The Marriott Corporation is a well-established organization that has been operating by providing lodging to customers for several years. In 1969 the first Marriott Hotel was built in the United States. Since the emergence of the first Hotel the Marriott Corporation has strived to make it brand an international mainstay. Currently, Marriott has several locations in the United States, Asia; South America; Europe; Africa; etc. There are several brands that are part of the wide umbrella know as the Marriott Corporation. The Marriott is a pillar organization that thrives on innovation, cultural awareness, and cultural inclusion on a multitude of levels. One location where this has been made apparent is in the United Kingdom. More precisely in the London Marriott. For 16 years the Marriott developed several locations in London further expanding it globalization strategies and customer base. In this paper this writer will evaluate the Marriott Corporation to analyze how the Marriott has developed and is evolving in positioning for greater global competitiveness; globalization strategies adapted to London; and compliance to government policies (industry, regulations, etc.) while simultaneously summarizing the objectives and or issues of Marriott and advise the implications of the issues identified and offer detailed explanation to support the insights and recommendations.
The Importance of Positioning for Greater Global Competitiveness
The positioning of products and service for organizations is key to establishing, and maintaining a competitive edge in one’s selected industry. In the hotel industry there are several different strategies that can be implemented into an organization’ business and corporate strategies that create a superior persona and attract new customers; while maintaining current customers. Some of the strategies that are used are location, skilled and professional staff; and value in an organization. In the Marriott Corporation in London England a heavy emphasis is placed on using services marketing to highlight diversity and the emphasis on the importance of excellent customer service to any and everyone. The competitive position of the Marriott Corporation is the influences by several contributory factors. More specifically the servicescape, and evolution of the organization’s goals, which promote inclusion and diversity.
Servicescape
The servicescape is all the features and offerings in the physical and virtual environment of the Marriott Corporation that is geared toward striving to follow their core value, “putting the customer first”(Corporation, 2015 np). This is accomplished by recognizing the importance of cultural diversity and cultural awareness. The servicescape is also a marketing tool that is used to attract potential customers while concurrently satisfying the needs and wants of current customers. Because the Marriott Corporation’s environment is extremely significant to developing and maintaining an active customer base, “ the position advanced here is that the physical surroundings are, in general, more important in service settings because customers as well as employees often experience the firm’s facility”(Bitner, 1992 p 58). The Marriott Corporation in England has been capable of sustainability and maintaining a competitive edge because they have evaluated on every minor and major detail that may have an influence on customer behavior, and culture. The physical environment of all Marriott Corporation locations differ and provide unique services to the persons that are the targeted market in that cultural environment. Historically, the Marriott Corporation would advertise prototypes of its rooms to potential customers to determine which model was the most favorable. Currently the Internet and virtual tours are new methods for customers to visualize what their selected room will look like as well as all of the amenities that the room includes. Hence, the physical environment, and different services are two key concepts that have been used to help the Marriott developed a multicultural international position and brand that has been capable of sustainability.
Virtual Servicescape
Along with the physical attributes that the Marriott in London contribute to making the stay at the hotel an enjoyable and familiar, the virtual servicescape is just as significant. As a means to maintaining its competitive edge is the Marriott is tackling sustainability. Tackling sustainability is achieved by investing in local suppliers; expanding and building more hotels to create jobs; attracting talent that peaks diverse languages and with a variety of skills; and marketing efforts to attract a younger client base. Collaborating with communities and using “natural resources reduces the risk of lowering cost, enhancing brand and company reputation, and generating revenue”. Hence, the virtual servicescape that is created and promoted by the Marriott International Hotel recognizes the need to invest in the communities that is operates it by employee London natives, and using the natural resources to leverage risks.
Evolution of Organizational Goals
Along with making customers feel more welcomed by focusing on cultural diversity; the goals of the Marriott Corporation are to also have a diverse workforce, owners, and suppliers. To ensure that diverse operations are made possible, the Marriott Corporation has launched its several campaigns and initiatives to accomplish the goal of being a multicultural organization. A leadership development initiative that I geared towards promoting employee innovation, and inclusion. “Current efforts include: Cross-cultural workshops, the Women’s Leadership Development Initiative, and training for executive-level women for participation on corporate boards” All three strategic initiatives are being implemented to develop current talent while simultaneously building a workforce that is capable of maintaining the global competitive edge that the Marriott has developed over the past 85 years. Eleven years ago, the Marriott developed the Diverse Ownership Initiative. This initiative focus was and still is to encourage minorities, women , and other interested parties to become Marriott owners. This allows the Marriott to socially and politically get the people interested in business of worship, while simultaneously honing the organization ovations competitive edge in the hotel, service, and hospitality industries. Lastly, the suppliers of the Marriott are multinational organizations that have ply a dog if I can’t part in assisting the Marriott Corporation with maintaining their competitive edge. In the past “Marriott has invested over 4 million dollars” supporting and investing in diverse suppliers”.( Corporation, 2015). The Marriott has strong values in promoting cultural diversity by implementing such core values in all aspect of organizational function. To continue to have a strong competitive advantage over it’s competitors, the Marriott is willing to make the necessary adjustments to ensure that their facilities offer an array of products and services that display always evolving strategic initiatives.
