WACC calculation: 1) Lodaging: For Risk free rate‚ we use the 30-year U.S. government interest rate to match the duration of lodge. rf = 8.95% For the expected return of the market portfolio‚ we use the average of S&P 500 index returns from 1926 – 87 as the proxy. rm = 12.01% Therefore‚ the Market Risk Premium‚ MRP = rm - rf = 12.01% - 8.95% = 3.06% The debt rate spread of lodging = 1.10% βD = spread of lodging / MRP = 1.1 / 3.06 = 0.3595 rD = rf + MRP * βD = 8.95% + 3.06% * 0.3595
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When J. Willard Marriott opened his first nine stool A&W restaurant in Washington D.C. on May 20‚ 1927 he had no idea what his name would mean to the world one day. John Willard Marriott was born on September 17‚ 1900. He was from a farm in Utah where he spent his childhood and young adult ages working for his parents. Early on‚ J. Willard was a young mind looking for business. When he was old enough his dad let him travel for the family business. While he was going through Washington D.C. he
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How useful is social class as a variable for segmenting consumer markets? Explore. In the early days of segmentation‚ according to Schiffman‚ it was not unusual to apply only one segmentation criterion‚ e.g. demographic segmentation. Today marketers have realized that it is to simplified to apply only one criterion for segmenting complex markets. Therefore‚ it is common to combine several criteria to create rich and comprehensive segmentation profiles in order to find the most beneficial target
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UNIVERSITY MARRIOTT CORPORATION BONDHOLDERS VERSUS EQUITY HOLDERS On October 5‚ 1992‚ Marriott Corporation announced a plan to restructure the company by splitting itself into two parts. The announcement caused immediate and opposite price movements for its stock and its bonds. Stockholders were happy and bondholders were in a furor‚ particularly those that bought a new issue of bonds in April. The Restructuring Plan The two separate companies were to be Marriott International and Host Marriott. The
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Chunzi Wang Dec 21‚ 2012 Question: Compare three different hotel service softwares (Hotel ServicePro‚ GuestWare‚ Oscar). What are key features and price point of each one? What are strengths of each one? With Marriott‚ Providence hotel condition‚ why they choose GuestWare as their service system interface? Do you think this is their best choice? Why? Answer: Key features & Price Hotel ServicePro The software‚ held by Hotel SystemsPro‚ LLC is one of lodging’s industry most significant
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Considering the strategic importance of Baku there is a competition for the market share in Azerbaijan tourism market. Beside‚ these brand hotels‚ there are privately owned small and boutique hotels in the market like the Landmark‚ Sultan-Inn‚ Ambiance‚ Days-inn‚ and etc. This factor makes the completion much harder to new comers. The problem of low quality service is going to be solved thanks to these chain hotels opened in Baku. However‚ the price factor is still problem for many visitors as
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learned lots of knowledge by doing my assigned task. I was assigned in Concierge Department‚ in Concierge Department we are responsible in taking care of the baggage and other things of our guest. In 38 days of staying and having an OJT in Mariott Hotel and Resorts‚ I learned the importance of great impression. Because in our industry which is the Tourism Industry‚ our impression to our guest is very important. Just “show simple smile‚ be friendly and approachable with them it will give a good impact
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Marriott Corporation: The Cost of Capital T c=income taxes of 1987 / income before income taxes of 1987 = 175.9/398.9 = 44% Step 1:From the Exhibit 3 ß equity for each firm in this industry are below Marriot Corporation 1.11; Hilton Hotels Corporation .76 ; Holiday Corporation 1.35 La Quinta Motor Inns .89; Ramada Inns‚ Inc 1.36. Step 2: For each firm in the industry‚ to estimate bunlevered using the bequity estimate: bequity = [1 + (1-TC)Debt/Equity]bunlevered bunlevered of Marriot= 1.11/[1+(1-
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Sport England: Segmenting the British Sports Market Introduction Sport England is the government agency responsible for building the foundations of sporting success‚ by creating a world-leading community sport environment of clubs‚ coaches‚ facilities and volunteers. They want to create a vibrant sporting culture working in partnership with national governing bodies‚ national partners‚ the HE/FE sector‚ local government‚ county sport partnerships and community organizations. Their focus is around
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MARRIOTT INTERNATIONAL‚ INC. { PEST ANALYSIS } External Environment Analysis Every organization has analyzed its strength and weakness. Nevertheless‚ the external environment is also the important factor that affects the future of the organization. In the environment that we are living nowadays has changed all the time. Therefore‚ it has to analyze on the external factors. PEST Analysis is the tool and method to handle the marketing‚ which is one of the well-known methods to analyze the external
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