Contemporary Hospitality Industry

Contemporary Hospitality
Industry

Table of Content
• Introduction
•Analysis of PESTEL to determine the impact of External Environment
•SWOT analysis for assessment of Internal factors.
•Impact of external factors on the development of Travelodge Hotels
•Current and Potential trends in hospitality industry
•Evaluation of the ability of Travelodge to develop products and services
•Impact of external factors on current and potential trends
•Conclusion
•References

Introduction
Hospitality industry is recognised as the broader segment of service industry which
constitute several business and services aimed primarily to provide leisure and customer
satisfaction. Unlike other business that caters to the needs of the customers, service
industry serves to provide experience, enjoyment, pleasure and luxury to their clients and
guests who make use of their services. Lodging, food and beverages, event management,
Themes Park, travel and tourism are the part of a broad hospitality service industry.
Travelodge Hotels Private limited company was founded in the year 1973, headquartered
at Thames, England. Travelodge is an independent largest hotel chain in United Kingdom
with more than 550 hotels across UK, 11 in Irelands and 5 Hotels in Spain. Objective of
report is to examine the impact of internal and external factors along with current and
potential trends impacting hospitality industry.

PESTLE Analysis
Business under hospitality sectors operates in market environment which makes them
susceptible to the changes taking places, therefore analysis of external factors through pestle
helps Travelodge Hotels limited to determine the future threat and challenges.
 Political factors: Imposing of travel ban, changes in the political parties and rigid laws of
business impact the way the Travelodge operate in different nations. However,
governments of few nations promote and foster tourism through attractive and liberal
policies to increase the hospitality business thus beneficial for the hotel brand.
 Economic factors: Changes in the economic factors also impacts the performance level
of Travelodge as economic instability, recession, inflation rates, interest rates affect the
purchasing power thus decline in the sales of hotel. On the other hand, stable and strong
foreign currency of a nation makes the travel inexpensive thus brings more travellers
across globe.