Analysis of Macroeconomic and Microeconomic Factors Affecting Hospitality Industry in Poland

Business Economics
6/13/2018

Business Economics 1
Abstract
The report is based on the analysis of the economic terms and concepts that can affect the
decisions of the investors. The concepts that are discussed include microeconomics and
macroeconomics. Macroeconomics is the process of splitting up of the economies that examine
the actions of the organization and the individual who are making the decisions related to the
allocation of the resources. Along with this, the macroeconomics is one of the important
concepts of economics that is required to be analyzed because this reflects the branch of the
economies that deals with the structure, behavior and decision making of an economy as a
whole. These concepts define the economy of the country for the investors. This is the reason
that the investors evaluate the economic factors that can affect the returns from the investment
done by them. The investor has decided to make the investment in the Hospitality industry of
Poland because this industry is growing and developing fact across the world. The report
includes the analysis of the economic concepts and the initiatives that are taken by the
government for supporting the hospitality industry.

Business Economics 2
Contents
Introduction......................................................................................................................................3
Analysis of macroeconomic developments.....................................................................................4
GDP of Poland.............................................................................................................................4
Unemployment rate.....................................................................................................................5
Consumption................................................................................................................................6
Prices............................................................................................................................................7
Analysis of the microeconomic effects............................................................................................8
Poland Hospitality industry.........................................................................................................8
Macroeconomic development affects the hospitality industry....................................................9
GDP affect the Poland hospitality industry.............................................................................9
Unemployment Poland affect the hospitality industry..........................................................10
Consumption Poland affect the hospitality industry..............................................................10
Prices affect the Poland hospitality industry.........................................................................11
Institutional and economic environment.......................................................................................11
Government policies in Poland for the hospitality industry..........................................................12
Government policy affects investors’ decisions and entrepreneurial initiatives.......................12
Conclusion.....................................................................................................................................14
References......................................................................................................................................15

Business Economics 3
Introduction
The aim of the report is to critically analyze the macroeconomic and microeconomic concepts
and the issues or risk that are associated with the wide economy. The angel investor is willing to
expand the business in the Eastern European country that is Poland. The sector which is selected
by the angel investor for the investment is Hospitality industry. Poland country has been selected
for the analysis because the country is developing rapidly due to which there is the possibility of
the high turnover within the country. The development is the reason behind the selection of the
hospitality industry as in Poland there is a rise in the number of hotels in the major cities and
tourist destination in the country. The development of the popular destination will invite the
foreign tourists for the visits.
Moreover, the investor who is willing to invest the amount in Poland will be able to generate the
high revenue. According to the STR global data, the company registered the rise in the revenue
by 11% with the ranking among the best indicators in Europe. This is possible because of the
high amount of occupancy in the country. The report includes the of the macroeconomic
environment factors of the country such as GDP evolution, price level, and many others. Along
with this, it shows the impact of the macroeconomic developments on the industry sector.
Moreover, the assignment at the end includes the environment of the institutional and economic
with the policies of the government. In addition, it shows the effect on investor’s decisions and
entrepreneurial initiatives due to the initiatives of the government.