Featured case:
Monte-Carlo Société des Bains de Mer (A and B)

Share this page:
The case

Who – the protagonist

Monte-Carlo, the wealthy and luxurious area of the Principality of Monaco, created by the Monte-Carlo Société des Bains de Mer (MC SBM) in 1863.

Ever since, the MC SBM continued to own and operate the most iconic and luxurious establishments and tourism assets in the Principality, becoming synonymous with the “Great Art of Living” in all its forms: gaming, hospitality, shopping, fine cuisine and entertainment.

What?

Case B focuses specifically on how the Principality of Monaco, and its various actors – the Princely Government, the MC SBM, the port authority, the yachting sector - continuously and cooperatively redefined and recreated the luxury service ecosystem which has been at the core of the Principality's ongoing attractiveness and success.

Why?

Despite the success of Monte-Carlo over all these years, are competitors such as Dubai catching up?

In early 2019, HSH Prince Albert II inaugurated the One Monte-Carlo district, featuring a unique luxury shopping promenade and outstanding residences in a newly created pedestrian zone, all intended to reinforce the core pillars of gaming and hospitality. But will this be enough to rival the ‘anything you want’ 24/7 luxury services now available in cities like London and Singapore to attract the world’s UHNWIs and HNWIs?

Where?

The Principality of Monaco.

When?

From 1863 till 2019.

Key quote

“I feel sure that One Monte-Carlo will be a key driver in the development of our core activities – gaming, hospitality and fine dining. Not only through the residents of One Monte-Carlo, but also and above all, as a result of the valuable contribution it will make in securing Monaco’s position as one of the most sought-after destinations for all lovers of gaming and l’art de vivre.” – Jean-Luc Biamonti, CEO, Monte-Carlo Société des Bains de Mer.

What next?

What will it take to maintain Monaco’s, and Monte-Carlo's, pre-eminent position as the 'billionaires' playground' into the 21st century as the profiles, principles and values of the world’s Ultra High Net Worth Individuals (UHNWIs) and billionaires change at an unprecedented pace?

 
Interested in finding out more?
Download

Download the case and teaching note

Educators can login to view a free educator preview copy of this case and its teaching note.

Monte-Carlo Société des Bains de Mer, Case (A): Creating the Most Luxurious Resort in the World
Ref 520-0005-1

Monte-Carlo Société des Bains de Mer, Case (B): Creating a New and Integrated Luxury Experience
Ref 520-0005-1B

Teaching note
Ref 520-0005-8

The author

author

Marika Taishoff

Marika discusses why she produced a case series, students’ familiarity with the subject and what she would have done differently.

Case series

Marika said: “In terms of ‘characters’, these cases feature two, key organisational ‘protagonists’ operating over several generations. Regarding the ‘plot’ and underlying challenges, the case series seeks to demonstrate the evolution of an entity, thanks to the protagonists and, later, other stakeholders, from one of the first luxury destinations in the world, to become an integrated luxury service ecosystem.

“Underscoring both is the theme of continuous innovation and even ‘creative destruction’, as value propositions and business models built around enhancing the customer experience and journey in Monte-Carlo, were continuously and seamlessly adapted to new customers, trends, and competition, while always maintaining the core heritage of what Monte-Carlo represented.

“This is the essence of successful management in the luxury sphere: remaining true to heritage, while also becoming relevant, if not indispensable, to new generations and profiles.

“While trying to combine all of these factors into a single case would have made it unwieldy, the subjects do lend themselves beautifully to a series, especially since each of the cases is self-standing and can be taught independently of the other. However, the underlying learnings and value emerge when they are used together.”

Familiarity with the subject.jpgFamiliarity with the subject

Marika continued: “I have been teaching these cases in the MBA and Masters in Luxury programs at the International University of Monaco, where students are at least peripherally familiar with what Monaco is, and what it stands for in the popular imagination. In other words: luxury, not in terms of bling-bling branding, but rather elegance, beauty, glamour, well-being, excitement, and enchantment, along with a very efficient operational infrastructure to keep it all going.

“In the teaching note I suggest that instructors may want to use videos from the Monte-Carlo Société des Bains de Mer (SBM) and other sources, readily available on YouTube, for instance, to introduce students to the ‘dream’, ‘enchantment’, and ‘surprise’ elements that Monaco and its key stakeholders have created and continue to cultivate.”

More to come

Marika concluded: “I could have incorporated a more rigorous research and longitudinal approach, examining the shifts in customer profiles and demographics over time, especially in Case B.

“This could have been used to illustrate how not just the SBM, but also other key stakeholders in the Principality, both private and public institutions, have adapted to and accommodated those shifts, such as the emergence of Russian and Chinese billionaires and their potential importance to the Principality. These shifts are just hinted at in the case, and instructors could ask students to research and identify what those demographic shifts have been, and how the Principality has adapted to them.

“Together with some colleagues from universities in Austria and Finland, I am currently working on an academic article examining these shifts, and in particular how the luxury service ecosystem, which characterises Monaco, has long managed to accommodate such customer shifts in a mutually beneficial way.”

Importance of the teaching note

Marika explained: “The target of the teaching note is to assist potential instructors to have a straightforward understanding of the case, to check the user compatibility, and to have a clear picture of how to teach this case. It’s important to manage the balance between conciseness and informativeness.”

About the author

Marika Taishoff is Director of the MBA Program: Luxury; Entrepreneurship; and Wealth Management at the International University of Monaco.
e mtaishoff@inseec.com.

Marika would like to thank Mr. Axel Hoppenot, Executive Vice President of Sales & Marketing, Monte-Carlo Société des Bains de Mer, for having so generously shared his knowledge and insights in the creation of this case series.

 

View a full list of featured cases