Hospitality Industry Report: External Factors and Business Development

This report provides a comprehensive analysis of the hospitality industry, examining key aspects such as PESTLE and SWOT analyses. It delves into the impact of external factors on organizational development, particularly focusing on the case of Hotel IBIS London. The report explores current and potential trends in the industry, including catering to millennials, the rise of international visitors, and the emphasis on health and well-being. It also evaluates the ability of hospitality businesses to develop products and strategies to adapt to these trends. The analysis considers the influence of external factors like political, economic, social, technological, legal, and environmental aspects on the industry's trajectory, concluding with strategic recommendations for success in a competitive market. References to industry research are included to support the analysis.

Hospitality Industry
TASK 3&4

TABLE OF CONTENT
• Introduction
 PESTLE analysis
 SWOT analysis
 Evaluate impacts of external factors on development of organisations operating
 Implications of current and potential trends in the hospitality industry
 Ability of a specific hospitality business to develop products
 How external factors impact on current and potential trends
 Conclusion
• References

Introduction
In a current scenario, hospitality industry is one of the growing
industry that focus on fulfilling customers needs by providing
them quality services. It provide various services related with
travel and tourism, accommodation, theme park, lodging and so
on as per consumers demand. Company whose operate in
hospitality industry focus on satisfying customers demand that
help them in improving their competitive performance at
market place

PESTLE Analysis
PESTLE analysis is one of the important aspect or framework
that help in analysing external factors that directly affect the
organisational activities.
Political: It is one of the important factors that influence
organisational activities in both positive and negative manner.
Economical: This factor is also play a significant role in
business in which Hotel IBIS London develop their menu and
services as per buying power and economic condition.

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Social: It is necessary for Hotel IBIS London to consider all the
aspects related with customers such as their health
consideration, lifestyle, age and many more.
Technological: In order to invite more and more customers
towards their services it is important for Hotel IBIS London
to adopt new and innovative technology.

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Legal: It is important for Hotel IBIS London to follow all the
important laws and legislations related with customers
protection, employment law as so on.
Environmental: It consider various factors such as weather,
climate change, different environmental policies and many
more. All these are influence Hotel IBIS London activities so
that it is significant to develop appropriate strategies.

SWOT analysis
Strength Weakness
 Hotel IBIS London is famous
for its quality services or
facilities to its customers.
This contributes in increasing
customers base of company
at market place.
 Another strength of Hotel
IBIS London is its location as
it operate their activities at
prime location that may assist
in inviting as well as
attracting more and more
visitors towards its services.
 Hotel IBIS London is a
medium size hotel and at
market place there are is huge
competition that may create
complexities in improving
their performance level at
market place.
 Hotel IBIS London is not
have strong base of financial
sources. Due to which
company face issues in
making any kind of changes
within the business activities.

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Opportunities Threats
Hotel IBIS London have
opportunities to expand
their business activities at
global level. This can be
beneficial in increasing
market share of company
and also increase its
profitability level.
Change in political factors
also increase the threat in-
front of company. This can
be reduce the productivity
level of hotel and market.

Impacts of external factors on
development of organisations
operating
External factors are those aspect that are uncontrollable by
company and its have direct impact over the business
activities. Thus, it is significant for Hotel IBIS London to
analyse all the external factors before their operating their
activities at market place. It provide benefits in enhancement
of organisational performance. In relation to this, Hotel IBIS
London external environmental aspects such as political,
social, economical, legal, environmental and many more.

Implications of current and potential
trends in the hospitality industry
Catering to Millennials-
Millennial are consider as a most important segment for
hospitality industry. As they are tend to travel and explore
different places. Thus it is essential for companies to prepare
appropriate strategies in order to cater the needs of audience.

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Increase of international Visitors:
The rise in international visitors for leisure travel is a great
trend. It have led the hospitality organisations to work upon
their offerings and provide the employees who can
communicate effectively with the foreign travellers in their
language.

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Emphasis on health and well being
In hotel industry are providing various kind of facility in order to
taking charges for fitness centre, pools and spas. They are
fulfil all the needs which are required to guest so deliver
healthy food, air purification, yoga-spaces, room exercise
equipment and many more.