Brand quality and internationality: Branded global chain hotels

It is increasingly testing for individual hotels, even the well-run and famous ones, to compete and grow in the wider world market without having the underpinning and benefits of the global representation. Perhaps, this is why even the more notable establishments, join hotel chains or a global hotel management conglomerate. This paper focuses on the correlation between business performance of global chain hotels (GCHs) and quality and internationality of the brand they belong to. The quality of the brand is determined by these categories: luxury, upscale, midscale, economy and budget. The internationality of brand is expressed by the number of countries in which the brand operates and number of hotels worldwide the brand operates through agreed business model between the hotel and hotel chain. Hotel business performance is approximated by revenue per available room (RevPAR). This research showed that there was a positive, medium to strong relationship between business performance of branded GCHs and brand quality. There was a positive but weak relationship between branded GCHs business performance and the number of countries in which brand operated. On the other hand, there was no statistically significant relationship between branded GCHs business performance and the total number of hotels operating under the same brand worldwide