Franchising
Many of Hilton's properties are franchised to independent operators and companies. This business practice has proven successful in rapidly expanding the various Hilton brands to markets all over the United States. Franchisors must follow strict brand standards in order to maintain a licensing agreement with Hilton Worldwide. The Hampton Inn brand is virtually 100% franchised with the minor exception of a few properties that are corporate managed for various reasons. All franchised hotels are regularly inspected by a Quality Assurance Team to enforce brand standards and consistency.
The practice of franchising is popular within the Hospitality industry among most major hotel chains, especially among smaller brands with a fair number of locations which are not feasible to be corporately owned and managed by the company. Competitor companies such as Marriott International and Starwood follow a similar business model that focuses on franchising as a rapid expansion method.
Most of Hilton's flagship properties, airport properties, and largest resorts however are corporate managed.
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