Feasibility of Mega Spa Hotel and its Cash Flow in the Routakallio Area, Seinäjoki.

Abstract

Hotel industry and tourism business is the backbone of economy in most of the fast growing countries. Due to ever increasing competition in the market, hotel groups vie for customer appeal in an over saturated industry. This thesis investigates the feasibility and business opportunities of Mega Spa project in the Routakallio area near Seinäjoki, Finland. During the research emphasis is also given to the cash flow, which is crucial for the establishment of any business. Qualitative analysis of the official statistical data of tourism in Finland and the specific region of Seinäjoki found that there is significant evidence in the favor of development of Mega Spa Hotel project. The findings further reveal that the selected location is logistically very strong, natural beauty with attractive sceneries; first Spa hotel for the tourists of Routakallio area and higher tourism revenues of Finland every year clearly supports the development of the project. This is first study in this field and explores the area specific feasibility of Routakallio area for Mega Spa hotel project to enhance the tourism development in Seinäjoki region and in Finland. A long and detail study considering weather of Finland, Tax policy, labor law is found to be useful. However, this thesis is assumed to be useful in decision making in terms of future investment in the field of Spa hotel industry.