Hyatt Regency Paper
[pic]
Analysis of Corporate and Business Strategies
Executive Summary
The following report will describe an overview of the current environment and how it is affecting the hotel industry, and then will be preceded by a corporate level and business level strategy analysis. The company that will be the subject of the paper will be Hyatt Global Corporation, and its brand, Hyatt Regency.
In the PESTE (Political, Economic, Socio-Cultural, Technological, Ecological) analysis the group discovered many circumstances that are currently affecting the hotel industry. The threat of terrorism, the financial crisis, the evolution of travelers, the development of technological advances, and the effects of global warming and natural disasters are all issues that have been on the rise in the past and current global economy.
Hyatt Global Corporations main mission “is to provide authentic hospitality by making a difference in the lives of people we touch everyday including our associates, guests and owners.” (Reference 15). Along with their mission, Hyatt’s objectives are to improve their existing hotels, and to expand their presence in attractive markets. They rely heavily on their associates’ capabilities to provide service, brand portfolio, and innovation capabilities. Hyatt, while improving on their brands, also looks to diversify their activities, e.g. their development of senior care centers.
Hyatt Regencys’ are located all around the globe, and compete directly with brands including Marriott, Sheraton, etc. Their value chain includes asset management and human resources (at corporate level), marketing services, a central reservation system, operations, and their Gold Passport loyalty program. All are part of the direct production of the service they provide. Hyatt Regencys’ have a high bargaining power over their suppliers and buyers, and have managed, thanks to their critical success factors, to create large entry/mobility barriers, to overcome the threats
Analysis of Corporate and Business Strategies
Executive Summary
The following report will describe an overview of the current environment and how it is affecting the hotel industry, and then will be preceded by a corporate level and business level strategy analysis. The company that will be the subject of the paper will be Hyatt Global Corporation, and its brand, Hyatt Regency.
In the PESTE (Political, Economic, Socio-Cultural, Technological, Ecological) analysis the group discovered many circumstances that are currently affecting the hotel industry. The threat of terrorism, the financial crisis, the evolution of travelers, the development of technological advances, and the effects of global warming and natural disasters are all issues that have been on the rise in the past and current global economy.
Hyatt Global Corporations main mission “is to provide authentic hospitality by making a difference in the lives of people we touch everyday including our associates, guests and owners.” (Reference 15). Along with their mission, Hyatt’s objectives are to improve their existing hotels, and to expand their presence in attractive markets. They rely heavily on their associates’ capabilities to provide service, brand portfolio, and innovation capabilities. Hyatt, while improving on their brands, also looks to diversify their activities, e.g. their development of senior care centers.
Hyatt Regencys’ are located all around the globe, and compete directly with brands including Marriott, Sheraton, etc. Their value chain includes asset management and human resources (at corporate level), marketing services, a central reservation system, operations, and their Gold Passport loyalty program. All are part of the direct production of the service they provide. Hyatt Regencys’ have a high bargaining power over their suppliers and buyers, and have managed, thanks to their critical success factors, to create large entry/mobility barriers, to overcome the threats