Explore the Management and Core Competencies of MGM National Harbor | Hospitality Industry Analysis

In this analysis we will discuss about management and below are the summaries point:- MGM National Harbor: A leading destination for quality entertainment and customer satisfaction. Mission and Vision: Providing optimum entertainment experiences and becoming a market leader in the hospitality industry. Core Competencies: Strong cash flow, quality infrastructure, and positive impact on economic and societal development.

Running head: MANAGEMENT
Management
Name of the Student
Name of the University
Author Note

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Introduction:
The hotel and the resorts industry is observed to have notable amount of growth in the
modern business context. One of the major reason responsible for the significant growth of
the industry is observed to be the sharp rise in the growth of the tourism industry. The
increased development of the tourism industry is seen to trigger the growth of hotel and the
resort industry (Croes, 2014). Along with this, the significant increment in the number of
openings of the hotels and the resorts is pretty effective in stating the growth of the industry.
The comparatively higher spending of the customers is observed to be one of notable factor
responsible for the increased growth of the industry and the organizations of the industry.
The paper focused in the analysis of a company situated in United States in the form
of MGM National Harbor. The paper provides notable amount of information regarding the
vision, mission and the objectives of the organization and at the same time, it also identifies
the core competencies of the organization. Along with that, the paper provides significant
inputs regarding the strength, weakness, opportunities and the threats of the mentioned
organization. In addition to this, the paper also identifies tangible and the intangible assets of
the organization with the application of the resource based view. The paper also identifies
unique selling proposition of the chosen organization.
1.
Company’s mission, vision, values:
The mission of the company is to make sure that they be able to provide the optimum quality
experience of the entertainment to the customers of them and along with that, they are
determined to provide the much needed delight to the customers of them.
The company is seen to have the vision of becoming the one of the prime business
organization or market leader in the hospitality industry of the host nation.

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The company had the objective of producing the much required value to the prices that the
customers of the organizations are seen to pay through the significant infrastructure and the
quality in the services.
Core Competencies:
The chosen organization is one of the prime destination in United States for the
production of the quality entertainment. The company is determined in providing the
optimum quality experience to the customers of it. In addition to this, the reduction in the
stress and frustration of the people of the country is seen to be one of the prime motto of the
organization (Mgmnationalharbor.com, 2019). The organization plays a crucial role in the
economic and the societal development of the country and that seems to increase with the
increment in the operations of the company.
The chosen company consists of 308 numbers of rooms along with a gaming space of
135000 square foot and attractive casino (Mgmnationalharbor.com, 2019). The resort was
opened in the year 2016 in the National Harbor location of the country and is managed by the
MGM Resorts International (Mgmnationalharbor.com, 2019). Considering the mission,
vision and the objective of the organization, the core competencies of the organization are
described below:
Core Competencies Impact Justification
Strong cash flow Rare The senior management of
the resort is able to acquire
significant amount cash flow
and that notably helpful in
the production of the quality
infrastructure that enables

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the management to produce
the optimum quality
experience of entertainment
to the customers of it. Many
of the organizations in the
mentioned industry are
observed to suffer from the
lack of funds for the
development of the
infrastructure and that
becomes one of major
reason responsible for the
decrement in the revenue for
those organizations (Dogru
& Sirakaya-Turk, 2017).
Hence the achievement of
sufficient funds to invest on
the infrastructure so that it
increases attractiveness of
the resort, becomes notably
crucial.
Suppliers Costly The resort is blessed with
significantly strong
supplier’s base. The
suppliers of the MGM

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National Harbor are seen to
provide quality raw
materials for the operations
of the restaurant, hotel and
the casino. This is
significant in the generation
of the customer loyalty as
the achievement of the
quality materials is of
notable importance in
enabling the organization to
achieve the preferences of
the customers (Önder &
Kabadayi, 2015).
Employees Costly As the success of the
mentioned organization
notably depends production
of the quality in the services
of the employees of the
organization, the skills and
the competencies of the
employees of the
organization is of great
significance for the
company (DeCenzo,

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Robbins & Verhulst, 2016).
With the effective
understanding of the
mentioned fact, the
organization is seen to invest
considerable amount of
resources to meet the
training and the
developmental needs of the
employees of the
organization in providing
the optimum quality services
to the customers of it. The
improvement in the skills
and competencies of the
employees of the
organization is observed to
be significant as it produces
the much needed motivation
to the employees of the
organization in striving
towards quality operations.
Three of the mentioned core competencies of the organization, are seen to have
notable amount of impact on the organization. The excellence of the suppliers and the supply