Globalization Strategies Adapted to London
The Marriott uses a vast array of globalization strategies to ensure that the London location and several others are upholding to brand reputation of being a multinational corporation. The globalization strategies that have been implemented by the Marriott are MARSHA and Marriott.com; global sales offices, and expanding into new service areas. Two key component that hen combined comprise Marriott’s technology infrastructure are MARSHA and Marriott.com.
MARSHA
MARSHA (Marriott Automatic Reservation System for Hotel Accommodations) is the Marriott’s demand and management tool that increases the Marriott Corporation’s competitive advantage by using technology and an internal system to make reservations and information pertaining to reservations and price accessible to customers, travel agent, and potential customer interested in Marriott services. The MARSHA promotes the Marriott’s lowest rate guaranteed promotion globally, and is actually the only hotel that does. This differentiation is one method used by Marriott to remain competitive in the open market and to appeal to new and old customers in all service areas. According to the computerized Honors Program (2006) “Marriott took its reservations and marketing strategy a step further by developing an infrastructure roadmap to support Marriott’s overall ecommerce objectives” (p 2). This linked the Marriott’s inventory, to marketing. As a result, this made the use of technology infrastructure more appealing and useful to people conducting business and leisure travel. As a result, customer satisfaction increased and in 2005 alone an increase of 25% of revenue occurred from online reservations and accommodations. Hence, MARSHA and Marriottt.com are both technological integrations that are a part of the Marriott that connects marketing, customer satisfaction, and technology to simplify online reservations and low price services.
Global Sales Offices
. Having various global offices ensure that customer are capable of having access to excellent customer service that is being mentored by live people and not solely by a telephone message. Having global sales offices is an extension of the service that the Marriott Corporation provides via the Internet. Global sales offices also place value on the importance of diversity. For the Marriott Corporation in London there is a global sales office that services the United Kingdom. This office gives customers the opportunity to book a large amount of rooms concurrently for events and the opportunity to make such purchases with a live customer service representative. Hence, global sales offices are placed in various service regions to give customers more readily available customer service options; while diversifying the Marriott Corporation from its competitors.
Expanding Marriott into New Service Areas
In 1969 the Marriott expanded its hotel franchise and locations outside of the United States. In 2000 10 hotels were added to the United Kingdom service area. One of those hotel services Hampton, London. The location has several distinct feature that embrace the elegance and sedulity of the English population. Its Victorian design is moderate while simultaneously silently bursting with an English style that is made apparent upon entering into the location. The business decision to expand to England in 2000 highlights some of the core values that drive Marriott’s corporate level strategies. The first value that is instilled in the corporate level strategy and plays an important role in the manner in which the Marriott Corporation in England operates is “ to pursue excellence”. In the Marriott excellence is pursued by being innovating and wiling to adapt to an ever changing world. Another applicable core value that illustrates the unique and caring culture of the Marriott Corporation is to “serve the world”. To adequately serve the world research needs to be conducted to develop a working knowledge of the diverse cultures, beliefs, and practices. After acquiring this knowledge; it is very insightful and beneficial to an evolving organization to create a hotel location that embraces the culture, style, and focuses on the needs and wants of the customers that are being service. Expanding into new territories also poses several financial and operational risks that the Marriot International hotel in England has to constantly consider. These include the economic, social, technological and legal, and environmental influences. Environmental Factors that may affect the Marriott International Hotel in London are recent threats and actions of terrorism that have occurred in Paris and other areas of the UK. Terrorist acts have negatively impacted tourism and reduced the revenue generated for the Marriott and other businesses (Laird). According to Schmidt “It could impact the airline industry including Delta Air Lines (DAL) and United Continental (UAL). It could impact the hotel industry including Marriott (MAR) and Hilton (HLT). It could also impact the OTA (online travel agency) industry including stocks like Priceline (PCLN) and Expedia (EXPE)”. As a defense against terrorism, due Marriott International hotel in England recognizes the significant of final travel and safety. Through awareness, the Marriott continues to strive to meet the needs of the London and international tourist populations by making their visit to the Marriott as safe and memorable as possible. Environmental factors that can influence or affect the Marriott’s ability to conduct business are infinite weather or natural disasters. Social factors that can affect the Marriot are an increase in international traveler; and the need and want for more affordable travel packages.
Compliance to Government Policies
Marriott strives to service the communities that the organization is in by following responsible business principles, recognizing and following their human rights policy, and adhering to ethical and legal standards.
