Overthe past few years, the hospitality industry has become one of thelargest employers in the world. According to Brotherton (2013),apparently, the hospitality industry is contributing approximately10% of the world GDP. The data ascertains that the industry isdeveloping at an awfully tremendous rate overtaking most industries.It is worth noting that the changing lifestyles of people in thecontemporary epoch are contributing immensely to the growth anddevelopment of the hospitality industry because people no longer havetime to cook at their home. It is worth noting that the hospitalityindustry is a complex industry that includes multiple dimensions suchas the restaurants, tourism, and the sundry. The industry containssegments such as casinos, lodgings, cruise lines, resorts, and eventsservices among other agencies. Apparently, hospitality industryaccounts for more tax revenues, more jobs and sales than any otherindustry. Notably, all the segments of the hospitality industry areinterdependent and rely on each other for the delivery of qualityservices. Customer or guest orientation is the supreme entity behindthe success of hospitality industry.
Itis only through customer services that a hotel’s products can bedifferentiated from another hotel. It is worth noting that thehospitality industry is constantly being confronted withcompetitiveness at a global level due to the high expectations of thecustomers and the clients. New hotels, as well as other hospitalitysegments, are being opened with each passing day. Moreover, thechanging lifestyles where people have become health conscious isinfluencing the level of competition in the hospitality industry. Ina bid to create customer loyalty, hospitality segments are not onlyaiming at quality customers’ services but also the nutritioncontent of their products. The intent of this paper is to criticallyexamine the level of competition in the hospitality industry byfocusing on intercontinental hotel, Marriot International, and Accorhotel as the key global competitors in the hospitality industry.
Unlikethe past decades, the emergence of new media platforms has created anew form of business to customer relations through advertising,online sales as well as convenient consultations. Evidently, businesshas grown immensely regarding user ship and popularity. According toColtman (2011), social media platforms are now influencing theprofitability of hotels, restaurants as well as other hospitalitysegments. In most cases what customers say about their experience incertain hotels significantly determines the future customers andclients in the hotel. The quantity of products sold in hotels isdetermined by the reactions of customers in hotel sites such asExpedia and Trip Advisor. This depicts that previous visitors are nowplaying a significant role in influencing the decision-makingprocesses of future guests. Evidently, leading business press suchas such as the Expedia and European business press have outlinedIntercontinental Hotel, Marriot International and Accor hotel as someof the best destinations. Magazines and newspapers all over theglobe have ascertained that these hotels provide quality services andoffer customers with the best accommodation, traveling services aswell as the food. This ascertains that the hotels strive to maintaincustomer loyalty and maintain their status since there are nobarriers to the market entry.
Compareand contrast three models of culture
Accordingto Coltman (2011), organizational culture is the most paramountentity in the success and profitability of any business entity.Organizational culture entails the values and behaviors thatcontribute to the psychological and social environments of anorganization. Organizational culture reflects on the beliefs,principles, market, technology management styles as well as thecollective values of the members of an organization both theemployees and the directors as well. Within the context of models ofmodels of culture, I will examine power culture, role culture andtask culture as key models of culture in business operation andorganizational culture by analyzing their differences andsimilarities.
Inan organization that embraces power culture, power and authority areheld by just a few individuals whose work is to control and regulatethe operations of the employees. On the other hand, role cultureencompasses everyone in the organizational understanding their roleand responsibilities in the organizations. Thus, one is specificallyresponsible for what directly relates his or her department.Moreover, task culture depicts to the formation of teams in anorganization to address specific apparent or potential problems inthe company. The quality of work in the task is determined by thedynamic nature of the team. Thus, the models of culture differimmensely regarding performance, personalities and the skills.Therefore, an organization should adopt the most suitable model ofculture based on the nature of the problem, the desired goals and theflexibility of the organization.
First,the most notable similarity in these models of culture is that theyare geared towards the profitability of the business. Secondly, thesemodels deal with human resources at all levels of production in anorganization.
Appropriatemodel of culture for intercontinental hotel
Accordingto me, the most appropriate model of culture for the Intercontinentalhotel is the role culture. Notably, the intercontinental company is aglobal organization with numerous production and management levels.Role power will ensure decentralization of roles in the organization.Hence, all the stakeholders will, therefore, be responsible for theiractions or failures in the company.
Typesof economic systems for the competitors
Ofthe four types of economic systems that include traditional, command,mixed and market economy, only a single system is suitable for anorganization at any given time. Due to the centralized control systemin the Intercontinental hotel, command economic system is the mostsystem for the hotel. Moreover, the market system is most suitablefor Accor hotel due to its free market economy that exists in most ofthe countries that the hotel operates. Lastly, Marriot Internationalis best suited for the mixed economic system. This is based on thefact that most of the sales in the company are owned by differentgovernments.
Recommendedgeneric actions for the economic progress of the hotels
Thethree generic actions that I would recommend for the economicprogress of the competitors include action work flow, business as anaction game and coding scheme. These generic actions are based on thefact that hospitality is changing tremendously and through theseactions the companies will be able to cope with the dynamic nature ofthe industry.
Majorleadership steps as the leader in intercontinental hotel
Giventhe opportunity to lead the intercontinental company, I would embracecorporate social responsibility as the key strategy in steering thecompany to greater heights. I would also enhance employee retentionby offering discretionary benefits such as paid time off. Throughcorporate social responsibility, I would create customers loyaltyhence more profits.
Globalchanges that I would make to propel the hotel higher
Inorder to enhance productivity in the intercontinental group ofhotels, I would implement international franchising and competitionintelligence as the two major changes. These changes would, in turn,ensure adoption of technology, effective marketing strategies, andcustomer relations.
Ina nutshell, hospitality industry is undeniably of the most promisingindustries today. However, success in the industry requires customerevaluation and delivery of quality services.
Brotherton,B. (2013). TheInternational hospitality industry.Oxford: Butterworth-Heinemann.
Coltman,M. (2011). Hospitalityindustry purchasing.New York: Van Nostrand Reinhold.
Perry,I. (2012). Safetypuzzles for the hospitality industry.Amherst, Mass.: HRD Press.