Guest-Tek Interactive Entertainment Ltd.
Background/Issues
Guest-Tek Interactive Entertainment Ltd (Guest-Tek) provides broadband technology solutions principally to the hospitality industry. Guest-Tek installed Internet solution in more than 404 properties and over 80,700 rooms worldwide, which includes 9 hotel brands and 87 independent boutique hotels. Its voice solution integrates IPT solution with hospitality grade Voice Over IP and IP telephony services, along with ITSP services combined with POPs, in North America. Guest-Tek is a certified supplier for major hotel chains, namely, Accor, Carlson Companies, Hilton, Hyatt, Marriott, and Starwood. The company is headquartered in Calgary …show more content…
More than that, they offered technical support in a variety of languages. They also had highly skilled operations and development teams, which were being deployed to the customers directly from the headquarter. Installation work required only a few days and typically took place within four to six weeks of a contract being signed. Besides good service, Guest-Tek targeted big hotel chains, therefore creating a stable and strong clientele, giving them competitive advantage. Speaking of competition, in North America, Guest-Tek’s main rivals are Wayport, STSN, GoldenTree and StayOnline, but management didn’t consider them direct competitors due to their strength in key elements like comprehensive solutions, ease of deployment, wireless capability, security, connectivity rates and end-user support. Besides this, Guest-Tek is reasonably priced, while other providers were …show more content…
Germany, Costa Rica, China, and many other countries are all very different. Some have a stable currency, some don’t; some have tougher government regulations, higher competition, different culture, infrastructure, population and so on. It is possible to enter any market, but it will require a completely different approach and different expertise. Concluding from that, I suggest first concentrating on starting up the headquarters in Europe, and in the long-term plan to open a different one for the Asian market. I wouldn’t advise going into the Latin American market yet, as the local political and business system is very hard to understand and compete with. There is a high level of competition, and the only method the enter would by acquiring local companies, but even doing so, new ones will appear, and because Brazil has many cases of businesses avoiding paying taxes can impose risk to the successful development of Guest-Tek. China is a great market, with a huge perspective, but again because of the cultural difference and the government regulations, it would be hard to start up headquarters there, thus I narrowed the decision to Europe. It has well developed infrastructure, a stable currency, acceptable regulations, healthy competition and good market to target and to build