Assignment | International Hospitality Management Nowadays

INTERNATIONAL
HOSPITALITY
MANAGEMENT

Contents
Introduction............................................................................................................... 2
Background to international hotel industry.........................................................................2
Background of Crown Plaza........................................................................................... 3
SWOT analysis of Crown Plaza...................................................................................... 3
PESTLE Analysis of selected UAE market........................................................................5
Porter`s five forces model.............................................................................................. 8
Hotel strategy adopted and implemented in the emerging market.............................................9
Application of strategies for upcoming 5 to 10 years ahead...................................................12
Conclusion.............................................................................................................. 13
References.............................................................................................................. 15

Introduction
With the changes in conducting business due to globalisation, it is seen that MNCs have tried
to extend their hands to expand in different countries. This globalisation has forced talented
workforce to shift to other counties to either earn their livelihood or conduct a business trip.
The report will discuss several impacts of globalisation, change management, international
marketing, and branding on the hotel industry. After viewing the trends of the international
hotel industry, Crown plaza Victoria London anticipates to expand in UAE after analysing
the macro-environmental factors such as political factors, social factors, economic factors,
technological factors, legal factors, and environmental factors of UAE.
It is important to analyse the competitive force, in which the company will face competitive
rivalry from other players, bargaining power of suppliers, bargaining power of buyers, threat
of substitutes, and threat of new entrants. These factors have been analysed from Porter five
forces model. To analyse the internal environmental of the business (Crown Plaza), the report
have used SWOT analysis.
Background to international hotel industry
With increasing purchasing power of global consumers and globalisation of business, it is
perceived that global hotel industry records higher revenue. Over the last 30 years, it is seen
that hoteliers often plan for long term with an aim to reduce its cost and maintain service
levels. As per the statistics of hotel industry, total revenue of global hospitality industry has
earned more than USD 500 billion in 2018 (The business research company, 2020).
Furthermore, hotel industry has earned 6-7 percent in 2019. Millennial has set biggest
consumer base in upcoming years for Hotel Company. Travel industry is nearly 10 percent of
world`s GDP (Yi, Thawornwiriyatrakul, and Bi, 2018). Hotel industry has noticed
tremendous upsurge because of large number of MNCs, which has opened their locations at

global level, as many business travellers will continue to increase (Arif, and Hossin, 2016).
Organisations in hotel industry focus on enhancement of customer experience. Hospitality
market is segmented through food and beverage services accounting for greater share of hotel
industry nearly 78 percent in 2018. This market is expected to increase at the rate of CAGR
of 8 percent and exceed $5891 by the end of 2022. Marriott, JW Marriott, IHG, Hilton,
Wyndham, Crown plaza, St. Regis, Rosewood, Luxury collection, and Hyatt marks the
majority of international hotel industry (Arif, and Hossin, 2016).
Background of Crown Plaza
Crown Plaza is the multinational chain of upscale hotels, which has been headquartered in
UK. The hotel is a great place to stay enabled with leisure and luxurious facilities by making
them stay in relaxed mode. It has been located at nearly 410 locations worldwide. It caters
business travellers to meetings and conventions market. It operates in more than 100 nations
with nearly 3600 hotels in these nations (Crown Plaza Victoria dockland, 2019). The hotel
avails spacious accommodating with speedy Wi-Fi connections, flat screen TV and work
desks in a room. Further, in 1990 IHG (intercontinental Hotel Group), which has purchased
Holiday inn, and Crown Plaza to become one brand of IHG brand (The business research
company, 2020).
SWOT analysis of Crown Plaza
Strengths
Global presence-
The quality assurance is undoubtable because currently Crown Plaza operates in nearly 100
nations (Crown Plaza Victoria dockland, 2019). Furthermore, it is considered that among all
the leading hotels, Crown plaza has the largest room area worldwide (Sharma, Sharma, and
Tanwar, 2020).