Strategy

Topics: Hotel, Star, Management Pages: 3 (606 words) Published: May 9, 2011
IB CASE
IB CASE

69733015 Eric Cheng
49635033 Bob Yen
69933028 Gantuul
69932051 Khongor
2011/4/25

69733015 Eric Cheng
49635033 Bob Yen
69933028 Gantuul
69932051 Khongor
2011/4/25

Roaring Dragon Hotel

Roaring Dragon Hotel

Summary
The Roaring Dragon Hotel is a three-star hotel located in the southwest of China. Provincial government want to exchange their business environment, and organizational culture, make more profit. In 2002 the provincial government decided that it was time to expand their hotel and make the jump to a five star hotel. They hired a consulting company to conduct an evaluation of the hotel from top to bottom. Everything from the service to the procedures was included in the evaluation. The results of the evaluation were shocking to HI.  The results showed that his staff was lazy and incompetent.  There was no way that they would be able to make the transition to a five star hotel without firing most of the six-hundred employees or spending a large amount on re-training the existing ones.

Discussion
1. Could the management of the HI team have been more culturally sensitive and was its strategy correct to achieve its goals? 2. How could HI have better prepared for the takeover?
3. Could Tian Wen, the former Chinese general manager, have been used in a more advantageous way? In this case, the main focus is collision of the two different business cultures. To Roaring Dragon Hotel, their local Provincial government and consultant team from HI tried to transit RDH into a new five stars hotel. But HI team’s tactics seemed being wrong. Before the takeover, HI team had only take a little research about the employee’s working habit and ethic, business clients of RDH. The biggest problem is occurred in their international human resource management. The hotel’s basic organizational culture was relaxed with many employees managing to find time to do something. HI had to change some deeply entrenched nonproductive work...
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