Analysis of Hiltlon’s Annual Report
Analysis of Hiltlon’s Annual Report
Introduction
1.1 History of Hilton Hotels Corporation
Hilton Hotel Corporation was created by Conrad Hilton who purchased his first hotel in Cisco, Texas in 1919. The first hotel which carried Hiltons name was opened in Dallas in 1925. In 1943 Hilton hotels became the first coast-to-coast chain of hotel in America, which was placed on the emphasis on the service of business customers. Then Hilton became the richest man in the world. In 1949 he opened his first hotel outside of the USA in Puerto Rico. Conrad Hilton died in 1979 and his son Barron Hilton followed and by the year 2000 Hilton Hotel Corporation had nearly 500 hotels around the world. Hilton Hotels Corporation is engaged in the ownership, management and development of hotels, timeshare properties and the franchising of lodging properties.
2. Sources of impact on performance
2.1 Economic weakness
Hilton has its main activities in the USA and Canada. The recent economic downturn in the USA had several impacts on Hilton because the company’s activity is around this region. This economic weakness in the USA led to cost cutting activities by a lot of business companies. Because this reduction of business travel activities occurred, less hotel stays and pressure on pricing of room rates resulted. Especially metropolitan and airport properties