Analysis of Macro Environment and Strategies in Hospitality Business

Hospitality Business
strategy

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Analysis of the influence and impact of macro environment on the company and its
strategies......................................................................................................................................3
Stakeholder analysis....................................................................................................................3
PESTLE analysis.........................................................................................................................4
TASK 2............................................................................................................................................5
P2 Analyzing internal capabilities and environment ofthe company using different framework. .5
TASK 3............................................................................................................................................8
P3 Application of Porter’s five forces to evaluate the competitive environment of company....8
TASK 4............................................................................................................................................9
P4 Application of concepts, models and theories to devise the strategic planning for the
company.......................................................................................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
Books and Journals....................................................................................................................12

INTRODUCTION
Business strategy is a field which helps out to incorporate all the organisations to implement
the ideas through which the competitors can be framed out in regards of all the products and
the services that are being applicable (Maier,and Ohara, 2017). Hospitality sector has the
immense growth and competition is there are so many tourists who are being rapidly
increasing the revenues. To try to promote the maximum areas and growth through which the
business strategies can be implemented in all the areas. This report will cover Marriot
Hospitality group UK. It is a luxury hotel it frames out to maintain a comfort environment to
the customers. It will cover all the internal and external environmental factors by implicating
the theories by serving the models and all the strategic planning that are being needed in
organisational growth.
TASK 1
P1 Analysis of the influence and impact of macro environment on the company and its strategies.
Stakeholder analysis
In a project all the people connected internally to the project and work as a team who are
affected from the project are stakeholders of the organisation. Stakeholder analysis is the process
of identifying stakeholders from before the beginning of the project and grouping them
depending on their rank of participation (Obeidat, and et. al.,2017). The steps of analysing the
stakeholders include, initially identifying the appropriate stakeholders for the organisation. In
this case, some of the potential stakeholders are hotel owners, franchise owners, suppliers,
associates, organisations and many more. Next step is to prioritize these stakeholders by using
the power index grid. Last step is to finding out ways to communicate with them and win a buy-
in from each type of the stakeholder.
Name Role Power Interest Power interest
matrix
Stakeholder 1 Franchise owner High High Manage
closely
Stakeholder 2 Supplier Low Low Monitor
Stakeholder 3 Customer High High Manage

closely
Stakeholder 4 Employee Low High Keep
informed
Stakeholder 5 Community
organisations
High Low Keep satisfied
PESTLE analysis
Political: Marriott hospitality group works on international level having its presence in
lots of countries in the world. It is even looking forward into acquiring different chains of hotels
to cut down operational costs for both but the Marriott group is still not sure that this decision
will help in increasing the company’s revenues (Bavik, 2020). The profits of the Marriott have
gone down because of some terror incidents. Any of such incidents on the hotel chains of
Marriott will have an impact on the reputation of the brand and will thus affect the customer base
of the Marriott. The existence of Marriott is in countries which work on high corruption level but
following the rules and regulation is a must. It makes the organisation to be difficult to work in
such political conditions. The uncertainty in the political landscape of the European union has
affected the business of this hospitality organisation.
Economic: The changes in the economies of the local countries in which Marriott
operates have an impact on the performance of the organisation. The changes in the currencies
and exchange rates have made the company very difficult to earn profits. The constant
fluctuations in the currency make it difficult for the organisation such as Marriott to estimate
their values and assets. The restrictions on spending limit and the cuts have impacted the
business of Marriott adversely. Fall out in the economy of the country will impact the profits of
the Marriot as they provide only luxury and premium services. On the other hand their services
from the select category which offers homely experience has helped the company flourish even
during the time when the economic graph was going down (Jawed, and et. al.,2021).
Social: This organisation has suffered a lot due to the terrorism activities. Even when the
air ticket is cheap and the oil prices are low, people still are do not trust the environment of the