Shangri-La Hotels and Resorts Hong Kong

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Shangri-La Hotels and Resorts Hong Kong

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Table of Contents
Introduction......................................................................................................................................3
Background of the company........................................................................................................3
Major Competitors.......................................................................................................................3
PESTLE Analysis............................................................................................................................3
Political Factors...........................................................................................................................3
Economic Factors........................................................................................................................4
Social Factors...............................................................................................................................4
Technological Factors..................................................................................................................4
Legal Factors...............................................................................................................................4
Environmental Factors.................................................................................................................5
Ansoff’s Model................................................................................................................................5
Conclusion.......................................................................................................................................6
Reference List..................................................................................................................................7

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Introduction
Background of the company
Shangri-La is a world class Asian hotel chain founded in 1971 by Robert Kuok, a Malaysian-
Chinese Tycoon. Till the January 1983, the business operations were managed by the Westin
group of hotels and later in the year 1982, the company incorporated as Shangri-La Hotels and
Resorts (SHANGRI-LA, 2019a). This Asian hotel chain is well-known for its standards of
hospitality providing excellent services to its guests. The success of Shangri-La stands on its
principles of respect, sincerity, humility, helpfulness and courtesy which has resulted in the
creation of everlasting relations with its customers (SHANGRI-LA, 2019b). Currently, the brand
name has 62 deluxe hotels and resorts under its name in Asia Pacific, North America and Middle
East, and headquartered in Hong Kong. The legendary service provided by this hotel chain well-
known worldwide making it one of the most prestigious hotel brands in the Luxury hotel
industry. The hotel has future plans for expanding to new markets with a strong hold in the Asian
market.
Major Competitors
According to Hospitality Technology (2016), competition is inevitable in any industry and hotel
industry is not far behind. Hotel industry is one of the most competitive and revenue generating
industries which follows the principle of providing quality service and experience to its
customers. The major competitors of Shangri-La Hotels and Resorts are The Ritz-Carlton,
Oakwood, Marriot International, The Minto Group, The Langham Hotels and Resorts, Hyatt and
Starwood Hotels and Resorts.
PESTLE Analysis
The PESTLE Analysis of Shangri-La Hotels and Resorts are presented below-
Political Factors
Hong Kong provides political stability for the businesses to grow in the region whereas the
business environment of the country provides a stable climate to invest (Cohen, 2018), Hong
Kong is one of the most expensive locations in Asia for the business travels due to the country’s
high cost of goods and services and the high prices of hotels. This facilitates the companies to