Shelby Bastien

ONLBAM 479OC Strategic Management

Deborah Harvel-Jenkins, M.A., PMP, CIPP/US
Marriott International

Executive Summary

Case Statement

Marriott International is one of many names in the hotel industry. Whether it be state

side, or globally, they have a strong presence with consumers and a strong reputation.

They have many un-tapped markets and can become even stronger in the industry with

a little work done by the management team.

Mission and Vision Evaluation

The mission and vision statements for Marriott are short and sweet. They cover their

customers and experiences which is what the hotel industry is all about. Although, they

could be stronger, they get to the point and do not have anything un-necessary.

Milestones

 1993 - Marriott International was born when splitting from Marriott Corporation

 2002 - Restructuring to focus on hotel ownership

 2006 - Becoming non-smoking in all operations (US & Canada)

External Assessment

One important external factor for Marriott International is an opportunity to have a

stronger online presence. Technology is always advancing and with the rise of online

users, this is the way of the future. Another external opportunity for Marriott is the large

unexploited market. With tapping into these markets, it holds so many opportunities for

new customers and clients. A large threat for Marriott is the rising pay levels across the

world. As minimum wages rise, so does the cost of living.

Internal Assessment

An important internal factor for Marriott International is international presence. Having a

strong footprint across the globe helps to make you a house-hold name. Another

strength includes acquisitions and mergers for Marriott. This works well in the hotel

industry because it helps cut down on the number of competitors. An internal weakness

is the investment in new technology. With technology ever evolving, keeping up with this

will only help attract customers and keep them coming back.

Financial Analysis

Marriott International has a lot of total debt, coming in at $11.78 billion; this is the

highest in the hotel industry. The working capital is negative $1.85 billion, in which most

competitors have a positive working capital. On the plus side, Marriott has good

relationships with their investors and stockholders. They are kept up to date with current

numbers through a website built specifically for them.

Competitive Strategies

Three competitive strategies are to expand more internationally, acquire competitors,

and become a greener company. By expanding into unexploited markets, Marriott can

gain new customers and become even more globally known. Also by acquiring

competitors in the hotel industry, it eliminates more options for customers to select

when planning a stay.

Recommended Strategy

The strategy selected was to expand further internationally. By having Marriott tap these

markets before their competitors, they are likely to gain new customers and steal them

from the competition. The goal is to tap high traffic cities with a large business

presence.