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Assignment 2 March 2015

Assignment Front Sheet
Qualification

Unit number and title

Postgraduate Diploma in Strategic

Management and Leadership

Unit 12: Strategic Planning

Student Name

Assessor name
Dr.Narraidoo

Date issued

Completion date

Deadline

05.05.2015
Assignment title

25.05.2015
PESTELEC OF MEDINE LEISURE

Learner declaration

I certify that the work submitted for this assignment is my own and research sources are fully acknowledged.

Student signature:

Soobrayen Lincoln Gavyn

Date: 25.05.15

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POST GRADUATE DIPLOMA IN STRATEGIC

MANAGEMENT & LEADERSHIP
GROUP ASSIGNMENT
PESTELEC ANALYSIS ON MEDINE GROUP
LEISURE CLUSTER
Presented by:
Manoj Rambajan
Datta Ramyead
Cedric Etiennette
Gavyn Soobrayen
Jaleelah Nunuck
Christopher Li Nim Nok
May 2015

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PESTELEC ANALYSIS
MEDINE GROUP - LEISURE CLUSTER
Presented by:
Manoj Rambajan
Datta Ramyead
Cedric Etiennette
Gavyn Soobrayen
Jaleelah Nunuck
Christopher Li Nim Nok
May 2015

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MEDINE GROUP
Vision : "To be a unique lifestyle provider through integrated sustainable
development of property, leisure, agro-business and services."

Founded in 1911 as a sugar estate

Listed at the Stock Exchange of Mauritius,
with a market capitalisation of Rs 7 billion
A major player in the socio-economic
Masterplan 2005-2025 : Mr. Maurice Giraud development of Mauritius. It has taken an
Blue print of the visions and plans of West of
active role in shaping the western
Mauritius for the next 20 years
landscape of the island.

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MEDINE GROUP
2009 Rebranding

New Visions & Plans

Activities of Medine were restructured into three
distinct clusters:
Medine Property develops the property portfolio
of the company.
Medine Agriculture is injecting a new momentum
to the agricultural activities of the Group through a
modernisation and diversification programme.
Medine Leisure manages, operates and develops
the leisure activities of the Group, including the
Casela Nature and Leisure Park

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MEDINE GROUP
New Organigram to reflect the new visions and plans for the group

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MEDINE AGRICULTURE
100-years-old expertise in sugarcane cultivation and
milling

MEDINE SUGAR ESTATE

Medine owns 10626 hectares of land
Sugarcane cultivation : 4900 hectares
Sugar production : 42,839 tonnes
Area harvested : 3,392 hectares &Yield /hac: 89.7 tonnes
Workforce 1200
MEDINE SUGAR MILLING
Total Cane crushed : 385,000 tonnes & Extraction : 10.82%
White sugar produced 41,642 tonnes
2014 Power Purchasing Agreement with CEB
22 GWh electricity annually from bagasse
Investment project Rs 330 million
Mechanised & ISO 14001 certified

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MEDINE AGRICULTURE
Food Crops , Landscaping & Nursery

FOOD CROPS
Since 2002 Medine focuses on the production of better
quality vegetables that it markets through its brand Jardins de
Medine.
150 hac are dedicated for the cultivation of onions, lettuces,
tomatoes, carrots, potatoes, pumpkin, garlic, and ginger.
In the year 2014, 570 tonnes of vegetables were sold under
its Jardins de Medine brand for a total value of Rs 22.5 million.
Medine also produces very good quality fruits such as
pineapples, litchis, Pitayya and others
LANDSCAPING & NURSERY
Landscaping dept provides professional design landscaping
and gardening as well as maintenance for Medine internal
projects .
The Medine Nursery caters for the agricultural needs of both
the internal and external customers. 9 hectares of land are
under cultivation for the nursery.

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MEDINE PROPERTY
To position the western coast as the new live-work-play hub of Mauritius

IRS
Medine Master Plan : Set up in 2007 as the
property development arm of Medine Limited
Objective: To transform the century-old sugar
company into a major property player in
Mauritius.
Providing the framework for a diversified,
harmonious and sustainable property
development of 3,000 hectares of prime land on
Mauritius' west coast.
The main purpose behind the property projects is
to develop the region in a coherent way ensuring
a balance of residential, industrial, commercial,
educational, medical and recreational
developments.

COMMERCIAL
BUSINESS
EDUCATIONAL
LEISURE
RESIDENCIAL

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MEDINE LEISURE
Medine Leisure consists of the Tamarina Golf Club, Tamarina
Boutique Hotel and the well-known Casela World of Adventures

CASELA ADVENTURE PARK

The Park spreads over 14 hectares of lush green
which is now home to a big variety of fauna and
flora. Black Ebony tree takes centre-stage there!
Some 1,500 birds, a selection of wildcats, zebras,
giant tortoises, long-tailed monkeys, among other
species, can be watched on site.
An array of activities are offered like canyoning or
hiking Via Ferrata, double and triple ziplines,
adventurous cable bridges and Safari Jeep trips,
Horseback riding excursions, Lions & Cheetahs
adventures .
A great way to discover and unwind amidst
Natures best!
Medine Leisure welcomes more than 350,000
guests annually, across all its activities.

