Research On Competitive Advantage Of Value Network-based On Economy Hotel

Known as limited service hotel, the concept of the economy hotel is put forwardwith the society hotel and the high-end hotel. it’s main customer is the mass travelersand medium-sized business people, with the room core products. Has thecharacteristics of low cost, high quality of the modern hotel manner. Economy hotelcomes in our country nearly20years develops in high speed. With the advent of theera of new economy, market and resource competition globalization, the competitionof economy hotel is intensified, how to cultivate and maintain the competitiveadvantage is the top issue for the sustainable development of the economy hotel.Value network as a new business model, collect the resources and elements in theform of network organization, is a more flexible kind of enterprise relationship valuesystem. It can share the resources and capabilities in the larger scope and continuouslyadjust and optimize the resources according to customer demand. Therefore, thisarticle from the perspective of value network, seeking the advantage of businessmodel innovation and cost management based on value network.This paper through the method of literature review expounded the connotation ofthe economy hotel, define the categories and characteristics of budget hotels, as wellas the concept, compare the connotation of the value chain with value network, andexplains the concepts of competitive advantage from the perspective of connotation,elements, types, which laid a foundation for later research. And then analyzes thedevelopment course and current situation of the budget hotel, points out that thebudget hotel now face the competitive environment including microscopicenvironment and industry environment. Research competitive advantage of budgethotel based on value network from two aspects. Establish the competitive advantageformation model and put forward the relevant strategies. Finally use Hanting hotels asa case to construct the value network, analysis the cost management advantage basedon value network.The result shows that through the establishment of value network, budget hotels and member enterprises to make the integration of resources and capabilities, whichcan find a new way of cooperation, not only carry out new product category but alsopromote business model innovation. Network members combines internal channelsand share external resources with each other, economy hotel can concentrate on thedevelopment of the core business, which can effectively reduce the cost of the hotel.At the same time, through building the hotel value network, the members can makethe best use of management resources and material resources to realize the economyhotel and customers benefit mutual appreciation.