Outrigger Hotels and Resorts a Case Study Case Study

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Outrigger is a resort/hospitality firm that started in Waikiki. Most of its properties are located in Hawaii but the company has a number of international properties as well. Outrigger has a mix of properties. Using Porter's typology, some Outrigger properties compete as cost leaders while others have a differentiated strategy. This creates confusion for customers, despite different branding for the different segments. The company also has a number of condominium properties. The company competes against major hotel/resort operators, and as such needs to have a strong brand. There is considerable brand loyalty in the Hawaii market, so all firms in the industry need to spend on marketing to attract business in the first place.

The current IS resources are insufficient for Outrigger's needs. One problem is that while Hawaii reservations are centralized, customers must contact individual resorts elsewhere for booking. This effectively squanders the Outrigger brand equity, and creates a barrier between purchase desire and purchase.

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The decentralization does not serve its needs well, especially since all major competitors have centralized control and booking, something that ensure consistency of customer experience and creates a norm for the industry that Outrigger's antiquated system cannot match.

3. At present, information systems provide some booking support, but not for all hotels. There is an 800 number that is manually switched to the right hotel. It is 2005 and I am not reading anything in the case about the Internet. There is no integration between the POS systems and Stellex, making it difficult for customers to pay at on-site stores and restaurants on their room. The links in the reservation system are terrible, with no attempt to keep them in sync. The company outsources the website, taking it….....

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