Table of Contents Title - “Investigation into the positive and negative impact of globalisation on organisation after Brexit”. A study on Mercure Hotels................................................................................................1 INTRODUCTION...........................................................................................................................1 TASK 1............................................................................................................................................1 P1) Research proposal which clearly define question and hypothesis with literature review.. .1 Background of the Research..................................................................................................1 Research Aim........................................................................................................................2 Research Objectives..............................................................................................................2 Research Questions...............................................................................................................2 Rational and Significance of the Research............................................................................2 Literature Review............................................................................................................................3 Concept of globalisation.........................................................................................................3 Positive impact of globalisation after Brexit on Mercure hotels...........................................3 Negative impact of globalisation after Brexit on Mercure hotels..........................................4 Differentways through which negative impactof globalisation after Brexit can be overcome by Mercure hotels..................................................................................................4 P2) Research methods and approaches to primary and secondary research...............................5 Type of Investigation.............................................................................................................5 Research Approach.................................................................................................................5 Data Collection Tools.............................................................................................................5 Data Sampling Tools.............................................................................................................6 Time Scale..............................................................................................................................6 TASK 2............................................................................................................................................7 P3) Conduct primary and secondary research by using proper methods as well as techniques.7 Ethical Consideration and access...........................................................................................8 P4) Apply appropriate analytical tools, analyse research finding as well as data.......................8 Data Analysis..........................................................................................................................8 TASK 3..........................................................................................................................................20 P5) Communicate research outcomes in an appropriate manner for the intended audience.....20
TASK 4..........................................................................................................................................20 P6) Reflection on the effectiveness of research methods and techniques.................................20 P7) Determination of the alternative research methodologies for the project...........................20 Conclusion....................................................................................................................................20 REFERENCES.............................................................................................................................22 .......................................................................................................................................................22
Title - “Investigation into the positive and negative impact of globalisation on organisation after Brexit”. A study on Mercure Hotels. INTRODUCTION Globalisation could be considered as an effective process, which helps business organisation to develop their own influence at international level. It simple words, globalisation is something where, an organisation started performing operations in global world, instead of doing business at national level. It is being analysed that, at the time when a company expands its business, it goes through a range of impacts of globalisation, which could be anything from positive to negative (Barakat and et. al., 2015). On the other hand, term Brexit, can be defined as the evictionofUnitedKingdomfromEuropeanUnionwhichhasimpacteduponbusiness organisations that are performing business at global level. Focusing on the hospitality industry in particular, the impacts of globalization have had far reaching consequences, which have been both positive and negative when United