Independent hotel or a franchise hotel

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Independent hotel or a franchise hotel
Food and beverages industries are very profitable only if is the setting and planning of the organisation are done well. Primarily, because food is a basic need that everyone needs to survive. Additionally, raw material such as agricultural products and seafood in this industry are cheaper. This is because they are locally processed, and the company does not incur importation cost. Therefore, this has caused a lot of competition in the Food and Beverages industries. Some businessmen have decided to operate their hotels while others prefer franchise system of the hotel.
Consequently, the advantage of operating an independent hotel is that decision-making process is fast. Secondly, you enjoy the profit alone unlike franchising where you need to pay for the branding fee. When operating an independent hotel you have an opportunity of setting a long-term goal in the business. Likewise, operating an independent hotel you enjoy the leadership and full control of the business. However, the disadvantage of operating an independent brand is that the industry is dominated by franchised hotel. Therefore, independent hotel operator needs to unique or have to work extra hard in marketing unlike in franchise. Secondly, independent hotel always faces difficulties in obtaining a loan, unlike franchise that have loan securities. Lastly, independent hotels have difficulties when they hope to expand to i…