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Youreka Hotel, Amritsar SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

Case Study SWOT Analysis Solution

Case Study Description of Youreka Hotel, Amritsar


The management of the Youreka Hotel in Amritsar, India, was concerned about the hotel's overall returns relative to its annual operating cost and large initial investment. The new five-star hotel was now up and running and customers had started checking in, but occupancy levels were low. The hotel industry in India was making double-digit margins, but the hotel had not even achieved operational breakeven yet. Of key importance for the operations head was choosing the best seafood supplier - based on selling price, transportation cost and other factors - for supplying the hotel's restaurants. A poor decision could have a negative impact on room occupancy and profitability. Among management, there were also concerns that the location of the hotel might be unfavourable. When could the operations head expect the hotel to match the profitability of the industry? What could he do to improve the hotel's profitability? Narain Gupta is affiliated with Management Development Institute, Gurgaon. Gita Bajaj is affiliated with Institute of Management & Technology.

Authors :: Shikha Aggarwal, Narain Gupta, Gita Bajaj

Topics :: Leadership & Managing People

Tags :: , SWOT Analysis, SWOT Matrix, TOWS, Weighted SWOT Analysis

Swot Analysis of "Youreka Hotel, Amritsar" written by Shikha Aggarwal, Narain Gupta, Gita Bajaj includes – strengths weakness that are internal strategic factors of the organization, and opportunities and threats that Hotel Hotel's facing as an external strategic factors. Some of the topics covered in Youreka Hotel, Amritsar case study are - Strategic Management Strategies, and Leadership & Managing People.


Some of the macro environment factors that can be used to understand the Youreka Hotel, Amritsar casestudy better are - – increasing government debt because of Covid-19 spendings, there is backlash against globalization, talent flight as more people leaving formal jobs, increasing transportation and logistics costs, digital marketing is dominated by two big players Facebook and Google, supply chains are disrupted by pandemic , customer relationship management is fast transforming because of increasing concerns over data privacy, geopolitical disruptions, increasing inequality as vast percentage of new income is going to the top 1%, etc



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Introduction to SWOT Analysis of Youreka Hotel, Amritsar


SWOT stands for an organization’s Strengths, Weaknesses, Opportunities and Threats . At Oak Spring University , we believe that protagonist in Youreka Hotel, Amritsar case study can use SWOT analysis as a strategic management tool to assess the current internal strengths and weaknesses of the Hotel Hotel's, and to figure out the opportunities and threats in the macro environment – technological, environmental, political, economic, social, demographic, etc in which Hotel Hotel's operates in.

According to Harvard Business Review, 75% of the managers use SWOT analysis for various purposes such as – evaluating current scenario, strategic planning, new venture feasibility, personal growth goals, new market entry, Go To market strategies, portfolio management and strategic trade-off assessment, organizational restructuring, etc.




SWOT Objectives / Importance of SWOT Analysis and SWOT Matrix


SWOT analysis of Youreka Hotel, Amritsar can be done for the following purposes –
1. Strategic planning using facts provided in Youreka Hotel, Amritsar case study
2. Improving business portfolio management of Hotel Hotel's
3. Assessing feasibility of the new initiative in Leadership & Managing People field.
4. Making a Leadership & Managing People topic specific business decision
5. Set goals for the organization
6. Organizational restructuring of Hotel Hotel's




Strengths Youreka Hotel, Amritsar | Internal Strategic Factors
What are Strengths in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The strengths of Hotel Hotel's in Youreka Hotel, Amritsar Harvard Business Review case study are -

Effective Research and Development (R&D)

– Hotel Hotel's has innovation driven culture where significant part of the revenues are spent on the research and development activities. This has resulted in, as mentioned in case study Youreka Hotel, Amritsar - staying ahead in the industry in terms of – new product launches, superior customer experience, highly competitive pricing strategies, and great returns to the shareholders.

