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Global Strategy Assignment Sample

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Global Strategy Assignment Sample


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Marriott is a multinational company developed in America. The company franchises, and manages hotel services. The headquarters of the company is situated in Maryland, USA. The operations of Marriott started as a nine-seat A&W root beer stand in 1927. It is now acknowledged as a top employer for providing superior organisational operations. The main core values of the company are to pursue excellence, put customers first, embrace changes, serve the globe, and act in terms of integrity (Marriott International, Inc, 2022). It is one of the largest hotel companies located across the globe (Marriott International, Inc, 2022). It is a luxury hotel and high budget company that provides luxury services to the customers. There are more than 30 brands located across more than 130 countries.

The main challenge in the issue that the company is facing is related to the covid-19 pandemic situation. It has impacted the operational activities as well as financial functions of the company (Kaushal and Srivastava, 2021). It has brought a useless economic loss and led to unemployment of thousands of employees who were working in Marriott (Marriott International, Inc, 2022). These challenges are the severe problems for Marriott. During 2019-2020 profitability and revenue collection of Marriott also decreased. The number of customers also declined to a massive extent. Another severe issue that the company is facing is related to the decrease in loyalty and satisfaction of the customers towards the brand of Marriott.

Internal analysis

The VRIO analysis will help analyse the internal competencies and capabilities of Marriott. Marriott's VRIO analysis is very significant to understand the competencies and capabilities of the company (Ariyani and Daryanto, 2018). The concept behind "resource-based strategic analysis" is that the strategic capabilities may allow Marriott create a long-term competitiveness over its rival companies. Marriott may advantage from this long-term strategic advantage by creating above-average revenue and avoiding market pressures. Value of the resources, Rareness and uniqueness of the resources, Imitation Risks, and Organizational Competencies are the abbreviations for VRIO (Ariyani and Daryanto, 2018). VRIO is a strategic instrument that focuses on capabilities. By better considering the dynamics of resource in Marriott's whole business plan, executives at Marriott can use the VRIO framework to gain a durable competitive edge.

(Source: Marriott International, Inc, 2022; Ariyani and Daryanto, 2018)

VRIO analysis

VRIO analysis

(Source: Ariyani and Daryanto, 2018).


A company's resources can be classified into two parts including tangible resources as well as intangible resources. Physical items of Marriott are plant, equipment, money, building, land, and inventory are illustrations of Marriott's tangible key resources (Marriott International, Inc, 2022). Marriott's intangible resources are the skills and organizational level of its management. The company's brand image, goodwill, trademarks, robust supply chain, and intellectual property rights.


The financial capabilities or resources, marketing experience, human resource management, and operational management all seem to be the most important resources for a Marriott (Marriott International, Inc, 2022).


The Marriott's unique resources are very rare or expensive to get. When they are not unusual, both the existing players as well as novices will be able to instantly obtain products and engage in the competitive market (Marriott International, Inc, 2022). So the company needs to maintain cost effectiveness and provide good quality services to the customers. It has developed a uniqueness of the products of Marriott.

Hard to imitate

It appears that the Marriott's primary distinctiveness is impossible to emulate. On a larger scale, replication of Marriott products can exist in two forms: replication of the company's activities and products and opponents developing substitute products that change the current market position. The company thereby can maintain the products and services rare and thus it becomes sometimes difficult for the rival companies to imitate the service quality and products of Marriott (Marriott International, Inc, 2022).

Organizational competencies

The level of manipulation is frequently determined by the firm's team and operational plans. As a result, the rate of exploitation is a suitable gauge for analysing the effectiveness and human resource management's sustainability (Marriott International, Inc, 2022). Capabilities emerge or grow over time when a business starts doing the activities to use its core competencies. The leaders and managers try to utilise the competencies, capabilities, core activities and all the resources for enhancing the competitiveness (Lim and Seo, 2021).

The main resources of the company include its customer’s satisfaction and ability to manage loyalty regulatory and legal obligations, investment prospects, supply chain management and distribution system, brand awareness, leadership styles, financial power, and marketing expertise (Lim and Seo, 2021). These main resources increase uniqueness, and value to the company. These also help in increasing competitive advantage and the marketplace. Using specific marketing techniques the managers try to attract the customers.

Cost effective and good quality hotel services and products in the hospitality industry the managers of Marriott try to increase satisfaction and loyalty among the customers (Avgeli  etal., 2020). Implementing Innovation and new product designs are also another important competencies of the company that help in increasing competitive advantage. The main resource of the company's human capital without which the company cannot match the requirements and needs of the customers. Innovative thinking and that tendency to meet the demands and requirements of the customers are also helpful for managing the resources in the company. It also helps in developing brand image (Haghighi et al., 2017).

