Strategic Hotel Management Analysis

Strategic Hotel Management


The entire report will revolve around the one-year strategic plan for the HOTS hotel. Furthermore, a critical analysis will be provided with regards to the macro and the microenvironment of the hotel when the management was taken over by me. The report will also highlight and discuss the intended strategy over the arching strategy that will convert into the strategic direction for the three levels of the management. In this scenario how this will inform the strategic direction will also be demonstrated in the report briefly. Lastly, practical examples will be provided with regards to various decision categories as for how the arching strategy will be entirely used in the first year. 


Strategic plan for HOTS hotel

One of the main purposes of this strategic planning is to produce a certain amount of the strategic policies, and also to represent the guidelines and to provide the operative participation. The strategic planning is one of the most important procedures of a company for defining their direction, strategy, and also making results on distributing their resources to follow the specific strategy as well as people and its capital. 

Analysis of macro and microenvironment 

The macro environmental factors when the management was taken over are:
Firstly, the social factors: It has been greatly observed and witnessed that the hotel industry represents one of the main sectors with regards to the national economy. When the management of the hotel was taken over by me it has been noticed that HOTS hotel was quite successful in providing global hospitality and the services of the hotel were provided according to the needs of the consumers (Ward, 2012). Furthermore, the hotel also contributes some amount of money to the HOTS hotel community that further caters the community. Therefore, throwing light on the above-mentioned statement it can be also said that the hotel also adds a lot of moral value with regards to the social responsibility. Secondly, it has been also observed that the hospitality industry influences an economy to a great extent it can be in any form from providing employment to sourcing of products locally (Ku, Wu, and Lin, 2011). In the recent times, the hotel industry also faced a lot of slow economic challenges still there have been a huge amount of development in the tourism and travel segment (Wang, Chen, and Chen, 2012). It also implied that HOTS hotel was not at all defeated by the recession. Thirdly, from the political point of view, it has been noticed that the increasing legislation upgrades restrictions on the businesses, specifically as legislation is regularly changing and each and every country tends to adopt various laws. The business legislation is compelled to protect the interests of the societies, consumers, and the organizations. It is quite challenging for the hospitality industry because of the expansion that takes place all across the globe (Bonilla Priego, Najera, and Font, 2011). At that time it has been observed that the HOTS hotel that they are minimum legal compliance from their team members. The Code of Conduct training was completed by each and every employee with regards to the HOTS hotel. Fourthly, it has been noticed that every company across the world is going through the technology enhancement (Koutroumanis, 2011). Hence, it is quite natural that HOTS hotel has also undergone the technological advancement as they are offering an application to their consumers for seeing the room availability, paying or booking directly via online (Kimes, 2011). HOTS hotel has their operations all across the globe and so the dependability on the internet is highly increasing day by day. The global travel popularity is also increasing so HOTS hotel is offering a loyalty programme where their potential consumers receive rewards and earn points. 
The microenvironment of HOTS hotel is: 
Firstly, consumers: The hotel offers a large number of services to their guests and interestingly it changes in every quarter. However, the exciting offers are targeted for the specific groups of consumers that includes, businessman, individual coming for holiday, tourism and also for the travel purpose for business (Mok, Sparks and Kadampully, 2013). Secondly, intermediaries: They are regarded as one of the most vital elements in the business of HOTS hotel. The hotel prefers to buy goods from the physical distribution companies. Thirdly, suppliers: The supply management team of the hotel partnerships for discovering the products that are sustainable in nature. It has been also observed and critically analyzed that most of the products with regards to HOTS hotel is acquired locally and most of the suppliers of the hotel are from across the globe (Aldehayyat, Al Khattab, and Anchor, 2011). 

