Economics for Sustainable World | Amara Hotels

Running head: ECONOMICS FOR SUSTAINABLE WORLD
ECONOMICS FOR SUSTAINABLE WORLD
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ECONOMICS FOR SUSTAINABLE WORLD1
Executive summary
The paper deals in the understanding of how business environment can effectively change the
profit pattern and lead to many consequences. This is done with respect to Amara Hotels who
has huge operation in Singapore and has expanded hotels in many countries.

ECONOMICS FOR SUSTAINABLE WORLD2
Table of Contents
1) Introduction to the business and general business environment.................................................3
Description of the business..........................................................................................................4
Main competitors of the firm and the market share of the firms.................................................5
Market Structure, Price Elasticity of Demand and its Mark-up Price.........................................5
2) Production costs and scale...........................................................................................................7
Fixed factors of production..........................................................................................................7
Variable factors of production.....................................................................................................8
3) Macro Business Environment.....................................................................................................9
Stability of the political system.................................................................................................10
Level of inflation, unemployment and average rate of interest.................................................11
Recent changes in the currency exchange rates.........................................................................12
4) Sustainability practice of the business.......................................................................................12
Externalities in production.........................................................................................................12
Externalities in consumption.....................................................................................................13
Reference List................................................................................................................................14

ECONOMICS FOR SUSTAINABLE WORLD3
1) Introduction to the business and general business environment
The business environment is going under a continuous change because of the rapid
changes in technology, consumer demand, production cost, sustainability practice, sale of the
product and existence of rival firms. It is important to study about the market conditions of a
company that is effective for understanding the business environment and market demand of the
firm. The aim of the paper is to undergo a market analysis of Amara Brand with respect to
various factors that affects the overall business structure (Giap, Kai, & Seng, 2015).
Description of the business
Amara brand is a lifestyle group that focuses on three business areas such as property
investment and management, hotel investment and management, specialty restaurants and food
services. The brand is well known for the creation of innovative hospitality and management
services. The company is reputed to be one of the leading integrated lifestyle group in Asia. The
offer a range of premium brands that is efficient for value, quality, style, personalized service
along with a range of product offerings. The company has a high value in terms of customer
satisfaction that has enabled the firm to create more of quality products that go beyond customer
expectation.
Teo Teck Haut founded a building in 1930 to undergo a project, Cathay Cinema. In 1970,
Teo Teck Haut Private Enterprise has been created to expand construction and property
development in several firms. The company effectively changed its name into Teo Tech Haut
Investment Private Limited and increased business operations in investment and management of
property. Slowly and steadily, the firm shifted into the tourism industry of Singapore by
engaging in hotel tourism and management services (Purwomarwanto, & Ramachandran, 2015).