The Duna Hotel franchised by the intercontiential hotel chain located in the city of Budapest, was taken over and restructured by the Marriott. Because the hotel in 1992 became privatized by the Hungarian government it became an imident threat to the Intercontinental franchising chain, because of how much the government demanded change and control in the market share of the hotel and hotel industry. The Duna Hotels reputation was being ruined and two of the biggerest hotel chains Intercontiental and Marriot wanted to take over The Duna hotel and make it part of their market instead. The Marriott hotel came through with bidding the highest amount of money but they still had many problems to face with the government because of our strict their rules were, it then became very hard to change them. Due to this concept of command economy, employees regarded their managers as their “master” and had no right to intervene with their decisions which were based on a certain “plan” given down to the hotel by the government and everyone in the organization had to follow it. Problem Identification
Although Marriot taking over The Dunas Hotel and opening up into the Hugarian market had many positive aspects on numerious levels, there were also many isssues and problems that accured as a consequence and many of these situations occurred because of cultural and finiacal problems. Analysis
Peter Blakes approach to being the leader of the Marriott hotel was extremely autocratic, he was very controlling and didn’t take into account any one elses opinions. Was very future orientated in which he hired students, because they are the new generation who -little pay
-doesnt know what else is out there
-Doesn’t know what to expect
There were many indications with John Blake that caused numerious problems, one of them being the control by the government which caused a lot of pressure on the General Manager John Blake to try and sucseed. One of the...
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