Application of strategic framework and the balanced scorecard strategy map in order to develop a new strategic success positioning

Verucchi Lola

15637705

IST CANNES

RENM115LON

Application of strategic framework and the balanced scorecard strategy map in order to develop a new strategic success positioning.

Monday, May 11th , 2026

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Mister Martino Matijevic                                                                                                             Word :  3301

Executive summary :

This report analyses the strategic positioning of the hotel du Cap-Eden-Roc and proposes an evolution if its strategy to ensure long-term competitive advantage in a changing environment. The analysis highlights that the hotel benefits from strong assets, including brand image, heritage, location and service excellence, which constitute valuable and difficult-to-imitate resources. However, these advantages remain largely inherited and limit the organisation’s ability to adapt.

The luxury hospitality industry is evolving toward more personalised, experiential and sustainable expectations, creating a gap between the current positioning and market trends. The hotel operates within a highly competitive “red ocean”, where similar offerings already exist.

Therefore, the strategy is based on value innovation within an existing market, rather than the creation of a new market space. The Ansoff matrix supports this transformation through product and market development, while the balanced scorecard translates the strategy into operational objectives.

The report highlights risk such as brand dilution, operational complexity and imitation. Ultimately, success depends on the hotel’s ability to continuously renew its value proposition while preserving its identity.

Tables of content :

1. Introduction………………………………………………………………………………..4
2. Identification of strategic issue………………………………………………………5-6
3. Strategic framework 1 : Blue Ocean strategy…………………………………….6-7
4. Strategic framework 2 : Ansoff Matrix………………………………………………8-9
5. New strategic positioning……………………………………………………………..10
6. Balanced scorecard and strategy map…………………………………………..11-13
7. Conclusion………………………………………………………………………………..13
8. Recommendation……………………………………………………………………….14
9. References…………………………………………………………………………………15
10. Appendix……………………………………………………………………………………16-18

1. Introduction

The Hotel du Cap-Eden-Roc is an iconic establishment in luxury hospitality sector, internationally renowned for its history, its exceptional location and its positioning based on exclusivity and service excellence. Its model is based on an experiential and emotional value proposition, consistent with the definition of luxury developed by Kapferer and Bastien (2012) according to which perceived value is based primarily on image, heritage and authenticity.

The strategic analysis conducted as part of the first assignment revealed that the institution enjoys strong competitive aadvatages, particularly in terms of reputation, location and service quality. These elements constitute strategic resources that create value and are difficult to imitate, as Barney (1991) highlights in his theory of resources and capabilities. 

However, this same analysis also revealed cerrtain structural limitations, notably organizational rigidity and a heavy reliance on intangible assets such as brand image, making the model potentially vulnerable in an unstable environment.

Furthermore, the external environment of the luxury hotel industry is currently undergoing signifivant changes. Customer expectations are shifting toward more personalized, authentic and responsible experiences, particularly regarding  sustainability, as indicated by the sociocultural trends observed in the tourism industry. In this context, a strategy based solely on preserving the status quo appears insufficient in changing environments must adopt more adaptive, even proactive, strategies to maintain their long-term competitiveness (see the PESTEL in appendix 2)

The strategic analysis highlights a gap between the Hotel du Cap-Eden-Roc current positioning and changes in its operating environment. The current strategy, while effective in the short term, is more defensive in nature than focused on innovation and the creation of future value. In this context, the objective of this report is to propose a new strategic positioning that will enable the establishmnet to strengthen and sustain its competitive advantage. To achieve this, two theoretical frameworks will be utilized (the blue ocean strategy and the Ansoff matrix). This analysis will be complemented by the development of a balanced scorecard, which will translate the strategy into operational objectives, key performance indicators (KPIs) and measurable outcomes (OKRs).

1. Identification of the strategic issue

Analysis of the…. (Verucchi, 2026) highlights a central paradox in the positioning of the Hotel du Cap-Eden-Roc : its main factors for success are also its main limitations. Indeed, while its key resources like brand image, historical heritage and service excellence, enable it to maintain a dominant position in the luxury sector today, they can also hinder its ability to adapt to a rapidly changing environment.

From an internal perspective, the establishment’s organization appears highly structured, which is consistent with the demands of  high-end service. However, Mintzberg (1994) explains that highly formalized organzations tend to prioritize operational efficiency at the expense of strategic flexibility. This observation applies to the Cap-Eden-Roc, whose model is based on the standardization of excellence; in an unstable environment (ex: war in Ukraine or the Middle East, linked to high percentage of Russian and Middle Eastern customers), this rigidity can thus limit the capacity for innovation and adaptation (see the PESTEL in appendix 2)

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