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chain networks that the organization has, is significant in enabling the organization to meet
the varying demands of the customers which ensures the fact that the customers are happy
with the services of the organization and the company is able to meet their mission of
providing optimum quality services. In addition to this, the company’s aim of producing the
optimum quality services to the customers is notably influenced with the improvement of the
skills and the competencies of the employees of the organization. Apart from this, the
achievement of the notable amount of funds, is significantly helpful for the organization in
improving their infrastructure so that they be able to meet the requirements of the modern
generation customers and be able to provide the uninterrupted supply. Hence it is pretty
visible that the core competencies of the organization is able to effectively execute the vision,
mission and the objectives of the organization.
2.
SWOT Analysis:
Strengths
 Significantly strong cash flow.
 Highly skilful employees.
 Significantly Reliable Suppliers.
Weakness
 Impurities in financial planning.
 Absence of the implementation of
the new technologies.
 Lack of efficiency in the inventory
management.
Opportunity
 Reduction in the cost of
transportation.
 Achievable and appropriate modern
customer trends.
Threats
 Strict implementation of the
environmental regulations in case of
the sourcing of the supply.
 Intense competition of the market.

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 Widening of the sales channels
through the social media and print
media marketing.
Strength:
The organization is able to produce the scope of finding the brilliant combination of
the entertainment, luxury and the relaxation to the customers of it through the business
conduction of it.
As mentioned earlier, the supply chain network, that the organization has, is a genuine
strong point of it. The raw materials for the variety of the beverages and foods that the
company serves to the customers of it, is sourced from the efficient suppliers. The excellence
of the supply chain network of the organization is pretty evident with the significant services
that Osteria Costa, Mixology Program, TAP Sports Bar, Ginger, Shake Shack, Maryland Fry
Bar and Bellagio Patisserie are able to achieve (Mgmnationalharbor.com, 2019).
In addition to this, the employees of the organization are seen to perform in
significant manner and that becomes pretty evident with the increased generation of the
revenue for the organization. The considerable amount of investment of the organization in
the training and the developmental activities are observed to be the prime reason responsible
for the increment in the efficiency of the employees of the organization.
The strong flow of the cash is one of the major reason responsible for the
improvement of the infrastructure of the organization which enabled it to meet the desired
quality requirements of the customers (Lewellen & Lewellen, 2016).
Weakness:

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The organization is able achieve a strong cash flow, however, the management is seen
to conduct the financial planning in an inefficient manner and that is pretty evident with the
current asset ratio and the liquid asset ratio of the organization which confirm the fact that the
available cash can be managed in a more efficient manner to generate high returns.
The required inventory on daily basis is seemed to be significantly higher compared
to the competitors of the organizations which forces the organization to invest larger capital
in the mentioned channel and that restricts the rapid economic growth of the organization.
The investment of the organization in incorporating the technology and the innovation
into the services and the products that they offer to the customers is observed to be notably
limited and that is a possible reason which restricts the organization from increasing their
effectiveness to the customers.
Opportunity:
With the lower shipping prices for the sourcing of the materials, the organization has
the opportunity to limit and reduce the transportation cost of the products and that will
significantly help the organization to increase their profit or to invest the saved sum in
producing the benefits to the customers so that they be able to capture larger market share
(Redding & Turner, 2015).
The company has the appropriate skills for aligning their operations to the ever
changing preferences of the customers which enables them to serve a larger number of the
customers. Hence this becomes a notable opportunity for the organization to invest on the
newly developed revenue streams in increase the product line of their organization as well.
The company is seen to invest a significant amount in the promotional events through
the online channels. This resulted in the opening of notable numbers of new sales channels

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and through the usage of the big data analytics, the company has significant amount of
opportunity to increase their sales.
Threats:
The sourcing of the raw materials for the manufacturing of the products and the
services that the company offers to the customers, is observed to be significantly influenced
with the strict implementation of the national and International environmental regulations and
a legal and ethical sourcing of the raw materials is seen to increase the manufacturing cost of
the products.
As the hospitality industry is seen to achieve a rapid growth along with the tourism
industry in the recent years, the stable profitability for majority of the existing organizations
are seen to invite many of the new entries into the industry and that is expected to put a
downward pressure on the profitability and the overall sales of the existing organizations.
3.
Tangible Assets and Non-Tangible Assets:
Tangible Assets Non-tangible Assets
 The significant infrastructure of the
organization.
 Efficient Workforce.
 Competitive Advantage.
 Strong Cash flow.
 Brand Recognition
Tangible Assets:
The managing authority of the chosen organization is able to implement a notable
infrastructural development including spa and salon, pool, shopping malls, wedding spaces
and Art centre. The excellent management of the infrastructure is pretty evident with the

