Swot Analysis Of Ritz Carlton

Familiar organization and its SWOT analysis in a chart

There are various organizations that are familiar to me. However, the peculiar among them is the Ritz-Carlton hotel. Founded in 1983 and headquartered in Chevy Chase, Maryland, United States of America, Ritz-Carlton is regarded as one of the best in the hotel industry and receiving several accolades for great customer services (Kotler & Armstrong, 2010). Nevertheless, to fully comprehend its competitive edge in the industry, it is essential to analyze its strengths, weaknesses, opportunities, and threats by conducting a SWOT analysis of the entire organization. The SWOT analysis of the organization is presented in the matrix chart below. Beneficial Harmful

Internal Strengths

• Excellent

One of such idea is the recognition of its strength (capabilities that others does not have) that enables Ritz-Carlton hotel to determine the business the organization intends to involve in. Understanding the kind of business the organization anticipates will enable corporate managers of the Ritz-Carlton to effectively strategize on areas of its strengths and opportunities and how to compete with other businesses. The second specific idea from the SWOT that is important in the overall strategy formulation for the Ritz-Carlton hotel is the business strategy of being able to forecast the threats level and adequately prepare the organization for it. This idea enhances the organization’s ability to compete in the industry with other competitors. For example, business strategy is a part of the strength factor that helps Ritz-Carlton keeps existing customers and find ways to attract new customers. This idea subsequently enables the organization to move into a new market and compete for customers from existing competitors. The third specific idea from the SWOT for strategy formulation is information gathering and to conduct an effective analysis of the external market condition as well as the organization’s internal characteristics. This information apparently gives some clues to the hotel management on how to use its strengths to reduce its weaknesses and use its opportunities to tackle its threats. Another idea from the SWOT that is important to the overall strategy formulation of the Ritz-Carlton hotel is the contingency plan. Because there are external threats which the management cannot control, it is, therefore, incumbent on the management of the Ritz-Carlton hotel to include a contingency plan in the strategic process to address such threats when they occur. In a nutshell, the organization should take the idea of its strengths to improve its