Kingdom got fully evicted from EU on March 29, 2019. Firm which has been chosen in present investigation i.e. Mercure Hotels whose parental organisation is Accor Hotels. Basically, Mercure was found in the year of 1967 by Gerard Pelisson and Paul Dubrule. It’s first hotel was built in 1973 at Saint-Witz, France. In present time, Meruce Hotels are looking forward to expand their business in cities of United Kingdom like Cambridge, Canterbury, Chepstown, Derby and more. Due to Brexit, company has started losing its site upon the locations due to rapid changes among political, technological, cultural, legal and economic conditions of United Kingdom. TASK 1 P1) Research proposal which clearly define question and hypothesis with literature review. Background of the Research Looking at the critical situation of business world, it can be said that organisations would require to expand themselves in order to gain competitive advantage in present time (Bazilian and Onyeji, 2012). It is being analysed that, a company who is performing business at domestic level would require develop a long term plan, which mostly stays linked with globalisation 1
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where they are looking forward to expand their operations at global level (Gulmez, 2017). Going global is one of the most essential requirement of an organisation but targeting emerging economies is quite a different from going global. Due to Brexit, it brought both challenges and the opportunities for companies that are looking forward to expand themselves. In present context, Mercure Hotels, Research Aim Main aim of this research project is“To identify the positive and negative impact of globalisation after Brexit on organisation”. A study on Mercure hotels. Research Objectives To develop basic understanding about the concept of globalisation. To identify positive impact of globalisation after Brexit on Mercure hotels. To identify negative impact of globalisation after Brexit on Mercure hotels. Recommend different ways through which negative impact of globalisation after Brexit can be overcome by Mercure hotels. Research Questions What are the concept of globalisation? What are positive impact of globalisation after Brexit on Mercure hotels? What are negative impact of globalisation after Brexit on Mercure hotels? What are the different ways through which negative impact of globalisation after Brexit can be overcome by Mercure hotels? Rational and Significance of the Research Basically, the main reason behind conducting the investigation on this topic is that, due to Brexit,UnitedKingdom’seconomyhasbecomemuchmorefruitfulforthebusiness organisations that are looking forward to expand themselves. Considering this, many business organisations like Meruce hotels within the hospitality industry from all over the world has grabbed this as an opportunity to expand the business. Researcher has picked this topic in order to gain the knowledge in regards to gain the knowledge linked with the benefits and challenges linked with globalisation just when Brexit took place (Chen, Chiang and Storey, 2012). 2
Literature Review Literature review contains a critical evaluation and the integration of data through a number of sources and a recognisance of any gaps in the review of literature and develops a knowledge base for enhancing possibilities for future investigations. Concept of globalisation As mentioned by Patricia Fox and Stephen Hundley, (2011), globalisation concept can be considered as link among individuals, businesses or different range of activities that are being done at global level. It mainly consists of different factors like politics, culture or economic integration that could create uncertainties for business organisations which are looking forward to expand themselves. It also refers as the ability to moving forward and communicate with other people or organisations at world wide scale in respect to conduct business operations globally. A potential situational change that has taken place in the last few decades is the economic process or globalisation of an organisation.Business firms are undertaking beyond national boundaries in the pursuit of concern possibility. Globalization of business is recognised as the change in a business from a firm related with a single country to one that runs their business operations in multiple countries. Positive impact of globalisation after Brexit on Mercure hotels According toCrane and Matten, (2016), it can be said that business organisations that are looking forward to expand themselves at international level like Mercure hotels, may face some positive impacts just after when Brexit reached to an end, and these could be anything from exposure to difference cultures, technological advancements, reduction within the seasonal employment and boosts the economy and variety of International services and some of these are described underneath: Exposure to different cultures:Globalisation along with the economy has impacted directly upon travelling prices. With the help of this, it can easily be said that Mercure hotels could easily help travellers within the United Kingdom to experience new cultures. Since Brexit has made UK as an open economy, it will put positive impact upon profit margins of Meruce Hotels after expansion among different cities like Derby and more. 3
