Having worked with and in several 4 Star Hotels, one begins to notice a common thread or theme.  There are three basic principles the General Manager or owner of the hotel need to consider; Price, People and Property.

Price (your rate) you have to set your rates at a level that will support your operation. If you cannot, there are two choices. Reduce your operating expenses or increase your revenue through achieving a higher occupancy. Remember that it is always better to focus on revenue generation; the reduction of operating expenses can sometimes be a slippery slope.
People (Management and employees)
The hotel industry is notorious for high turnover, and in many cases it is deserved.
Be clear on you compensation philosophy, take the time to understand what is important to today’s employees, pay scale is only one small component of compensation.  What type of culture do you have in your hotel?  What is your retention strategy, and are your employees engaged?  
These intangibles are far more important than an extra ten or twenty-five cents in wages. Many employers today are still disciplining their staff; consider coaching to improve performance, a proactive approach to performance management.
Property: (design, maintenance and capital)  
You can only ask- and get- the rate you desire if your property can provide the service and amenities associated with that particular rate.  That doesn’t mean everything has to be brand new, but it does mean the experience needs to be excellent and consistent.