About the Company
Entrepreneurship can be defined as the development program of an emerging company. It deals with the implementations of the idea which thereby provides profitable outcome in the market. However it is to be noted that although the definition is simple, the execution is a very hard-hitting task as the company gets subjected to various challenges and consequences in the market such as public feedback, competition, substitutes, pricing, etc.
The organisation chosen so as to highlight its entrepreneurship venture in the global market is Marriott International Inc. The reason for choosing such an organisation is that it is one of the fastest growing company in the global market at present.
Marriott International Inc. was founded by J. Willard Marriott. It was founded in Washington D.C. on 15th May 1927. The company started with a retail sector of root beer in the city. The basic idea behind choosing such a sector was that Washington faces a humid summer and there was no refreshing place for the residents in Washington. This business plan laid to the foundation of the company (Bettison, 2012). In the year of 1957, the Marriott family expanded their business by initiating their first hotel- The Twin Bridges Marriott Motor Hotel in Arlington. This was business plan was equally accepted by the customers in Washington which motivated the entrepreneur to set up their second hotel in Rosslyn- Key Bridge Marriott (Rao, 2012). This was one of the biggest foundation of their organisation which boosted huge success in the entire US market. In the year of 1993, Marriott International divided into two companies. One retaining the brand name and other named- Host Marriott Corporation. In the year of 1995, Marriott gained a total of 49% share in Ritz-Carlton Hotel Company LLC. This plan was not supported economically and a total loss of $200 million was claimed (Sommer, 2012). Next year Marriott spent a total of $330 million to take over Ritz-Carlton and thereby had a strong hold on the global market.
In the year of 1995 Marriott expanded its market in the global market. It provided with facility such as online reservation, which was for the first time in the hotel industry of the world. In the year of 2001 Marriott had faced a huge loss with the destruction of the Marriott World Trade Centre. However Marriott International picked up its pace in the market with the procurement of the Ramada International Hotels and Resorts in the year of 2004 (Alexander, 2012). There was a total earning of $113,881 by the director of Marriott as suggested by the Income Tax Department on 2010. On 2012, the Guinness Book of World Records declared JW Marriott Marquis Hotel in Dubai as the World’s tallest hotel. However with all these achievements, there was a period where Marriott International has faced a penalty of $600,000 due to several Wi-Fi related issues in Nashville (Walczak-Duraj, 2010). This was one of the most disappointing issue which was faced by the administration department and had led to drop in the market share value by 12% (considered as the most declination rate ever of Marriott ever since the establishment till the current scenario) In the year of 2014 there were nearly 600 hotels so founded by the entrepreneur all across the globe.
School of Thought
In the year of 2015, Marriott International took over the Canadian Hotel Industry- Delta Hotels which used to monitories 40 hotels in the country. This was considered as one of the biggest expansion of the company which led to the rule of the global market and surpassing all the other contenders so present in the market. At present, Marriott operates 18 top brands all over the globe.
According to Frederick, O’Connor & Kuratko (2013) the school of thought which is followed in this evidence is The Venture Opportunity School of Thought. Venture school of thought in the Micro View of Entrepreneurship focuses on the areas of new ideas, concepts and its correct implementations in the market. Developing the correct idea at the right time is the main theme of Venture Opportunity School of Thought (Adejumobi, 2014). On following the context, focus can be laid on the initiation times when the entrepreneur thought for the setting up beet root beer retail in Washington D.C. It was assumed that there was a crisis in the refreshment sector in the society and hence building up an idea so as to trigger this need becomes the central theme of the project. In the rising period successive take overs of the effective hotel industries such as Ritz Carlton, Delta Hotels, etc. so as to expand the business all across the globe were due to the entrepreneur strategies so laid by the company (Lesure, 2014). Thus this successful decisions depending on the condition of the market (both local and global) and thereby laying implementation on such factors was the basic moto behind the establishment of Marriott Internationals in the world. Hence this directly reflects to the concept of Venture Opportunity School of Thought an innovative idea and though so implemented in the market had brought the establishment of a MNC in the global market.