More Job Opportunities:With in the United Kingdom, many employees belongs to other nations of EU, resigned their jobs due to the fear that companies with UK, will ask them to leave just when Brexit ends. Expansion of Mercure hotels within the cities of United Kingdom will give opportunities to locals which might raise benefits to both economy and to the company as well. Negative impact of globalisation after Brexit on Mercure hotels According toFirnkorn and Müller, (2012), there are a range of negative impacts that can be seen of globalisation on hotels just when Brexit reached to an end. Basically, it could be anything from language, cultural barriers, effects of small hotels and more. All of them are described underneath: Effects of Small Hotels:Just when Brexit reached to an end, many business hotels that were working at small level has decided to expand themselves due to the open trade economic conditions of United Kingdom. This may affect Mercure hotels' expansion and it's plan can also be crashed as well regarding profits along with the productivity. Cultural Barriers :Culture of both the countries (France and United Kingdom) differ from each other and this might impact upon Mercure Hotels. Just when Brexit reached to an end, locals of UK has started thinking to avoid companies that has expanded business due to the difference among cultures. Different ways through which negative impact of globalisation after Brexit can be overcome by Mercure hotels AsgivenbyGraysonandHodges,(2017), negativeimpactsof globalisation,are somehow not an easy tasks to be removed. In present context, some of ways through which effect could easily be removed and these are given beneath: Deep research before expansion: In present time, it can be said that for Mercure Hotels, it will be required to do deep investigation just before business expansion among different cities of United kingdom. This will help them in performing well with the uncertain nature of Brexit act. Events within the country:Any event like recession or any other natural disaster taken place within the country, it is the responsibility of Mercure Hotels to work for the same in order 4
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to deliver relief to their customers and to the public within United Kingdom. It will reduce the discomfort that public of United Kingdom was having with the alien hotel named as Mercure Hotels. P2) Research methods and approaches to primary and secondary research. Researchmethodologyisbeingconsideredasoneofacrucialsectionforan investigation, as it helps the researcher is selecting the right method, through which favourable outcomes could easily be pulled out (Research Methodology,2019). Type of Investigation It is the responsibility of the investigator to select the best methodology, which may aid investigator in conducting the investigation in a dedicated time frame. Here, it can be said that mainly there are three types of investigation, that can be done and these are qualitative, quantitative and mixed methodological tools. In present context, researcher has used mixed methodological technique, which will aid in pulling out favourable information for the topic i.e. positive and negative impact of globalisation after Brexit on organisation. Research Approach Another vital mostpast of a research, it mainly consist with different range of approaches likeinductive,deductiveandmore.Particularlyforthisresearch,inductiveinvestigating approach is basically being utilised that will aid in in conducting proper analysis research with the support of proper facts and figures (Hair Jr and et. al., 2015). Data Collection Tools Basically, there are two type of data collection tools, that are being utilised and these are primary and secondary data collection tools and these are given below: Primary Data Collection tool:Basically, there are a range of data collection tools present within the primary research and these are: questionnaire, focus group, interview and more. In present context, investigator has used questionnaire in order to collect the data. Secondary Data Collection tool: Secondary research is mainly consist with tools like books, journals, published articles, newspapers and etc. These are being used by researcher while developing the literature review section. 5
Data Sampling Tools In the present investigation project random sampling tool is being used by the researcher thus it is usefulin accumulation of dependable information. Along with this, investigator has also used a sample size of 40 respondents and these are public dealing with Brexit within the United Kingdom. Time Scale 6
TASK 2 P3) Conduct primary and secondary research by using proper methods as well as techniques. It is necessary for a researcher to perform the investigation, to use right methods along with the techniques in order to commute the overall research in an effective and efficient manner. With the help of this, it can easily be said that an investigator could conduct the research on the chosen topic i.e.positive and negative impact of globalisation after Brexit on the organisation. In present context, researcher has used questionnaire as the primary research method in order to pull out relevant information (Lepoutre and et. al., 2013). On the other hand, secondary research has also been utilised to enhance the authenticity of the overall investigation. Cost, access and ethical consideration:- Cost 7
