Westward Hilton Hotel - Case Study Example

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The essay "Westward Hilton Hotel Case" analyzes Westward Hilton Hotel which has the highest occupancy rates which guarantee the huge profit. A hotel has competitive advantages which ensure progress and continuity. In the market, Westward Hilton grasps existing opportunities and makes more profit…
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Westward Hilton Hotel Case
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Westward Hilton Hotel Case Westward Hilton Hotel Case Question One Westward Hilton has competitive advantages which ensure progress and continuity. In the market, Westward Hilton has the highest occupancy rates which guarantee huge profit. Westward Hilton grasps existing opportunities and makes more profit. The organization buys properties which are almost or already bankrupt and sell them at a profit. Bankrupt properties are sold at low prices and Westward Hilton has used this strategy to increase income. Westward Hilton has an effective communication to the customers and employees. The organization communicates with clients who are frequent travelers about their needs. Communication helps Westward Hilton to improve, because they put the systems in respect to customers demand. The enquiry also makes customers to feel part of the organization and give them sense of returning to the hotel. Westward Hilton hires professional and experienced employees who work towards attaining the company’s goals and vision (Cathy, 2009).
Westward Hilton competitive advantages are sustainable except the high occupancy rate. Competitors are emerging and customers may opt to get services from the competitors if they provide low occupancy rates. Other competitive advantage like effective communication and purchasing of collapsing properties are sustainable (Cathy, 2009). Currently, the corporate culture and HR practices can be imitated by the competitors. The company interacts with customers and competitors inquire about a company through customers or employees. It is easy for the customer to disclose the culture of Westward Hilton to the competitors. Westward Hilton has created inequality among the staff members, and they can be tempted to provide information about Westward Hilton in return of favor (Rutherford and O’Fallon, 2011).
Question Two
Selling a business can be as a result of many factors. Opting to sell the hotel was also as a result of some downfall evidenced by the hotel. The hotel sales were dropping which was not guaranteeing existence in future. Credit acquiring rules had increased the capital cost making it difficult for buyers to get loan and acquire the property. In Phoenix market also the supply was increasing and demand reducing. This means that the customers were declining and this could be as a result of United Stated recession (Cathy, 2009).
In choosing to retain the hotel in the portfolio the organization could face some consequences. The hotel business was declining though the rest of portfolio was operating effectively (Cathy, 2009). This means that in keeping the hotel in the portfolio, income from other portfolios will be used to support the hotel business. If the hotel is not generating profit or enough income to cater for expenses like wages, power then it means money will be outsourced from other portfolio to cater for the expenses. This will lead to collapse of all portfolios if the hotel will not peek in a short period of time (Chen and Clarke, 2007).
Question Three
Some of the Hillers general business and human resources strategies are compatible while others are not compatible. Green focused on removing the obstacles or things which hindered the business from progressing. Buying of the undervalued properties can sometimes lead to loss. Hiller can fail to obtain a buyer due to raise in the loan interests. If the organization does not get a buyer for some time, it may lack capital for future operations. The human resource strategies currently in place are compatible as training is offered to employees (Cathy, 2009). What is not favorable is the inequality practiced among employees which makes some of the employee to be devalued and perform poorly. The organization should treat all employees equally (Pizam, 2010).
The mission statement and the general business strategy are compatible. The organization works to make peoples live better in performing business (Cathy, 2009). In order to operate effectively the organization is close to the customers and makes sure that they are satisfied. The organization provides competitive salary to the employees in order to keep their lives better. They interact with customers and enquire about what they need in order to meet their needs (Chen and Clarke, 2007).
Cathy A. E (2009). Hospitality Strategic Management: Concepts and Cases. New York: John Wiley.
Chen W. and Clarke A. (2007). International Hospitality Management: Concepts and Cases. New York: Routledge.
Pizam A. (2010). International Encyclopedia of Hospitality Management. Boston: Butterworth- Heinemann.
Rutherford D. G. and O’Fallon M. J. (2011). Hotel Management and Operations. New York: John Wiley & Sons. Read More
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