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Analysis of Fourseasons Hotel Business Strategy

   

Added on  2023-04-21

26 Pages5378 Words237 Views
Running head: MANAGEMENT
Management
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Executive Summary
The report has thrown light on analysing the overall business strategy of Fourseasons Hotel
which is situated in Canada, and they have their branch in Singapore. Furthermore, the
SWOT and PESTEL analysis have been conducted which provided a brief overview on the
different strengths, weaknesses along with threats and opportunities which can affect the
overall business of the company in both positive or negative manner. Additionally, it has
been noticed that the VRIO analysis was conducted which provided a brief overview on the
different kinds of the competitive aspects which helps the company in gaining
competitiveness in the overall market and become the most luxurious brand.

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Table of Contents
Overview of Fourseasons Hotel.............................................................................................4
Vision.....................................................................................................................................4
Mission...................................................................................................................................5
Corporate Objective...............................................................................................................5
SWOT Analysis.........................................................................................................................5
Strength..................................................................................................................................5
Weakness................................................................................................................................6
Opportunities..........................................................................................................................7
Threats....................................................................................................................................8
PESTEL Analysis.......................................................................................................................8
VRIO Analysis.........................................................................................................................14
Porter five forces......................................................................................................................16
Bargaining power of suppliers.............................................................................................16
Bargaining power of customers...........................................................................................17
The threat of substitute.........................................................................................................17
The risk of new entrants.......................................................................................................17
Industry rivalry.....................................................................................................................18
Recommendation......................................................................................................................19
Conclusion................................................................................................................................21
References................................................................................................................................23

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Introduction
The report throws light on the overall analysis of the business strategy of Fourseasons
Hotel with the proper identification of the external and internal environment which can create
a significant effect on the business in both negative or positive manner. With the
implementation of different tools such as SWOT, PESTEL, Porter's Five Forces Model
analysis along with VRIO analysis have been considered which will help manage the overall
competitiveness of the organization. Proper recommendations are required to be provided
which will assist in sustaining the business in the long run and gain competitive advantage.
Overview of Fourseasons Hotel
Fourseasons Hotel Limited is one of the international luxurious hospitality
organization which is headquartered in Toronto, Ontario based in Canada and they have the
branch in Singapore. The hotel tries to operate in more than 100 hotels worldwide. The hotel
was founded in the year 1961 on 21st March, and the key people who are involved in the
foundation of the hotel is Isadore Sharp. The revenue which has been earned by the
organization until 2015 is US$ 4.3 billion. Furthermore, the number of employees who are
employed in the organization is 45000, and from the year 2007, Bill Gates along with
Cascade Investment and Al-Waleed bin Talal are the principal owners of the company
(Fourseasons.com 2019).
Vision
The primary purpose and vision of Fourseasons hotel are to create different impressions for
the different customers which will be staying with them forever. Furthermore, the hotel aims
to become the premium service provider along with facilitator of the vacation along with
leisure experiences to the customers and gain competitive advantage (Fourseasons.com
2019).

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Mission
On the other hand, the purpose of Fourseasons Hotel is to enhance the lives of the different
customers through proper creation and enabling leisure experiences effectively. Furthermore,
at Fourseasons hotel, the company believes in recognising the familiar kind of face along
with welcoming the new guests and similarly treating all the individuals as we would want to
be treated (Fourseasons.com 2019).
Corporate Objective
To take care of the different associates along with taking care of the various
customers
To pursue excellence wherein the significant dedication of the company is on
providing a positive experience to the customers
To act with integrity as the central aspect of performing business is to gain
profitability through the implementation of different techniques which are ethical
SWOT Analysis
Strength
Fourseasons Hotel has more than 50 years of experience in the industry of the hotel,
and they have well-earned prestige along with the reputation as one of the top luxury brands
in the entire world.
The two different hotels which are being perceived by Fourseasons Hotel in Mexico
are regarded as the top hotels. Any event which is organized at Fourseasons Hotel tries to
provide the guests with the proper prestige, and it increases the overall brand image of the
company (Akter et al. 2016).

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The hotel is well-positioned among the different other travel agencies which are
recommended by them to the privilege clients. The main motto of the hotel is to provide the
customers with the luxury and best service which is available to the clients to satisfy the
requirements of the clients effectively. Furthermore, the respective hotel is being sought by
the different top travellers' scale for the various business and personal trips (Albrecht,
Holland and Peters 2016).
Weakness
There is no such presence of PR of the Fourseasons hotel brand in Mexico in terms
of the local media. Furthermore, the respective hotel is being perceived as the most expensive
brands among the customers which can affect their brand image and sales negatively (Boyd et
al. 2017).
There are different perceptions of the customers in the market as they feel that the
various products and services which are being offered by them is undifferentiated and there
is no such innovation in the services which are provided to the customers (Chang 2016).
Fourseasons Hotel is termed as a most luxurious hotel, and there is no such
innovation or favorite kinds of stuff inclusion which can affect their overall effectiveness
negatively. It is expected that the Fourseasons hotel is required to provide the different types
of premium services, however, when they are not meeting the standards, the travellers and
media overly demand critics (Chatzoglou et al. 2018).

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