3 theoretical models for analyzing hotel environment for producing recommendations 

The three theoretical models for analyzing the hotel environment are as follows:
Firstly, a model for the consumer satisfaction and retention: It has been realized that there is a direct relationship between the consumer satisfaction and retention. The consumer retention was operationalized in terms of intent for switching and also their loyalty (Moutinho, 2011). Retaining the consumers has become one of the necessities for the hotel industries across the world. The environment of a hotel can be said as positive if it has the ability to attract and retain their consumers (J. Harrington and C. Ottenbacher, 2011). In this case, the strategic recommendation will be including unique services so that the consumers get attracted and they remain loyal. The second model is the organizational gap model for the hotel industry. The environment of business is highly competitive in nature so the hotel managers always strive for meeting the expectations of their customers. In this scenario, the strategic recommendation will be that HOTS hotel must try to create a sustainable advantage by developing their core competencies. The third model is 
Intended strategy overarching strategy resulting into strategic direction 
It can be argued that the intended overarching strategy will result in the strategic direction with regards to setting new and improved ethics, vision, mission, goals, and objectives for the HOTS hotel. Firstly, the new mission statement of the hotel will be to provide their consumers with unique services better than their potential consumers (Dzhandzhugazova and et al, 2015). Secondly, the new objectives for the hotel will be to increase the price of their food to some extent and also they must identify the advertisement media that can be used efficiently by them with regards to the target market. Thirdly, one of the main goals of the hotel should be to reduce their room rate contrasting with their competitors in the peak season. It will be one of the main tactics that can be used by the hotel for gaining competitive advantage.  
Practical examples of various HOTS decision categories 
The overarching strategies will provide constructive boundaries to the HOTS hotel. The overarching strategies will be used in the first year of the hotel in the following ways: Firstly, the hotel needs to be cleared with regards in which of the market they want to compete and how will they compete in terms of the resources and cost. The hotel should also follow the above-mentioned theories so that they get a clearer path to success. Secondly, the next step is the execution. It can be said that the action-based plan of the hotel must be aligned enough to the overarching strategies so that the employees of the hotel can be trained accordingly so that they can deliver the best. Fourthly, another important strategy of the hotel should also include investing in the advertisement segments. If the hotel invests a lot amount of money in the advertisement segment then it can attract tourists more from all across the globe. The practical example in different HOTS decision categories will be to continue the partnership with the other big well-known hotels so that the needs of the consumers can be catered in a perfect manner and also there must be a complete hotel plan that will consider each and every need of the consumers. Lastly, the hotel must consider the different types of the traveler segment who books the hotel room and allows the hotel to diversify their business mix and gradually optimize their distribution strategy (Evans, Stonehouse, and Campbell, 2012). 


The entire study revolved around the presenting the strategic plan for the HOTS hotel. In the first segment the macro and the microenvironment of the hotel was critically analyzed and it was found out that the firm has a strong presence in all across the globe and one of the best parts of the hotel that makes them unique from other hotel is that they acquire most of the products locally and the hotel also has a large number of suppliers from across the globe. In the final segment, some of the recommendations are provided to the hotel that they may consider in future and they are overarching strategies. 


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Bonilla Priego, M. J., Najera, J. J., and Font, X. (2011). Environmental management decision-making in certified hotels. Journal of Sustainable Tourism, 19(3), 361-381.
Dzhandzhugazova, E. A., Zaitseva, N. A., Larionova, A. A., Petrovskaya, M. V., and Chaplyuk, V. Z. (2015). Methodological aspects of strategic management of financial risks during construction of hotel business objects. Asian Social Science, 11(20), 229.
Evans, N., Stonehouse, G., and Campbell, D. (2012). Strategic management for travel and tourism. London: Taylor & Francis.
J. Harrington, R., and C. Ottenbacher, M. (2011). Strategic management: An analysis of its representation and focus in recent hospitality research. International Journal of Contemporary Hospitality Management, 23(4), 439-462.
Kimes, S. E. (2011). The future of hotel revenue management. Journal of Revenue and Pricing Management, 10(1), 62-72.
Koutroumanis, D. A. (2011). Technology's effect on hotels and restaurants: Building a strategic competitive advantage. The Journal of Applied Business and Economics, 12(1), 72.
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Mok, C., Sparks, B., and Kadampully, J. (2013). Service quality management in hospitality, tourism, and leisure. New York: Routledge.
Moutinho, L. (Ed.). (2011). Strategic management in tourism. New Jersey: Cabi.
Wang, C. H., Chen, K. Y., and Chen, S. C. (2012). Total quality management, market orientation and hotel performance: The moderating effects of external environmental factors. International Journal of Hospitality Management, 31(1), 119-129.
Ward, K. (2012). Strategic management accounting. New Jersey: Routledge.

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