2.2 Most often used types of affiliation
The level of the internationalization of a hotel is calculated by number of the countries that the company is presented, but also by considering the number of rooms that hotel operates internationally to the number of the rooms that the hotel has. (Martin, 2007) Thus, in order to measure the level of the internationalization of the Hilton Worldwide hotels we should see in what countries the hotel operates and what types of affiliation it uses. The most commonly used types of affiliation are: ownership, management contract, franchising, marketing consortia, leasing. Ownership is the type of affiliation when all the properties are owned privately by people or companies. Blackstone Group had private
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In fact, in 2015 it was the second hotel chain in the Worldwide ranking of the hotel groups(Hotel-online, 2015) with 4278 hotels and more than 708000 rooms all over the world. The Hilton Worldwide has hotels in more than 86 countries.
In about 100 years since founding Hilton has established 13 world-class brands, that are famous in the world, the most recognizable of them is Hilton.
For example according to the data on the official web cite (Hilton Worldwide, 2016) we can see the hotels and locations of Hilton hotels.
On this map we see all the Hilton Worldwide brand hotels, and it is eye-catching that most of the hotels are concentrated in the American continent: in the USA in particularly, also the greatest stock of the hotels is in Europe. Thus we can think Hilton hotels tend to enlarge their geographical allocation all over the world. For that they have great opportunities: They have very famous and well developed brand, they already have their offices in all the continents, and they have multiple brands that can be easily launched in different markets.
Plans for further
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From this we can see that the company has further going plans for future development, committed to growth across their portfolio of brands.
Feature 2013 2014 2015
Award winningMarket leading brands 10 12 13
Rooms 678630 715000 1000000+
Properties 4115 4322 4610
From this table we can see some of the main features of this hotel chain and they have developed in the last 3 years.
Also, it is impornat to admit that Hilton keeps expanding it’s geographical borders and in 2014 it entered Myanmar, Kazakhstan and Ukraine.
Also lately Hilton Worldwide introduced to new brands Curio-A Collection by Hilton (June 2014) and Canopy by Hilton (October 2014). They both plan to get hundreds of hotels in the coming 5 years.
Hilton Worldwide’s number of rooms under construction are 18.7 % off the world’s total number of the rooms under construction, and this number is about 4 times bigger than today’s open rooms’ number.
Rooms
RegionYear 2013 2014 2015
Americas 558.801 581.000 611.000
Europe 59.797 67.000 74.000
Middle East and Africa 20.145 21.000 22.000
Asia Pacific 39.887 46.000 51.000
Hilton’s pipeline recently increased by 35.000, which means about 1.350 hotels with 230.000 rooms in 79 countries.
3.1.3. Opportunities of Harley Davidson: 1. Asian & Europe Markets: The demand of the Harley Davidson in the developing Asian & European nations is increasing. There are very less number of players competing the Harley in this segment. Thus, it is a very attractive opportunity for Harley to capture these Asian & Europe markets aggressively.
And achieve as a result, the growth for its brand, market share, and sales
But that does not mean that their industry is on the decline. Recently I traveled to a nearby city to catch a flight and discovered that a local hotel offered long term airport parking at a discount compared to the local parking lots with a free shuttle to the airport terminal. Innovative amenities like this can really add value by providing a needed service that has little to do with the traditional hotel services. If they continue to look for services travelers need, hotels will surely continue the long history all successful industries have surmounted in the past, identify and provide innovative, value-based products and
So the term product include both goods and services. The Hilton operates hotels and other related services in accommodation, gmbling and entertainment areas. They offers accommodation services through its hotel, apartments etc. their major sources of revenues are providing rooms, banquet halls, restaurant, telephone call services, laundry services, travel services, internet services, spa, ayurvedic and beauty treatments etc. Products are divided into 3 levels, 1.
Toms shoes are made from environment-friendly materials like natural and organic vegan substance, including the packaging that is made from 80% recycled waste. Going further on the path of social corporate responsibility, the company can broaden the range of their products and services and explore additional sustainable materials to create their products. Internal Environmental Factors: Strengths 1. Mega Brands Inc. sells a wide range of products like puzzles, building blocks, construction sets, and activity craft-based games. Due to the variation in type of the products they sell, consumers have more options to choose from.
They have two restaurant and executive lounge in their hotel chain. The hotel offer donations for National Kidney Fund. Through economic factor, business examines the economic issues that are bound to have an impact on the company. They use their advertising for newspaper with target of Malay people. This hotel targets Chinese, Myanmar and Indian people.
A-Four support activities: 1- firm infrastructure and finance : -Strong brand, product, marketplace solution, delivery and support. (brand value from 35$ in 1973 to 10.7 billion in 2014 ). -Empowerment of top management –geographic structure. -Low debt, short term debt 2.9 billion, and long term debt 1.1 billion. Cash in hand 2.2 billion.
Owners: who have to be able to provide the resources to set up the strategy, they are on the back office but are important decision-makers. They are involved in optimising the company’s profit. Investors: they provide money to help the company to get enough resources to set up the strategy.
Weighted average cost of capital for Marriot Corporation: In order to determine cost of capital, first we need to find out cost of equity and cost of debt. For determining the cost of equity we need to determine the beta for the target leverage ratio. According to the information provided by exhibit 3 equity beta is estimated at 0.97 when equity-to-total capital ratio is 0.59. Therefore we need to find unlevered beta value so that we can find firm’s equity beta at the desired leverage ratio as mentioned in Table A. Tax bracket of 44% is used based on ratio of income taxes to income before income taxes (175.9/398.9) in Exhibit 1.
CASE JOURNAL-ROSEWOOD HOTEL& RESORTS Rosewood’s management is on the right track to increasing brand awareness among its customers by pursuing the corporate branding strategy. Implementation of the corporate branding strategy not only increases the number of repeat visitors to the hotels, but also increases the gross profits made by the company by $2,599,000. Corporate branding has a positive impact on the customer lifetime value as well. Rosewood Hotels & Resorts is a privately owned hotel management company that is known for its unique properties like The Carlyle and the Mansion on Turtle Creek that differentiates the company from other luxury hotel competitors.
Considering all these factors, we can clearly say that hotels belong to monopolistic competition. Hotels are price makers, meaning that there is not one market price, at which all the suppliers have to sell
Today, the company has hundreds of employees in scores of branches in Pakistan as well as abroad. Sheer hard work, dedication
Market segmentation has been the positioning strategy for Intercontinental Hotels, and it is important that it is done well to consider critical features of each segment adequately. Moreover, market differentiation must promote the difference between the different brands so as to create awareness to each target consumer of the most appropriate brand. For instance, the strategy must inform the market of the difference between the Holiday Inn brand and the Holiday Inn Express brand. This differentiation is important since it will encourage business travelers to opt for Holiday Inn Express while those looking for recreation chose Holiday Inn. Consequently, each consumer will get the best service that is suited to their needs and hence create customer satisfaction in the varying
The spread is organized according to per capita basis in these countries. Besides, the mission of the company is to provide a complete range of products to the consumer in relax and pleasant environment. Other than that, the workforce also play a big role. The company has employed around 45,000 workers in its retail store shop where each of them is well
The Hotel Concept selected for this report is the new innovative hotel concept developed by YO founder Simon Woodroffe and YOTEL