Recent performance of all-suite hotels in the United States indicates that the rapid
development of new all-suite hotel brands, including fourteen new ones in 1996, may
not be warranted. The development of such new brands may be based more on the
macroculture of the hospitality industry than on any actual future viability of this hotel
type. The mutual support organizations encompassing the macroculture provide to one
anothermaybe maintaining this momentum of brand development, despite the fact that
during 1996, the average daily vacancy in all-suite hotels actually increased by 17%.
As the previous downturn of the hotel industry in the late 1980s and early 1990s
indicates, while mutual support is comfortable in the short term, itmaybe dysfunctional
and disastrous in the long term.
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