...INTERNATIONAL STRATEGIC MANAGEMENT: Strategic management for hotel industry CANDY 10182133m Lecturer: Paula Tomsett I-Shou University Contents ABSTRACT 3 INTRODUCTION 4 RELEVANT THEORY 4 Strategic management 4 Globalization 5 IMPLICATIONS FOR INTERNATIONAL STRATEGIC MANAGEMENT 5 The cost of land ownership 6 Costs of funding the projects 6 Official procedure approval 6 Human resource matter 6 The speed of technology development 7 Infrustructure and security matters 7 Strong competitors 7 CONCLUSION 8 REFERENCES 9 ABSTRACT Hotel industry has been chaos period in recent years. What makes a firm differing from the others are well known brand, high standard products and services, as well as an unique strategic management to build short term and long term plans and strategies. In the process of strategic management, firms encounter a number of challenges. In order to compete rivals and get an competitive advantage, it is essential to issue the problems and find out possible and relevent solutions. Key words: hotel industry, strategic management, hospitality INTRODUCTION In recent years, global economy is facing a severe recession that affects almost aspects of business life. Hotel industry is also not an exception, typically Indian hotel industry. In order to grow and expand, hotel industry has to combat a number of challenges in human resources, land acquisition, technology deployment as a strategic tool and understanding the dynamics...
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...caooc@hotmail.com Issues, Challenges, and Trends, that Facing Hospitality Industry WANG Jin-zhao1 WANG Jing2 Abstract: This article presents findings of issues, challenges and trends that hospitality industry might fact in the year ahead respectively. Top issues that will influence the global hospitality industry in the year ahead include sustainable development calls for green hospitality, labor cost, multicultural issues and higher education. Challenges that facing hospitality include will include operating issues, marketing issues, technological issues and economic issues. Identified ten key trends that, taken together, we believe will shape the hospitality sector this year and for years to come include rapid growth in vacation ownership, integration & globalization, new management. Key words: Issues; Challenges; Trends; Hospitality Industry 1. ISSUES IN HOSPITALITY INDUSTRY 1.1 Sustainable Development Calls for Green Hospitality Going green is a white-hot issue in the hospitality-design industry. People are beginning to look at sustainable solutions in a whole new way. The perception of green has changed; it has gone from a fringe movement to mainstream. As a sign of its sweeping popularity, one of the best attended sessions at the recent Lodging Conference in Phoenix was: “Going Green: Environmentally Profitable Hotels.” Some of the pioneers of the green hospitality movement, there were to share their challenges and triumphs in working toward...
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...A global expansion means to have a recognition of your product or service in foreign market. Global expansion helps to have standard of product and customer service while business is taken care of side by side.It establishes your business in more than one foreign market to meet the financial requirements of business. At present tourism is the major source of income in most of the countries,so hospitality sector needs to be expanded globally. Indeed, tourism has become the world¹s largest export industry. The hospitality industry is one of the world¹s largest employers and arguably one of the largest traders of foreign currency and is clearly at the center of the transfer of ideas and the cross fertilization of cultures. those countries suffering from trade imbalances due to high imports frequently look to tourism and hospitality to close the gap. The main challenge to the hospitality industry relates to the human resources issue and also Shortages of skilled employees at all hierarchical levels including management have been reported throughout the hotel industry in many areas of the world. One reason may also be a lack of effectiveness in the way the hotel industry plans and implements training, thus leading to a failure to develop existing employees to master the skills needed today and tomorrow. The hospitality sector needs a lot of well-trained employees and managers.. According to the International Hotel and Restaurant Association (IHRA), the greatest challenge facing...
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...Introduction Globalization is a common word of a major issue in today’s world. It may be referred to many phenomenon consuming politics, technology, corporate strategy, markets, trading, and consumer behavior (Nooteboom 1999, 56). This article is to understand the concept and behavioral changes as a result of globalization towards tourism and hospitality industry in order to construct wider understanding of its negative and positive impacts. Globalization, as a meaning of its term, clearly stated the understanding of product or service market involving two or more countries to serve the worldwide market outside their local networks. It may be referred as the highest commercial development for any company internationally (Teare, Boer 1993, 194). Product trading and media communication, which makes information as a trade good are the division of two main principal or concept in order for a company to further spread their trading power towards utilizing globalization benefits. Globalization is mostly involved by Mega Corporation, multinational and the consumer themselves. Under the economic perspectives, it clearly shows that globalization referred to the increasing of market interdependent and production in two or more countries through trading in goods or service (Teare, Boer 1993, 194). As the trade radius become international, globalization gives an increase of labor workforce- in which international division of labor is achieved by the fragmentation of international production...
