The Research On Business Operational Decisions Of Pine Hotel In Financial Crisis

Shanghai, a charming city, as the frontline of China reform and openingup, attracts the attentions from all over the world. Since1980s, as a big partof service industry in Shanghai, the hotel industry boosts a remarkableprogress，but meanwhile, on account of powerful GDS network and advancedconcept of management, increasing number of world renowned hotelmanagement corporations from overseas come to Shanghai for occupying themarket share. A lot of domestic hotels are struck and look forward to findingout proper ways to be out of the problem caused by the situation was whichmentioned above, and the current financial crisis speed up the change ofbusiness strategy in domestic hotels.PINE hotel, one of domestic single hotels in Shanghai, is assigned to be managed by a professional hotel management Corporation. After over10years’ development, PINE hotel features its own characters and wins a highreputation in the region. On the basis of3-star standard, PINE hotel boost4-star standard in2007and succeed in entering relative high market levelfrom then on. For the competitors from overseas invested in Shanghaifocusing on same market position with PINE, the hotel is facing more hardcompetition. Meanwhile, while the macro economic circumstance ischanging, the more developed regions and the more close works relate tosuch circumstance, the larger influence it will be affected. Therefore, it isobvious that as the most developed region in China, the hotel industry inShanghai especially in high market position is toughly shocked andinfluenced in financial crisis. Further, as a freshman in such group, PINEhotel is inevitable to be shocked in business in such crisis. The analysis andresearch on business operational decisions of PINE hotel in financial crisiscould help to provide academic stands to business operation in flexiblemarket and references to all domestic single hotels.This paper consists of six parts: Chapter Ⅰ: Introduction. This chapterprovides background, main means and meaning of research of whole text. Italso presents some related concepts and main structure of the research.Chapter Ⅱ: The history of development and the current situation of shanghai hotels industry. The chapter reviews the60-year history of shanghai hotelindustry development and summarizes the main ideas of current managementmode. The cause of financial crisis and influence to hotel industry are alsomentioned in the chapter. Chapter Ⅲ: The history of development and currentsituation of business operation of PINE hotel. This chapter presents thehistory of development and crucial nodes of PINE hotel according todifferent business strategic goals with different period. On the basis of that,the chapter focuses on stating current business operational decisions andmain achievements caused by this. Chapter Ⅳ: The analysis of businessoperational decisions of PINE hotel in financial crisis. This chapter mainlyanalyzes the main problems of business operational decisions of PINE hotelin financial crisis such as ‘between two fires’ after upgrading,‘toughproblems’ in selection of management mode and supervision of servicequality. Meanwhile, the chapter also surveys the scores of satisfaction andcommitment of employee by questionnaire. Chapter Ⅴ: The proposal ofcorrect and the details of adjustment of the problem of business operationaldecisions of PINE hotel in financial crisis. ChapterⅥ: Conclusions andprospects. The last chapter states main conclusions of the text and points outthe prospects of future study.From views of the text, the ‘upgrading’ strategy and related operational decisions are proper to the needs of development of hotel market and PINEitself as a whole. In particular, as a key point of business operation, theintegration of values of enterprise, customers and employee is a big progressPINE hotel made. Although there are some improper operational decisionsbased on ‘upgrading’ strategy and some problems in selection of managementmode and setting the function of QC in organizational structure in financialcrisis, especially a further improvement should be needed in aspect ofsatisfaction and commitment of employee in PINE hotel, through carefulanalysis and study, the situation of business operation in PINE hotel could beimproved effectively on the basis of some adjustment in operational decisionsand fulfillment in related material measures.