Summarize the potential causes of the deterioration

Reference no: EM132055084

Question: You are on the Board of Directors for a multinational hotel chain

Over the last 12 months you have seen a decline in room occupancy rates and a decline in operating profits. Customer complaints have risen by 74% largely due to issues related to the customer service quality and a lack of professionalism. Repeat customers have reduced from 30% to 11%. Your marketing spend has remained steady, set at 15% of the previous year's operating profit.

For this exercise, you are requested to:

- Discuss and summarize the potential causes of the deterioration in operating performance and highlight the key causes

- Create a list of strategic initiatives to improve business performance

Reference no: EM132055084

Questions Cloud

Expand on your answer by incorporating real life events : Why may a bond's rate of maturity differ from its yield to maturity? Expand on your answer by incorporating real life events.

Determining the pulse cost of capital : Pulse's cost of capital is 0.15. It plans to use cash to make the acquisition. What is the NPV?

Cash to make the acquisition : Assume that interest rate parity exists. Pulse's cost of capital is 0.15. It plans to use cash to make the acquisition. What is the NPV?

What is the net present value of project : What is the net present value of this project if the spot rate of the Australian dollar for the two years is forecasted to be $.55 and $.60, respectively?

Summarize the potential causes of the deterioration : Discuss and summarize the potential causes of the deterioration in operating performance and highlight the key causes.

What is the break-even salvage value : Assume no taxes, and a stable exchange rate of $0.58 per NZ$ over the next two years. All cash flows are remitted to the parent.

Most security for seller in international trade transaction : Which of the following trade payment methods provides the most security for the seller in an international trade transaction?

Analyse recent market factors that affected sector of share : Analyse recent market factors that have affected the sector of the share that you monitored after the share trading window.

Value of the project after considering the investment timing : Problem: Wei Industries is considering a new product that would require an investment of $20 million at t = 0. If the new product is well received

User Account

All Pages