Hotel International and the Roaring Dragon Hotel
Ima Student
Sullivan University
MGT 510
Executive Summary
This proposal provides a roadmap toward improving communications between the Hotel International (HI), a global hotelier, and the management control of the Roaring Dragon Hotel (RDH), one of the original three-star hotels in southwest China and a state owned enterprise (Grainger, 2008).
Failure to recognize cultural norms and the relationship between employees, customers, and contractors will result in dramatic failure of modernization and an effective business plan (Grainger, 2008).
Introduction: Management Control Takeover
The management control takeover of the Roaring Dragon Hotel (RDH), one of the original three-star hotels in southwest China had a direct impact on the hotel’s employees, its popularity among current customers, and generating profit. RDH is a state owned enterprise located in southwest China by Hotel International (HI), a global hotelier (Grainger, 2008). McNally (2011) observed, “Over the past thirty years China has witnessed a gradual transition towards a capitalist political economy with an emphasis on capital accumulation, market competition, and international economic integration” (p. 1).
Background: Deployment of Corporate Governance and Global Marketing
The provincial government was concerned that the hotel would not meet their potential and needed modernization. The current general manager, Tian Wen, focused more on the security of its employees and not the hotel’s profit margin. The state negotiated new management hoping to drive increased revenue (Grainger, 2008). Currently, the RDH had a great reputation. “Since the early 1095s it had enjoyed a long, colourful history and reputation as the region’s premium guesthouse” (Grainger, p. 1).
Problem: Organizational culture
There was a deep division separating the organization cultures of RHD and HI. The HI business
References: Fan, Y. (2002). Questioning guanxi: Definition, classification and implications. International Business Review, 11, 543-56. doi: 10.1016/S0969-5931(02(00036-7 Grainger, S. (2008). Roaring Dragon Hotel. Western Ontario, Canada: Ivey Publishing. McNally, C. (2011). China 's changing guanxi capitalism: private entrepreneurs between leninist control and relentless accumulation. Business & Politics, 13(2), 1-29. doi:10.2202/1469-3569.1339 Roberson, L. (1990). Prediction of job satisfaction from characteristics of personal work goals. Journal of Organizational Behavior, 11(1), 29-41 Retrieved from Business Source Complete. Yunxia, Z., & Allee Mengzi, Z. (2007). Understanding guanxi (connections) from business leaders ' perspectives. Business Communication Quarterly, 70(3), 385-389. Retrieved from Business Source Complete.