Sloan A.C.T.

Spring Break 2000
Professor Michael S. Scott Morton

In March 2000, 23 Sloan students traveled to Costa Rica to work with Costa Rica Expeditions (CRE) , an award-winning eco-tourism company. During the day, students actively experienced some of Costa Rica's natural treasures: hiking around the Arenal volcano, rafting down the Pacuare River, and viewing wildlife at the Tortuguero National Park. In the evening, students met with top-level company executives and government officials to learn about the issues (e.g., political, economic, environmental, competitive) facing CRE and the eco-tourism industry. After the trip, students returned to Sloan to write an HBS-like strategy case about CRE and the business issues it faces. Currently, there are no HBS strategy cases on the eco-tourism industry or an eco-tourism company. Each student earned three pass/fail credits for this course. The remainder of this document provides a brief overview of the course's central focus, academic content, and trip itinerary.

Eco-tourism Industry

The Ecotourism Society, a non-profit organization in Vermont, defines ecotourism as "Responsible travel to natural areas that conserves the environment and improves the well-being of local people." Ecotourism is the most rapidly expanding sector of the tourism industry.

Costa Rica Expeditions

Founded in 1978 by Michael Kaye, Costa Rica Expeditions is a nature and adventure travel company. CRE owns and operates three wilderness lodges and employs the country's most qualified biologist, naturalist, and ornithologist guides. CRE strives to deliver "Legendary Service and Unforgettable Memories" while maintaining its status as the most progressive eco-tourism operator in Costa Rica. To learn more about CRE, visit (http://www.costaricaexpeditions.com).

Academic Content

Each student attended four lunchtime seminars before the trip to Costa Rica. On February 16, Professor Roberto Rigobon presented an overview of Costa Rica's economic status. Specifically, he discussed the general "health" of Costa Rica's economic system, highlighting the country's strong banking sector and low national debt compared to other Latin American countries.

On February 23, Professor Michael Scott Morton led a strategy case discussion of an HBS case entitled "Stone Container in Costa Rica" (case number 9-897-140). The case examines Stone Container's decision to establish a presence in Costa Rica in the face of environmental resistance from local citizens and Greenpeace. Stone Container is a Chicago-based producer of containerboard and other paper products.

On March 7, Irene Staehelin, Director of Cultural Survival, an indigenous peoples' advocacy organization in Cambridge, MA, presented an overview of the eco-tourism industry. Ms. Staehelin showed slides that highlighted both eco-tourism success stories and failures.

And on March 14, Raphael Calderon Jr. (whose father and grandfather were previous Presidents of Costa Rica) spoke about the Government's role in promoting eco-tourism. Mr. Calderon talked about his father's involvement with the Stone Container Company (mentioned above) and the evolution of environmental policies in Costa Rica.

To prepare for these lunchtime seminars, each student received a binder of course materials. These materials include: a map of Costa Rica, macroeconomic data on Costa Rica from IMF reports, the "Stone Container in Costa Rica" case, an eco-tourism fact sheet from The Ecotourism Society, and some excerpts from Martha Honey's "Ecotourism and Sustainable Development" book (1999).