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...of cultures, global flows of goods and services and increased competition. According to Cooper et al (1998), the crux of globalization is in the increase in world-wide business and trade between multi-national and trans-national corporations, irrespective of their geographical locations.” [ Mpofu : JBAS Vol. 1, No. 2, Sept. 2009 ]. Understanding it in an economic sense, globalization renders world-wide scope to changes in the Political, Economic, Social, Technological, Environmental and Legal ( PESTEL ) domains of national governments, resulting in increased inter-dependence amongst nation-states, inter-action and integration between peoples, and ease of conduct of business across geographically spread countries. In creating competitive environments and bringing about reciprocal benefits, nation-states co-operate in facilitating ease of travel, lifting trade barriers for movement of goods and services, facilitating conducive environments for conduct of business, easing entry-exit laws on legal movement of people across national boundaries, and embracing international labour-related laws to tap into human resource talent and filling gaps in labour short-falls. 1.2 EMERGENCE OF THE INTERNATIONAL HOSPITALITY INDUSTRY The globalization of travel creating demand for hospitality services in host countries can be said to be largely instrumental in the development and expansion of the international hospitality industry. The hospitality industry stands as a...
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...about the importance of hospitality management in global market Subject: English Submitted by: Miss Christina Lecturer of English department Submitted to: Mithu Ahmed ID NO: 13300016 To All students of kolej gemilang Methodology: (1) Internet (2) Books (3) Shit-paper (4) Myself Hospitality industry is a huge sector of global market in this era. Hospitality industry makes our life more comfortable, more enjoyable, and more flexible. It is also a great helper of world economy. Importance of hospitality management in global market: There are many importance of hospitality management in global market. I write down below in my own opinion. (1) Remove Unemployment (2) Economic aspects (3) Education aspects (4) Safety Life Unemployment (or joblessness) occurs when people are without work and actively seeking work. The unemployment rate is a measure of the prevalence of unemployment and it is calculated as a percentage by dividing the number of unemployed individuals by all individuals currently in the labor force. During periods of recession, an economy usually experiences a relatively high unemployment rate. According to International Labor Organization report, more than 197 million people globally are out of work or 6% of the world's workforces were without a job in 2012. Here Hospitality management helps to...
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...In Kava the hospitality industry has many challenges to face and ethical issues seem to be a core foundation to all of the challenges that abound both for the business itself and the community at large. The emergence of tourism in Kava has contributed significantly to more effective operations, the efficient utilization of resources and the growing globalization of the economy. Therefore, industry consolidation seems to be an inevitable trend. Kava’s business environment requires organizations with adequate resources, in particular management requires organization with adequate resources, in particular management talent and financing, to tackle the most complicated tasks that are out of reach of smaller tourism enterprises. The hospitality industry in general in Kava and hotels specifically seem to be behind most businesses when it comes toethics in concern to hotel relationships and environmental concerns. The hotel industry in Kava has experienced rapid growth in the past two decades. As the industry matures, it faces new challenges for sustained development and growth. Critical issues include consolidation and brand development by the emergence of large management contract companies, globalization strategy by international hotel companies, and hotel financial performance. The consolidation trend began in the 1990s and it has now gathered great momentum in Kava with the establishment of several large professional management companies. The growth of these companies demonstrates...
