Strategic Hospitality Management: Formulation of Corporate Strategy and Industry Practices

Strategic hospitality
management

Table of Contents
Introduction.................................................................................................................................................3
Main body...................................................................................................................................................3
Formulation of corporate strategy............................................................................................................3
critical analysis of the industry practices.................................................................................................6
Conclusion...................................................................................................................................................8
References...................................................................................................................................................9

Introduction
Strategic hospitality management plays an important role in the hospitality sector. This
sector is a part of large group of organization which is also considered as tourism and travel
sector. Tourism and hospitality industries are basically the largest growing sector in the world
because they helps in promoting the value of the country around the world. Strategic
management helps in monitoring the performance of the business so that they can meet their
goals effectively in the marketplace and can earn more profit. Strategies management helps the
leaders and managers to plan their strategies effectively so that their performance cannot get
affected and they can get the right direct to work on. In this report the selected organization is
Marriott which is the top hospitality industry around the world. It was founded by J. Willard
Marriott on 20 may 1927. It provides the luxurious services to the customers. This report will
cover the formulation of corporate strategy and different industries practices of Marriott.
Main body
Formulation of corporate strategy
Corporate strategy is basically a framework which works on the long term goals of the
organisation it helps the industry in gaining competitive advantage in the market so that goals of
the company can be achieved effectively in the market. if the organisation wants to earn more
profit in the market then it is important for the company to build competitive strategies so that
revenue generating power of the firm can be increased in the marketplace. it helps in the
effective decision making which helps in enhancing the performance of the company in the
market (Bani-Melhem, 2018). strategies of the company helps in improving the services in the
market so that goodwill of the firm can be increased in the marketplace. corporate strategies is
basically the organisational strategy which help in increasing its goodwill in the economy and
can provide better services as compared to other organisation in the market.
There are various steps which are involved in the corporate strategy formulation:
 Setting organizational objectives: strategies can be formulated effectively if the long term
objectives of the business have been identified properly so that various decision and
planning can be done. The main aim of implementing the strategies is to achieve the

goals of the business so that more profit can be generated. Once the objective of the
business is clear it is easy to implement strategy in the business.
 Evaluating the business environment: Environment of the business helps in identifying
the position at which the business is operating currently. It helps in identifying the profit
and loss of the business in the market so that profit of the business can be increased in the
market.There are various factors in the internal environment of the business which helps
in formulating the strategies of it by providing the current status of the business in the
marketplace so that more profit can be earned.It also helps in identifying the strength and
weakness of the business so that goals of the business can be achieved effectively in the
market.Identifying the strength and weakness of the business helps in analyzing the areas
where improvement is needed so that goals of the business can be achieved effectively in
the market (Bani-Melhem, 2018).
 Implementing quantitative targets: In this step, the organisation has to set the quantitative
value of its objectives which they have to achieve so that various decision and strategies
can be implemented accordingly in the business. it improves the customer base of the
business by improving the services of the business in the market.
 Aiming in context with the divisional plan: in this step various contribution is done by the
different business on the basis of which various planning of strategies is done in the
business so that goals of the business can be achieved properly in the market. If the
organisation will not plan it strategies accordingly then it can affect the performance of
the business in the economy and profit margin of the business will also get affected
(Chepkwei, 2021).
 Performance analysis: it helps in identifying the gap between the planned and desired
performance of the business. It helps in evaluating the past performance and present
performance so that various formulation of strategies can be effectively in the business.
Performance of the business will help in evaluating the current status of the business so
that improvement can be done on the basis of that in the business.
 Choice of strategy: in this various strategy is formulated after analysing the goals,
objectives and status of the company so that performance of the business can be enhanced
and more revenue can be generated in the business.Strategy is formulated by analysing
the performance of the business so that goals of the business can be achieved properly in