Strategic Management

CORE11-130

Semester 091

Welcome to the family:

Analysis of the Hilton Brisbane

Names: xxxxxxxxxxxxxxx

Tutor: xxxxxxxx

Tutorial: Wed 2-4pm

Word count: 3630

Turnitin Receipt No:

Executive Summary:

The Hilton Brisbane, established as a franchise of the Hilton Hotel Group in 1986, is one of Brisbane’s premier luxury hotels, catering primarily to the needs of corporate customers (Professional Travel Guide, 2009). Being part of the Hilton Hotel Group, one of the Hilton Brisbane’s outstanding attributes is its commitment to make its customers feel as a member of the Hilton family. Furthermore, to maintain & the famous Hilton brand image, the Brisbane franchise has undertaken regular upgrades.

However, the Hilton Brisbane’s resources and attention have been focused on business tourism, ultimately neglecting the profitable domestic tourism market. This has been one of the predominant issues preventing the Hilton Brisbane from capturing a greater market share. This, compounded with human resource concerns over high staff turnover and quality of customer service, as well as insufficient domestic marketing and advertising, has alienated loyal and potential customers. Because of the severe impact of these factors on the Hilton’s operations, this report proposes the following implementation strategies, aimed at rectifying these issues:

1. Attracting domestic tourists through modernization of non-corporate facilities, focusing on accommodation and recreational areas, in addition to specialized promotions.

2. Improving service quality and retention rates by offering more comprehensive and continual training for employees and revising staff incentive programs.

3. Increasing consumer awareness and widening the customer base via new advertising and marketing campaigns, using diverse communication channels, especially focusing on internet presence.

Table of Contents

Executive Summary: 2

1.0 Issue 5

2.0 Target Market 5

3.0 Macro-environment 7

3.1 Societal Values & Lifestyle 7

3.2 Government Legislation & Regulation 7

3.3 Population Demographics 8

3.4 Economic Environment 8

3.5 Technology 9

4.0 Driving forces and Porter’s Five Forces 9

4.1 Key Success Factors 9

4.2 Driving Forces 10

4.3 Porter’s 5 Forces 10

5.0 Analysis of Competitors 11

6.0 SWOT 13

6.1 Strengths: 13

6.2 Weaknesses: 13

6.3 Opportunities: 14

6.4 Threats: 14

7.0 Strategic Human Resource Management 15

8.0 Implementation 15

8.1 Narrow focused target market: 16

8.2 Human Resource Management: 17

8.3 Marketing & Advertising: 18

9.0 Appendix: 19

9.1 Appendix 1 19

9.2 Appendix 2: 20

9.3 Appendix 3: 21

9.4 Appendix 4: 21

9.5 Appendix 5: 22

10.0 Reference List 21

1.0 Issue

This report focuses on the Hilton Brisbane, a franchise of the successful Hilton Hotel Group. Despite its heritage and 23 years of experience in the Brisbane area, it is evident that the Hilton Brisbane still has many inadequacies, which have limited their ability to increase their market share (Professional Travel Guide, 2009). Identified within this report are three major issues that have affected the Hilton Brisbane: a narrowly focused target market, which excludes a major segment of the Australian tourism industry; a lack of local & regional promotion of the hotel, which limits the customer base; and finally difficulties in the human resource segment, suffering under high staff turnover and a lack of service quality. Throughout the report these issues will be analysed and expanded upon and strategic solutions will be provided to overcome the problems.