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notable improvement in the business conductions in the places such as Osteria Costa,
Mixology Program, TAP Sports Bar, Ginger, Shake Shack, Maryland Fry Bar and Bellagio
Patisserie (Mgmnationalharbor.com, 2019). The significant improvement in the infrastructure
is able to increase effectiveness of the organization’s business.
As mentioned earlier, the considerable number of the training and developmental
activities and a significant amount of investment from the part of the organization for the
improvement of the skills and the competency of the employees is observed to be a major
step in the achievement of the organization’s objectives that is to provide the optimum quality
experiences of entertainment to the customers (Belo et al., 2017).
Non-tangible Assets:
With the significant infrastructural development over the years and the creation of the
specific spaces in the form of Osteria Costa, Mixology Program, TAP Sports Bar, Ginger,
Shake Shack, Maryland Fry Bar and Bellagio Patisserie for specific activities, the company is
able to create a significant competitive edge over the competitor organizations
(Mgmnationalharbor.com, 2019).
The improvement in the infrastructure of the organization is observed to have a strong
base with the efficient and strong cash flow and the significant improvement in the
infrastructure of the organization along with the excellence of the employees in serving in
accordance to the preferences of the customers, is significant in achieving the mission of the
organization that is to retain the existing customers and the create new customers as well
(Vetoshkina & Tukhvatullin, 2015).
VRIO framework:

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Valuable
Organized
to capture
value
Costly to
Imitate
Rare

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With the implementation of the VRIO framework in the resource based view analysis,
it is pretty evident that the organization’s improved infrastructure and the efficient workforce
are two of the major tangible assets. Along with that, the strong cash flow and the brand
recognition is able to provide significant competitive advantage to the organization. The
strong cash flow of the organization is seen to be instrumental in the improvement of the
infrastructure which leads the organization towards the achievement of the improved sales.
Along with that, the significant investment of the organization in the training and the
developmental activities for the employees is seen to be of great significance in the
production of the quality in the services and the products of the organization. This becomes
significant in the generation of the customers loyalty. It is pretty visible that the significantly
strong cash flow inside the organization that leads to the improvement of the infrastructure,
skills and the competencies of the employees along with the formation of a significantly
attractive brand, is rare and difficult for the other organizations to imitate. It is also visible
that the above mentioned assets of the organizations are able to provide the much required
competitive advantage to it in an intensely competitive market.
4.
It is pretty evident from the core competencies of the organization that the strong cash
flow, efficiency of the employees and the effective supply of the products from the part of the
suppliers are expressively difficult for other organizations to imitate. It is seen that the
organization is able to manage the sourcing of the materials in an efficient manner and that is
pretty evident with the significant business conduction in the mentioned bars and restaurants
of the organization. The amount of investment that the organizations is able to conduct in the
training and the developmental activities of the employees of the organization is unmatchable
for many of the organizations of the mentioned industry. This plays a crucial role in the
improvement of the quality of the services of the employees of the organization and that is

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instrumental in the creation of the customer’s loyalty (Belo et al., 2017). In addition to this,
the organization is seen to have significant financial backing and the mentioned aspect of the
strong cash flow inside the various operations of the organization, is seen to be significantly
difficult for other organizations to match (Vetoshkina & Tukhvatullin, 2015). The importance
of the strong cash flow is seen to be immense in conducting the infrastructural development
which has the potential to improve the experiences of the customers and attract larger number
of customers as well.
Conclusion:
On a concluding note, the company is able to increase their business in significant
manner and the main responsible factor for the same is seen to be the significant
infrastructural development of the organization. The infrastructural development of the
organization and the efficiency of the employees in handling the customers with the
production of the desired quality in their services are of great significance in increasing the
business of the organization in future as well.

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References:
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importance of skilled labor. The Review of Financial Studies, 30(10), 3669-3709.
(Retrieved from: https://www.nber.org/papers/w21487.pdf)
Croes, R. (2014). Tourism and poverty reduction in Latin America: where does the region
stand?. Worldwide Hospitality and Tourism Themes, 6(3), 293-300. (Retrieved from:
https://www.researchgate.net/profile/Robertico_Croes/publication/262450934_Touris
m_and_poverty_reduction_in_Latin_America_Where_does_the_region_stand/links/
54ad65240cf2828b29fc78e4.pdf)
DeCenzo, D. A., Robbins, S. P., & Verhulst, S. L. (2016). Fundamentals of Human Resource
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%20resource%20management&f=false)
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cash-holdings-in-hotel-firms.pdf)
Lewellen, J., & Lewellen, K. (2016). Investment and cash flow: New evidence. Journal of
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Investment_and_cashflow.pdf)

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Mgmnationalharbor.com (2019). Fried Seafood - Maryland Fry Bar. Retrieved from
https://www.mgmnationalharbor.com/en/restaurants/maryland-fry-bar.html
Mgmnationalharbor.com (2019). Hotel & Casino in National Harbor. Retrieved from
https://www.mgmnationalharbor.com/en.html
Mgmnationalharbor.com (2019). Osteria Costa. Retrieved from
https://www.mgmnationalharbor.com/en/restaurants/osteria-costa.html
Mgmnationalharbor.com (2019). TAP. Retrieved from
https://www.mgmnationalharbor.com/en/restaurants/tap.html
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_ANP1.pdf)
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