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Based on the topic, which investigator has chosen, the overall cost that this research will take is approximately to 69 Pounds Sterling. It will be required for the investigator to take in use of internet, visit to the lecturer in order to resolve queries and more. All this will require a budget for investigator to conclude the investigation in right time. Ethical Consideration and access This is consider as the most essential part of research which focuses toward ensuring that the investigation must be conducted in an ethical manner and doesn't involve any unethical practice. On the other hand, researcher must not manipulate the data and provide the accurate information as well as result to the reader without any fake data. But in order to conduct research effectively it is very essential that the researcher must be provided with adequate cost and time so that it will be able to perform its operations involve in investigation effectively. P4) Apply appropriate analytical tools, analyse research finding as well as data Data Analysis This is being considered as one of a crucial section that aid in collecting the authentic data related to the research in a short span (Michie, 2011). In present context, a questionnaire has been prepared which will help in pulling out favourable data and after that, thematic analysis is also going to be done considering the questions based on primary research (questionnaire). Questionnaire Q1) Do you think if Mercure Hotels, will survive within the UK's business market after Brexit? Frequency Yes20 No20 Q2) As per your point of view, what are the factors Mercure Hotels would require to look into while expanding business within the United Kingdom's cities? Frequency Cultural Factors10 Economical Factors10 8
Legal or political Factors10 Environmental Factors10 Q3) What globalisation impacts will lead Mercure Hotels to sustain within the uncertainty level of UK economy at the time of Brexit? Frequency Competitive Strike12 Government Incentives8 Increases Sales10 Improve Profits10 Q4) Is it required for Mercure Hotels to make alterations with the services as per the requirements of travellers of United Kingdom? Frequency Agree15 Disagree10 Do not have any knowledge15 Q5) What challenges Mercure Hotels, may face while expanding business at International level? Frequency Cultural barriers10 Language Barriers12 Technological disruptions18 Q6) Do you think if, Brexit has affected the whole tourism and hotel industry of the whole world? Frequency Yes32 No8 Q7) What benefits Mercure Hotels can get through expanding its business at international level? Frequency Enhancement of both profitability and productivity18 Improved customer base12 9
Increase in number of hotels in7 Improvement of reputation3 Q8) Do you agree if an open economy (UK's economy after Brexit) could be fruitful for Mercure Hotels? Frequency Highly agree10 Agree12 Disagree10 Highly disagree8 Q9) What actions can be taken by Mercure Hotels, to improve its presence within the United Kingdom's business market? Frequency Perform CSR25 Develop promotional campaigns15 Q10) As per your point of view, which leadership style will benefit leaders of Mercure Hotels to perform well while doing business at international level. Frequency Autocratic leadership style5 Democratic leadership style20 Transactional leadership style10 Transformational leadership style5 Q11) Which Social media tool will help the most to Mercure Hotels in promoting products and services? Frequency Facebook20 Instagram10 Twitter10 10
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Q12) Is it right for Mercure Hotels to expand business within an economy which is carrying an uncertain business environment? Frequency Yes15 No25 Q13)Which strategy is required to be employed by Mercure Hotels to enter emerging markets? Frequency Franchisee10 Joint Ventures10 Direct sales20 Q14) Do you think if, globalisation can impact negatively upon operations of Mercure Hotels ? Frequency Yes34 No6 Q15) Provide recommendation for Mercure Hotels to reduce negative impacts of globalisation? Theme 1: Survival of Mercure. Q1) Do you think if Mercure Hotels, will survive within the UK's business market after Brexit? Frequency Yes20 No20 11
Interpretation:From the above graph it has been concluded that Mercure Hotel will exist in the UK after Brexit as 20out of 40 respondents are in favour of this concept because firm have provided their valuable services to customers on the other hand 20 respondents were not in favour of this as they believe that after Brexit Mercure Hotels will not survive in the UK economy. Theme 2: Factors Mercure Hotels would require to look into while expanding business within the United Kingdom's cities Q2) As per your point of view, what are the factors Mercure Hotels would require to look into while expanding business within the United Kingdom's cities? Frequency Cultural Factors10 Economical Factors10 Legal or political Factors10 Environmental Factors10 12 2020Yes No 10 1010 10 Cultural Factors Economical Factors Legal or political Factors Environmental Factors
