Essay Example on Globalization Boosts Business in Hospitality Industry: Managerial Insights

Paper Type:  Essay
Pages:  7
Wordcount:  1681 Words
Date:  2023-02-12


Globalization has positively impacted the business dynamics in the hospitality industry. According to Yu, Byun, and Lee (2016), policies in globalized hospitality have increased the capital flow, competition as well as the economic interdependence across various hotels (Yu, Byun, and Lee 2016, 116). The evolving dynamics in the hospitality industry has been significant to the hospitality managers since they ensure understanding of the implications of globalization as well as the plan for implementation of the strategic approaches. Playa Hotels and Resorts and Hilton are aware of the necessity of globalization. As a result, they have formed a strategic alliance which has positively backed to the progress of the national tourism industry with global competitiveness beyond the subordinated position to the world's leading hotel chains. The two hotels announced the plans to develop Playa Hotel and Resorts based on the inclusive expertise with the Hilton's global portfolio while accelerating the growth of Hilton's grand resorts. The employed strategic alliance between Hilton Resorts and Playa Hotels was beneficial for both companies with the alliance aimed at empowering each on more occasions. The partnership was seen as a step for the growth of Hilton as well as its other world-class partners. Although the anticipation showed resulted in disruption, the alliances with effective partnership transformed Playa Resort. The emerging strategies in globalized hospitality contribute to ramification to both individuals and organizations.

Trust banner

Is your time best spent reading someone else’s essay? Get a 100% original essay FROM A CERTIFIED WRITER!

Playa Hotels and Resorts and Hilton Strategic Alliance

Playa Hotels and Resorts and Hilton strategic partnership have helped them make better brand recognition on diverse continents. Their cultural orientation, as well as the selection of the imperative paradigm, have contributed to the standardization and customization which determines the international growth. The cultural direction of both Playa Hotels and Resorts and Hilton were based on ethnocentric and polycentric concerning their strategic choices that are effectively implemented in the international hotel industry. Playa Hotels and Resorts and Hilton are oriented ethnocentric and geocentric with standardized operation with resource-based paradigm determined by their global strategy (Pansiri 2019, 225). The approach by Playa Hotels and Resorts and Hilton have led to the international expansion of hospitality. It has also played an essential role in ensuring there is sufficient consistency as well as standardized procedures.

The strategies also focus on the hotel while considering the foreign environment with the unique aspects of expanding the hotel. Therefore, the application of this strategy is based on the distinctive localized issues with various suggestions on the products and services offered by international hotels. Basing on the standardized products and services, Playa Hotels and Resorts and Hilton requires to invest small amounts of money to create individual products or services for each particular country. As a result, superficial ways are used to reflect on the local operating conditions, thus securing the advantage of standardization and customization. Since a company rarely excels in business while focusing on one strategy due to the need to diversify the market segments as well as change the customer perception, there is the need for other fundamental and positive approach for Playa.

Playa Hotels and Resorts need to increase brand and sourcing diversification for effective delivery of the best products as well as services. It has to develop the ability to leverage the expertise for the loyal local and regional management. Capitalizing on the efficiency the Hilton Resort has been essential and the strength of Playa for its development to world-class inclusive management (Evans 2019, 211). It has resulted in the accelerated growth of the Hilton's inclusive growth. The business practices that exist with the pressure brought about by the market integration has led to the decline in tariffs as well as the emergence of the regional trading blocs thus impacting the hospitality industry and investments while looking at the business in a global perspective. Shortening of the products emphasizes the need to provide intensified consideration to culture for international marketing as well as market segmentation.

The communication patterns have been resourceful for the Playa Hotels and Resorts and Hilton to effectively exploit the economic scales while gaining the market shares and achieving the high revenues. Breakthrough in the communication technologies between Playa and Hilton has facilitated international communication. Utilization of global communication as adopted by Playa and Hilton in their hospitality strategies have encouraged communication across the border thus democratization of information while allowing individuals to reach other faster and cheaply (Munoz 2015, 367). Practical Accounting and finance strategies have been facilitated by the internet, which has contributed to easy access to financial information in the hospitality industry. On the other hand, technological enhancement adapted and adjusted by Playa and Hilton has resulted in global expansion with adequate telecommunication infrastructure, digital capabilities as well as online resources. The strategies have addressed the various challenges of managing information across the borders due to the software, communication equipment, as well as procedures involved. Technology has, therefore increased the interdependence of the hospitality industries with the fast-changing regulatory environments as well as changing costs of personnel.

