Hospitality Business Strategy

HOSPITALITY BUSINESS
STRATEGY

MAIN BODY...................................................................................................................................3
PART A...........................................................................................................................................3
PESTEL analysis of NH group of hotel......................................................................................3
SWOT analysis of NH group of hotels........................................................................................4
Porters five force model...............................................................................................................5
VRIO analysis of NH hotel group...............................................................................................6
PART B............................................................................................................................................7
Evaluate the different types of strategic directions available to the organization.......................7
Justify and recommend the most appropriate growth platform and strategies............................8
Produce a strategic management plan with strategies, objectives and tactics.............................8
CONCLUSION ...............................................................................................................................9
REFRENCES.................................................................................................................................10

INTRODUCTION
Business strategy is that type of strategy that has being used to promote growth of
business and makes it gain profit while maintaining sustainability in market. In other words this
is referred to as those actions and decisions which an organization is required to take in order to
achieve goals and objectives. This is being defined as strategy which has been formed in order to
promote better and effective decision making mechanism. Scope of this strategy is very wide
because they deal with aspects of business that helps in gaining progress within a business. This
report is based on NH group of hotel which is a multinational company for hotels which is
having 350 hotels under it. This report is divided into two parts. First part contains PESTEL,
SWOT, Porter’s five force model and VIRO analysis. Second part is going to deal with ansoff
matrix and strategic plan is to be covered in the end.
MAIN BODY
PART A
PESTEL analysis of NH group of hotel
PESTEL analysis is that kind of analysis which acts as tool that is required by an
organization to promote the growth of its micro-economic factors. This analysis is responsible
for making an organization aware about any kind of problem that is faced due to external factors.
It includes political, economical, social, technological, legal and environmental. They are
explained in detail as follows:
Political factor In this factor there are certain policies which are formed by government is
included under it. These policies relate towards government's intervention within organizations
business through tax and other policies which directly impacts organizations growth. NH group
of hotels is going to be impacted through this factor in a manner that if tax rate is increased then
prices of services provided by the hotel also increases which is eventually going to decrease
profit of the organization (Cheon and Cheon, 2016).
Economical factor This factor is related to circulation of economic and deals with various
aspects related to it. Economy of a country is one of the most important factors that deal directly
with the organization's economic factor. Under this inflation rate, interest rates, foreign exchange
rates, economic growth patterns etc. Such factors have drastic impact upon an organization's
growth. It impacts NH group of hotels in a manner that rise in the inflation rate of country's
economy would affect price of products and services. That makes loss to be faced by an
organization.
Social factor These are the factors that are related to society and the trends that has been taking
place in a society. It majorly deals with social environment that includes trends and taste of
persons or individual living in particular society. An Organization like NH group of hotels is