800-Pound Gorilla in the Room

We scored a significant editorial coup this month with our cover story on Hilton Worldwide. Since The Blackstone Group purchased the brand company and took it private nearly three years ago, Hilton executives have been mostly mum about their grand strategies to grow and enhance the company and its 10 hospitality brands.

During two days of interviews in July with a number of its top executives, including passionate and effusive President & CEO Chris Nassetta, I was able to learn the new directions Hilton is heading and what the management team has done to set its key strategies. The story, which begins on page 30, outlines Hilton’s primary initiatives: development of a unified corporate mission and culture, enhancement of its brands and the potential launch of new ones, expansion in the luxury lodging segment and a focus on international development for most of its brands. As the story explains, Hilton intends to lean on its 91-year legacy as a worldwide hotel brand icon to create new products, successes and profits for the future.

What you won’t find in the story is the veritable 800-pound gorilla in the room, the topic of three-fourths of all new stories about the company in the hotel and general business press for the past 18 months: the nasty lawsuit brought by Starwood against Hilton alleging theft of proprietary corporate information related to the development of Starwood’s W brand. The suit has been particularly ugly, especially for the normally genteel world of hospitality, and not surprisingly, neither side has commented much on the situation as it works its way through the courts and presumably the negotiating tables.

That’s part of the reason the suit and the surrounding accusations weren’t part of my story. While Hilton neither requested nor insisted I not ask about the lawsuit as a condition to securing the interviews, I knew no one would have said anything about it, even if I would have asked. But beyond that, the aim of the story—and in fact, any profile stories we do on hotel chains, companies and properties—was to uncover, distill and explain to our readers—some of whom are Hilton owners and many others who are competitors—in which directions Nassetta and his executive team plan to take the company. That’s what really should matter to Hilton’s (and Starwood’s and everyone else’s) guests, meeting customers and financial partners.

The lawsuit is serious, the outcome may be shocking and harsh, and we’ll cover it and comment on it when it happens. But I believe when it is resolved the action will merely be a short-term distraction for Hilton (and Starwood) and won’t interfere or affect their long-term strategies for growth and success.

I’d be interested to hear your opinions on whether I handled this delicate situation correctly or what I should have done differently. Write me at ed.watkins@penton.com.


Acceptable Use Policy
blog comments powered by Disqus

Most Recent

More Recent Articles

Career Center

Quick Job Search
Enter Keyword(s):
Enter a City:

Select a State:

Select a Category:



http://lhonline.com/images/bulk_tv_logo.jpg
Franchise Fact File Top Brands
Brand Company Basics Top Management Companies
Owners & Operators Industry Consultants
Industry Associations Industry Events
Design Firms Purchasing Companies









Free Product Information
News and Trends for the Hotel, Motel, and Hospitality Markets.

Lodging Hospitality eReport
Lodging Hospitality electronic newsletters are FREE to requested subscribers.

Lodging Hospitality Resource Center
The Lodging Hospitality Resource Center is the ultimate resource to find products and services to build, equip, and renovate hotels, motels and resorts.


Press Releases
Post your press releases on LHonline.com.


Subscribe / Renew
Visit our subscription center to subscribe or renew your subscription to Lodging Hospitality.

Webinars
Visit our webinars page to view all our upcoming and on demand webinars.

Whitepapers
Visit our White Papers page to view all our current White Papers.