ZIPLINES

CANNOYING

SEGWAY

CANYON SWING

QUAD & BUGGY

BIG CAT

BIRDS

PHOTO SAFARI

TILAPIA FISHING

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MEDINE LEISURE
MARINA GOLF ESTATE
Marina is a world class 18 holes championship golf
course with its perfect sunny weather and ideal golf
environment with beautiful natural setting.
Tamarina Golf Club enjoys a strong membership
comprising of Villa Owners, Corporate Members and
Ordinary Members.
Tamarina Golf Academy has been specifically
created to enhance the learning environment while
incorporating the natural beauty of the surrounding
area.
The Golf Academy offers golf sessions for groups,
adults, kids or individual lessons with state-of theart technologies and videos.

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MEDINE LEISURE
TAMARINA BOUTIQUE HOTEL

Tamarina Golf Estate & Hotel is the perfect place for

an exceptional golf experience.
Tamarina Hotel is a unique golf hotel offering both
elegance and simplicity. This 4-stars Boutique-Hotel
of 50 rooms, next to the Tamarina Golf Estate, offers
a warm and serene atmosphere with an all-inclusive
golf concept
Le Dix-Neuf Restaurant
Overlooking the golf course, the Rempart River and
Tamarin Bay, Le Dix-Neuf harbours an elegant and
classy restaurant which has a unique panoramic
viewpoint on Tamarin and the luscious nature that
surrounds it. It offers an international cuisine with a
Mauritian touch catering for breakfast, lunch,
snacks and light meals.

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MEDINE LEISURE
PESTELEC ANALYSIS

PESTELEC : POLITICAL, ECONOMIC, SOCIAL, TECHNOLOGICAL,

ENVIRONMENTAL, LEGAL, ETHICAL & CSR

PESTELEC Analysis will scan Medine Leisure cluster

and see how the business model is being influenced
by external factors and see how is it in line with the
Mission and Vision of the Medine Group. Are the
objectives of the cluster being fulfilled?
The analysis will also look at the macro factors that
are impacting the cluster
General observations will be carried out to identify
areas of threats and opportunities.
The study will also propose course of actions
necessary to sustain development in the sector

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MEDINE LEISURE
PESTELEC ANALYSIS:
Leisure operates and develops the leisure
POLITICAL stability & conducive Medine
activities of the Group industry Casela nature park and
environment for business
its hotels. It is planning to develop several tourist
attractions and new hotels provided the environment is
conducive to same. Let us have a look at the political
climate.
The country is a democratic state with clear-cut
separation of Legislative, Executive and Judicial powers.
The Democratic regime provides for a stable and safe
business environment with established rule of law
The capitalist system (free market economy)
encourages private ownership of business as well as
private public partnership.
Sustained economic growth that oscillates between 3.5
to 5% annually. Per capita income about $ 10,000.

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MEDINE LEISURE
PESTELEC ANALYSIS:
POLITICAL stability & conducive
environment for business

Government is committed as business facilitator.

Appropriate legislations, agencies, policy measures and
incentives are provided to consolidate the various pillars of
the economy and aims at attracting foreign investment.
Foreign exchange control abolished in 1994. All banks free
to trade in all currencies. But Bank Lending rate considered
very high.
Uniform corporate tax of only 15% - Exemption from
custom and excise duties on imports of raw materials and
equipment.
Exemption of tax on dividends and free repatriation of
profit, dividends and capital
The Board of Investment (BOI) promotes and facilitates
investment in the country. It is the first point of contact for
investors exploring business opportunities in Mauritius and
the region. BOI also assists investors in the growth, nurturing
and diversification of their business

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MEDINE LEISURE
PESTELEC ANALYSIS:
POLITICAL stability & conducive
environment for business

MEDINE LEISURE
Government is committed to support the tourism industry
which is an important source of foreign revenues and provider
of employment. Some 50000 people are directly employed in
the sector. The industry accounts to about 15% share of the
GDP.
Government invests massively in the human resource
development and training to support the sector with quality
manpower. (Gender Equality).
Respect for all ethnic groups and the determination to
consolidate unity in diversity and promote Mauritius as a
rainbow nation, an important factor making up the uniqueness
of the Mauritian destination.
Government through the Ministry of Tourism and Leisure
participates and sponsors marketing campaigns to attract
tourists from traditional European market and spearhead
efforts to penetrate new markets particularly India and China.

