Four season hotel analysis Essay

Four season hotel analysis

Introduction

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Four Season Hotel is a Canadian international five star hotel and resort management company. The company does not own its majority of its properties as it operates them on the behalf of real estate owners as well as developers (Fourseasons.com, 2015). It earns 3% of gross income and 5% of the profits that come from properties that it operates.

Macro-environmental Analysis

Political Factor

In the North America especially in U.S, the hotel services are highly influenced as well as controlled by the legislations which mainly concerns with the quality service requirements. Because of this, consumers are able to gain confidence with the wholesomeness as well as the value of their money which they pay for their products (Four Seasons Press Room, 2014). This has positively affected the company as it has gained many customers. On the other hand, some policies available in this region that concerns with hiring of people does not mainly give priorities to the locals. This is a draw back to the company as it does not promote local people.

Economic factors

The market value of this company with North America represents a further contribution to the wealth which is expressed as both in holding by the private shareholders as well as the one held by institutions (Sharp, 2012). For this reason, the balance of trade that rises from the company in North America is positive since majority of its resources are owned by the host country.

Social factors

Since the company operates in the most of the indigenous countries such as U.S, it is therefore familiar with the behaviors of its clients. Because of this, the company is able to predict the expectations of all of its clients (Fourseasons.com, 2015). In addition to this, the Four Seasons Hotel management knows what to expect from the clients and what not to expect. This enables to company to come up with efficient ways that leads to sufficient satisfaction from clients.

Technological factors

There is improved technology that is found among the North American countries where the hotel operates. Because of this, the company is able make use of infrastructure and technology that is very excellent. This contributes positively to the performance of the company which also contributes to its profitability.

Competitive environmental analysis of Four Seasons Hotel

The company’s generic competitive strategy was mainly focused on the practices that are geared towards differentiation (Sharp, 2012). The company’s human resource management play a very significant role towards differentiation as well as potent source of the company’s competitiveness. Because of this, the company should constantly invest in its human resource development (Four Seasons Press Room, 2014). This should be done even during the times of economic recession. Despite this, the main determinant of the extent to which a company can invest in development of its human resource depends with its financial capabilities.

The company also has unique capabilities in building as well as designing the hotels. It has the superior innovation capabilities that enables its development as well exploiting more innovation ideas. Because of this, the company has the most unique facilities as well as designs that are very attractive and this attracts majority of its visitors. Furthermore, the company is able to offer different satisfaction to different customers who have different demands. This is enables through a wide range of services such as workout options, spa among others. This also contributes to company’s sustainability and competitive advantage.

References

‘Four Seasons Breaks Into The U.S. Market’. Cornell Hotel and Restaurant Administration Quarterly22.4 (1982): 50-53. Web.

Four Seasons Press Room,. ‘Four Seasons Launches New Vacation Rental Website Showcasing Portfolio Of Exclusive Urban And Resort Residences Around The World’. N.p., 2014. Web. 22 Oct. 2015.

Fourseasons.com,. ‘Four Seasons Hotels And Resorts | Luxury Hotels | Four Seasons’. N.p., 2015. Web. 22 Oct. 2015.

Sharp, I., & Phillips, A. (2012). Four seasons: The story of a business philosophy. New York: Portfolio/Penguin