Swot Analysis of Marriott International

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SWOT ANALYSIS OF MARRIOTT INTERNATIONAL

Marriott International is one of the leading brands in the hospitality


sector. SWOT analysis of Marriott International acts as a strategic
tool for the managers which reveals the strengths, weaknesses,
opportunities and threats. It enables to benchmark it’s business and
performance in comparison with the competitors surviving in the
industry. It is the largest hotel company in the world since its
acquisition of Starwood in 2016. Under the Marriott umbrella 25
brands in the hotel sector are operated which gives Marriott a colorful
portfolio. It has the strongest loyalty programs in the hospitality sector
worldwide with 110 million members. Marriott International ranges
from attainable to aspirational brands.
STRENGTHS
● Marriott has a variety of brands. It has over 3700 hotels
and resorts in over 70 countries.
● The expansion of Marriott International worldwide has
diversified the revenue stream.
● Marriott’s philosophy is centered on innovation and to
ensure each penny spent is worth ensured.
● Reinvention is the most powerful weapon for Marriott to
combat with its competition.
● It has a total workforce of 150,000 and has a good
employee retention.
● Marriott constantly upgrade its business processes to
improve customer experiences.
● There is proper brand differentiation and specialized
market segments.
● Marriott captures the growing market by adding new
rooms. It has 1.2 million rooms to it’s credit.
● Marriott’s booking engines are also a significant
competitive advantage.
● Marriott’s 5 core values are the supporting hands of its
growth and i.e.,
1. Put people first.
2. Pursue excellence.
3. Embrace change.
4. Act with integrity.
5. Serve our world.
WEAKNESSES
● Marriott is majorly reliant on the North American
market.
● Marriott’s empire is so huge that it seems difficult to
maintain standards of service in the worldwide chains. It
has excessively focused on it’s expansion.
● Marriott has stringent norms for the employees which
they have to follow; it brings down morale of the
employees.
● Marriott has a large number of hotel chains which leads
to brand dilution.
● Marriott faces tough competition from established hotel
chains which restricts to limited market share.
● Marriott has too many brands that creates a distinction
issue for the people.
● Marriott needs more investment in new technology.
Using traditional methods in this generation shows
backwardness of the company.
● Financial planning is not done efficiently. Marriot can
use the cash more efficiently than what it is doing in
present.
● Marriott has to build an internal feedback mechanism for
solving ground issues.
● Marriott has a high attrition rate in workforce. It spends a
lot on training and developing its employees.
OPPORTUNITIES
● Marriott attracts new customers from it’s online
channel. It has spent a huge amount of money into
the online platform.
● Hospitality sectors in India are looking at a boom.
It is a good chance for Marriott to increase it’s
chains all over the globe.
● Enhance the interiors of the hotel’s. It can attract
more attention than anything else. A new upgrade
will be a major boost for Marriott
● Improvement in customer care services will result
in better interaction of the staff with the people.
It’ll grasp customer loyalty.
● Marriott can improve direct marketing plans like in
case of advertisements.
● The enhancement can be made by Marriott in order
to grow it’s services in the market.
● Marriott should try to merge its businesses
especially in Europe.
● Eco tourism and environmentally friendly
operations can have substantial success in markets
worldwide.
● Marriott can capture a low cost market segment
because it is trending and few investments can lead
to substantial growth.
● Marriott has an opportunity of cutting extra
expenses by switching to low cost lifestyle brands
which is popular in developing nations.

THREATS
● Political instability in some nations is a big threat
for Marriott.
● Several tax related scams also lowers the brand
image of Marriott.
● Marriott faces a stiff competition from its
competitors. There is a competition on the price
points.
● Entry of several international brands along with a
stronghold of established companies can be a threat
for Marriott.
● The properties which are star rated face a threat
from terrorists groups.
● New technologies developed by the competitors
could be a serious threat to the industry.
● Low quality products are also a threat to Marriott
international products.

By- ISHIKA KOHLI


ISHIKAKOHLI294@GMAIL.COM

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