Solberri is a hotel group that has developed ten resort hotels since establishing a reputation for quality with its two original hotels. Their target market would have been high-net-worth individuals -- the rich. By the late eighties, the emphasis on quality at the original two hotels had resulted in success, expansion and a strong brand based on Solberri's reputation for being an industry benchmark for best practice. But complacency caused substantial declines in occupancy levels and profits by 2006. A new CEO joined that year with the aim of returning Solberri to its former glory. Refurbishments and increased marketing boosted occupancy from 38.3% in 2006 to 45.5% in 2007. The challenge for the CEO and his team is to manage the quality of Solberri's human resources, IS/IT strategy and facilities (all required to support the competitive strategy) more efficiently than its rivals. Solberri uses all three main routes to market: holiday packages offered by travel agents, online bookings, and repeat business from returning customers who book directly.
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