4.6 • 13.2K Ratings
🗓️ 30 August 2023
⏱️ 42 minutes
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It’s 2001 and the hotel industry is reeling from 9/11. But terror attacks are only the one of the new challenges closing in on Marriott and Hilton.
The uniform hotels of the 20th century no longer cut it with young travelers, Starwood is making inroads, and online travel agents are upending vacations.
But Marriott’s got another problem to fret about. Because Hilton’s about to shake free of the Hilton family and go on the attack.
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0:00.0 | In a circular meeting room in Washington, D.C., Bill Marriott sits before a panel of U.S. |
0:16.0 | senators and pulls the microphone towards him. |
0:19.0 | The 69-year-old boss of Marriott International has come seeking help. |
0:24.0 | It's October 2001, a month since the 9-11 attacks knocked the world off its axis. |
0:30.0 | The Marriott World Trade Center is now rubble. |
0:33.0 | America's conducting airstrikes in Afghanistan and the hotel industry is on its knees. |
0:39.0 | The government's already bailed out the airlines but it's doing nothing for struggling hotels. |
0:44.0 | Bill hopes to change that today. |
0:47.0 | He peers over his spectacles at the senators and makes his case. |
0:52.0 | These past four weeks have been the most difficult weeks for the travel and tourism ministry that I've ever experienced in 45 years in the business. |
1:00.0 | Immediately following the attack, our net reservations for our company in the United States dropped 94%. |
1:08.0 | The lodging industry is very capital intensive carrying about 150 billion dollars of mortgage debt. |
1:14.0 | And many hotels will not make their debt service payments. |
1:18.0 | Bill then asks the senators to give travelers $500 off their first 2001 tax bill if they travel in book hotels. |
1:27.0 | Illinois Senator Peter Fitzgerald Ducks bills plea. |
1:30.0 | I note that the CEO, I think of Hilton Hotels, Stephen Bowlin back. |
1:36.0 | He said, I think it would be improper for us to get in line for government subsidies. |
1:41.0 | It would be kind of unseemly and if I were the government, I wouldn't give us anything. |
1:46.0 | Bowlin Bach anticipates a quick rebound and his dismissal of the need for government intervention leaves Marriott little choice but to roll with the punches. |
1:56.0 | Marriott announces layoffs puts a lid on spending and anxiously awaits better times. |
2:02.0 | At Hilton, there's no sense of crisis. |
2:05.0 | Instead, the company sees the law as the ideal time to renovate its hotels and attempt to snatch market share away from weakened rivals. |
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