Competitive Strategy and Strategic Direction: Hyatt Hotels Case Study

This case study examines the hospitality sector through the lens of Hyatt Hotels Corporation, focusing on its significance within the industry and its alignment with the service sector. The study delves into the challenges faced by the organization's management, including industry competition and barriers to entry into new markets, such as product differentiation and economies of scale. The case study provides recommendations to address these issues, including the development of a better, more competitive product and a strategic approach to supply chains, markets, and sales, especially in the Asia Pacific regions. The report highlights the importance of a well-aligned organization to ensure business success. References are provided to support the analysis.

HOSPITALITY AND TOURISM
MANAGEMENT
NAME OF THE STUDENT:
NAME OF THE UNIVERSITY:

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 AND
RECOMMENDATIONS
• The major issues of the organization includes 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.
RECOMMENDATIONS
Some of the major recommendations for the following problems are as follows;
• 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).
• 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.

REFERENCES
• 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.