Mandarin Oriental Hotel Group (MOHG) general info: Asian hotel group, HQ in Hong Kong, award-winning
owner and operator of some world's luxurious hotels, resorts and residences; part of Jardine Matheson
Holdings Limited. They also include some companies such as Jardine Pacific and Hong Kong Land; 44 hotels
representing close to 11,000 rooms in 25 countries, with 20 hotels in Asia, ten in The Americas and 14 in
Europe, Middle East and North Africa. In addition, the Group operates 6, and has under development, 7
Residences at Mandarin Oriental connected to its properties. The Group has equity interests in a number of its
properties and net assets worth approximately US$3.1 billion as at 31st December 2013 (MOHG Annual
Report, 2013). Mission: completely delight and satisfy our guests; We are committed to making a difference
every day; continually getting better to keep us the best. Vision: to be widely recognized as the best luxury
hotel group in the world. Goals: a) investing in the group’s exceptional facilities and its people b)
Strengthening competitive position c) expanding the portfolio d) achieving a strong financial performance e)
striving for a sustainable future, reducing consumption and wasting. f) maximizing profitability and long-term
shareholder value . Objectives: operating 10’000 rooms in key global locations in few years; reduce total
carbon emission by 50% in 2035. The strategy of the Group is to open the hotels currently under
development, while continuing to seek further selective opportunities for expansion around the world.
SWOT S: strong reputation, financial health, unique service, very popular in the US; W: high line of
authorityslow decision-making process, low brand awareness in Europe; O: emerging market in China
(however limited supply of luxury hotels), strong brand is sought after developers of luxury hotels,
opportunities to open new properties is key locations of the world (developing more balanced geographical
coverage), new target markets: families and female business travelers; T: a number of territories in which the
group operates are prone to experience natural disasters from time to time (typhoons, floods, earthquakes,
tsunamis); economy: weaker currencies may bring losses when exchanged (Japanese yen, Indonesian
rupiah), hotel supply exceeds demand in many locations lower occupancy;
Internal Analytical Method: Resources: Tangible: enough capital to sustain growth and operations,
strategic location of properties, financial assets company gained 20% more in 2013, spacious rooms and
facilities, unique spa services. Intangibile: HR (highly skilled staff); brand itself, high guest satisfaction; Core
competences: Spa differentiates from other brands. No other company in the world has had an office
dedicated to the spa operation and development, how much care we take in terms of developing the oils, the
treatments and the well-being of our customers, the restaurant provides unique mix of food and multitude
touches added to the food. The Group utilizes sophisticated technology to connect to major global distribution
channels and travel internet sites and highly sophisticated in-house entertainment systems. Distinctive
capabilities: Excellent personalized service, reputation for outstanding services considered a legendary hotel
where Hollywood stars overnight in. Our hotels and resorts are encouraged to develop their own personality
with a distinctive sense of place, thereby reflecting the best of their city or country. VRIN Value (yes):
excellent overall service, unique spa services, Asian hospitality, luxurious properties, Rarity (yes): the
concept and brand are unique, as well as the core competences, Inimitability (yes): not easily imitable,
would require large capital, time, effort to accomplish what Mandarin has accomplished and to build a strong
image and a large portfolio like MOHG. Non-substitutable (no): competitors such as Shangri-La, Marriot, or
other large groups offer similar, if not the same level of service.
Strategic Analysis industry Environment: Market segments: MOHG is a upscale, luxury brand, for this
they also attract standard the upscale and luxury business market segments, while also attracting the upscale
and luxury leisure market segments. The segments can be divided in target groups such as Younger single/
couples people between the 30 and 45 years and elderly people (50+) who want to enjoy the MOHG
experience. Besides that, the hotel is also family friendly, so couples (35-50 years) with children can also
enjoy the hotel. Strategic customers: Booking.com, Expedia and hotels.com. Trip advisor can also be seen as
a Strategic customer, because a lot of guests around the world check this site for reviews and lowest price
offers. Strategic group: Shangri-La, The Peninsula Hotels: similar Asian hospitality services; Four Seasons -
good customer service, modern luxury, sustained track record. Ritz Carlton - excellent service with extensive
global geographical coverage; Scope of activities: All sell hotel rooms on a 5* level on similar places, offer
