Bthr- Expanding Service Operations Across Borders

Executive Summary

“The mission of an organization is its overall raison d’être or the function it performs in society. This mission charts the direction of the company and provides a basis for strategic decision making. A company’s overall objectives flow from its mission, and both guide the formulation of international corporate strategy.” Deresky, H. (2008). Banyan Tree Hotels and Resorts (BTHR) Mission Statement states “We want to build a globally recognized brand which by inspiring exceptional experiences among our guests, instilling pride and integrity in our associates and enhancing both the physical and human environment in which we operate, will deliver attractive returns tour shareholders.” Banyan Tree Hotels and Resorts being a leader in luxury segment of hotels and resorts, the mission statement and the objective of the company clearly defines the interest in which the company wants to operate and sustain globally.

Banyan Tree Hotels and Resorts strategically navigated their global expansion plan through the belief of Ho Kwon Ping, the founder of Banyan Tree Hotels and Resorts, Ho believed that for Banyan Tree Hotels and Resorts to successfully expand globally by being truly international to service, a brand has to be lead the way and that Banyan Tree Hotels and Resorts is a brand that can help the company to be truly a global company. However, Ho visualized that there are two main concerns that was worrying him, for Banyan Tree Hotels and Resorts to innovate the services offered by the brand without diluting the brand and secondly to stick to the corporate culture and core value of the company, and yet define the CSR commitment.

As Banyan Tree Hotels and Resorts has various advantages to its brand and luxury services to compete successfully in the global market, the expansion plans are well suited to this advantage. Banyan Tree Hotels and Resorts plans to be the leader in its segment in the next five years across the world major destinations, the target market is high-end luxury seeking consumers, who want a holiday to be memorable and life time experience. In spite of the economy down turn in the recent past years, Banyan Tree Hotels and Resorts managed to sustain economically without suffering huge loss compared to its competitors. The structure of the company is very strong from adverse calamities and is resilient. There was no change in room rates nor employee retrenchment. The companies CSR program has seen significant investment across its properties, which has helped the tourism industry.

Even though Banyan Tree Hotels and Resorts is sound and safe from volatile market, it has unique strength in its values and propositions converting that to become opportunities compared to its competitors in the global expansion race. There are few areas that the company can take advantage of its position like negotiating better prices for its products from the suppliers