Analyzing the Business Environment of Raby Hunt Restaurant
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This article provides an in-depth analysis of the business environment of Raby Hunt Restaurant through PESTEL and SWOT analysis. It also highlights the importance of business ethics and ethical considerations in the hospitality industry, especially in the current scenario of Covid-19 and environmental concerns.
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Table of Contents Part 1: Introduction..........................................................................................................................1 Outline &background of industry sector &chosen organisation............................................1 Part 2: Analytical framework &concepts.........................................................................................2 PESTEL analysis....................................................................................................................2 SWOT analysis.......................................................................................................................4 Porters Generic Strategies......................................................................................................5 Part 3: Importance of business ethics ðical considerations........................................................6 Conclusion &recommendation...............................................................................................7 REFERENCES................................................................................................................................8
Part 1 Introduction The term "business environment" refers to the totality of all elements, both externally &internally, that seem to have a significant impact on an organization . a good &decision- making. Furthermore, the business environment encompasses all external influences such as consumers,competition,vendors,theadministration,&thesociological,cultural,political, economic, &legal situations that affect the company organization's operations &final choice explicitly or implicitly (Huang and et. al., 2021).It is analyzed that it has been observed & also analyzed that now the internal component of the business ecosystem contains & incorporates the variables that present inside a firm or an organization that impact the strategic analysis procedure &decisions. Various variables, but at the other extreme, tend to constitute &consist of elements that are externally to the company or organization yet have a substantial impact on the organization's business working of the system. Furthermore, the current study's key goal is to gain a fuller insight of the Raby Hunt hotel's business climate, both internally & externally. It is determined that the contemporary project's major goal is to debate & also analyze the conceptual approach & also conceptions using PESTEL analysis& also SWOT analyses, as well as to evaluate the comparative benefit of the chosen companies. Furthermore, the major & crucial purpose of the current inquiry is to review &debate the importance of business ethics & ethical issues (including CSR) in today’s economy. 1
Outline & background of industry sector The Raby Hunt, into the well well-known two Michelin star restaurants in Summerhouse, County Durham, United Kingdom, has been chosen for this project. Furthermore, while the chosen The Raby Hunt restaurant is hardly a blip on the map, the community of Summerhouse today features one of several north-most east's innovative &progressive restaurants, as well as a wonderful wine cellar (Raby Hunt, 2022). Apart from this , Raby Hunt restaurant tends to be occupying a Grade II-listed former inn oncelargelypopulatedbythenamesakehunt,thisreinvigoratedcafeisbeautifully contemporaneous in style, with deliberations now concentrated on just one ultra-sophisticated wine pairing of 15 course work from the forefront of innovation of modern British cuisine(Xu and et. al., 2022).Moreover, while the Raby Hunt restaurant is built in a 200-year-old Grade II listed structure, it was inaugurated in 2009 as Chef James Close's debut hotel. It received its first star in 2012 & also it is determined that second in 2016, making it the only restaurant in North East England to achieve that status (as of January 2019). The flavors meet in a tart of mango, yuzu, & also coconut, while black olive & chocolate stay company with sheep’s yoghurt, according to the Raby Hunt restaurant. The service is fantastic, &the comprehensive wine selection provides a wide spectrum of lineage, quality, & bargain (Mehraliyev, Chan and Kirilenko, 2021). The purpose of the hotel industry, as perceived &assessed, is to give clients with a pleasant experience. Furthermore, the hospitality industry encompasses a wide range of disciplines within in the service industry, including lodging, restaurant services, event organizing, parks, hotels & restaurants (McCartney and Kwok, 2022). It is determined that Hotels, tourism organizations, clubs, &pubs are all included. The hotel industry has been seen & analyzed to be one of the most dynamic business sectors & also industries, with numerous new patterns & also dynamism constantly participating.However, a recent downturn in the hospitality business has been observedintheformofadramaticlockdown&stringentsocialdistancingregulations promulgated by pandemic that is having a significant effect &causing impediment in the overall economic climate of the hospitality industry. 2
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Part 2: Analytical framework &concepts Analytical frameworks &business models typically give as well as provide a conceptual basis, as well as outline essential business topics that aid in some kind of a better identification &explanation of an organization's business environment. The following is an example of how to apply several theoretical concepts in the context of The Raby Hunt restaurant &catering industry: PESTEL Analysis PESTEL analysis is a very useful &efficacious entrepreneurship tool that aids in the analyzing of underlying driving factors, as well as their role &influence on corporate strategies selection (Chon, 2021). In the framework of the Raby Hunt restaurant, the important characteristics &variables offered by the PESTEL framework have been explored & analyzed as follows:- Political factors- This factor mainly concerned about some appropriate factors like polices, taxation policies, trade policies and