Case Analysis: Bear Creek Golf Range

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Case Analysis: Bear Creek Golf Range Introduction & Situation Analysis History and Background Two PGA professionals created Bear Creek Golf Range as a golf range that caters to serious golfers around the Dallas/Ft. Worth area. Dan Shay is a retired golf professional with a fairly successful career and a growing reputation as a knowledgeable PGA Class A golf instructor. George Patton, Dan’s business partner is a reputed golfer who is still actively on PGA tour. Both of them wanted to invest part of their career savings in a business venture. They choose to start the Bear Creek Golf Range, over settling as golf pros in private clubs because of the high earning potentials of owning a business. Their background in golf, the growth of the Dallas/Ft. Worth golfing community and the excellent weather conditions for golf in that area helped the partners make their decision to start this business venture. The Bear Creek Golf Range was envisioned to be “the professional golfing center run by professionals”. The $40 billion national golfing market was growing at 5% a year. The Dallas/Fort Worth area had a higher growth than the national rate due to the growing metropolis and favorable weather. There was a 15% increase in the number of beginner golfers (since 1980). A twenty-two acre and was purchased adjacent to Route 183, the connecting highway between Dallas and Fort Worth. The land for Bear Creek Golf Range was located in an area that will include the larger suburbs of the metropolitan Dallas/Fort Worth. The estimated range for customers was ten-mile radius, which had a population of 777,082 and already had fifteen golf courses, and four golf ranges. The plan for Bear Creek Golf Range was created with the vision of attracting serious professional golfers. The facilities included a first-class driving area, twenty-nine hitting areas, six

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