Ch.3: Management Contract

A management contract, which also called Outsourcing or sub-servicing, is an arrangement under which operational control of an enterprise is vested by contract in a separate enterprise which performs the necessary managerial functions in return for a fee. Management contracts involve not just selling a method of doing things (as with franchising or licensing), but involves actually doing them. A management contract can involve a wide range of functions, such as technical operation of a production facility, management of personnel, accounting, marketing services and training. In Asia, many hotels operate under management contract arrangements, as they can more easily obtain economies of scale, a global reservation systems, brand recognition etc.



Example:

1.    Name: Marriott International Corporation
        Link: http://www.marriott.com/default.mi

       





































Introduction:
Marriott Corporation was a hospitality company that operated from 1927–1993, founded originally by J. Willard Marriott and Frank Kimball as Hot Shoppes, Inc. In 1957, Marriott Corporation opened its first hotel in Arlington County, Virginia, United States as the Twin Bridges Motor Hotel (demolished 1990). Marriott Corporation's first international property was opened in Acapulco, Mexico in 1969. Hot Shoppes became Marriott Corporation in 1967, which subsequently split into Marriott International Corporation and Host Marriott Corporation in 1993.

2.   Name: Renaissance Hotels
      Link:http://www.marriott.com/enaissance-hotel/travel.mi

      Introduction:
Renaissance Hotels is a worldwide brand of hotels and resorts. The brand is owned by Marriott International and many Renaissance Hotels are managed by Marriott, however some are operated under a franchise license. Renaissance Hotels, Resorts and Suites cater to an upmarket segment of the traveling public. While initially acquired by Marriott as a secondary-brand, in recent years Renaissance has established itself as a boutique-like hotel chain.



3.      Name: Bulgari Hotels and Resorts
         Link: http://www.bulgarihotels.com/#




         Introduction:
The Resort is set on a 150-meter high plateau overlooking the Indian Ocean. A pristine private beach, suitable for long walks along the oceanfront and featuring a Private Beach Club, is reached via an inclined elevator. The resort’s landscape is featured by walls in butik stone, a white coral stone, obtained from the promontory. To the visitor the view is very much like the one of a mediaeval fortress, closed within its walls and unexpectedly tucked away in the tropical vegetation of the private gardens.

The Resort reflect the traditional Balinese architecture combined with a sophisticated contemporary design, using indigenous stones, native wood finished and refined craft-made fabrics exclusively created for the Bulgari Resort. The 59 individual villas, freestanding and private, will include an open-air pavilion, terrace and private plunge pool, enjoying spectacular ocean views.