Analytics focus

– Hotel Hotel's is putting a lot of focus on utilizing the power of analytics in business decision making. This has put it among the leading players in the industry. The technology infrastructure suggested by Shikha Aggarwal, Narain Gupta, Gita Bajaj can also help it to harness the power of analytics for – marketing optimization, demand forecasting, customer relationship management, inventory management, information sharing across the value chain etc.

Ability to recruit top talent

– Hotel Hotel's is one of the leading recruiters in the industry. Managers in the Youreka Hotel, Amritsar are in a position to attract the best talent available. The firm has a robust talent identification program that helps in identifying the brightest.

Diverse revenue streams

– Hotel Hotel's is present in almost all the verticals within the industry. This has provided firm in Youreka Hotel, Amritsar case study a diverse revenue stream that has helped it to survive disruptions such as global pandemic in Covid-19, financial disruption of 2008, and supply chain disruption of 2021.

Ability to lead change in Leadership & Managing People field

– Hotel Hotel's is one of the leading players in its industry. Over the years it has not only transformed the business landscape in its segment but also across the whole industry. The ability to lead change has enabled Hotel Hotel's in – penetrating new markets, reaching out to new customers, and providing different value propositions to different customers in the international markets.

Highly skilled collaborators

– Hotel Hotel's has highly efficient outsourcing and offshoring strategy. It has resulted in greater operational flexibility and bringing down the costs in highly price sensitive segment. Secondly the value chain collaborators of the firm in Youreka Hotel, Amritsar HBR case study have helped the firm to develop new products and bring them quickly to the marketplace.

High brand equity

– Hotel Hotel's has strong brand awareness and brand recognition among both - the exiting customers and potential new customers. Strong brand equity has enabled Hotel Hotel's to keep acquiring new customers and building profitable relationship with both the new and loyal customers.

Sustainable margins compare to other players in Leadership & Managing People industry

– Youreka Hotel, Amritsar firm has clearly differentiated products in the market place. This has enabled Hotel Hotel's to fetch slight price premium compare to the competitors in the Leadership & Managing People industry. The sustainable margins have also helped Hotel Hotel's to invest into research and development (R&D) and innovation.

Learning organization

- Hotel Hotel's is a learning organization. It has inculcated three key characters of learning organization in its processes and operations – exploration, creativity, and expansiveness. The work place at Hotel Hotel's is open place that encourages instructiveness, ideation, open minded discussions, and creativity. Employees and leaders in Youreka Hotel, Amritsar Harvard Business Review case study emphasize – knowledge, initiative, and innovation.

Low bargaining power of suppliers

– Suppliers of Hotel Hotel's in the sector have low bargaining power. Youreka Hotel, Amritsar has further diversified its suppliers portfolio by building a robust supply chain across various countries. This helps Hotel Hotel's to manage not only supply disruptions but also source products at highly competitive prices.

Superior customer experience

– The customer experience strategy of Hotel Hotel's in the segment is based on four key concepts – personalization, simplification of complex needs, prompt response, and continuous engagement.

Cross disciplinary teams

– Horizontal connected teams at the Hotel Hotel's are driving operational speed, building greater agility, and keeping the organization nimble to compete with new competitors. It helps are organization to ideate new ideas, and execute them swiftly in the marketplace.






Weaknesses Youreka Hotel, Amritsar | Internal Strategic Factors
What are Weaknesses in SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis

The weaknesses of Youreka Hotel, Amritsar are -

Slow decision making process

– As mentioned earlier in the report, Hotel Hotel's has a very deliberative decision making approach. This approach has resulted in prudent decisions, but it has also resulted in missing opportunities in the industry over the last five years. Hotel Hotel's even though has strong showing on digital transformation primary two stages, it has struggled to capitalize the power of digital transformation in marketing efforts and new venture efforts.

Employees’ incomplete understanding of strategy

– From the instances in the HBR case study Youreka Hotel, Amritsar, it seems that the employees of Hotel Hotel's don’t have comprehensive understanding of the firm’s strategy. This is reflected in number of promotional campaigns over the last few years that had mixed messaging and competing priorities. Some of the strategic activities and services promoted in the promotional campaigns were not consistent with the organization’s strategy.

