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 gin profit with sustainability in market. In words this is referred to as those
actions and decisions which an organization is required to take in order to achieve goals and
objectives that has been set-up by them in its industry. This is being defined as that strategy that
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 are related to its
progress. 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.
MAIN BODY
PART A
PESTEL analysis of NH group of hotel
PESTEL analysis is that kind of analysis which acts as a tool which 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 can be 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 being formed by government is
being included. These policies relates towards governments 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 are going to increase which is eventually going to
decrease in 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 with
directly with the organization. These factors include inflation rate, interest rates, foreign
exchange rates, economic growth patterns etc. Such factors have drastic impact upon an
organizations growth. It is going to affect NH group of hotels in a manner that a rise in the
inflation rate of any economy would affect the way companies’ price their products and services.
It leads to loss of services.
Social factor These are the factors that are related to society and the trends that has been taking
place in an organization. Social factors are the factors in which various aspects related to society
is covered. It majorly deals with social environment that includes trends and taste of the persons