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MEDINE LEISURE
PESTELEC ANALYSIS:
POLITICAL stability & conducive
environment for business

The upgrading of the airport, port and road infrastructures to

international norms and the opening of the sky action plan to
generate additional seats to fill available rooms in our
accommodation sector. Our hotels report an occupancy rate
of 60% to 80% during the year and at times lower. Tourist
arrival is seasonal with peak and low periods.
The policy is to position Mauritius as an upmarket
destination. Charter flights and touriste sac a dos not
encouraged.
Broadband connectivity and WIFI services still in
development stage and not adequate enough to cater to
emancipated customer needs. Cost considered to be on the
high side.
Property Developers are allowed to buy freehold land from
private parties or leasehold state land for Integrated Resort
Shemes ( IRS) and for hotels and resorts.

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MEDINE LEISURE
PESTELEC ANALYSIS:
POLITICAL stability & conducive
environment for business

The National Strategy for Development allows, in the wake of

the phasing out of the Sugar Protocol, more flexibility in the
conversion of agricultural lands for other development
purposes. About 20000 hectares of such lands are being
released including those on coastal areas.
Developers should provide for Environmental Impact
Assessment in the wake of strict Environmental
considerations
The climate and state of affairs as at now has as at now
proved to be investment friendly particularly in the hotel and
hospitality industry. The recent political change and latest
political decisions concerning BAI, Bramer Bank, Lottotech,
Racing, Betamax among others may send wrong signals. A
perception of insecurity may scare off investors as well as
tourists.

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MEDINE LEISURE
PESTELEC ANALYSIS:
ECONOMIC Free market

Mauritius Tourism Industry generated around Rs

44,304m (2014)with an increase in the tourist arrivals
as per CSO, a 4.6% increase.

Very strong banking & financial sector which offers

quality services to customers and businesses.

Foreign exchange control abolished in 1994. All banks

free to trade in all currencies

Uniform corporate tax of only 15% - Good attraction to

foreign investors.

Good air and ship transport service boosting the sector

Connectivity Broadband & Wifi services

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MEDINE LEISURE
PESTELEC ANALYSIS:
ECONOMIC Free market

Duty free island Shopping Malls Tourist arrivals very

sporadic & seasonal
Air access still not fully liberalized & Destination very
costly
Quality service v/s Labour costs
Bank Lending rate still very high
Communication quite high
Local market very restricted and small
Casela
Visitors Improvement
In Comparison to last year there has been an improvement
The number of tourist visitors increased to more than
156,000 from 125,000 the previous year.

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MEDINE LEISURE
PESTELEC ANALYSIS:
ECONOMIC Free market

Tamarina
Turnover
Tamarina Golf Clubs (TGC) turnover was higher than the previous year
Cost Control
Internal and budgeted Cost Control contributed to the improvement of
the Golf Club and Boutique compared to previous year
Occupancy
The Hotel achieve and occupancy rate as in previous year ( 70%)
THE GROUP
Cost Monitoring
Costs were closely monitored and helped to reduce the loss for the year
from Rs 25 million in the previous year to Rs 21 million in the year
under review
Turnover of Rs 427 millions,Rs 49 million higher than the previous year.

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MEDINE LEISURE
PESTELEC ANALYSIS:
SOCIAL WELFARE STATE

- Demographics Population of only 1.2 million

- Unemployment rate 7.8% - quite high with
important impact of social issues in the country
- Income distribution Wide disparity between haves
and haves not Often give rise to social turmoils
- Lifestyle changes Influence of foreign cultures and
styles Mauritian culture and folklores fading
- Attitudes towards work and leisure Absenteism
and low productivity often problematic
- Living conditions still appalling in rural areas with
great disparity in utilities and services
- Security problems is becoming a real issue with the
rate of crimes.
- Child prostitution and abuse
- Local Perception for fraud & corruption very high

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MEDINE LEISURE
PESTELEC ANALYSIS:
TECHNOLOGY DIGITAL ECONOMY

Mauritius, a cyber-island Nearly all sectors are

impacted by the technological drive.
Broadband connectivity SAFE, LION & EASY
Mauritius is well connected to the rest of the worldWhich represent a plus for marketing of available
services offered by Medine.
High quality and value-added services backed by
technological supports. Booking at the hotel as well
as all the administration of the cluster is done via
technological support
Highly educated & technology savvy young
population Pool of talents for the leisure cluster.

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MEDINE LEISURE
PESTELEC ANALYSIS:
TECHNOLOGY DIGITAL ECONOMY

Though local market quite small, Telecom operators

and ISP providers innovative services. Hotels &
leisure places are equipped with optical fibre & WiFi
Mismatch in education Universities not well
responding to market particularly in IT. Critical areas
are still in short of IT professionals.
Tariff still high hindrance to development & add to
costs of services offered. Destinations quite
expensive
E-commerce take-off still lagging behind.
Hope for better progress with the development of
Smart Cities to boost the west coast of Mauritius.

