Huzan Fraser Motivala, area director-sales & marketing, India, said, "We want to position our international brand -- Le Meridien -- strongly in the local market. This is because multinationals/ foreigners coming to India will recognise us. This would enable the company to stave off competition."
"The company would be providing brand name, management consultancy and other services. We will not hold any financial stake in any of the hotels," Motivala added.
Le Meridien will not only provide management consultancy but will also market and operate the hotels. On the investments for the project, the company intends to enter into a tie-up with some hotel owners.
The company would charge a consultancy fee -- a certain per cent on the gross operating profit -- and a marketing fee of one per cent on the turnover. Motivala refused to give details on the revenue pattern.
Le Meridien has hotels in New Delhi, Pune, Bangalore and Chennai. The chain will be coming up with a fifth in Mumbai shortly. It is also looking at opening hotels in Goa, Kochi, Jaipur, Udaipur, Hyderabad and Calcutta.
The Le Meridien project in Kochi will be completed by the end of this year and the Goa project will be completed by the end of 2001.
