Ginger Hotels

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Ginger Hotels Name Grade Course Tutor’s Name 25-3-2013 Outline i. Introduction ii. The generic strategy iii. Strengths iv. Weaknesses v. Human resource and Marketing policies vi. Recommendations Introduction Ginger hotels are subsidiaries of the Indian Hotels Company Limited (IHCL). These hotels are based in India and have been in operation for more than six years. These hotels were established by Roots Corporation Limited. This paper will explore the generic strategies, identify the sources of competitiveness of Ginger as well as its strengths and weaknesses as a business entity. Recommendations and the future prospects will also be discussed. The generic strategy Ginger hotel came into…show more content…
This is one of the major approaches that offer Ginger a competitive advantage over other hotels. The low costs are achieved through efficiency that is realized due to the use of technology and minimization of the staff. The hotel applies a variable price rating in order to ensure controls on costs are effective. The growth strategy of ginger is defined by rigorous market development. This is based on the Ginger's approach of new markets with its products and services. This was achieved through encroachment into new market segments, increasing the quantity of products and services used by their customers, and creation of new customers (Odoom 38). The market size of Ginger on the increase, IHCL has a plan of establishing Ginger hotels in 80 cities across India. This initiative targets exploring markets outside India. Since its establishment, Ginger has opened up several chains in India. Most of these chains are based in upcoming cities, which are underexploited. Most of the current hotels are located near the leisure and business centers. This target increasing the demand as the number of people in these regions is higher. Strengths The type of business model adopted by Ginger hotels is unique. It is a self-service innovative model in Budgeted hotel business (Renault par, 8). Some of its competitors such as Lemon Tree and Red Fox place themselves above the status of pure budget hotel. This lives Ginger as the only hotel in India that still sticks to the original

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