The major trends so suffered by this company are Political Tensions such as Terrorism, Care about Health and Standard of the Product quality and Technology related issue. It was reported that there was relative bombing in the Islamabad Marriott which caused huge economic crunch in the year of 2012. Another issue which can be focussed is the relative terrorist attack on 11/09 at the Marriott World Trade Centre where there was a significant loss of wealth, property and life. Political traumas are also to be considered before establishing the business which is to be enlisted along with the economic condition and the standard of living of that particular area. More focus would be given to the tourist areas as hotel industries plays the primary role in such countries such as Switzerland, Malaysia, Singapore, France, Germany, etc. All these places meets both the criteria of high standard of living as well as tourist attracting sites. Issues of Product standard is also to be maintained. A claimed previously hotels of Marriott belonged to the 5 star level. Maintaining such an elite sector depends on implementation of the modern plan and strategy. Factor of market competition takes into play as other hotel provides a level of competition (Johnbee, 2012). Since Marriott has an international market all across the world, hence the level of competition faced is much higher. The entrepreneur has to implement successive strategies so as to overdo the level of competition. Strategies so implemented should be innovative and attractive. This can be followed by keeping a track on the market trend of the various hotels in the world and therefore having an impact of the public reviews and criticism. Another issue is of Technology aspect. It was depicted that in the year of 2012 Marriott International faced a huge crisis of $600,000 in the form of penalty. This was due to the improper use of Wi-Fi in the hotels which was provided by the administration department to the various customers as a matter of extra facility. Although it was a strategy so implemented by the entrepreneur so as to draw more customer attention, it resulted to a drawback which was immediately terminated from the department. Situations were also highlighted that Marriott faced an issue of cyber hacking where the relative information of the customers were despatched easily. The security level was not up to the mark which led to such problematic situation.
Major Trends
Although Marriott is a multinational company having huge turnovers and expansions in the global market, there are several loopholes where the company has to stress for its future expansion. It has been detected that the property assets are not renovated and the brands which are followed are not at all customer satisfying. There is huge requirements so as to be an elite class member. Issues such as lack of communication and customer service are one of the major complaints of issues so faced by the customers. Demographic issues are also there as there is no facilities in the top tourist spots such as Maldives, France, Seychelles, etc. Customers does not faces the benefit of late check outs (Woodward et al.2014) . Lounge facilities are not available on the weekends. These are some of the major issues which are provided by the customers. The administration department should take a note of the following issues so as to develop their strategy.
Conclusion
The administration department should develop an efficient CRM (Customer Relationship Management) Department so as to receive database of the various customers. This is used to detect the premium customers and lay special opportunities such as offers and benefits to them. The CRM department also provides a network for the customer feedbacks. The various feedbacks are to be specially analysed by the Management. Critical analysis of the loopholes in the administration department is to be analysed. These strategies would definitely help to bring up a better marketing strategy for the future which would definitely help in the expansion of Marriott Internationals in the future.
References
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Lesure, J. (2014). Serving the Leisure Industries Through Acquisitions and Mergers. Cornell Hotel and Restaurant Administration Quarterly, 10(4), pp.49-50.
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Rao, D. (2012). Women Enterpreneurship Development in India. GJRA, 3(8), pp.1-3.
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Sommer, W. (2012). The Hospitality Industries in the Year 2000. Cornell Hotel and Restaurant Administration Quarterly, 20(1), pp.5-10.
Tone, A. (2013). Black Market Birth Control: Contraceptive Enterpreneurship and Criminality in the Gilded Age. The Journal of American History, 87(2), p.435.
Walczak-Duraj, D. (2010). Model of Enterpreneurship and Social-cultural and Market Orientation of Small Business Owners in Poland. Comparative Economic Research, 13(5).
Woodward, R., Wojnicka, E. and Pander, W. (2014). Innovation Systems and Knowledge-Intensive Enterpreneurship: A Country Case Study of Poland. SSRN Electronic Journal.
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