High bargaining power of channel partners

– Because of the regulatory requirements, Shikha Aggarwal, Narain Gupta, Gita Bajaj suggests that, Hotel Hotel's is facing high bargaining power of the channel partners. So far it has not able to streamline the operations to reduce the bargaining power of the value chain partners in the industry.

Ability to respond to the competition

– As the decision making is very deliberative, highlighted in the case study Youreka Hotel, Amritsar, in the dynamic environment Hotel Hotel's has struggled to respond to the nimble upstart competition. Hotel Hotel's has reasonably good record with similar level competitors but it has struggled with new entrants taking away niches of its business.

Interest costs

– Compare to the competition, Hotel Hotel's has borrowed money from the capital market at higher rates. It needs to restructure the interest payment and costs so that it can compete better and improve profitability.

Aligning sales with marketing

– It come across in the case study Youreka Hotel, Amritsar that the firm needs to have more collaboration between its sales team and marketing team. Sales professionals in the industry have deep experience in developing customer relationships. Marketing department in the case Youreka Hotel, Amritsar can leverage the sales team experience to cultivate customer relationships as Hotel Hotel's is planning to shift buying processes online.

Low market penetration in new markets

– Outside its home market of Hotel Hotel's, firm in the HBR case study Youreka Hotel, Amritsar needs to spend more promotional, marketing, and advertising efforts to penetrate international markets.

Need for greater diversity

– Hotel Hotel's has taken concrete steps on diversity, equity, and inclusion. But the efforts so far has resulted in limited success. It needs to expand the recruitment and selection process to hire more people from the minorities and underprivileged background.

High dependence on star products

– The top 2 products and services of the firm as mentioned in the Youreka Hotel, Amritsar HBR case study still accounts for major business revenue. This dependence on star products in has resulted into insufficient focus on developing new products, even though Hotel Hotel's has relatively successful track record of launching new products.

Slow to harness new channels of communication

– Even though competitors are using new communication channels such as Instagram, Tiktok, and Snap, Hotel Hotel's is slow explore the new channels of communication. These new channels of communication mentioned in marketing section of case study Youreka Hotel, Amritsar can help to provide better information regarding products and services. It can also build an online community to further reach out to potential customers.

High operating costs

– Compare to the competitors, firm in the HBR case study Youreka Hotel, Amritsar has high operating costs in the. This can be harder to sustain given the new emerging competition from nimble players who are using technology to attract Hotel Hotel's 's lucrative customers.




Opportunities Youreka Hotel, Amritsar | External Strategic Factors
What are Opportunities in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The opportunities highlighted in the Harvard Business Review case study Youreka Hotel, Amritsar are -

Reforming the budgeting process

- By establishing new metrics that will be used to evaluate both existing and potential projects Hotel Hotel's can not only reduce the costs of the project but also help it in integrating the projects with other processes within the organization.

Lowering marketing communication costs

– 5G expansion will open new opportunities for Hotel Hotel's in the field of marketing communication. It will bring down the cost of doing business, provide technology platform to build new products in the Leadership & Managing People segment, and it will provide faster access to the consumers.

Low interest rates

– Even though inflation is raising its head in most developed economies, Hotel Hotel's can still utilize the low interest rates to borrow money for capital investment. Secondly it can also use the increase of government spending in infrastructure projects to get new business.

Using analytics as competitive advantage

– Hotel Hotel's has spent a significant amount of money and effort to integrate analytics and machine learning into its operations in the sector. This continuous investment in analytics has enabled, as illustrated in the Harvard case study Youreka Hotel, Amritsar - to build a competitive advantage using analytics. The analytics driven competitive advantage can help Hotel Hotel's to build faster Go To Market strategies, better consumer insights, developing relevant product features, and building a highly efficient supply chain.

Harnessing reconfiguration of the global supply chains

– As the trade war between US and China heats up in the coming years, Hotel Hotel's can build a diversified supply chain model across various countries in - South East Asia, India, and other parts of the world. This reconfiguration of global supply chain can help, as suggested in case study, Youreka Hotel, Amritsar, to buy more products closer to the markets, and it can leverage its size and influence to get better deal from the local markets.