The global environment created by Playa and Hilton have affected the mindset of individuals. It has impacted individuals who lack social skills as well as aptitudes to move out of their comfort zones and interact with other members for change. The global environment exposes the organization to cross-cultural situations with the varying experiences of social encounters as well as interpersonal anxiety (Franco and Pereira 2018, 18). The business practices in Playa and Hilton have changed because of globalization due to the perceptions of travel globally while identifying viable strategic approaches. The globalized hospitality strategies between Playa and Hilton have been found to adequately prepare the managers for the pressure associated with globalization while addressing the fears through the hotel's organizational assessment as well as strategic planning and formulation of the global vision.

Playa Hotels and Resorts and Hilton Image

Playa Hotels and Resorts and Hilton alliance, as well as relationship and strategic partnership, has manifested itself in various ways. Firstly, there have been a perfect relationship existing between the buyers and the sellers with the suppliers employing multiple collaborative efforts. Playa Hotels and Resorts and Hilton focus on the cooperative relationship between the management and the employees, thus impacting the formation and stabilization of alliances positively. The positive relations in marketing implies effective tourism operation with different marketing strategies bound to the tourism market targeted (Yoo 2015, 115). The technological approach plays a role in enhancing the cross border knowledge flows, which are convenient for effective communication techniques in the global environment. The efficiencies provided by the communication technology also improve improvement in the hospitality management for the hospitality industry through the effective use of innovative methods for learning about globalization to broaden the marketing efforts.

Playa and Hilton have modified plans for the effective financial practice. As a result, various travel executives have been noticed with a change in strategies of business investment in the business environment globally. The hospitality managers have been prepared adequately to undertake their financial operation systems as well as required procedures for uniformity with the strategized standards. Speed of the business development strategies shows the convenience of the operational activities as well as the acceleration of the business cycles in Playa and Hilton. Despite the location, the managers ensure they keep a tap on the trade conveniences and speed initiated by globalization (Yoo and Bai 2017, 214). The marketing, as well as the development approaches, are enhanced and adjusted based on the arising opportunities. Utilization of the technology strategy has been viewed as the most efficiency enhancement and bandwidth for the Playa and Hilton Resorts. They form innovation linkages, thus ensuring organization integration. They have provided competitive advantages by strengthening the business effectively based on effective communication practices in the hospitality industry with practical technological usage.

Globalization in the hospitality industry have ensured a positive hotel image for both Playa and Hilton. The employed strategies ensure the organizations develop a standard vision while satisfying the customers. The customers acquire high-quality services when they select a matching brand hotel due to the experience of products and services ranging from design, fixtures, attitudes as well as culture (Whitla, Walters and Davies 2017, 782). Staying different and uniquely have been supported by globalization which ensures a dominant market tactic that differentiates the hotel from other hotels elsewhere due to management that ranges from various activities such as configuration and location. Besides, the hospitality managers' plans to respond to the growing globalization demands based on the approaches of contemporary business that embraces effective and digital communication as well as the investment approaches with the changing business environment.


Globalization is the organic synthesis of economies, societies as well as civilization throughout the world. Globalization in Playa and Hilton have provided the consumers with the required freedom of making essential decisions based on the intense competition in the hospitality industry, thus competing favorably for potential customers. Internet revolution in the hospitality industry has accelerated the process of globalization, allowing the consumers to easily access to the available information based on the practical and essential choices made. With the international hotels facing competition, price-cutting strategies and intense promotion campaigns have been encouraged by most hostels. However, globalization has ensured that Playa and Hilton Resorts have grown positively with increasing sales as well as distributing operations in various countries. As a result, there is reduced investment risk with the acquisition of inexpensive resources while building worldwide brand recognition. Consequently, globalization has ensured that the hospitality organizations meet the increasing demands from customers with unique encounters provided to the customers. The influence of globalization to Playa and Hilton can be recognized through hotel design, ambiance as well as marketing strategies. It has enhanced uniqueness as well as authenticity based on the standards that facilitate effective services and comfort as well as unique flavor for the customers. The various strategies used have enhanced competitiveness with each hotel operating in its environment based on its market conditions, customs as well as practices. The approach chosen by Playa and Hilton Resorts ensures the hotels acquire market focus with active management to build a positive relationship while considering the needs of the customers as well as the operation and the differences in the location of the hotels.

Cite this page

Essay Example on Globalization Boosts Business in Hospitality Industry: Managerial Insights. (2023, Feb 12). Retrieved from

Free essays can be submitted by anyone,

so we do not vouch for their quality

Want a quality guarantee?
Order from one of our vetted writers instead

If you are the original author of this essay and no longer wish to have it published on the ProEssays website, please click below to request its removal:

didn't find image

Liked this essay sample but need an original one?

Hire a professional with VAST experience and 25% off!

24/7 online support

NO plagiarism