Final International Hospitality Project
Hilton Hotels and Resorts is a multinational company offering full service resorts and hotels, with the brand name identifying with Hilton Worldwide (Russell, 2012). Hilton Hotels and Resorts were initially known as Hilton Hotels, with the original founder being Conrad Hilton. It has been noted that Hilton Hotels and Resorts are managed, franchised or owned by independent operators under the umbrella of Hilton Worldwide. There are more than five hundred Hilton Hotels and Resorts outlets in the world across continents and countries.
The brand name of Hilton Hotels and Resorts is one of the respected brands in the world, it is argued that the company over the years has emphasized on leisure travel and business travel as some of the key strategic marketing tools (Russell, 2012). Hilton Hotels and Resorts has placed itself strategically in near airports, major city centers, near convention centers and connected to a number of leisure oriented and vacation hotels and resorts. Hilton Hotels and Resorts over the years have partnered with the car rental organizations and with airlines in making sure that the target customers acquire the much needed services.
Surveys have shown that a number of the Hilton Hotels and Resorts are equipped with executive level lounge categorized as Diamond members and Honors members with executive rooms. Majority of the lounges are located at the topmost rooms of the Hilton Hotels and Resorts buildings (Russell, 2012).
SWOT analysis on Hilton Hotels and Resorts will be critical in defining the strengths of Hilton Hotels and Resorts, weaknesses of Hilton Hotels and Resorts, opportunities of Hilton Hotels and Resorts and the threats of Hilton Hotels and Resorts in the global operations of hotels and resorts.
The strengths of Hilton Hotels and Resorts indicated that the company has a recognized brand name, strategically located in major cities in the world, has a strong cash balance, sound employee retention, high expertise basing on the many decades of operations, high reputation in the market, technical innovations are used to improve the business experiences, reputation of the organization is strong and that the professional standards offered by Hilton Hotels and Resorts are of world class standards.
Opportunities within Hilton Hotels and Resorts identify with acquisitions, asset leverage, customer services innovation, takeovers, and online presence through digitization of operations, financial markets, expansion in the emerging markets and availability of diverse avenues in product and services expansion (Russell, 2012).
Weaknesses of Hilton Hotels and Resorts includes inefficient communication, low investment in research and design, diseconomies to scale, weak management teams, damaged brand, not diversified, no strong online presence, over leveraged in the financial position, not innovative, low market share, weak real estate, not diversified, poor networks in the supply chains and by the fact that Hilton Hotels and Resorts is prone to terrorist attacks and infectious diseases among others (Russell, 2012). Although Hilton Hotels and Resorts have a strong brand name, the market share is limited. Governments in the countries of operations have a positive or negative influence in the operations of Hilton Hotels and Resorts.
The threats of Hilton Hotels and Resorts identify with high competition, economic slowdown, cheaper technology, external exchanges like taxes, government regulations and politics among others, product substitution, fluctuations in exchange rates, lower cost imports and competitors, maturing services, stagnated growth, categories and products and price wars.
Hilton Hotels and Resorts are considered the global leader in areas of hospitality; it is generally believed that the organization offers the target customers with authentic experiences critical in attracting and maintaining the target customers. Hilton Hotels and Resorts brand over the years has been propelled by forward thinking, innovations and setting a clear vision of the company (Russell, 2012). The products and services offered by the Hilton Hotels and Resorts are designed in ways to address the exact needs of the global travelers, while still reflecting on the cultural differences of the target customers. The guests are subjected to a home oriented environment where they feel valued, cared for and respected.
SWOT analysis on Hilton Hotels and Resorts has enabled identify the current and past problems in the company in terms of weaknesses and threats. Customer service management was initially an issue at Hilton Hotels and Resorts, but the company has improved with the introduction of the right processes. Customer service marketing has enabled Hilton Hotels and Resorts to reduce operating costs and retention of the customers. The world is experiencing rapid changes, an indication that Hilton Hotels and Resorts has to develop mechanisms of addressing the changes, in building a competitive edge (Russell, 2012).
Hilton Hotels and Resorts have integrated its financial position through pulling up sources of capital in ways that they define corporate finance. Allocations of finances in the outlets of Hilton Hotels and Resorts were a major challenge to an extent that the company opted to operate the outlets under one brand name but with different ownership entities. Hilton Hotels and Resorts operate in all major cities in the world, an indication that culture is a critical aspect to consider in doing business. Hilton Hotels and Resorts make sure that it employs employees from different cultural orientation, in making sure that the company fully addresses the needs of the target customers from diverse cultural orientation.
The target customers of Hilton Hotels and Resorts are from diverse religion. The challenge of religion in Hilton Hotels and Resorts is managed through respecting the faiths and the beliefs of the customers, and by facilitating the customers to feel free as pertaining to the freedom of worship (Russell, 2012). Religious conflicts in Hilton Hotels and Resorts are discouraged, while oneness is encouraged through mutual respects among the parties.
Legal issues are always a problem depending on the countries of operations, it has been noted that there are some jurisdictions expensive and difficult to operate in while some jurisdictions are conducive and efficient to operate in. surveys indicated that Hilton Hotels and Resorts depending on the countries of operations have faced legal issues in the business name and operation structures. Some of the common legal issues identify with the business licenses, non disclosure agreements and zoning among others.
Business ethics in Hilton Hotels and Resorts has always been a challenge; it is argued that business ethics defines the corporate ethics within Hilton Hotels and Resorts, influenced by how the company deals with the professional ethics and the applied ethics. Business ethics defines the way the company addresses the ethical problems, ethical principles and the moral obligations of all the people attached to the company.
Hilton Hotels and Resorts have a strong brand name that is well known to the market, but that does not mean that Hilton Hotels and Resorts should not market itself. Marketing in Hilton Hotels and Resorts is an expensive venture that calls for constant engagement in keeping in touch with the existing and probable customers (Russell, 2012). Human resources at Hilton Hotels and Resorts are classified depending on the countries of operations; each nation has an independent team that deals with the human resources in making sure that each and every nation address issues of culture to the best way possible.
Product development at Hilton Hotels and Resorts is done through collaborative efforts of the Hilton Worldwide, in that each and every branch of Hilton Hotels and Resorts has a responsibility of developing customer’s product depending on the target market. Hilton Worldwide is joint ventures of investors from different nations all trading under one brand name.
The best solution in dealing with the past and the current problems in Hilton Hotels and Resorts are by developing an all inclusive organizational culture. Hilton Hotels and Resorts is viewed as a common workplace or platform where people from diverse backgrounds come together to work in meeting the needs of the target customers. An all inclusive organizational culture will shape the way people work, in defining the values and norms shared by the human capital in the organization (Russell, 2012). Organizational culture is critical in creating a competitive edge in the hospitality industry.
Organizational culture will deliver significant improvements and impacts in delivering high productivity, employee morale, reduced costs of operations, increased profits, high safety of the premises, employees and the target customers, high cooperation among the supply chains, low levels of claims and injuries, reduced insurance rates, high customer service, high retention of employees, low absenteeism and sound recruiting procedures. Other benefits identify with improved employee motivation, sound relations between the unions and the management, high levels of openness to change, high employee involvement, better leadership, smooth mergers, improved teamwork, improved work relationship, enhanced responsibility and ability for the parties involves to feel happy, satisfied and joy (Russell, 2012).
References
Russell, R. C. (2012). Hilton Hotels & Resorts. Saarbrücken: VSD.