Building a culture of innovation

– managers at Hotel Hotel's can make experimentation a productive activity and build a culture of innovation using approaches such as – mining transaction data, A/B testing of websites and selling platforms, engaging potential customers over various needs, and building on small ideas in the Leadership & Managing People segment.

Identify volunteer opportunities

– Covid-19 has impacted working population in two ways – it has led to people soul searching about their professional choices, resulting in mass resignation. Secondly it has encouraged people to do things that they are passionate about. This has opened opportunities for businesses to build volunteer oriented socially driven projects. Hotel Hotel's can explore opportunities that can attract volunteers and are consistent with its mission and vision.

Remote work and new talent hiring opportunities

– The widespread usage of remote working technologies during Covid-19 has opened opportunities for Hotel Hotel's to expand its talent hiring zone. According to McKinsey Global Institute, 20% of the high end workforce in fields such as finance, information technology, can continously work from remote local post Covid-19. This presents a really great opportunity for Hotel Hotel's to hire the very best people irrespective of their geographical location.

Creating value in data economy

– The success of analytics program of Hotel Hotel's has opened avenues for new revenue streams for the organization in the industry. This can help Hotel Hotel's to build a more holistic ecosystem as suggested in the Youreka Hotel, Amritsar case study. Hotel Hotel's can build new products and services such as - data insight services, data privacy related products, data based consulting services, etc.

Learning at scale

– Online learning technologies has now opened space for Hotel Hotel's to conduct training and development for its employees across the world. This will result in not only reducing the cost of training but also help employees in different part of the world to integrate with the headquarter work culture, ethos, and standards.

Increase in government spending

– As the United States and other governments are increasing social spending and infrastructure spending to build economies post Covid-19, Hotel Hotel's can use these opportunities to build new business models that can help the communities that Hotel Hotel's operates in. Secondly it can use opportunities from government spending in Leadership & Managing People sector.

Finding new ways to collaborate

– Covid-19 has not only transformed business models of companies in Leadership & Managing People industry, but it has also influenced the consumer preferences. Hotel Hotel's can tie-up with other value chain partners to explore new opportunities regarding meeting customer demands and building a rewarding and engaging relationship.

Buying journey improvements

– Hotel Hotel's can improve the customer journey of consumers in the industry by using analytics and artificial intelligence. Youreka Hotel, Amritsar suggest that firm can provide automated chats to help consumers solve their own problems, provide online suggestions to get maximum out of the products and services, and help consumers to build a community where they can interact with each other to develop new features and uses.




Threats Youreka Hotel, Amritsar External Strategic Factors
What are Threats in the SWOT Analysis / TOWS Matrix / Weighted SWOT Analysis


The threats mentioned in the HBR case study Youreka Hotel, Amritsar are -

Increasing wage structure of Hotel Hotel's

– Post Covid-19 there is a sharp increase in the wages especially in the jobs that require interaction with people. The increasing wages can put downward pressure on the margins of Hotel Hotel's.

Barriers of entry lowering

– As technology is more democratized, the barriers to entry in the industry are lowering. It can presents Hotel Hotel's with greater competitive threats in the near to medium future. Secondly it will also put downward pressure on pricing throughout the sector.

Instability in the European markets

– European Union markets are facing three big challenges post Covid – expanded balance sheets, Brexit related business disruption, and aggressive Russia looking to distract the existing security mechanism. Hotel Hotel's will face different problems in different parts of Europe. For example it will face inflationary pressures in UK, France, and Germany, balance sheet expansion and demand challenges in Southern European countries, and geopolitical instability in the Eastern Europe.

Increasing international competition and downward pressure on margins

– Apart from technology driven competitive advantage dilution, Hotel Hotel's can face downward pressure on margins from increasing competition from international players. The international players have stable revenue in their home market and can use those resources to penetrate prominent markets illustrated in HBR case study Youreka Hotel, Amritsar .

