Bentley Hotel Essay

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Bentley Hotel The Bentley Hotel is a large (720-room), four-star hotel located in the heart of a major US city, close to many other hotels, restaurants, and shops. It offers a complete range of services, including restaurant, lounge, room service, gift shop, pool, spa, meeting and banquet facilities, business center, and valet service. Its four-star rating indicates the range and quality of these services: the world’s elite hotels are five-star. The hotel is housed in a 32-story building on a one-acre lot, with an adjacent parking garage. The Bentley was built in 1985 by a consortium of local investors. It was sold in 1996 to a partnership of government and union pension funds which owns several hotels in major cities. The owners contracted with HHH Associates, a large hotel management company, to provide key management services for their hotels. HHH provides some human resource, marketing, and accounting services, and centralized purchasing for high-volume items. In addition, Hotel Manager Antonia Posada and Director of Rooms (the second-ranking executive) Cash LaPoudre are HHH employees. The owners made some renovations when they acquired the hotel, increasing their capital investment to about $200 million. The Bentley has always been profitable, with peak earnings of $9,500,000 in 2000, but has never reached expectations. The terrorist attacks of 2001 caused a severe slump in hotel business nationwide. Gradual recovery has taken place, but 2006 saw a setback for the Bentley. The disappointed owners have engaged your consulting firm to bring a new perspective to the management of the Bentley. Of particular concern is the loss being incurred by the food segment, which is traceable largely to the restaurant. The Oak Grill is run by Emile LeGasbag, a prominent French chef noted for his avant-garde cuisine and the high quality of his

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