Interpretation:The above graph represents that out of 40 respondents 10 believe that culture is the most important factor which should be considered by firm while expanding their business operations, 10 respondents argue that Economic factors are also valuable while company wants to increase their business activities, 10 respondents believe that political factors should be considered while exploring business operations and lastly 10 respondents argue that Environment factor are also most important factor while firms plans for expanding business activities. Theme 3: Globalisation impacts lead Mercure Hotels to sustain within the uncertainty level of UK economy at the time of Brexit Q3) What globalisation impacts will lead Mercure Hotels to sustain within the uncertainty level of UK economy at the time of Brexit? Frequency Competitive Strike12 Government Incentives8 Increases Sales10 Improve Profits10 Interpretation:From the above graph it is identified that 40 out of 12 respondents believe that Globalisation impacts rise in Competitive Strike, 8 respondents said that Globalisation will result in rise in government incentives, 10 believe that this concept will result in increase in sales of products and services of firms and rest 10 respondents argue that globalisation will results in enhancing profitability ratios of firms thus Mercure Hotel will sustain in the UK economy within the level of uncertainty. 13 12 810 10 Competitive Strike Government Incentives Increases Sales Improve Profits
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Theme 4: Mercure Hotels to make alterations with the services as per the requirements of travellers of United Kingdom Q4) Is it required for Mercure Hotels to make alterations with the services as per the requirements of travellers of United Kingdom? Frequency Agree15 Disagree10 Do not have any knowledge15 Interpretation:The above graph states that 15 out of 40 respondents were in favour that Mercue Hotels should make alteration in their plans and services according to the requirement of travellers and this will result in enhancing their sales and profitability index while 10 respondents were not in favour that there should be changes made according to customers requirement and 15 respondents did not responded as they were not having any knowledge as changes can satisfy needs and wants of customers by making alteration in the plans and policies. Theme 5: Requirement for Mercure Hotels to make alterations with the services as per the requirements of travellers of United Kingdom Q5) What challenges Mercure Hotels, may face while expanding business at International level? Frequency Cultural barriers10 Language Barriers12 Technological disruptions18 14 15 10 15Agree Disagree Do not have any knowledge
Interpretation:The above graph represents that 40 out of 10 respondent argue that Mercure hotel can face cultural barriers while they are making plans and policies for expanding their business operations, 12 respondent states that there can be Language barriers while plans are developed for expanding business activities while rest 18 respondent states that disruption in technology can also be a major barrier while expanding their business activities. Theme 6: Brexit has affected the whole tourism and hotel industry of the whole world Q6) Do you think if, Brexit has affected the whole tourism and hotel industry of the whole world? Frequency Yes32 No8 Interpretation:Considering the above mentioned graph, where 32 respondents were in favour and stated that Brexit can impact upon tourism and hotel industry. On the other hand, only 8 has stated that, it will not affect the industry. 15 Cultural barriers Language Barriers Technological disruptions 32 8 Yes No
Theme 7: Benefits Mercure Hotels can get through expanding its business at international level Q7) What benefits Mercure Hotels can get through expanding its business at international level? Frequency Enhancement of both profitability and productivity18 Improved customer base12 Increase in number of hotels7 Improvement of reputation3 Interpretation:Based on the above mentioned report, 18 respondents were in favour of Enhancement of both profitability and productivity, 12 stated that it will improve customer base, 7 has considered number of hotels will improve and lastly, only 3 stated that expansion will help company to improve reputation. Theme 8: Open economy (UK's economy after Brexit) could be fruitful for Mercure Hotels Q8) Do you agree if an open economy (UK's economy after Brexit) could be fruitful for Mercure Hotels? Frequency Highly agree10 Agree12 Disagree10 Highly disagree8 16 Enhancement of both profitability and productivity Improved customer base Increase in number of hotels in Improvement of reputation
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Interpretation:Considering the information showing in the graph, 10 respondents highly agreed on open economy. 12 has only agreed on the same due to it may or may not impact upon business of Mercure Hotels. Other than this, 10 has disagreed on the same and lastly, 8 has mentioned that nothing will be fruitful for this hotel. Theme 9: Actions can be taken by Mercure Hotels, to improve its presence within the United Kingdom's business market Q9) What actions can be taken by Mercure Hotels, to improve its presence within the United Kingdom's business market? Frequency Perform CSR25 Develop promotional campaigns15 Interpretation:Considering the information, it can be said that 25 respondents has mentioned that performing CSR might help Mercure to improve the presence. Only 15 were not 17 10 1210 8Highly agree Agree Disagree Highly disagree 25 15 Perform CSR Develop promotional campaigns
