• Explain the influence of leverage and risk on financial planning.
• Develop a corporate strategy based on basic financial reports.
• Use technology and information resources to research issues in advanced financial management.
• Design and develop strategy for a large public company (Marriot) that focuses on risk management and the international module. As the CEO, design 5 key strategies that would help grow earnings and reduce risk in the company’s operations.
•Focus areas include Risk management and international global strategy.
• Review 2013 annual report (10-K) of Marriot, Hilton, Hyatt and Sheraton
• Read the entire section titled “Item 1” (includes items describing the general business) and “Item 1A” (also known as the risks section).
• Read the section titled “Management’s Discussion and Analysis of Financial Condition and Results of Operations.”
•Examine the company’s international business situation. What do you see? And what is the business doing right now?
• Write in a logical, well-organized, conventional business style. Use Times New Roman font size 12 or similar, double-space, and leave ample white space per page.
On the first page or in a header, include the title of the assignment, the student’s name, the professor’s name, the course title, and the date. Title and reference pages are not included in the assignment page length.
Write a 5 page paper in which you do the following: (Cover sheet, executive summary, Intro)
1. Exemplarily analyze the company’s existing risk management strategies. (Body: Analysis)
a. Analyze the Marriot Company’s existing risk management and international strategies vs Hilton, Hyatt and Sheraton. What is Marriot’s competitive strategy versus its competitors?
b. Explore the different risk strategies that Marriot is using to remain competitive?
c. What are they doing now and what kind of risk are they exposed too
d. List the different type of Risk that Marriot should be using in the company.
e. What risk controls are in place?
f. Is Marriott exposed to political risk?
g. What is Marriot’s strategy for lowering cost?
2. Thoroughly prescribe new Risk mgt strategies for the business based on what they are and are not doing now in risk these areas. (Body: Recommendations)
3. Exemplarily analyze the company’s existing international strategies. (Body: Analysis)
What are Marriot’s competitors doing well internationally?
What is Marriot’s hedging currency risk strategy?
Is Marriot using any future contracts or derivatives to lock up prices on commodities and supplies?
How exposed is Marriot’s businesses to forging currency locations?
What are their incentives to going global? Lower cost for supplies?
Does Marriot have foreign –local location based international strategy? How are there Asian locations compared to the US? Do they have the same look and feel?
How are they managing operations and sales compared to their competitors?
Does Marriot use Joint ventures? Partnerships for their hotels?
Does Marriot create strategic alliances with locals to build its hotels?
What life cycle are they in? Mature, growing?
Is Marriot building lower cost hotels?
Does Marriot use a licensing strategy in foreign countries?
Are they at risk for patent brand protection? Do they have any management problems?
How many brands do they have and how does this help their domestic and international strategy?
3. Exemplarily Prescribe new International strategies for the business based on what they are and are not doing now in international strategies. (Body: Recommendations)
a. Design 5 key strategies that would help grow earnings and reduce risk in the company’s operations.
This material may consist of step-by-step explanations on how to solve a problem or examples of proper writing, including the use of citations, references, bibliographies, and formatting. This material is made available for the sole purpose of studying and learning - misuse is strictly forbidden.Executive summary
Marriott plays a critical role in the global hospitality industry. Along with other major players including Hilton, Hyatt and Sheraton, the company influences global trends in the hospitality field. However, just like any other large corporation with operations in multiple countries and territories around the world, Marriott faces a host of risks. Including but not limited to fluctuations in interest rates, stock price fluctuations, changes in debt prices, and fluctuations in currency exchange rates. This report discusses these key risk factors and compares Marriott’s approach of addressing the risk with the approach of its three major competitors namely Hilton, Hyatt and Sheraton. The report recommends adopting LIBOR-based interest rate swap agreements to minimize exposure to interest rate fluctuations. The report also recommends increasing focus on social media marketing, creating a focused typology of decision, shifting focus to expanding technological markets, and using a part of its R&D budget for patron-centric research that can inform its future risk management approach.
Marriott International, Inc. (“Marriott”) manages more than 3,500 hotel locations in more than 60 countries around the world. As a major player in the global hospitality industry alongside other reputable firms such as Hilton, Hyatt, and Sheraton, the company faces different types of risks. These risks range from market risks, operational risks, development and financing risks...