HAT203 - Hyatt Hotels: Strategic Recommendations for Hospitality

This case study examines Hyatt Hotels Corporation within the hospitality sector, focusing on strategic issues and recommendations. It identifies key challenges such as intense competition and barriers to entering new markets, particularly concerning product differentiation and economies of scale. The analysis recommends that Hyatt focus on providing competitive products, leveraging its global brand recognition for expansion, especially in the Asia Pacific region. Additionally, it emphasizes the importance of establishing efficient supply, market, and sales channels to achieve necessary economies of scale and ensure business success. Desklib offers a variety of resources, including solved assignments, to aid students in their studies.

Running head: HOSPITALITY AND TOURISM MANAGEMENT
Hospitality and Tourism Management
Name of the student:
Name of the University
Author Note:

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Table of Contents
Case Study Overview.................................................................................................................3
Summary of Identified issues.....................................................................................................3
Strategic Recommendations.......................................................................................................3
Reference List............................................................................................................................5

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Case Study Overview
The following case study has been based on the study of the hospitality sector in the
modern world based on the example of Hyatt Hotels Corporation. The case study starts with a
brief yet compact discussion of the hotel and its importance in the hospitality sector. The
association and the similarity of the hotel industry with the service industry has been the
major characteristics of the following service sector and thus the business activity and the
way the hotels are managed are addressed through this study. However, the major area of
study in this report has been the study of the different issues that are faced by the
management of the business organizations.
Summary of Identified issues
The major issues of the organization include the likes of the different kinds of the
business organizations which are the highly competitive industry which often leads to
problems (Lam and Law 2019). The major issue faced by the management of the
organization is the barriers to entry into new markets. The barriers to enter new and
competitive markets have ushered major problems for the company. Product differentiation
and economies of scale are the major reasons behind such issues.
Strategic Recommendations
Some of the major recommendations for the following problems are as follows;
a. The management needs to provide a better and competitive product. This process can
be helpful as because Hyatt as a brand has a global recognition and thus such a
strategy can help Hyatt to establish a large number of branches especially in the Asia
Pacific regions (Webster 2016).

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b. The organization has to consider a proper channel of supply, market and sales in the
new market to achieve the required economies of scale. The alignment of the
organization in a proper way can ensure business success.

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Reference List
Lam, C. and Law, R., 2019. Readiness of upscale and luxury-branded hotels for digital
transformation. International Journal of Hospitality Management, 79, pp.60-69.
Webster, C., 2016. Hotel chains, globalisation, and politics. The Routledge Handbook of
Hotel Chain Management, p.459.