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...INDIAN HOTEL INDUSTRY RESEARCH REPORT 2013 Submitted by: 1) Arindam Bagh 2) Arindam Das 3) Pavan Kumar Submitted by: 4) Arindam Bagh 5) Arindam Das 6) Pavan Kumar Table of Contents 1. Executive Summary 5 2. Industry Overview 6 2.1. Key Components of Hospitality Industry 6 2.2. Global overview 6 2.3. Indian overview 7 2.4. Market Structure 10 2.5. Industry metrics 12 3. Challenges faced in the Sector 14 3.1. Global economic uncertainty 14 3.2. Seasonality of demand 14 3.3. Oversupply 15 3.4. High Employee turnover 15 3.5. Lack of MICE related Infrastructure 16 3.6. Inadequate supply of quality talent 16 3.7. Low security 17 3.8. High cost of developing property 17 3.9. Poor Infrastructure 18 3.10. Difficult project financing 18 4. Growth Drivers 18 4.1. International tourist arrivals 18 4.2. MICE Destination (Meetings, Incentives, Conferencing, Exhibitions) 19 4.3. Government spending to boost growth 19 4.4. Improving economic environment 20 4.5. Increasing spending power 21 4.6. Government Support (Non-Monetory) 21 4.7. Offers from Airline Industry 24 5. Emerging Trends in the sector 25 5.1. Premium Hotel’s profitability to hit lows 25 5.2. Increasing revenues from F&B Segment 26 5.3. Development of niche tourism offerings 26 5.4. Growing trend towards service apartments 27 5.5. Growing demand for budget segment 27 5.6. Increasing interest of international operators 28 5...
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...profitable, honorable and first choice hospitality service providers in the world Mission and Vision Marriott’s mission and vision endeavor to offer the highest quality and service standard in the hospitality industry with magnificent lodging facilities, leading technology, sophisticate management and enthusiastic servicing team to achieve complete customer satisfaction. Our hospitality management service strive to sustain ongoing business growth and financial strengths in order to maximize every stakeholder’s interests and provide endless contribution back to the community, through service diversification and enduring global expansion. Executive Summary This report analyzes the current strategies of Marriott International and based on the given and researched information to develop a number of recommended future strategies in order to sustain the growth of the corporation. I believe that Marriott has a good chance for success even through the market is highly competitive. Marriott can successful by developing market to Asia Pacific and using the two recommendations that have been discussed, whilst being backed up throughout with the core competency of marketing. I believe that the multi-brand and product advantage can be achieved despite other hotel corporation to penetrate any market for a period of time. As the leading hospitality corporation develop over 13 multi-brand products in serving various customer needs that no other hospitality group has. However, this advantage...
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...| Marriott/Hyatt | Business Management 364 | | | 11/4/2012 | | Marriott has been in the lodging hospitality business for 85 years. (Marriott.com) Marriott’s mission statement helps define the company’s values and goals. The goal of Marriott is to become the number one lodging company in the world. This goal can be an ongoing challenge with the lodging industry being one of the most competitive industries. Hyatt Hotel Corporation is one of many Marriott competitors. Just like Marriott; the Hyatt Corporation has a mission statement and core value statement. There are several similarities and differences between the two organizations values’ and mission statements. One of the similarities between the two organizations is their priority on the guest. It can be seen in the mission statement for Marriott and Hyatt’s core value statement Marriott’s mission statement states that the company put people first, pursue excellence, embrace change, and act with integrity and serve our world. Hyatt’s’ mission statement states that their mission is to “provide authentic hospitality by making a difference in the lives of the people we touch every day, including our associates, guests, and owners”. (Hyatt.com) Another similarity is that both companies strive to be the number one hospitality brand. Both companies produce a yearly responsibility and sustainable report documenting the accomplishments and ongoing goals and services to the community and world. The difference...
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...Current skill gaps in the Hospitality Industry The main objectives of the assignment is directed towards determining impact of skill gaps on the UK hospitality industry and on the services provided by the entire industry. To be able to address this objective, the researcher would recognize the present recruitment strategies of the hotel, as literature shows that hospitality industry is having a lot of problems in their internal and external recruitment strategies. Also, the assignment shall discuss the skills requirement by the hospitality industry. The study shall also analyze the skill gaps and shortfalls and how these affect the performance of the hospitality industry. Similarly, it is important to discuss the current practices within the industry with regards to training and development which are supposed to contribute towards the enhancement employee skills and talents. The assignment shall also study the state of services provided within the industry in UK wherein customer satisfaction would be discussed and the researcher shall find out about the needs of the customers within the industry. The three main objectives of this assignment are as given below: To investigate the current needs of hospitality industry in the United Kingdom To analyze the current skill gaps and training requirement within hospitality industry. To recommend suggestions for improving the existing or upcoming skills development issues within the industry. Executive Summary The assignment...