political stability and also another aspects of government decision-making &strategy creation all have a consequence on & also effect on the hospitality business. The UK has a very secure life, which benefits the Raby Hunt restaurant's commercial operations & also operations. However, current concerns&theBrexitreferendumareincreasingtheamountofinstability& complexity in the UK political environment, which is having a negative influence on the Raby Hunt restaurant's commercial operations (Kotur and Dixit, 2022). The Brexit referendum has resulted in stringent international investment, posing problems &challenges for Raby Hunt restaurants in the form of delays &complexity in obtaining the raw materials required inside the hospitality sector (Minor and Heyes, 2022). Economic factors-It has been observed that the hospitality industry has a substantial influence on the economy, which includes economic independence, growth rate, labor force participation rate, customer's purchase capability, & other factors. The UK has a 3
stable&alsodevelopingeconomy,whichpromotestheRabyHuntrestaurant's expansion in order to attract more international tourists & also mainly increase leisure expenditure. However, the recent emergence of the covid-19 has created & exacerbated many difficulties &challenges for the Raby Hunt restaurant's economic working of the system, resulting in a temporary lockdown & also severe social separating regulations. As a result, the hospitality industry in the UK is currently experiencing a downturn, owing to concerns such as financial meltdown & also low productivity, which has resulted in the continuous & temporarily closure of very many businesses &restaurants. SocialFactor–Thisfactormainlyconvenedaboutthedemographicaland geographical factor.It tends to incorporate consumer preferences &societal attitudes that are constantly changing, resulting in a slew of problems &concerns for the hotel industry in the United Kingdom. It was seen ¬ed that the UK society is always drawn to food service industry, which is encouraging & also contributing to further development & potential for the hospitality business & also Raby Hunt restaurant (TT and et. al., 2022).However, there has been a recent trend in customer preferences &flavor towards & in the support of organic cuisine, which presents an opportunity for RabyHuntrestauranttooffernewmeals&betteritemsintryingtoentice& accommodate a bigger amount of customer. TechnologicalFactor– This factor mainly focus about thetechnological component consists of & includes the continuous advancements that is promoting & also directing higher levels of organizational improvement inside this functioning & also performance of the hotel industry in the country (Ali, Grabarski &Konrad, 2022).It has been observed & also assessed that rapid technological advancements are having &will continue to have a good effects on the Raby Hunt restaurant's company activities, as they sustain a shift forward into internet &digital programs that enable &try to appeal a large amount of customers, as well as smooth operation & also helpful to enhanced efficiency for such hospitality sector, even during Covid-19 era. 4
Environmental factor– In This factor, it is determined that macro environment is often associated &related to environmental conservation & preservation, which has a profound influence on the accommodation sector in the Region, as well as the Raby Hunt restaurant's business operations (Li and Zhang, 2022).Customers in the UK are becoming more conservative & also environmentally conscious, putting pressure on the Raby Hunt restaurant to make a change &use renewable & also eco-friendly resources while also reducing carbon emissions & also another contaminants. Legalfactor-Ittendstohaveabigimpactoncommercialoperationsofthe entertainment industry in the United Kingdom, as many new policies & the laws have been enacted to safeguard the rights of patients & also employees, putting pressure on the Raby Hunt cafe & also posing numerous new obstacles. For example, hoteliers in the United Kingdom are required to follow the Gas Safety. Regulations 1998 in order to ensure their visitors' safety (Lui and Goel, 2022). SWOT Analysis It is a critical & also necessary management platform that enables for the examination of an organization's internal µ elements. The following is the result of a SWOT analysis in the context of the Raby Hunt restaurant, which depicts its strengths, weaknesses, opportunities, &threats (Cheng, Fong and Law, 2021). StrengthsWeakness Itisdeterminedthatthisorganizationis providingasafe&alsocomfortable environment as well as a great &diverse food. It is analyzed that chefs & also employees who are creative & imaginative. Itisanalyzedthatpoorcommunication &coordination &meal preparation delays. 5
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Useofdigital&socialmediatodesignan efficient marketing strategy. OpportunityThreats Digitaltechnologyprovidesacost-effective means of achieving greater expansion &growth potential. The Opportunity in the realm of assisting the tourism industry in terms eco-friendly &urban designers. Numerous challenges have arisen as a result of Covid-19 &Brexit. IntheUK'shotelindustry,thereis highly competitive (Lee, 2022). Porter’s Generic Strategies Commercial company implements Porter's generic strategy in order to improve strategy formulation & also decision making, resulting in a larger company’s competitiveness. In the context of the Raby Hunt restaurant, the four primary strategies presented by Porters Generic Techniques are appraised are given below- Cost leadership strategy-The Raby Hunt restaurant tends to focus &emphasize cost reduction in able to manufacture cheap &reasonable product in order to appeal & also accommodate to a wider number of users as a result of the implementation &usage of the cost leadership strategy. Differentiation strategy-This strategy entails the Raby Hunt restaurant making steps to ensure &differentiate its services & also goods from those of its competition. As a result, the marketing plan usually entails reviewing latest developments &making continuous changes, modifications, &improvements to the product &services in trying to entice or cater to a wider number of clients (Smith, 2022). Cost focus strategy– it is determined thatthe cost-cutting method usually entails focusing on a specialized market & also became an expert &selling products at a smaller profitability ratio. 6
