Hotel industry growth trends –the case of InterContinental Hotels Group

Abstract

IHG is considered one of the biggest companies from hotel industry. Its presence is spread worldwide, accounting with more than 5,600 franchised, managed, owned and leased hotels. Its revenues are reported according to three regions – Americas, EMEAA and Greater China. IHG has been developing expansionist strategies, improving its business models and aligning its corporate goals in order to obtain long-term sustainability. We performed an analysis of IHG business models and value drivers, researched about its major competitors and incorporated the main industry trends in the forecast. It was adopted the DCF methodology in order to determine the FY20 share price.