Entry modes: management contract

Abstract

Effectiveness and benefits of brand management has been examined as one of the major marketing tools by researchers and industry practitioners. Hotel chains have mainly utilised brand extension strategy in order to leverage their brands goodwill. Additionally, research on brand trust, brand loyalty, and brand extension has been highlighted as primary brand management concerns within hotel chain management. Recently, hotel chains have expanded their brands globally because numerous opportunities exist, such as the increasing demand by international travellers. With the global proliferation of hotel chain brands, chain hotel managements should not ignore any potential for cannibalisation of their brands. Thus, studies on the optimisation of hotel chain brands should be further investigated in order to avoid brand cannibalisations. Brand management as a long-term strategic decision of hotel chains is important because brands convey value. Hotel chains ought to make an effort for their brands to remain relevant to the consumer and position top of mind as a preferred choice.