Industry Analysis Case Study

Indian Hotel Industry (B): The Park’s Eye for the Unconventional

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Abstract:
Companies can stick with their competitive advantage, by either satisfying customers’ need or else altering them. Firms that shape customer needs in new directions dramatically increase the customer value proposition and improve business systems – a strategy best described as market-driving. Many pioneering companies follow this strategy and are hugely successful. Case (B) discusses how an Indian hotel, The Park – a pioneer of ‘boutique’ hotels in India – followed this strategy to create a small but exclusive chain of sleek designer boutique hotels. In a country accustomed to large, marble-clad hotels, The Park’s strategy to create the hotel was considered highly risky and bizarre. But the hotel’s chairperson, Priya Paul, fought for her idea and her transformational leadership qualities has seen the hotel chain create a niche in the boutique hotels segment. The case is a good illustration of a hotel chain with a market-driving approach that came up with breakthrough innovations and deeply reshaped business systems.

Pedagogical Objectives:

• To understand the boutique hotel concept and its uniqueness among the other formats, and also highlight its success factors in India
• To discuss The Park’s positioning, before and after India’s economic liberalisation, and analyse the reasons for the hotel’s repositioning
• To discuss the framework in creating and implementing a market-driving culture, to gain a competitive advantage.

Keywords : Boutique Hotel Concept in India; Priya Paul; Apeejay Surrendra Group; Market Driving Strategy; Target Customers; Value and Lifestyle Group; Repositioning Strategies; Leadership through Differentiation; Innovations in the Indian Hotel Industry; Key Success Factors in Indian Boutique Hotel; Competitive Strategies Case Study; Indian Hotel Segmentation; Transformational Leadership; Change Management