Marriott Business Strategy

Marriott Business Strategy

Marriott International (Marriott) is global chain of hotels and lodging accommodations that are designed to fit varying needs and budgets.   Marriott has several business units such as Marriott Hotels & Resorts, Courtyard by Marriott, Residents Inn, Fairfield Inn, and Marriott Vacation Club International. The commonality between all of the properties that Marriott International owns is that they all have a clear business-level strategy that allows them to focus on particular customer groups.   Examples include the Residents Inn is focused on customers that need amenities that go beyond the average but allow the traveler to have a sense of freedom, like they are at home or the Marriott Vacation Club International, which is classified as a luxury timeshare operation. The particular business unit that is described in this report is Fairfield Inn.  

The Fairfield Inn chain is currently using a focused cost leadership business-level strategy. In Fairfield Inns, there are several things that allow the Marriott Company to control cost and offer accommodations at a reduced rate to customers.   There are usually no full-scale restaurants within in the main hotel.   This means that the company does not have to employ staff to run it, which is costly to the bottom line.   Also, the company uses value linens and furnishings to decorate the rooms.   This provides a clean look and feel at a low cost.   The target audience, or focus, of Marriott International is the traveler who is looking for a “no-frills” place to stay. This is demonstrated by the standard amenities and lack of premium amenities and services.

The company configures its value chain activities several ways in order to maintain its market share among the many different hotels trying to offer similar services.   From a marketing perspective, the company advertises that you get the best quality and services regardless of the price your paying.   By using the fact that the Marriott International Company owns them, they...

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