Majestica Hotels Inc, a leading European operator of luxury hotels, trying to negotiate a commercial property in Shanghai for a contract to manage a new hotel in Shanghai. A number of issues need to be addressed to the transaction to proceed, including the length of the contract, the name and staffing. Majestica not want to make further concessions, fearing that doing so might jeopardize its service culture is perhaps the key factor for success in this industry. At issue was whether Majestica should take the situational approach and relax its operating philosophy, or stick to their principles, even if it meant a non lucrative market. "Hide
by Paul Beamish, Jane Lu Source: Richard Ivey School of Business Foundation 17 pages. Publication Date: April 20, 2005. Prod. #: 905M35-PDF-ENG
Related Case Solutions & Analyses:
Turning Around an National Icon: Yara Branco at Tarbes S.A.
The Mentorship of John Cooper (B)
El-Con Construction Incorporated
Alliance Management at Forbes Marshall
Closing the Gap – Facing the Future (B)
Scarborough YMCA: Getting Back on Track
Miracle Mind Hypnosis Centre – The London Practice
GENICON: Surgical Strike into Emerging Markets
Cartridge World: The Master Franchise Opportunity
Tsingtao Brewery Co. LTD. (B)
