Business Strategy for Marriott International

Business Strategy

Executive Summary
Present document has showed different kinds of theories that has helped Marriott
International in maintaining both internal and external business environment so that to sustain
within the market for a longer period of time. Including this, Marriott Internationals would
require to consider their various resources so that they could effectively develop number of
strategies so that to it could sustain within the competitive business environment. Based on the
information. it is much needed for Marriott Internationals to find out the number of gaps so that
they could effectively create number of goals and objectives for themselves. Including this, it is
said that it will be pretty much important for Marriott International to keep on updating their
financial statements as this would help investors in looking at the situation that if it is right to
invest within the company or not. At present, it has showed that yes it will be beneficial for
investors to invest within the company as it can deliver effective returns on investments.

Table of Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................1
Company's Background..........................................................................................................1
Business Model......................................................................................................................2
Mission, Vision and Strategies...............................................................................................3
Micro Environment..........................................................................................................................4
Porter Five (5) Forces.............................................................................................................4
Macro Environment.........................................................................................................................5
PESTLE analysis of Marriott.................................................................................................5
Financial analysis.............................................................................................................................7
Profit ratios.............................................................................................................................8
Liquidity ratio.........................................................................................................................9
Shareholders ratio.................................................................................................................11
TWOS............................................................................................................................................13
TOWS analysis of Marriott .................................................................................................13
Conclusion.....................................................................................................................................15
References......................................................................................................................................17

Introduction
This report is based upon amount of competitive actions, which are efficaciously be used
by Marriott International to achieve enviable goals and objectives in specific time frame. There
are other essential elements which are crucial in this report are business plan along with the
mission and vision of the company that would lead a company like Marriott International. This
would lead investors to attain or grab the information in relation to what exactly the situation
company is holding (Brewster, C., 2017). Apart from this, the organisation that has been taken
into consideration within this report i.e. Marriott International. Away with this, report is going to
be enclosed with company's background and its strategic directions. Including this, report will
also keep it's focus on financial performance level and lastly, critical evaluation is also going to
be presented in regards to responsibilities that the company carries in respect of operational
practices.
Company's Background
Marriott International, a world famous hospitality organisation dealing at international
and national level, where it manages and franchises a broad portfolio of various hotels that offers
quality lodging facilities (We Are Marriott International. 2019). At initial level, company has
started itself with a name of A&W root beer, which was stand at Washington, D.C. This
company was specifically started in the form of small business and in present, Marriott
International is holding the third position among the largest hotel chains in all over the world.
Apart from this, hotel business organisation is having around 30 brands considering over 7,003
properties among 131 different nations. Moreover, as of March 31st, 2019 firm is having
approximately 1,332,826 rooms, where 2,035 have been built to manage around 559,569 rooms
(Leonidou and et. al., 2017).
If it is talked about Marriott Internationals history then in the year of 1927, both J.
Willard Marriott and Alice Marriott got married and launched their first A&W franchise
considering a menu with number of blistering food items. This has helped them in giving named
to their shop as Hot Shoppes. Including this, just when both of them has started gaining enough
profit, which made them to think over launching two more Hot Shoppes. In the year of 1937,
company has started dealing in food delivering sector, where company started offering
passengers with boxed lunches(Shuen, 2018). Apart from that, in the year of 1953, Hot Shoppes'
1

shares started to become public in nature, where it was sold in the amount of $10.25/share. Just
when, Hot Shoppes reached to it's highest successful level, this is where both the owners has
decided to shift into hotel industry, to enhance the profit margins and this has been done in the
year of 1957 and it was particularly managed by Bill, who is the son of J. Willard Marriott.
Basically, the hotel has built first motor hotel at Virginia (Moseley III, 2017).
In 2012, President and CEO of Marriott International who became was Arne Sorenson
considering the number of acquiring Gaylord Hotels Brand which resulted in adding five hotels
and a meeting along with the event space of around 2 million square feet. Through this,
organisation has reached to a good position within the international market. Along with this, in
2015 and in 2016, Marriott has performed the acquisition with the hotel chain named as Protea
Hotels' Brands and with Delta Hotels. This made Marriott to become a successful hotel chain in
all over the world, where company has become the largest full-service hotelier in all over
Canada, where it has earned high amount of profit margins and so on (Prashar, A., 2018).
Business Model
Key Partners Key Activities Value
Propositions
Customer
Relationships
Customer
Segments
 Franchises
 Subsidiari
es
 Luxury
and
Premium
 Resorts
and Hotel
Managem
ent
 Online
Booking
 Marriott
is said to
one of
the finest
hoteliers
in all
 On Site
Locating
 Website
 Different
types of
assistance
 Focus over
business
customers
 Accommo
dative
facilitaties
2
Illustration 1:
Marriott International Reports First Quarter 2018 Results

brands
 Investors
 Luxury
Activities
over the
world.
 Marriott
Rewards
 Various
programs
in relation
to customer
loyalty
Key Resources Channels
 6000
hotels in
120
Countries
 Brand and
Luxury
Market
 Online
booking
 Travel
agents
 3rd Party
booking
(Online)
Cost Structure Revenue Streams
 Brand
 Image
 Standards
 Employees Salaries
 Additional Services
 Booking
 Application Fee
Mission, Vision and Strategies
Vision : "To be the World's Favourite travel Company'' (Frequently Asked Questions,
2020)
Mission : To raise the standards of living of customers through offering them with
luxurious leisure experience (Marriott Mission Statement Analysis and Vision, 2019).
Cultural Strategy followed by Marriott International : Basically, the famous hotel
believes in taking care of their associates because they think that offering staff with zero
discriminative environment would help them in serving best to the customers.
Competitors : Holiday Inn, Intercontinental, Hilton, Candle Wood, and many more are
said to be some of the crucial competitors that Marriott International is having, that are giving
good rivalry at international market.
3