Hi, my name is Trung Phan.

Today, I wil present you the strategic determination of Novotel

Melbourne.
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First, I will talk about its brief overview.
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Novotel hotel is a 4.5-star hotel located on 270 Collins Street, Melbourne City. Novotel is part of
the giant Accor Hospitality Group, which offers hospitality services across many cities
worldwide. Moreover, it was established in the year 2003 and has since then grown into one of
Melbourne’s most recognized tourist hotels. Besides, Novotel Melbourne has to competitve to
several strong competitors such as Crowne Plaza Melbourne, Grand Hyatt Melbourne, etc.
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As a player in the hospitality sector, Novotel looks to provide customers with a range of
hospitality products and service such as food and beverages, accommodation, and leisure-related
facilities. These services have been priced to suit the hotel’s target market, which is the middle
and upper hospitality market segments of the Melbourne hospitality market.
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For its mission and vision, Novotel claims that their vision is “ a future where data is fully and
autonomously leveraged so that business, industry and humanity sustainable thrive” and the
mission is “ putting data to work to enable autonomous, connected ecosystems that boost
efficiency, productivity and quality for our customer”. From these statements, it is quite clear
that the Novotel Hotel looks to target the mid and upper market segments of the Australian
hospitality market.
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The next part is its unique differentiating features.
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Novotel brings several different experiences for clients such as the available 24h Gourmande
food and beverage station or In balance where has a range of services for clients’ relaxation or
the Family and Novotel which comprises high quality for each family.
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To explore more about its strategy, we will continue its SWOT analysis. The first part is its
strengths. Because it is the Accor’s brand so Novotel has experience to manage and control a
hotel. Besides, hotel orientation and location are essential because locating in the heart of
Melbourne, it easily accessses the huge tourists. Therefore, lots of opportunites can come to this
hotel, including Leveraging the rapid increase in the internet penetration to increase social media
presence, providing innovative service to clients, leveraging the IT analytics to plan cyclicity in
the hotel industry. Besides, Novotel can face some several weaknessess such as seasonality in
room booking and poor forecasting, lagging behind the online business, high hotel rates- huge
setup cost, high maintenance and staffing cost and strong existing competitors. Furthermore, it
also prepare for some threats, for example, highly competitive market poses demand for constant
innovation, unexpected economies, cheaper and more robust hospitality services are
mushrooming each day and pandemics.
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The next part is PESTLE analysis.
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Australia does enjoy a stable political climate; hence it happens to be a peaceful country. This
makes Australia an excellent destination for not only tourists but also a nation of choice where
international corporates choose to hold their corporate business meetings, accommodation and
conference needs. Moroever, novotel hotel is less vulnerable to the negativities that stem from
rampant corruption finances injected by the Novotel hotel to fund its marketing programs are less
vulnerable to theft, thanks to Australia’s low levels of corruption. Moroever, COVID-19 impact
due to the government restriction/political decision, not only the hospitality industry but also
Novotel may seem to be struggling at the moment but it seems to be on track to recover as travel
restrictions become more relaxed.
The economic environment of an organization happens to be part and parcel of its
external environment. Because Australia has been ranked as the number 14 country worldwide
when it comes to ease of doing business, thus it mitigates the likelihood for businesses to
collapse Novotel hotel being an Australian service organization stands to benefit from this.
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For social factor, because of the Australian socio-culture context with the high level of
education. Novotel standardizes its marketing strategies in line with globally used procedures
and eases marketing styles.
For technology factor, Novotel hotel stands to benefit from Australia’s technical
background, which is not only highly developed but also highly innovative. And The Australian
government offers financial incentives to innovators with the aim that they will be able to come
up with new technological gadgets.
For legal factor, it compliance with the legal and regulatory requirements of operating
economies, labour laws. The last factor is environment. Novotel Melbourne starts the “Planet 21”
program of Novotel which comprises eco-friendly strategies that look to address several
sustainability goals, including health, nature, innovation, and employment.
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As the information has mentioned above, the pandemic affects negatively to the hotel
industry as well as Novotel. Todays, the situation of pandemic seems to be decreased, Novotel
creates several new life style and patterns, including Pukka partner ship, Calm partnership or
Pixar partnership programs which make clients experience different kind of interesting programs
after a harsh pandemic.
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Thank you for your listening.