Global Business Environment

This assignment evaluates the business environment of the hospitality industry in the UK, focusing on Holiday Inn. It explores the key drivers of change and uses PESTLE analysis to understand customer needs. The report discusses the impact of political, economic, social, technological, legal, and environmental factors on the business. It concludes that by following regulations and implementing innovative technologies, Holiday Inn can satisfy customer needs effectively.

Global Business
Environment

Table of Contents
Executive summary:.........................................................................................................................2
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

Executive summary:
Global business environment refers to the sum total of internal and external factors which
is used by so many firms in order analyse their overall customer needs and wants within the
marketplace. Along with this there are different types of key drivers of change and PESTLE
analysis will be used for gaining the knowledge about customer needs and wants in a proper
way. Under this assignment, business environment of hospitality industry of UK is going to
evaluate, by choosing Holiday Inn organization that deals in same sector. For this purpose, a
number of models like PESTLE analysis, with key drivers of change are utilised (Doh, Luthans
and Slocum, 2016).
MAIN BODY
Holiday Inn is one of the best British-owned American brand of hotels, as it is one of the
world's largest hotel chain so that they have different types of business activities and operations
as they have 1173 hotels with 214,000 bedrooms with luxurious facilities so they are needed to
have effective and efficient functions in order to achieve its organizational goals and objectives
in a proper way (Hooper, 2016). While operating various chains of this hotel they also face few
issues and difficulties within the organization and outside the organization, so its heavily impact
on overall operations of this business as per the environmental situations (Kasemsap, 2016). In
order to analyse different factors that impact on business functions, PESTLE analysis can be
utilised in following manner –
PESTLE:
It refers to the particular concept of marketing principles, it shows various aspects on the
basis of overall environmental conditions at different levels.
Political factor: This factor states about political environment of a country, where a
company operates its business. For example – in UK, most of the companies include Holiday
Inn, business strategies and other functions are mostly affected by Brexit (Tallman, Luo and
Buckley, 2018). As present company mainly targets the tourists, therefore, after Brexit, tourism
gets reduce due to fluctuations in economic and political environment. So, it forces respective
firm to develop better policies to run business well.
Economic factor: It is based on the performance of economy by which firms can get
profits in a proper way (Chand, 2019). In relation with Holiday Inn, after Brexit, economic
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environment is highly fluctuated that affect the trade policies, tourism and more. So, to overcome
from such conditions, present firm needs to change its pricing strategies, that helps in earning at
least minimum profitability, to cover up production cost.
Social factor: This is based upon overall social environment of the marketplace, changes
in demands and preferences of customers, to purchase unique services for satisfy their wants,
assist Holiday Inn to offer better service and experience, for mitigating their needs.
Technological factor: Innovation or advancements in various technologies can influence
overall business in both negative and positive manner (Wikhamn, 2019). Herein, implementing
new technology aid Holiday Inn to satisfy customers needs and build strong relations with them.
But for this process, it has made a number of changes in existing infrastructure that requires
more investment and efforts.
Legal factor: This factor assists Holiday Inn to comply its business and employment
policies as per compliance, otherwise, it may impact directly its business reputation and retention
of employees in negative manner (Tolkach and Tung, 2019).
Environmental factor: As this factor company needs to concern on making more
investment in CSR activities and protect environment by efficient waste management.
On the basis of the above report this can be said that there are different types of key
drivers who changes the overall functions and operation of entire business in both positive and
negative way (Hooper, 2016). But on the other side if Holiday Inn will follow rapidly all these
sorts of rules and regulations they can make their business better and able to give huge
satisfaction to customers.
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CONCLUSION
On the basis of above representative report it has been concluded, global business
environment is very essential aspect in order to known about overall marketing conditions in a
particular time frame. As per the above mentioned organization they are using PESTLE analysis
for knowing overall demand and desire of their customers in a proper way. With the help of this
they can apply various innovative technologies and able to satisfied customers needs effectively.
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REFERENCES
Books and Journals
Chand, M., 2019. Management Accounting Practices in Tour Operation Industry: An Empirical
Analysis. International Journal of Hospitality & Tourism Systems, 12(2)
Doh, J. P., Luthans, F. and Slocum, J., 2016. The world of global business 1965–2015:
Perspectives on the 50th anniversary issue of the Journal of World Business: Introduction
to the special issue.
Hooper, M. J., 2016. The global business handbook: The eight dimensions of international
management. CRC Press.
Kasemsap, K., 2016. The roles of knowledge management and organizational innovation in
global business. In Civil and Environmental Engineering: Concepts, Methodologies,
Tools, and Applications (pp. 1156-1180). IGI Global.
Tallman, S., Luo, Y. and Buckley, P. J., 2018. Business models in global competition. Global
Strategy Journal, 8(4), pp.517-535.
Tolkach, D. and Tung, V. W. S., 2019. Tracing hospitality and tourism graduates’ career
mobility. International Journal of Contemporary Hospitality Management.
Wikhamn, W., 2019. Innovation, sustainable HRM and customer satisfaction. International
Journal of Hospitality Management, 76, pp.102-110.
Republic.
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