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Increase in the Scale of the Network Company in the Midst of Socio-economic Crisis

Student: Yunusova Renata

Supervisor: Nadezhda L. Titova

Faculty: Graduate School of Business

Educational Programme: Management (Bachelor)

Final Grade: 7

Year of Graduation: 2016

In this paper we will consider the strategy of extensive growth of the company's network in terms of socio-economic crisis. Today's business environment is characterized by continuous changes, increasingly competitive, more and more power buyers and other factors that require constant attention on the part of organizations. In most companies, the service sector, when considering the small and medium business there is a continuing need for a rapid response to changing market conditions and rapidly changing economic environment, which often requires the reorganization of the internal system, the best statement of the administrative account and optimization of management processes. The current socio-economic situation in our country has both great opportunities and serious risks for any company. One example of areas for which the complexity of the socio-economic situation has mixed effects, is the hotel business. In such a situation, the decision regarding the expansion of hotel business scale becomes extremely ambiguous. On the one hand, it involves the possibility replicating already tried and tested technology, to take advantage of the increase in the flow of tourists and to occupy a significant part of the market segment with relatively low competition. On the other hand, the economic and political situation is largely determined by the flow of potential customers is extremely unstable, and replication of unsuccessful or not fully proven technologies can lead to serious losses for the company. Problem: divergent decisions concerning the consequences of the extensive development of hotel chains. As part of this work will be analyzed the possibility of using the strategy of extensive growth of the group of companies hospitality industry, suggesting an increase in the number of hotels that use standard technologies and business processes.

Full text (added May 21, 2016)

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