Hospitality Business Strategy

Hospitality Business
Strategy

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Macro Environment.....................................................................................................................3
TASK 2............................................................................................................................................5
Internal environment and the capabilities....................................................................................5
TASK 3............................................................................................................................................7
Porter’s five force Model.............................................................................................................7
TASK 4............................................................................................................................................8
Strategic Planning........................................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Business strategy refers to the strategies or the tactics which is been used by the company
for the achievement of its objectives. The businesses use the different analyses or frameworks
which helps them in evaluating the both internal and external risks and factors. Here the internal
environment factors are those factors which are in the control of an organization and
organization and makes changes in them accordingly. For example the employees, resources,
materials, suppliers, values, mission, and the so on. Whereas the external factors are those factors
which put a huge impact upon the business and they work independently. These factors are out
of control of any organization and organization frames their policies by evaluating the risks these
factors can generate into the operational activities of an organization. For reference purpose this
report has taken an example of Primer Inn Hotels. It is a British multinational brand for hotel
chains. This company has the largest number of chains in UK. The company was established in
the year 1987 by Alison Britton.
This report discuss about the macro environment which put impact upon the working of an
organization. The report also discuss about the internal environment factors and analyzing of all
those factors. The Porter’s five force model of hotel Premier Inn is also presented into the report.
Apart from this the strategic planning has also been discussed.
TASK 1
Macro Environment
Macro environmental factors are the factors which are out of the reach of an organization.
These factors play an important role into the decision of any strategic plan. These factors are not
dependent upon any environmental factors, they work independently. These factors affect the
operations and activities of any organization in a huge way. It is very much essential or any
organization to evaluate this macro environment before making any strategy or any plan. The
external factors can be easily analyzed through PESTEL analyses. The pestel analyses helps an
organization in finding out the factors and the risks which micro environment can put in the
business (Bozkurt, Kalkan, and Arman, 2014). Through such the risks which are associated with
the external environment gets minimum or get eliminated. The pestel analyses of Premier Inn are
as follows:
Political: It is related with the rules and regulations which are being formed by the government.
The political factor includes taxes, foreign trade policies, corruption and so on. It is consider as a
major macro factor which influence the organization directly or indirectly but this factor also
provides the business with offers and opportunities. In 2010 the UK government for boosting up
their economy came up with many policies and schemes which were in favor of hospitality and
hotel industries. Apart from this the British Tourism Association along with Hospitality
Association also came up with various policies which were in favor of Tourism Industry. In the
year 2009, The Prime Minster of British announce the prize money for the industries which