Business Principles
The Marriot’s business principles focus on the significance of excellent customer service, business relationships, ethical business practices , commitment to the Marriott workforce, and the organizational culture. Marriott makes the necessary organizational changes to business approaches to diverse cultures to ensure that the purpose of the organization is exhibited and the vision of the organization is implemented in its business and corporate level strategies. The purpose of the Marriott Corporation is to “ open doors to a world for our people through personal and professional growth; customers through rewarding travel experiences; owners and franchises through portable investments; investors through financial achievement; business alliances through collaboration with suppliers and other stakeholders; and communities through a more sustainable future in the places where we live and work” . The aforementioned business principles show that Marriott cares about the communities and the people that it services. Though expansion and revenue are two goals that Marriott strive to accomplish; the organization has a corporate governance to serving the communities that the hotel exists in by creating more jobs for the unemployed, and assisting needy families and children to boost their quality of life. Hence, Marriott’s business principles are geared towards expanding a strong organizational culture that can have positive effects on community revenue building, and life improvement.
Recognizing and Following the Human Rights Policy
The importance of human life is a valuable asset to the Marriot Corporation and the communities that the Marriott serve. Human trafficking has grown to be a grotesque and extreme problem in the society that the Marriott operates in. To help aide in the diminishment of this deadly and life ending social issue, the Marriott has created a human rights policy that brings awareness to the community and support programs that focus on minimizing poverty by producing more work opportunities for impoverished families. In addition to the policy the Marriott Corporation has a training program that teaches employees about the severity and challenges faced pertaining to issues in business. Hence, human trafficking and reducing poverty are two human rights, community, and business principles that have been implemented by Marriott to improve community standards.
Adhering to Ethical and Legal Standards
Recommendations
Recommendations for the Marriot Corporation to enhance its ability to deliver more effective and excelled customer service is to conduct employee surveys about innovative improvements that can be made to policy, the servicescape, and other aspects of the organization. These surveys can provide an insight of what training, and changes to operational function that need to be made to ensure that employees can deliver customer service that aligns with organizational goals and making customer’s experience more enjoyable. Customers should also be given surveys to evaluate their lodging experience while researching suggestions that can be made to improve their hotel experience in the future. Both employees and customers will feel valued when they are capable of contributing to the organization and their contributions are an integral process that plays a significant role in ameliorating the methods and strategies used to make the Marriott better than what it currently is. Hence, recommendations are to involve customers and employees in the strategic forming process to strengthen organizational operation and to encourage the achievement of organizational goals.
Conclusion
The Marriott Corporation has been in operation for over 85 years. It has hotels and brands that are located globally. One specific area that will be under surveillance and analyzed is the United Kingdom service area, more specifically, Marriott Corporation in London, England. In the Marriott Corporation in general several steps have been taken and strategies implemented for this organization to sustain and produce revenue for quite some time. The positioning of products and service for organizations is key to establishing, and maintaining a competitive edge in one’s selected industry. The servicescape is all the features and offerings in the physical environment of the Marriott Corporation that is geared toward striving to follow their core value, “putting the customer first”. Along with making customers feel more welcomed by focusing on cultural diversity; the goals of the Marriott Corporation are to also have a diverse workforce, owners, and suppliers. This has been accomplished through varies strategic initiatives. The Marriott uses a vast array of globalization strategies to ensure that the London location and several others are upholding to brand reputation of being a multinational Corporation. The globalization strategies that have been implemented by the Marriott are MARSHA and Marriott.com; global sales offices, and expanding into new service areas. MARSHA (Marriott Automatic Reservation System for Hotel Accommodations) is the Marriott’s demand and management tool that increases the Marriott Corporation’s competitive advantage by using technology and an internal system to make reservations and information pertaining to reservations and price accessible to customers, travel agent, and potential customer interested in Marriott services. . In 1969 the Marriott expanded its hotel franchise and locations outside of the United States. In 2000 10 hotels were added o the United Kingdom service area. One of those hotel services Hampton, London. The expansions to England like many other locations and areas that the Marriott provides service to highlights the unique core values that make the organization so successful and sustainable.
Marriott strives to service the communities that the organization is in by following responsible business principles, recognizing and following their human rights policy, and adhering to ethical and legal standards. The Marriot’s business principles focus on the significance of excellent customer service, business relationships, ethical business practices , commitment to the Marriott workforce, and the organizational culture. The importance of human life is a valuable asset to the Marriot Corporation and the communities that the Marriott serve. Human trafficking has grown to be a grotesque and extreme problem in the society that the Marriott operates in. To ensure that the Marriott’s ethical and legal standards are being properly followed a training program was designed for employees to learn about the unethical behavior in business and the effects that it can have on organizational operation. Recommendations for the Marriot Corporation to enhance its ability to deliver more effective and excelled customer service is to conduct employee surveys about innovative improvements that can be made to policy, the servicescape, and other aspects of the organization.
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