Industrialization Of Hotel Service And Processes Of Globalization And Integration

As we discussed in class, every business is faced with these issues and they are important to managers making strategic decisions. One of the first things learned about business is that if there is no demand for a good or service, the firm that provides it will not continue to exist. Over time the hotel industry has continued to change with market conditions and make itself attractive to business

The hotel industry is a very hard industry to enter into, due to one of the biggest obstacles, which is brand recognition. Right now there are a few large hotel chains that make a large footprint in the market. It is hard for a new entrant to come into the industry and compete with these large hotel chains without bringing something new to the table. Many large chains in the industry dominate the industry due to economies of scale due to franchising.

This was mainly due to the large number of diversified hotels in the chain across the globe

In the case of Astor Lodges, the company has not been making a profit for five consecutive years and a marketing strategy needs to be put in place. The hotel industry saw $16.7 billion pre-tax profit in 2004 along with 4.4 million hotel room available in the country. The competition of 213 affiliated hotels with a brand company is going to be a challenge but attainable. From 2004, objectives are completed but still turning over unprofitable years with marketing plans put in place.

Hospitality provision is one of important services in travel and tourism. The hotel is a basis for short accommodation needs of travellers. Depending on the content and using that object classification stay in hotel, tourism, resort, etc. According to the level of amenities available, they are classified according to the number of stars from 1 to 5 stars. In recent year, the economics and society are developing. People are getting busier with their work and their life. They have to do many things so sometime they need to have a rest time to relax and enjoy their life when their life are more wealthy and sufficient and travel is one of most ways which they choose to spend their rest time. In modern life now, travel

Within the luxury tier, many of the players do not actually own the hotels themselves, but instead manage the operation of the business, similar to that of FSH. In the luxury segment, competition for acquiring new management agreements becomes very high as hotel owners make their choices based on the quality and value of a company's management service and most importantly, its brand name. Moreover, guests who choose to stay in luxury hotels are commonly not very price sensitive, and thus it is essential that a hotel distinguish itself amongst its competition by providing value added services as well as maintaining an untarnished, reputable brand name and image.

Each department in hotel has to work like part of one big mechanism. Each part complements each other and makes all hotel better for times than it is. That is why connections and relations between departments are very important.

Marriott International and Starwood Hotels and Resorts both have different unique selling points enabling them to become large hotel companies. With the merger, both companies will combine their unique qualities to encourage efficiency as well as new hotel developments. These improvements may be able to increase profitability enabling owners to have increase in their revenue (Bethesda, 2016). Due to the large increase in customer base and owning multiple properties all over the world, competition certainly has reduced as a result. Thus, this may lead to monopolization of certain hotel markets increasing profits for existing hotel owners and franchises (Butler, 2016). In addition, as both companies already have their own wide company portfolio and brands, in the long term Marriott International and Starwood Hotels and Resort can take advantage of the opportunity to explore variety of brands within the expansion of their brand families. The exponential increase in their market power and data access may lead to increase in their economies of scale, further increasing their profitability. In addition, the increase market power means the companies will have stronger bargaining power against OTAs, resulting in lower booking fees. Therefore, the reduction in their cost and increasing their appearance on the OTAs being more exposed to potential customers which may further increase their profitability as well as marketing power (Butler, 2016).

Being a part of consortiums is considered one of the greatest ways in marketing and selling your products. Hotel marketing chains have very impressive hotel chains such as best western which operates about 4100 hotels and hostels and its corporate headquarters is based in Phoenix, Arizona.

New companies entering the marketplace present a significant competitive pressure mainly because they can threaten the market share of existing companies. Unless the demand of a good or service is increasing, additional production capacity would only result in lesser revenue for competing firms. The luxury hotel industry on a global basis shares the characteristics of high capital requirements and a high proportion of fixed costs to total cost. In addition to physical facilities, a substantial amount of financial resources is required for construction, furnishing, pre-operational expenses and marketing activities.

This paper discusses in detail the negotiations and contracts that take place within the hotel industry and the importance that surrounds contracts with a focus on hotel management contracts and regular hotel contracts. I decided to write about this topic because while hotels play such a major part in conventions and meetings, it is imperative to look at the hotel management contracts that keep a hotel operations functioning daily and the detail that goes into dedicating an owner and operator to each hotel. Hotel management contracts continuously allow for the growth of the convention and meeting industry which then allows for hotel contracts and negotiations to even take place. When looking at contracts, it is vital to know

T H E P O W E R O F X E R O X

Like any aspiring company, hotels have to be aware of the market and be flexible

There are five gaps in hotel management and these five gaps effect managers and their employees deliver service. Gap 1: Consumer expectation vs. management perception gap. This gap is manager group doesn’t even know what are customer needed. They should read customers complains and change their service. Gap 2 Management perception vs service quality specification gap. Sometimes manager know they have problems and mistakes when they serve their guests. But they don’t change it may because they don’t have a good manager team. Gap 3: Service quality specifications vs service delivery gap. Managers may know what guests need and they changed their service better. But when employees deliver service that still cannot be perfect. People made mistakes and managers should train their employee avoid mistakes. Gap 4: Service delivery vs external communications gap. Hotel give excellent image to customers. But when they deliver

The contemporary issues associated with the hotel management system have to be evaluated, as it impacts the performance of the management. There are different types of issues faced by the authorities like the shortage of the labour force, high operational expenses, business expansion plans, and others. Through planning and strategic implementation of different factors at the workplace it is possible to overpower the challenges associated with the operational activities. This report analyse the explicit and implicit issues faced by the hotel management for expanding the business to different areas. It is essential to develop and implement effective strategies through which the business requirements can be handled in an effective manner. This would help the management to overpower the complex situation and introduce the best policies through which the performance of the hotel can be improved (Erdem et al., 2006).