Innovation and Entrepreneurship in Accor Hotel

Running Head: ACCOR HOTEL 0
Innovation and Entrepreneurship

ACCOR HOTEL 1
Introduction
AccorHotels has a reputation for opening new frontiers in the international hospitality
industry. Its first Novotel hotel was opened in France in 1967. With over presence in 100
countries having 3,500 hotels, this hotel Group and their partners offering holiday options
tailored for both business and leisure. As per report, it is being identified that this hotel group
have employed more than 2, 50,000 employees across all its chain. AccorHotels mission is to
manage and streamline the current assets portfolio with the help of acquisitions and disposals
depend on three standards i.e. cash generation, margin and location. Considering innovation
and competitive environment, AccorHotels foster living innovation with “openness” as their
mantra follows – open to new practices, opportunities and technologies.
Through consolidation and technological disruption, the hotel business has become
highly competitive (Hjalager, 2010). AccorHotels consolidated revenue for the full-year 2018
implies to EUR 3,610 million, up 16.9% year on a reported basis (accor.com, 2019).

ACCOR HOTEL 2
Management & Franchise revenue by segment
Source: (accor.com, 2019)
History
Accor is the story of two friends who opened their first Novotel in 1967 when no one
in France is working on such an innovative hotel business model. These two friends pushed
the boundaries with their boldness and creativity to make their dream of hospitality into
reality in the form of Accor.
In 1974, the first Ibis hotel was established with the opening of Ibis Bordeaux. In
1975, they acquired Mercure hotel chain. In 1983, the group, which had hotels and restaurant
tickets, modified its name to the Accor Group including Novotel, SIEH and JBI holdings. In
1985, a partnership is being formed with Lenotre (a baking and catering company) and
Accor, and in the same year, it launched Hotel Formule offering basic accommodations at
lower prices.
Later in 1990, Motel 6 turn into Accor family considering North American market.
After a few partnership and acquisitions, Accor gains the Red Roof Inn chain in US and also
launches their internet website in the year 2000. On November 19, 2017, Accor celebrated its
50th Anniversary with opening hotel doors to everyday heroes, bonded with the local
communities and become a part of new era for the service industry.