Impact of Hilton Hotel Company on the Hospitality Industry: A Report

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This report provides a comprehensive analysis of the Hilton Hotel Company, detailing its historical background, global presence, and brand portfolio. It examines the company's evolution, from its founding by Conrad N. Hilton to its current status as a leading hospitality brand operating in over 100 countries. The report delves into the company's mission and vision statements, emphasizing its commitment to customer service and creating positive guest experiences. It explores the company's development and ownership strategies, including franchising operations and management services, highlighting the financial requirements and market reach of Hilton franchises. Furthermore, the report investigates the importance of guest services, sustainability initiatives, and the economic impact of Hilton on the hospitality industry, including employment and tax contributions. The analysis incorporates insights from an interview with a general manager, a comparison of the company's website with those of competitors, and a summary of key findings regarding the company's growth and future prospects. The report references various academic sources to support its findings.
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Running head: HOSPITALITY MANAGEMENT
HOSPITALITY MANAGEMENT
Name of the Student
Name of the University
Author Note
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Hilton Worldwide
The company was founded by Conrad N. Hilton in the year 1925. It is now present in
more than 104 countries worldwide. It is known to be one of the largest and fastest growing
hospitality brand in the whole world. In the year 1919 Conrad Hilton was the first person who
had purchased the first hotel which consisted of 40 roomed Mobley Hotel in Cisco, Texas.
Afterwards he brought additional hotels in Texas. In the year 1925 The Dallas Hilton became the
first hotel which used the Hilton name.
The restaurant industry is also growing at a very fast rate. The company is known to have
more than 14 world class brands in the portfolio. According to the author Corte (2016) the Hilton
Hotel are known to be the most flagship brand of the Hilton Worldwide company. It has also
received most known hospitality band which has achieved most of the luxury and service quality
more than most of the five star rated hotels in the world (Mejia, Hua & Wang 2018). The Hilton
Worldwide hotel and hospitality services might fall due to the increase in the cost of the labor as
well as the increase in the packages which are offered to the customers. The classifications
within the segments mainly includes: The Casino Business, Luxury Hotels, Full service hotels
which cater to the business and leisure travels.
The mission statement is mainly focused into two main parts which are the hospitality
sector and the high positive impact in the business. It believes in providing the customers with
the best quality customer services and creating heartfelt experience for the guest. The vision
statement is to fill the earth with the light and warmth of the hospitality. The benefit of the
hospitality industry in the place is that they are known to value the community by delivering
various types of services to the local people (Hilton, Arguedas and Reinert 2018).
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Development and ownership
It also engages the community to build a positive image. Hilton had first introduced the
hotels in the year 1927 which had cold running water and air conditioning public rooms. In the
year 1947 the Roosevelt Hilton in New York City becomes one of the hotels where the first
television was found. In the year 1950 Hilton had created its first special amenity female traveler
cars which only had the cars for the female travelers. In the present era the company has divided
its business in 100 different countries and has expanded its foot prints (Jones, Hillier & Comfort
2016). The company has very strong ownership development information where the owner
services group is dedicated in recognizing, rewarding and communicating with the customers.
This helps in providing satisfaction to the customers. The architecture and construction is
maintained by a team of professionals which develops site construction reviews, and
construction monitoring. The Hilton Management services are the top most and largest
management and service companies in the industry which develops superior choice for the
owners of the company.
Franchising
Hilton Hotel Company began franchising in the year 1965 and since it has expanded its
footprints to more than 100 countries. To open a Hilton hotel franchise, the minimum amount of
money which is required is as much as $112 million which includes the initial franchise fee of
$75000. However according to the author Kornberger (2018) the world wide sales across the
Hilton Resorts and Hotels franchise system is more than $12 billion dollars (Kiron, Reeves and
Kruschwit 2018 ).
Interview Procedure
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After interviewing the general manager it has been found out that according to them guest
service is the top priority to the hospitality industry. According to the author Worldwide, (2016)
guest services at a hotel are the services, amenities, which helps the hotel to provide best service
to the customers. Guest services in Hilton Hotel Services include delivering free morning orange
and mango juices along with the daily newspapers. It also means providing the customers with
the tickets of the local show in the hotel lobby (Guix, Bonilla-Priego & Font 2018). According to
the manager the direct impacts which is created in the economy of the country is the huge
amount of employment and other types of services. Also indirect impact can be further
calculated with the result of the hospitality is with the jobs which are created in the supply and
delivery industry, various types of marketing jobs in the farming industry. According to the
author Kornberger (2018) the main factor which should be taken into consideration is that the
hospitality sector is also contributing to the nation’s GDP.
The huge amount of tax it contributes to the government and the huge amount of
employment it has create in more than 100 countries worldwide. Various types of trainings
which are offered to the workers are architectural design and constructions, communications
with the workers and employees, trainings on the engineering, revenue management and
operations. Risk management training and trainings on the SPA operations and development are
provided by the Human Resources department. The qualification which is required to be the
Manager of the Hilton Hotel hospitality industry is a bachelor’s degree in hospitality or hotel
management. The number of people who are employed in Hilton Worlwide is 169,000 with 5700
properties worldwide (Sucher & Cheung 2015).
Sustainability is one of the most important factor which is taken care by almost all the
growing hospitality sectors all around the world. The green development strategies which are
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4HOSPITALITY MANAGEMENT
implemented by the Hilton Hotel Company is the reduction of the carbon gases in the
environment. The industry has partnered few companies which are developing electric vehicles.
