Analysis of Hospitality Business Strategy: Case Study of Hilton Zurich

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AbstractHilton Zurich Airport Hotel is a subsidiary of Hilton Hotels and Resorts, a global chain of five-star hotels. The hotel is strategically situated a few kilometers from the largest international airport in Zurich. Macro-environment analysis of the industry shows that although the risk of political instability in Switzerland is broad, economic recession and environmental degradation are major issues of concern for the hotel. The legal environment is favorable for the long-term growth of the hospitality industry, but companies have to contend with adverse fluctuations in the value of the Swiss franc. Competitive rivalry and the barging power of buyers are the major forces affecting the industry. Results of SWOT analysis reveal that the company’s strong brand name, high-quality services and financial resources are the chief strengths of the enterprise. Its main weakness is the high pricing of services. Competition remains the greatest threat facing the company. Opportunities exist for the hotel to expand the range of services and capacity to attract more customers. VRIO analysis shows that the hotel’s resources are rare and valuable but not difficult to imitate. Table of Contents TOC o "1-3" h z u Abstract PAGEREF _Toc470730588 h 21.Introduction PAGEREF _Toc470730589 h 42.Organization Background - Hilton Zurich Airport Hotel PAGEREF _Toc470730590 h 53.Macro-Environment Analysis of Hilton Zurich Airport Hotel PAGEREF _Toc470730591 h 53.1Political and Legal Factors PAGEREF _Toc470730592 h 63.2Economic Factors PAGEREF _Toc470730593 h 73.3Socio-Cultural Factors PAGEREF _Toc470730594 h 83.4Technological Factors PAGEREF _Toc470730595 h 83.5Environmental Factors