Starwood Case Study

Vision Statement:

It is our vision to become the highest rated provider of hotels and resorts in the world.

Mission Statement (Current):

"A Global Branded Life Style Hospitality company that delivers branded consumer products and services in ways that are different, better and special."

Mission Statement (Proposed):

It is the mission of Starwood Hotels to provide our customers with the highest level of service in the hotel and resort industry around the world. (1,2,6,7) We provide the best accommodations that cater to a variety of different lifestyles and budgets which provide unrivaled value for our customers. (1,2,3,6,7)We continue to update the accommodations with modern and luxurious amenities to make your stay with us an enjoyable experience.(2,4,6,7) We continue to use the latest technologies to improve the service that we provide.(2, 4, 5) We care for our employees just like we care for your travel needs.(1, 8) We are concerned with being a company that care for the environment. (8,9) Our high level of service ensures that we remain profitable and helps us to maintain growth for our investors.(2,5,6,7)

1. Customer

2. Product or services

3. Markets

4. Technology

5. Concern for survival, profitability, growth

6. Philosophy

7. Self-concept

8. Concern for public image

9. Concern for Employees

Problem Statement:

The major problem that this company has is that it needs to develop a strategy to help the company to overcome some of the financial weaknesses that the company has. They need to come up with a strategy that will increase the cash flow so that they can have a more healthy financial status.

Symptoms:

• Their current ratio is .74 which is lower than the benchmark of 4.2

• Their DTA ratio is 68% which indicates that they have too many liabilities for the amount of assets that they own.

• Their LT-Debt Equity is 61% which means that they have too much LT debt for the amount of equity that they have.

• The renovation that they are...