Hospitality Business Strategy - Analysis of Imperial Hotels' External and Internal Environment, Competitive Forces, and Strategic Directions

Hospitality Business Strategy

TABLE OF CONTENT
INTRODUCTION...........................................................................................................................4
PART-A...........................................................................................................................................4
1- Analysing the impact and influence of the external factors of the Imperial Hotels................4
2-Critically Analysing the External Factors................................................................................5
3-Analysing the internal environment and capabilities of Imperial Hotels ..............................5
4- Analysing the competitive forces of Imperial Hotels..............................................................8
Part B...............................................................................................................................................9
Evaluation of the different types of strategic directions available to the Imperial Hotel............9
Most appropriate growth platform and strategies........................................................................9
Strategic Management Plan ......................................................................................................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14

INTRODUCTION
Business Strategy is the outline of all actions and plans performed by the organization to
achieve business goals and competitive advantage in the competitive market. It helps the
business by giving set of values and also helps in accomplishing goals of the organization. The
current report has chosen the organization Imperial Hotels to analyse its business strategies. The
Imperial hotel is a UK based four-star hotel that operates more than 25 hotels in UK. It offers
many services like boarding facilities, conference facilities, restaurants services and leisure
centres. This report about Imperial hotels is going to contain the macro and micro environment
of the organisation and includes range of models, concepts and strategies which are used by it to
achieve the customer satisfaction through delight and care and at last by meeting the customer
expectations.
PART-A
1- Analysing the impact and influence of the external factors of the Imperial Hotels
PESTLE MODEL
PESTLE model is the analysis of the business environment to find out the
political,economical, social, technological, legal and environmental factors. This model is used
by the industries to find out the factors that affects the growth of the industries.
 Political Factors: Imperial hotels operates in many countries so it is bound to follow
policies according to the countries they operate in(Khorasaniand Heidari, 2020). It has to
work according to the intervention of both local and national government as government
plays huge role in creating policies.
 Economic Factors: It includes the inflation rate, taxation rate, labour marketing
conditions which affects the operation of hospitality industry. In recent years,
government has started investing in developing infrastructure to improve the business
environment. Imperial hotels present infrastructure that helps to get growth in service
sector.
 Social Factors: This factor includes the preference, buying habits, lifestyle of the
consumer that helps in gaining the customer satisfaction. Customers are giving higher
preference to experimental services rather than the traditional services. Imperial hotels is

focussing on to provide the facilities and trends to gain the maximum customer
satisfaction.
 Technological factors: Technological advancements are disrupting the supply chain as it
provides access to information to not only supply chain but also the service sector.
Imperial hotels has to keep information regarding the development of technology and
enhancement of customer's experience with increasing speed. This can help in achieving
maximum satisfaction.
 Legal Factors: This factors include the intellectual property rights, patents, trademarks
and copyrights which need to be considered by the hospitality industry(Kabeyi, 2018.).
Imperial hotels position will be affected if these rights are not followed properly.
 Environmental Factors: This includes the factors like climate change, waste management
and pollution. Waste management for places close to the urban areas has been taken into
importance by Imperial hotels. Government has come up with the strict rules and
regulation to manage waste in urban areas.
2-Critically Analysing the External Factors
Macro environment refers to all the uncontrollable and external factors of a company that
affects the decision-making process of the company. These are known as legal, demographic,
political, social, natural or cultural forces. Imperial Hotels operates in many countries and every
country has different environments. Management can use this tool to make better decisions
which leads to better profit margins. If they are not followed properly, they may find themselves
receiving less customers which will directly affects their profitability.
3-Analysing the internal environment and capabilities of Imperial Hotels
SWOT ANALYSIS
SWOT Analysis is a method undertaken by the industry to find the internal strengths and
weakness and external opportunities and threats of the organization.
STRENGTHS:
 Geographic representation: Imperial hotels operates globally and has extensive network
that helps in delivering efficient services and helps in getting a competitive advantage in
the industry.