Honors Program

 

Honors Program: Theses

Date of this Version

5-2025

Document Type

Thesis

Citation

Derowitsch, J., Henning, M., Katt, T., Ngo, T., & Soukup, L. 2025. Strategic Audit: Hilton Worldwide Holdings, INC. Undergraduate Honors Thesis. University of Nebraska-Lincoln.

Comments

Copyright Jenna Derowitsch, Makenna Henning, Tenley Katt, Tram Ngo, & Lexi Soukup 2025

Abstract

This comprehensive strategic audit analyzes the internal and external environment in which Hilton Worldwide Holdings Inc. operates, in addition to auditing the strategic drivers that have drove the iconic hospitality firm to success. Hilton Worldwide Holdings, Inc. (Hilton) is a valued hotel chain that has been operating as a global leader in the hospitality industry for more than 100 years. The firm sets an industry standard to provide high-quality hotel services and a reliable stay for more than 200 million guests annually and continues to develop its portfolio of destinations. Technological advancements and shifting customer preferences challenge Hilton to remain innovative across all properties and brands while managing industry disruptions from competitors and other industry threats. Hilton has thrived on its ability to broadly differentiate itself from various customer segments while prioritizing efforts to lead sustainable and cost-effective practices. While that is Hilton’s main competitive strategy, they cater strategies to different brands along their portfolio. High-scale brands drive on more differentiation tactics, while low-scale brands strive for cost reductions. Hilton’s value chain focuses on functional needs firmwide to ensure standard logistics and operation activities, which is evident in Hilton’s consistent marketing campaigns and promising customer service. Hilton needs to directly address alternative accommodations rising to substitute hotel stays. While acquisitions increase offerings, Hilton should innovate alternatives to compete against Airbnb or Vrbo before shifting preferences harm its franchisees and managed hotels. Additionally, Hilton must expand its upper-scale portfolio in demanding regions like Asia-Pacific, where Marriott and Accor SA dominate. These efforts have led to impressive growth, with Hilton scaling new developments at the highest rate among hotel companies. Strategic recommendations will be analyzed through various management analyses.

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