Marriott International is a leading global hospitality company that operates and franchises a diverse portfolio of hotels and related lodging facilities. With over 30 brands and more than 7,000 properties located in over 110 countries and territories, Marriott has established itself as a top player in the hospitality industry. In this essay, we will conduct a SWOT analysis of Marriott to evaluate the company's strengths, weaknesses, opportunities, and threats.
Strong brand recognition: Marriott is a well-known and respected brand in the hospitality industry, with a reputation for quality and excellent customer service. This strong brand recognition is a major strength for the company, as it allows Marriott to attract and retain customers, as well as command higher prices for its services.
Diverse portfolio of brands: Marriott has a diverse portfolio of hotel brands that cater to a wide range of customers, including luxury, upscale, midscale, and economy. This allows the company to appeal to a broad range of travelers and tap into various segments of the market.
Strong loyalty program: Marriott's loyalty program, Marriott Bonvoy, is a major strength for the company. With over 110 million members, Marriott Bonvoy is one of the largest and most successful loyalty programs in the hospitality industry. The program provides guests with a range of benefits and rewards, including room upgrades, free nights, and exclusive member rates.
Strong financial performance: Marriott has consistently reported strong financial results, with revenue and earnings growth in recent years. The company's strong financial performance is a testament to its operational efficiency and ability to generate returns for shareholders.
Dependence on global travel: Marriott's business is highly dependent on global travel, which can be impacted by a variety of factors such as economic conditions, political instability, and public health concerns. This dependency on global travel can make Marriott vulnerable to external risks and uncertainties.
Intense competition: The hospitality industry is highly competitive, with a large number of players vying for market share. Marriott faces intense competition from other hotel chains, as well as alternative forms of accommodation such as vacation rentals and home-sharing platforms.
High debt levels: Marriott has relatively high levels of debt compared to some of its peers in the industry. While the company's debt levels are manageable, they could present a potential risk if the company experiences financial challenges or if interest rates were to rise significantly.
Growing global travel demand: The global travel industry is expected to continue growing in the coming years, with increasing demand for hotel accommodation. This presents a significant opportunity for Marriott to expand its operations and capture a larger share of the market.
Emerging markets: Marriott has a strong presence in many developed markets, but there is still significant opportunity for the company to expand into emerging markets such as Asia, Latin America, and Africa, where there is growing demand for hotel accommodations.
Digital transformation: The hospitality industry is undergoing a digital transformation, with more and more travelers booking their accommodations online. Marriott has embraced digital technologies and is well positioned to take advantage of this trend through its strong online presence and loyalty program.
Economic downturns: Economic downturns can impact the travel industry and negatively affect Marriott's business. A slowdown in global economic growth could lead to reduced demand for hotel accommodations, which would impact Marriott's revenue and profits.
Public health concerns: Public health concerns, such as the COVID-19 pandemic, can have a significant impact on the travel industry and Marriott's business. The pandemic has led to travel restrictions and reduced demand for hotel accommodations, which has had a negative impact on Marriott's financial performance.
Environmental, social, and
Marriott Swot Analysis
The way Marriott has achieved this is by focusing on its customers and workforce. This is a big weakness for the company. Everyone wants to be on that same scale where Marriott stays. While threats with long-term implications can be tackled after addressing the immediate threatening factors. In 2018, an incident happened where the brand fired an employee for just liking a tweet because it offended China. According to James L.
However, SWOT analysis of Marriott has certain limitations that the company must consider to achieve its strategic objectives. So, Marriott should invest a bit more in the technological sector and get a better security system. Achieve standardisation in the face of legal compliances 1. Here is the Marriott SWOT Analysis. Courtyard by Marriott suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.
Fairfield Inn, another Marriott product, is discussed for contrast. Learning at scale — Online learning technologies has now opened space for Marriott Courtyard to conduct training and development for its employees across the world. Usually, it is presented in the two-by-two grid form. An incident in 2018 happened which was about the hacking of customer information. It is a huge name in the market and the world knows about it.
MBA SWOT : Courtyard by Marriott SWOT Analysis & Matrix
These allow it exclusivity over its products and competitors cannot copy or reverse engineer them. Bell deals in all three types of businesses as it provides services to consumers B2C , business B2B and the government B2G. Globalization: The increase in globalization does not mean that the Marriott will be constricted within its own shackles. Alibaba partnership to help expand in Chinse market 2. This is an opportunity for Marriott as its cost of inputs would remain low for the next two years.
Case Analysis Of Hilton Hotel 806 Words 4 Pages Hilton is an American hotel chain founded by Conrad Hilton in the early twentieth century. It can extend its operations to other countries, entering into these markets and making use of the opportunities that lie in these markets. This ensures customer loyalty and will keep customers coming back for more stays. The potential customers are from all over the world. Companies fight for years to become market leaders since they enjoy maximum market share and hold a firm position in the market.
The analysis highlights the opportunities in the external environment that can be incorporated to further strengthen the company. Courtyard by Marriott's access to the suppliers that offer raw material at a lower cost can help it overcome the threat imposed by rising inflation S5, T4. The hospitality industry is subject to various political and legal factors due to its worldwide presence. It will directly impact the business of Marriott Int. What are Threats in SWOT Analysis Threats- Courtyard by Marriott Threats are macro environment factors and developments that can derail business model of Marriott Courtyard.
Heskett, Roger Hallowell , Intellectual Property Rights are effective in thwarting same size competition but it is difficult to stop start ups disrupting markets at various other levels. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Courtyard by Marriott - to build a competitive advantage using analytics. This enables the firm to manage — time, project costs, and have sustainable margins on the projects. SWOT analysis of Courtyard by Marriott can lead the company towards making effective and wise business strategies. A Marriott SWOT analysis helps the community in many different ways. It offers over 30 hospitality brands that have more than 7,200 properties which are spread over 130 countries.
What is SWOT analysis? Most of the Starwood brands have a strong pipeline and are scalable with low cost to build. The firm has a robust talent identification program that helps in identifying the brightest. Marriott Courtyard even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts. Innovation: If there is something that is very eye-catching about Weaknesses of Marriott in SWOT Analysis Weaknesses are part of the internal factors of a company. The valuations of a number of companies are way beyond their existing business model potential.