Technology disruption because of hacks, piracy etc

– The colonial pipeline illustrated, how vulnerable modern organization are to international hackers, miscreants, and disruptors. The cyber security interruption, data leaks, etc can seriously jeopardize the future growth of the organization.

Technology acceleration in Forth Industrial Revolution

– Hotel Hotel's has witnessed rapid integration of technology during Covid-19 in the Leadership & Managing People industry. As one of the leading players in the industry, Hotel Hotel's needs to keep up with the evolution of technology in the Leadership & Managing People sector. According to Mckinsey study top managers believe that the adoption of technology in operations, communications is 20-25 times faster than what they planned in the beginning of 2019.

Regulatory challenges

– Hotel Hotel's needs to prepare for regulatory challenges as consumer protection groups and other pressure groups are vigorously advocating for more regulations on big business - to reduce inequality, to create a level playing field, to product data privacy and consumer privacy, to reduce the influence of big money on democratic institutions, etc. This can lead to significant changes in the Leadership & Managing People industry regulations.

Easy access to finance

– Easy access to finance in Leadership & Managing People field will also reduce the barriers to entry in the industry, thus putting downward pressure on the prices because of increasing competition. Hotel Hotel's can utilize it by borrowing at lower rates and invest it into research and development, capital expenditure to fortify its core competitive advantage.

High dependence on third party suppliers

– Hotel Hotel's high dependence on third party suppliers can disrupt its processes and delivery mechanism. For example -the current troubles of car makers because of chip shortage is because the chip companies started producing chips for electronic companies rather than car manufacturers.

High level of anxiety and lack of motivation

– the Great Resignation in United States is the sign of broader dissatisfaction among the workforce in United States. Hotel Hotel's needs to understand the core reasons impacting the Leadership & Managing People industry. This will help it in building a better workplace.

Consumer confidence and its impact on Hotel Hotel's demand

– There is a high probability of declining consumer confidence, given – high inflammation rate, rise of gig economy, lower job stability, increasing cost of living, higher interest rates, and aging demography. All the factors contribute to people saving higher rate of their income, resulting in lower consumer demand in the industry and other sectors.

Environmental challenges

– Hotel Hotel's needs to have a robust strategy against the disruptions arising from climate change and energy requirements. EU has identified it as key priority area and spending 30% of its 880 billion Euros European post Covid-19 recovery funds on green technology. Hotel Hotel's can take advantage of this fund but it will also bring new competitors in the Leadership & Managing People industry.

Backlash against dominant players

– US Congress and other legislative arms of the government are getting tough on big business especially technology companies. The digital arm of Hotel Hotel's business can come under increasing regulations regarding data privacy, data security, etc.




Weighted SWOT Analysis of Youreka Hotel, Amritsar Template, Example


Not all factors mentioned under the Strengths, Weakness, Opportunities, and Threats quadrants in the SWOT Analysis are equal. Managers in the HBR case study Youreka Hotel, Amritsar needs to zero down on the relative importance of each factor mentioned in the Strengths, Weakness, Opportunities, and Threats quadrants. We can provide the relative importance to each factor by assigning relative weights. Weighted SWOT analysis process is a three stage process –

First stage for doing weighted SWOT analysis of the case study Youreka Hotel, Amritsar is to rank the strengths and weaknesses of the organization. This will help you to assess the most important strengths and weaknesses of the firm and which one of the strengths and weaknesses mentioned in the initial lists are marginal and can be left out.

Second stage for conducting weighted SWOT analysis of the Harvard case study Youreka Hotel, Amritsar is to give probabilities to the external strategic factors thus better understanding the opportunities and threats arising out of macro environment changes and developments.

Third stage of constructing weighted SWOT analysis of Youreka Hotel, Amritsar is to provide strategic recommendations includes – joining likelihood of external strategic factors such as opportunities and threats to the internal strategic factors – strengths and weaknesses. You should start with external factors as they will provide the direction of the overall industry. Secondly by joining probabilities with internal strategic factors can help the company not only strategic fit but also the most probably strategic trade-off that Hotel Hotel's needs to make to build a sustainable competitive advantage.



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