1. INTERCONTINENTAL
HOTELS GROUP
GUATEMALA
By: Daniela Caballeros
Foundations of International Business
Summer A

2. COMPANY
 Company name: InterContinental Hotels Group
 Overview of company: InterContinental Hotels Group also known as IHG is a
hotel company that is established worldwide. They have more hotel rooms than any
other hotel company in the world. They consist of 661,000 rooms in over 4,500 hotels
in almost 100 different countries worldwide. InterContinental Hotels Group operate
nine hotel brands: InterContinental, Crowne Plaza, Hotel Indigo, Holiday Inn, Holiday
Inn Express, Staybridge Suites, Candlewood Suites, and EVEN™ Hotels and
HUALUXE™ Hotels and Resorts. Their stated goal is “We want to grow by making
our brands the first choice for guests and hotel owners.”
(InterContinental Hotels Group (2012)

3. INTERCONTINENTAL HOTELS
GROUP
 Headquarters: IHG is made up of three operating regions: Europe’s
region is in West Midlands, UK, Americas’ is in Salt Lake City, Utah, USA
and Asia, Middle East and Africa region is in Shanghai, PR China.
 Products: IHG operates hotels worldwide through franchising,
managing on an owned or leased basis.
(InterContinental Hotels Group (2012)

4. INTERCONTINENTAL HOTELS
GROUP
 Financial information: IHG is in leadership 13 of top 20 markets around
the world, accommodating over 153 million guests annually. IHG is listed on London
and New York stock exchanges and their revenue for 2011 was $20.2 billion.
Revenue ($m)
Americas $830
Europe, Middle East and Africa $405
Asia Pacific $216
Greater China $205
(InterContinental Hotels Group (2012)

5. INTERCONTINENTAL HOTELS
GROUP
 Global locations:
4,500 hotels in almost 100
different countries
worldwide.

6. INTERCONTINENTAL HOTELS
GROUP
 Overview of global strategy of company:
 Mission:
“Our strategy is to build the hotel industry’s strongest operating system focused
on the biggest markets and segments where scale really counts.”
 Using insight to make their brands the first choice for guests
 Delivering consistent customer experiences
 Generating excellent returns from their hotels

7. INTERCONTINENTAL HOTELS
GROUP
 Improving hotel revenue by encouraging guest visits.
 Improving the efficiency of their hotels and operating processes.
 Putting their market scale and knowledge to good use.
 Using their worldwide scale and experience to convert more hotels to
IHG brands.
 Making the most of their global presence.
“guests choose brands they know when they travel.”
 Strengthening their organization.

8. INTERCONTINENTAL HOTELS
GROUP
 Investing in people and ability to do business.
 Building strong partnerships within their own company and with
their owners across the world.

9. POTENTIAL COUNTRY OF
BUSINESS
 Name of Country: Guatemala
 Overview of country: Guatemala is located in the northernmost part of
Central America broadening Mexico, Belize, Honduras and El Salvador. It has
the size of 108,890 sq. km. which is about the size of Tennessee. The capital of
Guatemala is Guatemala City. It is known for cool highlands, tropical areas
around the pacific and Caribbean coasts and tropical jungle in northern
lowlands. Guatemala was once populated by the Mayan civilization but was
conquered by the Spanish in 1524 and became a republic in 1839.
(US Department of State. (2012)

10. GUATEMALA
 Population: (2011 EST.) 14.7 million Annual population growth rate
(2011 est.): 2.4%.
 Wealth:
Real GDP (2011 est.): $26.5 billion.
Real GDP growth (2011 est.): 3.8%.
Per capita GDP (2011 est.): $5,033.
 Political situation: Constitutional democratic republic
(Forbes.com (2012)

11. GUATEMALA
 Economic situation: The wealthiest 20% of the population consumes 51% of
Guatemala’s GDP. As a result, about 51% of the population lives on less than $2 a
day and 15% on less than $1 a day.
 Culture:
Ethnic groups: Mestizo (mixed Spanish-Indian), indigenous. Religions: Roman
Catholic, Protestant, traditional Mayan.
 Languages: Spanish, 24 indigenous languages (principally Kiche, Kaqchikel,
Q'eqchi, and Mam).
(US Department of State. (2012)

12. STRATEGY
 Find popular tourism spots in Guatemala. Penetrating the Market.
 Look for opportunistic free standing buildings to renovate and
develop according to the location.
 Emphasize on accommodating foreigners to come stay at the new
hotels.

13. STRATEGY
 Have hotels get involved in the community they are in.
 Develop marketing strategies to promote new hotel locations. For
example: TV commercials.
 Find outstanding staff to employ at new locations.

14. STRATEGY
 Adjust pricing rates to the specific areas to make sure the rates are
competitive.
 Incorporate hotel activities that will allow guest to enjoy the
surrounding city and tourist spots. Example: volcano climbing, zip
lining, jungle excursions, excavating in Mayan ruins.

15. CHALLENGES:
 Finding well developed personnel to deal with many different
people at the same time.
 Ensuring that there is a well established hotel security.
 Making sure that the hotel rates satisfy each and every customer.

16. CHALLENGES:
 Making sure hotel activities do not interfere with local businesses.
 Developing building that will withstand the different climates
around the country.
 Having employees that can speak all major languages- Spanish,
English, German, French, Italian, Swiss, etc.

17. CHALLENGES:
 Finding innovative ways to show people the area in new
ways.
 Making sure the hotel does not negatively affects the local
population and cultures.

18. KEYS TO SUCCESS
 Being proactive
 Being innovative
 Being compassionate
 Being productive
 Being environmentally conscious

19. KEYS TO SUCCESS
 Being competitive
 Being helpful
 Being culturally conscious

20. REFERENCES
 Forbes.com (2012). Best Countries For Business #91 Guatemala. Forbes.com. 06/20/2012.
http://www.forbes.com/lists/2011/6/best-countries-11_Guatemala_CHI093.html
 InterContinental Hotels Group (2012). Overview of InterContinental Group. InterContinental
Hotels Group. 06/20/2012. http://www.ihgplc.com/index.asp?pageid=2
 US Department of State. (2012). Bureau of Western Hemisphere Affairs. Background Note:
Guatemala. 06/18/2012. http://www.state.gov/r/pa/ei/bgn/2045.htm
 Pearson Education (2012). Guatemala Maps, History, and Geography. InfoPlease . 06/19/2012.
http://www.infoplease.com/ipa/A0107596.html