Chain Hotels : Classification of Hotels

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CHAIN HOTEL

Chain hotel ownership can take a number of forms. Depending on the association that the chain organization has with each property. These hotels usually impose certain minimum standards, rules, policies, and procedures, which is to be followed by other properties of the same chain. These hotels are usually classified as operating a management contract or as a franchise or referral group.

A Hotel Chain is an administration company, that manages a number of hotels having the same name but being located in different areas. They can be total or partial owners of the hotel and they manage their administration, marketing and promotion.

The terms of management, the chain provides the same services as a franchise agreement (brand, reservation system etc.) but additionally, there is an agency agreement, meaning the brand operates the hotel, making all the day-to-day decisions on behalf of the owner.

Examples :-

Accor
Hilton
Taj
Oberois
Marriott etc.