays a amount of the invoices raised per month, (Australian dollars…..), to the First Party and the monthly invoices will be cleared by the 10th to 15th of every calender month.

Format :

Legal Format.

Decleration of Acceptance :

The signing of the agreement is considered to be a part of the explicit consent and approval of the increase of the 2M party. The agreement is being framed with the Legal commitments of the Civil Rules as per codified by the Government of the country of Australia.


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