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...Contents Size of the market, growth pattern and evolution of the service…………………………………………...1 Implications for effective marketing………………………………………………………………………2 Environmental Factors……………………………………………………………………………………...4 Industry Players and Competitive Scenario………………………………………………………………..5 Marketing implications for existing players and new entrants…………………………………………….7 Size of the market, growth pattern and evolution of the service The Demand for Indian Tourism is increasing at 10.1% per annum. India will attract 25 million tourists by the year 2015. India currently has 2,00,000 hotel rooms spread across various hotel categories yet has a shortage of 1,00,00 rooms. |Hotel Category |No. of hotels |No. of rooms | |5 star /deluxe |165 |43965 | |4 star |134 |20770 | |3 star |505 |30100 | |2 star |495 |22950 | |1 star |260 |10900 | |Heritage |70 |4200 | |Uncategorized |7078 | | |Total |8707 |132885 | |Restaurants |12750 | ...
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...3 3. Mission 3 4. Discussion 3 4.1. External factors affecting Indian Tourism industry 3 4.2. Students and teachers of hospitality and tourism institutes 4 4.3. Other Central Ministries/ Departments 5 5. Control, interdependence and inseparability 5 6. Challenges 6 7. Implementation Plan 9 8. Potential strategies 9 9. Recommendation 9 References 11 1. Introduction The NTO (national tourist organization) is the body mainly in charge to form and implement the national tourist policy in India. It is also in charge for controlling, directing and promoting the tourism industry. Every country which is engaged indirectly in tourism possesses a program. The NTO might be a full-fledged ministry or a directorate general etc. (Ray, 2008). 2. Vision For achieving a higher quality of life for Indian People through tourism’s promotion and development, which might offer a unique possibility for cultural enrichment, mental rejuvenation, physical invigoration etc. (Khare, 2010). 3. Mission To build India as one of the most preferred destinations of the tourist as well as to enhance Foreign Tourist Arrivals’ number to 8 million. To encourage more energetically country’s domestic tourism along with increasing Domestic Tourist Visits’ number to 800 million by the year 2015 To decrease considerably the space in skilled manpower’s availability in the hospitality sector as well as to create essential training and educational infrastructure. To allow...
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... | November, 2011. Content: 1. Financial crisis in Tourism- Introduction 2 2. How the crisis affects tourism 3 3. A Strategic Approach for the Global Tourism Industry to Overcome the Global Economic Crisis: A 10-Point Plan for Tourism Recovery 5 4. Money-saving trends in tourism 6 5. References 9 1. Financial crisis in Tourism- Introduction Tourism is especially vulnerable to economic uncertainty and volatility for a simple reason. Most travel and tourism involves discretionary expense. During tough economic times people conserve their cash to cover the essentials of life, food, shelter and family necessities. However, this does not mean that tourism stops. The trend that we have learned from past crises whether we refer to past economic crises or the global tourism scare resulting from the events of 9/11 is that people continue to travel but they will travel differently from the way they do during times of economic buoyancy. Those tourism and hospitality businesses which will survive and indeed thrive in the months ahead are those which can adapt because there are always winners and losers in any outbreak of economic volatility. In the short to medium term there is almost certain to be a trend of travelers spending less on travel. Those tourism and hospitality businesses which can adapt to service travelers on a tighter budget will do well. The demand for the luxury end of...
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...1. Introduction 3 2. A brief description of the hotel industry 3 a) Concept 3 b) Classification of the hotel 3 3. Significant issues facing entrepreneurs in hotel industry 4 3.a Labour Shortage 4 3.b Competition 4 3.c Global Economy 4 3.d Safety and Security 4 4. Level of entrepreneurial activity in hotel industry 5-6 4.a Innovation 5 4.b Opportunities 5 4.c Expansion 5,6 4.d Product Development 6 5. The factors influence the probability of new ventures success 6-7 5.a Entrepreneur Characteristic 6 5.b Branding 7 5.c Location 7 5.d Customer Service 7 5.e Product differentiation 7 6. Conclusion 8 7. References list 9 1. Introduction: In the recent years, the hotel industry is one of the fastest growing sectors in economy. It is diverse enough for people to work in different area of interest and still be employed within the hotel industry. And the purpose of this article will give us more understanding of the entrepreneurial activity and some significant issues facing entrepreneurs in hotel industry as well as the factors influence the probability of new ventures success. 2. A brief description of the hotel industry: a. Concept A hotel is an establishment whose primary...
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