case analysis.docx - Purpose of the Case Study The case is...

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Purpose of the Case Study The case is based on a fictional organization in India’s hotel industry. However, the content covered is relevant internationally and among different industries. This case gives an opportunity to think about the key decisions involved in international assignments. This case requires learning of domestic HR issues to have the capacity to relate with the international context and consider the roles and duties performed by expatriate workers. This case also deals with the domestic recruitment and selection processes in any organization. Introduction Star Hotels owns more than 80 hotels throughout India. Not long ago, Star hotels acquired a small chain of hotels which is headquartered in Japan. Star’s executive board decided that more than half of the new hotels in Japan would be maintained and rebranded as part of the Star Hotels Group and the other half of the chain will be sold. This will strengthen Star’s strategic objective of growing the organization slowly to make sure that new ventures are well supported and opened on time and within the budget. About Star Hotels Star hotels are famous for their authentic service and warm hospitality. The hotels offer perfect lodging experience with incredible opportunities for travellers in reasonable prices. They also offer recreational facilities like outdoor swimming pool, spa, mini golf course and fitness centres to make the guests stay delightful. Most guests stay for two to three nights. The guests are an amalgam of businessman and leisure travellers. The hotels are commonly located in downtown areas that are effortlessly available by mass travel. Guests are interested in these hotels in popular visitor destinations where many local attractions mean that they will be spending less time in their hotel accommodations. Decision-Making The organization, after considering all the approaches to cater to the problem, decides to implement an ethnocentric approach and send some of their current India-based supervisors to Japan to lead the retaining and rebranding of the new hotels and then manage the hotels after their re-opening. The executive board also decided that if this business enterprise becomes a success, they may plan to acquire other such hotel chains in other nations. The organization plans to own 200 hotels in the coming 10 years. Their 10-year plan is to own 200 hotels across Asia. This is an ambitious target which requires an effective approach and decisions to function successfully in other countries. This also involves a huge risk and a lot of investment. Even, the organization’s reputation could be at stake if does not bring good business in other countries. This process becomes challenging for the organization as it has never owned any hotels outside India before. The organization has hired a team of independent management consultants to advise them on the entire process.
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