Hilton Hotels owns, manages and/or franchises hotels and casino-hotels and inns across the world. It also sells furnishings, equipment and supplies to hotels, motels, and inns and operates a computerized reservation system. Recently, Hilton's hotel business is prospering with above-industry occupancy rates and an improved average daily rate. However, previously prosperous gaming operations are suffering from an industry-wide slow down. Hilton has adopted a single-brand, multi-product line development and marketing strategy that targets all types of travelers. It customizes its hotel services by purpose of visit and origin of guest. It has already invested heavily in the concept of packaging gaming with theme entertainment and expects to make additional substantial investments over the next five years. External Factors Analysis Both hotel and gaming operations are extremely competitive. But, the gaming industry presents more risks than do hotels for several reasons. First, the degree of investment required to be successful is high to keep up with the pace of competitors. And, much of this investment is in the packaging of gaming with theme entertainment which isn't always successful because each serves different consumer needs and requires different management strategies. Secondly, casinos must often extend credit to their customers to lure them away from other casinos. Thus, bad gaming debts and reductions in operating income from gaming are not uncommon. SWOT Analysis |Strength |Weaknesses |Opportunities |Threats | |Large Global |Poor Branding |Budget, Middle |Leadership By | |Corporation |and Identity |or Premium |Competitors in | | | |Market Growth |Individual | |Focus on Core |Investments in | |Market Segments | |Competency |Stagnant Gaming | | |...
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