Hotel Case Study Analysis

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Founded in Spain in 1956, Meliá Hotels International is the third-largest hotel group in Europe and the largest resort chain in the world.

Listed on the IBEX 35, it boasts 380 hotels and more than 98,000 rooms across 43 countries.

The international hotel company is a member of a hotel market at a specific location, and it is surrounded by a sociological environment, local people, culture and traditions which have an impact on the competitiveness of the hotel.

The author explains the results with the application of the multidimensional scaling model, finding answers for the questions in which ways the local embeddedness can have an effect on the competitiveness of a hotel based on a case-study carried out in a five-star hotel (member of an international chain) of Budapest in 2016.

The success of the restaurant led to the hotel receiving 400% more rent than it’s previous tenant, enhancing the value of the real estate asset.

The hotel was then able to close it’s other restaurant and room service program, improving profits further.

Initially the objective of the assignment is to turn around the business.

The scope of the intervention, however, changes dramatically as the consultant finds himself in the midst of a high stakes stakeholder standoff with numerous parties vying for ownership of the business.

team analyzed the market, identified a need and set out to bring in an operator that would present a concept to fill this need. met and vetted numerous third party operators through its extensive network of contacts that have been developed through decades of experience.

With a goal of finding the “right person at the right time with the right operating philosophy that would give us what we wanted in the way of the concept and the levels of service,” Next! After negotiating a “win-win” tenant improvement allowance deal that would be fair for hotel and operator, Next!


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