in favour of CSR and stated that promotional campaigns could help Mercure in reaching to new heights. Theme 10: Leadership style will benefit leaders of Mercure Hotels to perform well while doing business at international level Q10) As per your point of view, which leadership style will benefit leaders of Mercure Hotels to perform well while doing business at international level. Frequency Autocratic leadership style5 Democratic leadership style20 Transactional leadership style10 Transformational leadership style5 Interpretation:Based on above graph, only 20 has stated that leaders should follow democratic leadership style. 10 out of 40 stated that transactional styles is needed to follow. On the other hand, 5 were with autocratic and rest of 5 has stated to follow transformational style. Theme 11: Social media tool will help the most to Mercure Hotels in promoting products and services Q11) Which Social media tool will help the most to Mercure Hotels in promoting products and services? Frequency Facebook20 Instagram10 Twitter10 18 5 20 10 5 Autocratic leadership style Democratic leadership style Transactional leadership style Transformational leadership style
Interpretation:Considering the above graphs, it can easily be said that Facebook will be more fruitful as 20 respondents were in favour of the same. Only 10 considered Instagram and 10 were in favour of Twitter. Theme 12: Mercure Hotels to expand business within an economy which is carrying an uncertain business environment Q12) Is it right for Mercure Hotels to expand business within an economy which is carrying an uncertain business environment? Frequency Yes15 No25 Interpretation:Considering the graph, only 15 respondents has said that Mercure hotels would need to expand. Other than this, 25 has stated that, Mercure should not expand themselves. Theme 13: Strategy required to be employed by Mercure Hotels to enter emerging markets Q13)Which strategy is required to be employed by Mercure Hotels to enter emerging markets? Frequency Franchisee10 Joint Ventures10 Direct sales20 19 15 25 Yes No
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Interpretation:Above graph, is showing that Direct Sales should be done by Mercure hotels as 20 respondents were in favour of the same. 10 has mentioned that, Joint Venture and rest of 10 out of 40 considered Franchisee as an option for Mercure hotels. Theme 14: Globalisation can impact negatively upon operations of Mercure Hotels Q14) Do you think if, globalisation can impact negatively upon operations of Mercure Hotels ? Frequency Yes34 No6 Interpretation:Considering the graph, 34 out of 40 has stated that globalisation can affect Mercure hotels services. On the other hand, only 6 has stated that it will not affect Mercure hotels' operations. 20 10 10 20 Franchisee Joint Ventures Direct sales 34 6 Yes No
TASK 3 P5) Communicate research outcomes in an appropriate manner for the intended audience While preparing research project as this is an effective forreflecting overall operations as well as findings of the investigation in order to make effective recommendation. Along with this, research is based on role of marketing as it helps businesses to expand it atglobal level. In relation of Mercure Hotels, marketing is an important part of organisation because this aids them for expansion of business at international level. As per to this report it has been recommended that, fulfil the customers need and follow the culture in an effective way which will help them to expand their business at international level. It is necessary for Mercure Hotels to known about the taste and preferences of customers, plans and strategies of competitors and many more (Mowforth and Munt, 2015). TASK 4 P6) Reflection on the effectiveness of research methods and techniques. At the time of organising research I opted mixed data collection method. This is because it gives theoretical information as it is easy for evaluating the results. On the other hand, I prefer inductive research design as it provides in depth information related with the problems. The interpretivism philosophy is used on the basis of mixed approach as this support researcher to make an effective report. P7) Determination of the alternative research methodologies for the project. The research method used for conducting this investigation is questionnaire which supported me up to a large extend for determining the respondents point of view. As the research topic is very vast so questionnaire help me in deciding the particular criteria to research so that aims could be achieve. But apart from this interview is also a good method for analysing the mind set or thought of respondents as comparison to questionnaire.But due to shortage of cost and time, researcher used questionnaire as interviews takes huge time in investigations (Potrafke, 2015). Conclusion From the above mentioned report, it has been concluded that, globalization plays an essential role in organization as it helps company to enhance their growth and profit accordingly. 21
With the help of globalization, both organizations and countries maintain relationship between each other and expand their business at global level. 22