HOTEL

Comparison between a Budget and a Luxury hotel

Introduction3

Comparison of the Jumeirah group Hotel(Luxury) and Hotel F1(Budget Hotel)3

Overview of Jumeirah Group's portfolio3

Jumeirah Group's process design5

Hotel Formule 1 Overview6

Formule 1 Hotel's value chain7

Formule 1 Hotel's process design8

Comparison of the two Hotels9

4 V's9

Five competitive priorities10

Key operations in hotels10

Conclusion11

References12

Comparison between a Budget and a Luxury hotel

Introduction

The hotel selected for the contrast are The Jumeriah group's luxury Hotel i.e. Burj-Al-Arab and Hotel Formule 1 .Jumeriah Group started business in 1997 with the Jumeirah Beach Hotel, the Group dreamed of becoming the most innovative luxury hospitality group in the world. Ever since the opening of Burj-Al-Arab, which still represents the most luxurious hotel in the world, the group has achieved exactly what it strived for right from the beginning. Now, 12 years after foundation, Jumeirah Group has gone much further than only offering world class hotels to their customers. By 2011, the Group still works exclusively in the hospitality sector, but their portfolio has spread widely within these last years.

Hotel Formule 1 was created under ACCOR Group in 1984, dedicating to create a revolutionized world low cost budget hotel chain. Under the notion of 'sleep well at the best price' (Accor,P.25,2012), the hotel offers minimal services than other one start hotels in returns to offer the lowest price to customers.

Comparison of the Jumeirah group Hotel(Luxury) and Hotel F1(Budget Hotel)

Overview of Jumeirah Group's portfolio

Including most of their hotels and resorts in Dubai, Jumeirah Group also built luxurious hotels in London, New York and Shanghai. New openings in the year 2011 include hotels in countries all over the world, such as the Maldives, Abu Dhabi, Kuwait, Baku and Germany. The different hotels and resorts employ a total number of over 11,500 employees from 100 nationalities. This way it is assured that every customer can feel extra special, enjoying extraordinary customer service (Jumeirah Group,Pp.15, 2008).

Jumeirah Group's main value drivers are “high quality and personalized products and services” as well as their “positive impact on the community” (Jumeirah Group 2008, p. 14). In the following it is described, how Jumeirah Group operates within their primary as these are the main drivers of creating as much value as possible for Jumeirah Group's upmarket customers.

Within their inbound logistics, Jumeirah Group focuses on “planned, efficient, financially beneficial and ethically sound provision of high quality” as well as “best value products and services”. Therefore, within the process of choosing their suppliers, Jumeirah Group emphasizes that this process is to be held fair in order to provide every possible supplier with an equal opportunity to work for Jumeirah Group. (Jumeirah Group 2008, Pp. 17).

In addition, Jumeirah Group focuses on minimizing their environmental impact as much as possible by using sustainable energy sources, investing in energy efficiency and reducing their overall waste output (Jumeirah Group 2008). In order to use the full potential of marketing opportunities, Jumeirah Group established global strategic partnerships within the travel, finance, retail and luxury industry. The relationships formed within these partnerships enhance Jumeirah Group's brand awareness through various ...