Wyndham International Business Case Study Essay

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Wyndham International Business Case Study Challenges facing Wyndham International There are a number of challenges facing Wyndham International in 2001 as they move forward to capture market share of a distinct upscale segment of the business and leisure travelers. In 2001, Wyndham was not a well-known name in the industry. The company had been suffering financially and had sold considerable assets in an effort to promote the Wyndham brand. The challenge of building branch recognition in a market dominated by a few key players such as Marriott, Hilton and Hyatt compounded by the fact that the travel and tourism market was already suffering from the backlash of the September 11, 2001 tragedy make Wyndham's challenge somewhat…show more content…
According to Porter's Model, there are three strategies that can act as differentiators against competitors. They are cost leadership, differentiation and niche strategies (Turban, Leidner, McLean & Wetherbe, p.44). Clearly, in the face of financial restructuring Wyndham can neither afford to price out of the market nor afford to be the lowest cost provider. Establishing a differentiated experience or a niche strategy in the face of low brand recognition is a daunting task. Wyndham's differentiation strategy to build brand recognition and share of wallet in the upscale business and leisure travel market, hinges to substantial degree upon the success of a guest recognition program named Wyndham ByRequest. The design of the program is focused upon offering personalized service to the members. CRM capability and investment in technology is pivotal to successful delivery. Interestingly enough, ‘marketing research indicates that the primary elements driving selection decisions by business travelers were location and previous experience' (Wyndham International: Fostering High Touch with High Tech, p. 8). Wyndham is obviously trying to capitalize upon the experience piece. While Wyndham's strategy plays well to this market research, one in three surveyed indicated that frequent-guest points and airline miles are important and this in itself presents a challenge to overcome.
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