Question

How has the Four Seasons Hotels operationalized a Transnational Strategy in order to gain competitive advantage in the global high-end luxury hotel industry?

If Four Season wants to diversify how you would suggest to its CEO to proceed?

What other business has synergy with their core existing business?

Please answered these three questions in a detailed manner.

Answer 1

Four Season is a leading international company in the luxury hospitality business. The company has main business of managing hotel and resort properties worldwide. If the companies want to diversify it should study the market opportunities and competitor activities. Diversification options in the luxury hospitality business and other related businesses include exclusive Wellness and Vacation experiences like Sea cruises. The target market remains the same of luxury-seeking customers. By adding more products an services to the portfolio the company can capture a wider market share and build brand loyalty amongst its customers. It can have limited edition packages for its customers which have travel packages planned with refined luxury experiences of treating customers to luxury art, shopping, food, and drinks.

The other business with synergy to its core business includes Vacation rentals and luxury Private Residences. The company has introduced its services in these businesses. Since it focusses on high-end luxury and amenities, it can continue providing luxury experiences by treating its customers to clubs and leisure destinations. By collaborating with other luxury brands in shopping, food, gems and jewelry, wellness, etc. it can provide a broad range of services to its customers.

Four Seasons Hotel directly change itself from a traditional approach to digital implementation which provided them extensive availability of market capture as an implementation of such a specific structure happened during the golden age of digitalization. This type of cockroach created a positive availability of marketing opportunities for Four Seasons hotel and improve their overall business by a huge margin.
This transaction from the traditional hotel business to implementation of Integrated Marketing Communication tools in the organization structure as well as creating an influence of social media platforms and other platforms directly created and advantage for the hotel to be known by the customer at a very wide scale. By providing extensive and exceptional quality, this is a specific Hotel created the better benefit of operation as for Four Seasons hotel to gain a competitive advantage in the global Highland hotel industry.
They specifically prioritize their customers for an example they were the first hotel to use cotton towel in their rooms/ bathrooms. All of the Other hotels in a similar industry used low quality toweland other fabrics.

They also followed a strategy of building a mid-sized hotel in most of the financial hub across the globe. By using this approach, four Seasons Hotel was able to create a relationship with small as well as large investors directly benefiting their overall investment as some of the least specific investors invested in the business of Four Seasons Hotel.