Management Report: Accor Hotels and Airbnb Strategy Canvas Analysis

This report provides a comparative analysis of Accor Hotels and Airbnb's strategies, focusing on their approaches to market share and competitive advantages within the hospitality industry. The analysis utilizes a strategy canvas to highlight the key differences in their business models, particularly in the context of digital distribution and the sharing economy. The report examines how Accor Hotels, a traditional hotel chain, responds to the disruptive influence of Airbnb, which leverages online platforms and alternative accommodation models. The study also delves into the competitive forces within the industry, assessing the impact of new entrants, industry competitors, and the evolving customer behavior. Furthermore, the report discusses the implementation of employee engagement, development, and training strategies by Accor Hotels to maintain service quality and customer satisfaction, while also evaluating the role of technology in enhancing efficiency and expanding market reach. The analysis concludes with a discussion of Porter's Five Forces model to assess the industry's attractiveness and the challenges and opportunities for both companies in the upscale and midscale accommodation segments.

Running head: MANAGEMENT 1
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MANAGEMENT 2
Question#3. Implementation of strategy canvas to compare ACCORHOLETS
strategy versus Airbnb digital distributer.
A strategy canvas is applied in making a comparison of the strategy used by
Accor Hotels and the one applied by Airbnb to capture a market share in the areas they
excel rather than the areas already dominated by the competitor. Airbnb as an emerging
competitor in the hotel industry chooses to use an online strategy to enter the hotel
business. By the use of this strategy, Airbnb chooses to explore the unexploited use of
internet services thus posing a challenge to the established hotel chains (Valerie, 2017).
On the other hand, Accor Hotels employs a distinct strategy that assists it to sustain the
competitive nature of the market. Accor Hotels opened up branches in many parts of the
world which include; Novotel, Ibis, and Mercure among others to expand its customer
base. Besides that Accor Hotels offers a variety of services at different costs to its
customers. These services may include; midterm, luxury and economy segments
(Valerie, 2017). The wide range of service segments ensures that the hotel has a huge
customer base. The Accor Hotels employed this strategy which had not yet been
exploited by its competitors hence ensuring excellence in the hotel market. Besides that
Accor Hotel has employed another strategy whereby it ensures there are proper
employee engagement, development and training. Proper employee engagement has
enabled the hotel to offer quality services as compared to other key players in the
market hence gaining a huge customer base (Valerie, 2017). It involves employees’
relationships within the organization. The management of the hotel has opted to work
closely and collaboratively with the employees to make sure that the service delivery to
the customers is quality.
The entry of Airbnb in the hotel market has led to the introduction of a new
service in the hotel industry. It introduced the concept of sharing accommodation which
never existed. Besides, Airbnb also reduced the cost of entry into the hotel industry by
the introduction of economy sharing concept (Valerie, 2017). Moreover, Airbnb lead in
the use of this concept hence became a threat to existing hotel chains. Also, Airbnb has
been an important key player in the elimination of manual hotel booking. The hotel
based its success on a sophisticated system and technology which has facilitated online
hotel bookings, a strategy that has been adopted by other hotel chains. This has
increased the number of customers booking for the hotel online (Valerie, 2017). The
economy of the hotel has increased due to the increased number of customers booking
the hotel online. Besides, technology has increased the level of efficiency within the
hotel. The booking has been effective because it can be done anywhere at any time by
just click and book on computers or mobile phones (Valerie, 2017). Moreover, the
booking technology strategy has increased the standards of the hotel to the
international level (Valerie, 2017). The hotel can host customers from different countries
because booking has been made easy for the customers to choose them according to
their test and preferences.

MANAGEMENT 3
Reference
Valerie K, B. (2017). Accor hotels’ digital transformation a strategic response to
hospitality disruptor Airbnd. International Journal of Hospitality Management.
pp1-25.