Burj Al Arab Hotel: A Management Analysis of Hospitality Sector

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Added on  2023/01/11

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This report examines the Burj Al Arab hotel in Dubai, highlighting its business opportunities and challenges within the luxury hospitality sector. The hotel, known for its unique design and premium services, faces competition from establishments like One & Only Royal Mirage. The analysis covers the hotel's strategies, including sustainability initiatives through CSR, local employment, and customer relationship management. It also explores pricing strategies, promotional efforts, and potential for market expansion. The report emphasizes the importance of continuous quality improvement and customer feedback in maintaining a competitive edge. The study suggests expanding the target market to include various demographics and leveraging Dubai's tourist attractions to boost growth and customer base. The report concludes by emphasizing the importance of customer service and the hotel's efforts to meet evolving customer needs.
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Running head: MANAGEMENT
MANAGEMENT
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Summary
In this study, the emerging business opportunities as well as challenges faced by Burj Al
Arab have been highlighted. Burj Al Arab is renowned Hotel located in Dubai, which has gained
the market [popularity with its luxurious services. From the year 1999, the company is
maintaining its uniqueness in hospitality industry with its unique design, the sail shape
silhouette. In the 280 m of artificial island, the Burj Al Arab hotel is connected with the main
land through privet curving bridge (Jumeirah.com 2019). Burj Al Arab is being considered as the
fifteenth largest hotel in the globe. In th4e emerging hospitality industry, demands of the
customers towards luxury services have been increased, which has driven the company
popularity in the hospitality industry. Introducing the luxurious suites, bars and restaurant
sections, indoor and outdoor pools, fitness club and many other services, the Burj Al Arab has
ensured its fastest development in the Dubai hospitality sector. In the competitor analysis, it has
been identified that One & Only Royal Mirage has created tough competition for the
organization in hospitality sector. In order to gain the competitive advantage in the market One
& Only Royal Mirage has focused on reducing its pollution, which has created tough situation
for the company.
Different sustainability initiatives through CSR, local employment, supporting local
entrepreneur and exceeding customer expectations are the important initiatives adopted by Burj
Al Arab to gain the competitive advantages in the company. On the other hand, the organization
also aims to develop strong relationship with the customers by developing strong relationship
with them by giving values to their emotional and cultural needs. Through the continuous quality
improvement initiatives, Burj Al Arab has focused on satisfying the individuals’ needs so that
the sustainable position in the competitive business environment can be ensured. In order to
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promote its self-image in the hospitality industry, the Burj Al Arab hotel has adopted different
promotional initiatives through the internet. Analyzing the pricing strategy adopted by the
company, it has been identified that adopting the premium pricing strategy the company has
targeted the upper class customers. In the study, it has been suggested that in order to expand its
business, the company has focused on opening its new branch in Dubai. In order to expand its
target market, not only the premium customers, but also others community classes have been
targeted by the company. It is true that Jumeirah Island and Dubai mall are popular
for availability of tourists in these areas, in that case, offering different Kids
activities in the resorts, the Burj Al Arab hotel can be able to target different age group of
people, which will not only expand its customer bases, but also it can drive positive growth in
the organization. Ensuring the standard customer services, the feedbacks from the customers are
being observed and based on the requirements the further improvements are being introduced by
the company.
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Reference list and Bibliography
Brien, A., Anthonisz, A. and Suhartanto, D., 2018. Human capital in the Dubai hotel industry: A
study of four-and five-star hotels and the HR challenges they face. Journal of Human Resources
in Hospitality & Tourism, pp.1-19.
Jumeirah.com 2019. Retrieved from: https://www.jumeirah.com/en/jumeirah-group/press-
centre/press-kits/burj-al-arab-jumeirah---dubai/ [Accessed on 4th April, 2019]
Nadkarni, S. and Heyes, A., 2016. Luxury consumption in tourism: The case of Dubai. Research
in Hospitality Management, 6(2), pp.213-218.
Zaidan, E.A., 2016. Tourism shopping and new urban entertainment: A case study of
Dubai. Journal of Vacation Marketing, 22(1), pp.29-41.
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