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MEDINE LEISURE
PESTELEC ANALYSIS:
ENVIRNMENT Eco-Friendly & sustainability

- Mauritius Environment consciousness gaining

importance. Pressure groups and NGOs very strong
- Business model & Projects need to be eco-friendly
& Sustainable E.g. Energy consumption, waste
disposal etc
- Corporate Social Responsibility protection of
environment projects still given priority along with
poverty alleviation.
- Identify eco-opportunities to market e.g. use rain
water or recycled water for golf court.
- Tourism saturation More & more pressure on local
resources
- Eco-Tourism gaining attraction both a boon and a
curse

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MEDINE LEISURE
PESTELEC ANALYSIS:
LEGAL Regulated eco-system

Mauritius has a good legal system

Laws & legislations are frequently updated to consider new

issues and adapt to changing environment

Tourism Authority has clear-cut roles and functions the

regulate the sector.

Ministry of Tourism, together with the various agencies

provide statutory support to the sector.

Ministry of Good Governance, ICAC, Equal opportunity

Commission, Local Authorities exerting strict control on
way of doing business.

Minimization of legal risk (in-house legal Counsel)

Provide advice on a daily basis

Companies Act 2001

According to the Auditors opinion the company kept a

proper accounting records

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MEDINE LEISURE
PESTELEC ANALYSIS:
LEGAL Regulated eco-system

Financial Reporting Act 2004

The disclosures are consistent with the Code of

Corporate Governance

Accounting Standards Amendments

IFRS and IAS amendments

Health and Safety

Medine will comply with the Occupational Safety

and Healthy Act 2005

Statement of Compliance

Section 75(3) of the financial Reporting Act

(Year ended 30 June 2014)

Employment Right Act 2008

Retirement Benefit Obligations

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MEDINE LEISURE
PESTELEC ANALYSIS:
ETHICS
OUR CORE VALUES :Customer Focus,
Innovation and Creativity, Responsibility,
Quality, Entrepreneurship,Dedication
&Proactivity

Medine has adopted a Code of Conduct supporting

their commitment to a policy of fair dealing,
honesty and integrity in the business
Customer confidentiality
Acceptance of Gift
Dealing with Customers, Suppliers
Loyalty
Employment Practices
Compliance and enforcement

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MEDINE LEISURE
PESTELEC ANALYSIS:
CORPORATE SOCIAL RESPONSIBILITY

CSR Medine- FMH

People and environment are at the heart of
Fondation Medine Horizon (FMH) corporate social
responsibility approach.
FMH is committed towards several aspects of the
social and environmental dimensions of CSR
FMH aims towards the society are as follows:
Alleviate poverty
Develop communities in the local economies where
we are present
Protecting the natural environment for future
generations.

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MEDINE LEISURE
PESTELEC ANALYSIS:
CORPORATE SOCIAL RESPONSIBILITY

FMH supports the following NGOs financially and in

the field:

Centre dAmitie Camp La paille

Les Amis de Zippy (Foundation Cardinal Jean Margeot)
Ecole Familiale de lOuest (EFO)
Centre dEveil, Riche Lieu

FHM forms part of the UN Global compact.

The UN Global Compact has 10 Principles in the
areas of Human Rights, Labour, the environment and
anti-corruption.

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MEDINE LEISURE
CONCLUSION &
RECOMMENDATIONS

Medine Group is very far-sighted and wants to join the

bandwagon of development taking place in Island.
To give a push to infrastructural development in the
west, Governments support to Medine has been
instrumental.
As per its Master Plan, the business strategy of Medine
is spread over 20 years. Its implementation is to be
monitored taking into consideration the fast changing
micro and macro environment.
The socio-economic environment coupled with the
political will gives Medine an exceptional opportunity
for its projects. The availability of land will no doubt
gives Medine the necessary bargaining power to lead
in the region.

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MEDINE LEISURE
CONCLUSION

Literacy rate in the west is comparatively very low and

standard of living is quite low as well. Any development
project in the region needs to adopt an integrated approach
where interests of inhabitants living the regions are at the
center.
Medine has much to do with its CSR in order to create a much
better conducive environment for its business model. The
community should be given an opportunity to be part and
parcel in development process taking place in their locality.
Public transport is a real problem in the West. Medine has
much to gain if the infrastructural development in the region
could be accompanied by corresponding development
particularly in transport facilities.
Medine is investing massively in the West whether it is in
agriculture, property and leisure. These are long term
integrated projects and success will be piecemeal over long
term.

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MEDINE LEISURE

THANK YOU!

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