Differentiation focus-This strategy also entails concentrating on &joining a new market through increased & also greater levels of creativity &innovation in sales & service. Based on the foregoing debate, the Raby Hunt store's differentiation strategy appears to be the most appropriate &effective, as it encourages greater innovation &inn ovation in services in order to attract &cater to a bigger variety of clients (Sigala and et. al., 2021). On the basis of Raby Hunt's strategy, on Sunday afternoon lunchtimes, the restaurant presents &offers a smaller version of its tasting menu, as well as an extra special experience that includes choosing a seat just at store's Kitchen Table, where the kitchen staff prepare the home cooked meal in front the consumers' eyes, with several big shock course work thrown in for good measure. Part 3: Importance of business ethics and ethical considerations It has been seen that in current business environment, a higher level of the importance of the business ethics and ethical consideration within hospitality industry is being seen because of the change in the government attitude and customers perception in favour of conservation of environment (Mehraliyev, Chan and Kirilenko, 2021). Further, based on the internal and external analysis of the Raby Hunt restaurant it has been seen the threat of covid-19 and many other issues such as global warming, high level of pollution created by hospitality business, higher carbon emission, etc. has made it vital to implicate and give importance to business ethics and meet all the set ethical considerations. The Raby Hunt restaurant tend to effectively meet and fulfil all its CSR (corporate social responsibility) to meet its set business ethics and ethical considerations that comprises of effectively being self-regulate thigh having control on all its actions along with be socially accountable and responsible to meet the needs and desires of its customers, stakeholders, and the society and environmental world at large (Huang and et. al., 2021). Further, it has been also seen and reviewed that the concept of business ethics and ethical consideration are tend to be important for the Raby Hunt restaurant as it supports meeting of all set standards of behaviour along with making it more socially responsible and meeting all set legal legislation that lead to improved business operations. A vital role is being played by the leaders on supporting and meeting the business ethics and fulfilling key social responsibility by 7
the way of effectively and regular directing and educating the employees towards the ethics and set standards (Chon, 2021). Along with this, it has been also seen and analysed that the implication and adoption of the participativenature of leadership within the Raby Hunt restaurant is supporting ethics and CSR within this hospitality company internally by the way of leading regular training and creation of awareness in employees to perform all business activities in environmental friendly manner along with leading and setting improved control and check on carbon emission. Further, many steps such as focusing in reuse, reduce and recycle of all products and making economical use of resources are made by the Raby Hunt restaurant to ensure meeting of business ethics and ethical consideration (Cheng, Fong and Law, 2021). Apart from this, a regular check on the quality of product and services is also being made by the Raby Hunt restaurant to effectively meet the all set ethical consideration and standards along with implication of all set CSR and other legislation. Beside this, the implication and use of the participative nature of leadership has also played a vital role in effectively following up the workplace health and safety program through supporting effective communication and protection of employees at every stage (Sigala and et. al., 2021). Further, the leaders also tend to make employees aware about use of organic as well as renewable ways of energy provider along with focusing in economical uses that plays a vital role in checking the carbon emission and other pollutes caused by day to day business activities thus, ensures amore ethical and reasonable business activities for the Raby Hunt restaurant. Finally, reducing the use of plastic along with conserving water, planting more trees, using the sustainable materials, adopting clean energy, etc. are also some effective steps and ways taken by the leaders of the Raby Hunt restaurant to support and meet the ethical consideration and become for socially responsible (Fang and Choi, 2021). Conclusion and recommendation Based on above report, a summarising can be made that all the set objective comprising of the better understanding about the business environment of the Raby Hunt restaurant including its internal as well as external environment has been made that reflect that the higher level of political and economical instability is being faced by the hospitality industry because of the Covid-19. Further, the main objective of the current project of discussion and analysis about the analytical framework and business concept has been also made in context of Raby Hunt restaurant by the by of application of PESTEL and SWOT analysis that reflected both positive as 8
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well as negative implication of internal and external factors. It has been concluded that the change within the technology and implication and use of digital technology is leading a positive impact the Raby Hunt restaurant through providing an efficient way of conducting business operations. Finally, it has been reviewed that the importance of business ethics and ethical considerations (including CSR) is becoming vital in todays business environment as it helps in ensuring conservation of environment along with leading better quality and standards services forcustomerwhilekeepinginmindtheoverallwelfareoflargersociety.Further,a recommendationcanbemadeforRabyHuntrestauranttohaveandmakeuseofthe differentiation strategy that supports improvement and betterment in its existing services to ensure higher competitive strength. Along with this, offering better quality and improved services based on automation and digitalisation of business operation would also attract and cater lager number of customers and helps in mitigating negative impact of covid-19. 9
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Online: Raby Hunt. 2022.[Online] Available Through:< https://www.squaremeal.co.uk/restaurants/raby- hunt_4751 >. 11