Strategy development

TOWS Matrix

Strengths (S)

  • Ability to provide products and services as per the needs of the customers (Marriott International, Inc, 2022).
  • Operational management
  • leadership process
  • supply chain management

Opportunities (O)

  • It will enhance brand image and brand value
  • Customer loyalty and satisfaction can be improved
  • Maintaining the needs and requirements of the customers the company can increase its competitive advantage (Marriott International, Inc, 2022).
  • Developing innovations it can compete with other rival companies

Strengths/ opportunities (SO)

  • Customer satisfaction can increase brand image and brand value at the global level. The leaders can identify the needs of the customers using social media feedback. These feedbacks can help the company improve the products and services as per the customer’s requirements (Shareef et al., 2019).
  • Bringing innovation, Marriot can enhance its competitive advantage. Innovative product development can help the company draw attention of the customers. Thus it can create a better competitive edge.
  • Marriott is a High budget hotel therefore, it can focus on the satisfaction level of the customer’s changes in the demographic of the consumers (Avgeli , 2020).
  • Important and strong point for Marriott is that it tries to maintain the requirements and needs of the customers by providing them the services that the customers actually prefer. It therefore helps in maintaining the satisfaction and loyalty of the customers which is a significant strength for Marriott (Yusof et al., 2017).
  • The main objective of the company is to enhance the people's lives and they also try to create a better customer experience. With this Marriott aims to offer premium services to its customers for increasing the number of customers, sales and revenue collection (Marriott International, Inc, 2022).
  • Operational management and leadership processes are also developed and the leaders of Marriott operate all the hotel services by using effective strategies and plans (Marriott International, Inc, 2022).
  • The company can develop a robust supply chain management through which the company can get support from multiple suppliers (Rajeev et al., 2017). When the products are not suitable for the company they can switch to other suppliers for getting the materials and products. Apart from that, the company can becomes a great source of customers for the suppliers therefore it is a huge strength of the company (Kulshrestha and Puri, 2017).
  • The company can maintain all the government rules and regulations that helps it remain safe from various political issues and restrictions.

Weakness (W)

  1. Sustainable competition level is the main weakness for the company. Airbnb is the main rival company for Marriott because the company tries to attract the customers by providing services at cheaper prices. When the customers get services at a low price they can shift their preference to stay in a hotel from Marriott to Airbnb (Avgeli , 2020).
  2. Another weakness is related to the imbalance situation caused due to the covid-19 pandemic (Kaushal and Srivastava, 2021). It has led to a huge financial loss for the company.

Weaknesses/opportunities (WO)

  • With the help of developing strategies to bring innovative services can help compete the rivals (Avgeli , 2020). The company can also provide cost affordable and the best quality services to the customers to attract them. It will increase competitive advantage of the company.
  • Effective strategies are required to deal with the financial loss by the leaders. Developing new products, lowering price and generating marketing strategy to increase brand image can help in overcoming the financial loss (Ceylan, Ozkan and Mulazimogullari, 2020).

Threats (T)

  • The most significant threat at the current situation is related to the global pandemic caused by the covid-19 (Kaushal and Srivastava, 2021). It has brought a huge financial loss to the hotel industry decline in the sales and revenue collection. It also caused huge trouble for the company that led towards decrease in the number of employees and also the customers.
  • Another threat is related to the terrorist attacks. The main target of the terrorists is five star hotel and married is no exception to this (Avgeli , 2020).
  • The competition level is also another great threat for the company because the rising growth in 5 star and normal hotels is a huge challenge to compete in the marketplace (Avgeli , 2020).
  • Customers also have many alternatives to choose and select among various hotels. At this time customers can prefer the hotel that provides the best amenities they require. And at this time lack of innovations and product amenities can lead to a huge chance of losing customers in the marketplace (Avgeli , 2020).
  • Multitude of policies for example nationalist and protectionist policies launched by various countries can also be a threat for Marriott while operating its services at the international level. These policies, increase tax rates, change rules and regulations and impose bans and restrictions on different brands. Thereby, these can be major threats for Marriott for running business internationally (Avgeli , 2020).

Strengths/ Threats (ST)

  • Maintaining all the international policies can help enhance satisfaction of the customers from different nations (Avgeli , 2020).
  • Imposing strategies and obeying all the government rules and regulations can solve the threats. It can enhance the performance of Marriott leading to enhanced brand image (Avgeli , 2020).

Weakness/ Threats (WT)

  • Without maintaining the rules can worsen the situation (Avgeli , 2020). The company needs to maintain all the government rules and regulations. Product distribution will be done on the basis of international policy.


Therefore, it can be recommended that Marriott's advantages are its expertise as well as resources. These can help the company gain a long-term competitive edge in the market. Positive traits of precious assets and competencies, processes and procedures, people resources, previous history and victories, capital backing, and physical assets like property and land need to be maintained to contribute to the strength of the company (Paul and Iuliana, 2018).

By using environmentally friendly and green operations Marriott can attract various customers. It also can help in reducing environmental degradation (Yusof et al., 2017). Good customer service can also make the consumers recommending the Marriott hotel service to others. It will therefore develop the company's brand awareness (Sürücü et al., 2019).

Using a better people management strategy is also important for Marriott because it can also improve their customer service by identifying the needs and requirements. The company can also use green practices to improve satisfaction of the customers (Yusof et al., 2017).

The managers can also identify the comments and feedback of the customers and by using those comments and feedback they can improve their services (Casado-Díaz et al., 2017). Using social media marketing strategies the company can also try to attract many customers towards the services of the company. It will also generate new customers and help retain the existing customers. They can also design their services as per the needs and requirements of the consumers. It therefore can help in managing customers' satisfaction and loyalty (Avgeli  etal., 2020).

Marriott can develop a strong track record not just of announcing new services in the home markets but also to cater to multiple sectors based on the consumer p

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