The Research On Stability Of China's Hotel Alliance

Forming the hotel alliance is an effective way for Chinese hotels to develop hotel groups by breaking the current institutional constrains, strengthening the industry association, integrating their resources. It will become one of the important means for the hotels, especially the single ones, to respond to the increasingly fierce market competition at home and abroad. However, the hotel alliances demonstrate a high degree of instability in the practice of business activities because of mismatching partners, unsuitable organizational forms, unreasonable benefits distribution etc. The hotel alliances experienced a high failure rate with the rapid development. How to achieve the stability of Chinese hotel alliance becomes the issue which needs to be resolved urgently in hotel business management research, while it has important practical significance for Chinese hotel industry to the practice of exploring group development through the alliance.This paper takes the stability of Chinese hotel alliances as the object of study, using normative and case studies, logical reasoning and inductive methods. Firstly, the paper researches the literatures about the hotel alliances and the stability of enterprise alliance. Secondly, it summarizes the concept of hotel alliance and the concept of stability of hotel enterprise alliance. And basing on Das and Teng's dynamical study of the stability of the enterprise alliance, the paper structures a framework about the stability of the hotel alliance for analysis, which analyzes the impact on the stability of the hotel alliance from setting objectives of the hotel alliance, choosing partners, designing organizational forms, operating the alliance, performance, control, environment of the alliance. After the analysis, it takes the Friendly Hotel Marketing Alliance as the case to prove its viewpoints. Finally, summarizing conclusions of the study and proposing prospects.There are to innovations in the paper. On the one hand, it studies the stability of Chinese hotel alliance by combining the status quo and features of Chinese hotel alliance with the relatively mature results of theoretical studies about the stability of general enterprise alliances. On the other hand, it structures the analysis framework of the stability of the hotel alliance to make a systematic analysis of the factors to the stability of hotel alliance from the point of dynamic process of hotel alliance.