The reduction of the petrol and diesel cars will help reduce the excess emission of carbon into
the nature. There is also another zero carbon building regulation, where the industry is also
building green building codes that is aimed at creating driving concern for the customers in the
city. The green buildings are known for using less than 36% energy at an average and emit les
than 25% of carbon dioxide (Jurigová, Tučková & Kuncová, 2016). It also uses less amount of
water and the solid wastes are fully biodegradable (Jung, 2017).
Comparing the company website with two other
Hilton Hotel Company website : https://www.hilton.com/ provides the exclusive offers which
are provided by the hotels of Hilton. The official website offers best locations to plan out for the
business organizations.
Marriott Vacation club website : www.marriottvacationclub.com provides a vast history about
the company, the collection of hotels, resorts and spa offered by the company. The company
offers the legal information and shows the frequently asked questions.
Starwood Hotels and Resorts website : http://www.starwoodpromos.com provide a clear
description of the hospitality industry, the places and countries they are presently operating in.
For more support and care the company has uploaded the working days, hours of works in the
specific country along with the toll free phone numbers of the countries.
Report on the impact the company is making in the hospitality industry
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5HOSPITALITY MANAGEMENT
Hilton Hotel Company was founded on a noble premise which in the present era makes
travelling more easily and better. The hotel service is more than 100 years in the journey and still
they are widely expanding their business. They should also plan more innovative techniques in
order to acquire more and more market in the future. They should also plan ways in order to
make their business a sustainable one in the future (Rosner, Urdaneta, & Yepes, 2019). In over
the 100 years of their existence the company has served more than 12 trillion guests. It has
grown up to such an extent that it is opening more than a hotel in a single day and is achieving
almost seven percent net unit in the average yearly growth. The company has expanded luxury
portfolio with the launch of LXR Hotels & Resorts and the marquee opening of Waldorf Astoria
Las Vegas, Waldorf Astoria Atlanta Buckhead and Waldorf Bangkok has created more than
28000 job in most of the important countries in the world like the London, Boston, Dublin and
Washington, D.C (Wang, Qu & Yang 2019).
Summary of the findings
In order to summaries the above research paper it can be said that the paper has
successfully discussed the history of the business organization. It has thrown points on the
development and expansion in the hospitality industry. It has discussed the amount of franchise
and qualifications which are required to become a franchise. It has then discussed the training
programs offered and number of people employed.
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References
Della Corte, V. (2016). The strategic environment of hotel chains. In The Routledge Handbook of
Hotel Chain Management (pp. 83-94). Routledge.
Ertuna, B., Karatas-Ozkan, M., & Yamak, S. (2019). Diffusion of sustainability and CSR
discourse in hospitality industry: dynamics of local context. International Journal of
Contemporary Hospitality Management.
Guix, M., Bonilla-Priego, M. J., & Font, X. (2018). The process of sustainability reporting in
international hotel groups: an analysis of stakeholder inclusiveness, materiality and
responsiveness. Journal of Sustainable Tourism, 26(7), 1063-1084.
Jackson, L. A., & Jung, H. (2017). The Lodging Franchise Relational Model: A Model of Trust,
Commitment, and Resource Exchanges. The Journal of Hospitality Financial
Management, 25(1), 56-73.
Jones, P., Hillier, D., & Comfort, D. (2016). Sustainability in the hospitality industry: Some
personal reflections on corporate challenges and research agendas. International Journal
of Contemporary Hospitality Management, 28(1), 36-67.
Jurigová, Z., Tučková, Z., & Kuncová, M. (2016). ECONOMIC SUSTAINABILITY AS A
FUTURE PHENOMENON: MOVING TOWARDS A SUSTAINABLE HOTEL
INDUSTRY. Journal of Security & Sustainability Issues, 6(1).
Kiron, D., Unruh, G., Reeves, M., Kruschwitz, N., Rubel, H., & ZumFelde, A. M. (2017).
Corporate sustainability at a crossroads. MIT Sloan Management Review, 58(4).
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Kornberger, M., Pflueger, D., & Mouritsen, J. (2017). Evaluative infrastructures: Accounting for
platform organization. Accounting, Organizations and Society, 60, 79-95.
Mejia, C., Wei, W., Fu, X., Hua, N., & Wang, Y. (2018). Hospitality and tourism experts'
perspectives on Chinese independent tourists' US service expectations through a
mobilities lens. International Journal of Tourism Research, 20(6), 726-737.
Rosner, J., Urdaneta, C., & Yepes, M. (2019). Marriott International: Exploring and
Understanding Disruption in the Hospitality Industry in South Florida Jose Darsin.
Journal of Multidisciplinary Research, 11(1), 99-117.
Salvioni, D. (2016). Hotel Chains and the Sharing Economy in Global Tourism. SYMPHONYA
Emerging Issues in Management, (1).
Sucher, W., & Cheung, C. (2015). The relationship between hotel employees’ cross-cultural
competency and team performance in multi-national hotel companies. International
journal of hospitality management, 49, 93-104.
Wang, Y. C., Qu, H., & Yang, J. (2019). The formation of sub-brand love and corporate brand
love in hotel brand portfolios. International Journal of Hospitality Management, 77, 375-
384.
Worldwide, H. (2016). Creating opportunities for youth in hospitality.
Zhang, Y., McGuire, S. J., Kwong, K., Gosalia, N., Tiwari, M., & Abousaidi, N. (2018). dusitD2
Hotel Constance Pasadena. Journal of Case Studies, 36(2), 22-52.
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