Low threat of new entrants in the hotel industryThe hotel industry is characterized by high investment costs and a high proportion of fixed costs to total costs. The high level of these costs arises from the fact that hotels must constantly be managed in such a way as to obtain the most profitable use of resources applied to decoration, equipment, pre-operational expenses and finances. The goal of hotels is to fill their rooms as cost-effectively as possible. Therefore, one of the most important things that the hospitality industry must understand is that it must be able to market itself and provide quality services so that guests will want to come back. the hotel. The requirements for these two characteristics are very high and it takes a lot of effort. In terms of building a hotel, the capital requirements for a hotel project are so high that the hotel cannot be easily negotiated and must remain a long-term investment goal. As a result, the industry is subject to many cost advantages or disadvantages depending on the size of the hotel. Furthermore, the success of a hotel also depends on the location, management, and the quality and expertise of the staff, which are essential for the functioning of the hotel industry. Moderate threats from substitute products within the hospitality industry. When talking about substitute products in the hotel In the industry, it all depends on the type of hotel you are targeting, which will determine the level of benefits of a substitute good. For example, when we are talking about a hotel aimed at a comfortable, modern and well-priced niche population, the advantage of a substitute good is extremely high because it is easier to access this type of hotel. hotels. However, when we talk about more specific and expensive products...... middle of paper ...... The European market currently offers the highest demand for hotels, especially in gateway cities. To try to solve this problem, they decided to launch two new brands "Autograph" and "Edition", aimed at the luxury market and intended to increase Marriott's expansion plans. The branding and standards benefits resulting from the expansion of these two new branded hotels established in Europe will allow Marriott to expand its brand and essentially target a new sector of the market population that they were never able to penetrate because of the Marriott brand. However, through these two new franchise efforts, they are able to make it more luxurious and therefore attract new, wealthier customers. Additionally, with this new upgrade, they are able to increase the luxury aspect of their brand and increase its standards and image..