BSM783: Caesar's Palace Hospitality Business Strategy Report

This report presents a comprehensive strategic analysis of Caesar's Palace, a prominent luxury hotel and casino in Las Vegas. The analysis begins with an introduction to the hospitality industry and Caesar's Palace, highlighting its significance. It then delves into the strategic management of the organization, providing an overview of its business environment. A PESTEL analysis of the United States is conducted to understand the external factors influencing Caesar's Palace. This is followed by a SWOT analysis, identifying the hotel's strengths, weaknesses, opportunities, and threats. The report further examines the competitive advantages of Caesar's Palace, particularly its customer-centric approach and service differentiation. Current strategies, including data analytics and loyalty programs, are discussed. Finally, the report offers recommendations for the hotel, such as expanding customer interests, investing in advertising, and adapting to customer preferences. References to relevant literature are also provided.

Hospitality Business Strategy
THE CASE OF CAESAR’S PALACE

Introduction
 The hospitality industry is a highly competitive industry.
 It is essential to establish suitable management strategies and operate
properly.
 The hospitality industry encompasses different business related services
along with the recreational services.
 The focus is always more on the customers, their desires and requirements.
 It includes the entertainment, business, transportation, events along with
the cruise lines.
 The focus of this paper will be on Caesar’s Palace located that is one of the
most popular luxury hotels located in Nevada, United States

STRATEGIC MANAGEMENT OF HOSPITALITY INDUSTRY

Introduction of the organization
 Caesar’s Palace is considered to be one of the biggest Luxury hotels and Casino
in the United States.
 The hotel is located in western Las Vegas Strip specifically between The Mirage
and Bellagio.
 It is also one of the largest best known landmarks in the place.
 In the year 1966 , the hotel was established by Jay Sarno.
 It was intended to create an opulent facility which could give the guests a sense
of life
 The special attractions of the place are The Colosseum, The Forum Shops
 The notable restaurants are Old Homestaed Steakhouse, Mr Chow and Bacchanal
Buffet

The business environment
 In order to know the external environment of Caesar’s Palace, the
political , economic, social, technological and legal atmosphere of
United States needs to be known.
 Hence, the PESTEL analysis of USA will be done to get a better insight
into everything.
 The United States of America is economically and politically a suoer-
powerful country. It is the founding stone of the biggest institutions
such as the World Bank, the International monetary fund, the United
Nations and many others.

The Political
 The United States is considered to be the second largest country in the
world’s democracy .
 There is a fair and transparent system for the elections and the head of
the country is the President.
 The people of the country enjoy stable political climate in spite o all
the minor challenges.
 It is a political influence to many countries around the world.
 The country suffers from criticism due to few interventionist policies .

The Economic
 USA is found to be the largest economy of the world in terms of
minimum GDP.
 The organizations such as Miicrosoft, Fscebook, McDonald’s, Subway
are taking their shape in this country.
 However, there has been a recession in the year 2009 which had
affected the USA economy badly
 Significantly , everything has been changed . The income levels have
improved since the year 2016 and in USA labor is not at all cheap.

CAESAR’S PALACE

The Social
 The USA stands third in terms of population having a total population
of 326 million.
 It is also a highly diverse country and by the year 2020, the Americana
will have Latino, Asian, African or the Native American ancestry.
 The education system of USA is probably the best in the whole world
and the healthcare system too.
 Maximum people in the country has liberal mindset but there have
been certain racial tensions too.

The Technological
 The United States is considered to be a global leader in terms of
technology and science.
 The technological needs of the people of America have been fulfilled
by the companies such as Microsoft, Apple, Facebook , Google and
many others.
 In this manner these companies have become the global leaders in all
respect.

The Environmental
 The United States have a diverse climate, geography and wildlife. The
diversity is coupled with various factors such as arrival of the tourists in
the country.
 The countries like Mexico, Japan, Canada and China are among the top
countries which send maximum tourists to the United States.
 The United States have faced few of the toughest weather conditions
in the whole world.
 It has sustained almost 218 climate disasters since the year 1980.
 These disasters might cause disruption in the tourism industry and
subsequently in the hospitality industry.

The Legal
 The legal environment is the last component of the PESTEL analysis of
the United States.
 The states of the USA have their own individual government structure
along with the legal scheme.
 The country also upholds equality of the foreigners and nationals.
 The expatriate employee enjoy unbiased trials out of the judicial
systems.
 There is also a strong legal system which protects the Intellectual
Property Rights.