Contemporary Hospitality Industry

This presentation explores the contemporary hospitality industry, including PESTLE and SWOT analysis. It discusses current and potential trends, such as sustainability, use of organic food, innovative technology, and the requirements of millennials. The presentation concludes with references for further reading.

Contemporary
Hospitality Industry

 Introduction
 PESTLE analysis of hospitality industry
 SWOT analysis
 Current and potential trends in hospitality industry
 Conclusion
 References
Table of content

Hospitality industry is considered as one of
the important sector as it generate
enormous revenue and provide greater
economy of scale as well as it is regarded
as the most crucial in travel and tourism
industry. It includes variety of services
such as restaurants, hotels, theme parks
and many more and also it emphasise on
luxurious facilities, enjoyment, experience
and catering essential needs of customers.
Introduction

PESTEL analysis provide the
framework as macro
environmentalists scan both
internal and external factors that
assist in decision making of firm
and also it determine the
availability of resources so as to
gain competitive advancement
across the globe.
PESTLE analysis of hospitality industry

In the context of Hyatt hotel corporation, this analysis is presented below:
 Political factors: This aspect relates to several factors such as political
stability, corruption, labour law, trade restrictions and many more that
affect the decision making of firm within the hospitality industry.
 Economic factors: This relates to several elements such as foreign
exchange rate, inflation, GDP, fiscal policies and aggregate demand and
supply of product in the market.
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 Social factors: This cover elements such as emerging lifestyles, health
consciousness, safety emphasises and many more.
 Technological factors: This aspect cover elements such as level of
innovation, technical awareness, research and development and many
more.
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 Environmental factors: This aspect relates to several measures that are
undertaken in order to protect the environment such as weather, climate
and several environmental policies and many more.
 Legal factors: It is essential for a firm to provide protection towards
intellectual rights and it cover elements such as antitrust laws, copyright,
patent and trademark laws, health and safety laws and many more.
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This analysis assist firm to
determine positive and negative
aspects of a business by
identifying the weaknesses and
combating threats by grabbing
opportunities. This provide
growth prospects and increase the
profitability.
SWOT analysis

In the context of Hyatt corporation, same is presented beneath:
Strength
 Innovation: Hyatt corporation emphasises on providing new products and
services in an era of digitalisation.
Weakness
 Lack of advancement: The concerned hospitality industry does not put
much emphasises on advancement of technology which hamper the
growth.
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Opportunities
 New and emerging trends: This proves one of the greatest opportunity for
the firm as it emphasises on new products and new market that generates
more revenue and gain competitive advancement.
Threats
 Increase in competitors: There are large number of players of Hyatt
corporation which possess a big threat within the hospitality industry.
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The business environment which in which company carry out its operations
is regarded as dynamic as the manager within the respect of hospitality
industry has to adapt several changes in order to achieve competitive
position at a global level.
Current and potential trends in hospitality industry

With reference to hospitality industry, several implications of current and
potential trends are presented as follows:
 Sustainability: This is one of the major current trend in respect of
hospitality industry. For example: Hyatt corporation focus on several
environmental aspects such as use of smart lights and also removing
plastic straws from their services as it generate protection towards an
environment. Also, it develop positive reputation across the globe.
 Use of organic food: In today’s modern era, consumer are aware of health
conscious and always prefer excellent quality of products.
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 Innovative technology: In an era of globalisation, there is drastic change
in technology which provide greater contribution towards success.
 Requirements of Y and Z generations: the requirements of millennials are
very high as it create lot of opportunities within hospitality industry.
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 From the above information, it can be summarised that hospitality industry
play an important role in an organisation as it help in managing an
organisation in an effective and efficient manner. Also, PESTEL and
SWOT analysis is conducted to identify both internal and external factors
and assist the firm to take an appropriate decisions.
Conclusion

 Huang, J., and et.al., 2016. The impact of CEO servant leadership on firm
performance in the hospitality industry. International Journal of
Contemporary Hospitality Management.
 Okumus, F., and et.al., 2019. Strategic management for hospitality and
tourism. Routledge.
 Ozturk, A.B., 2016. Customer acceptance of cashless payment systems in
the hospitality industry. International Journal of Contemporary Hospitality
Management.
References

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