Identifying Factors in Business Environment: Standard London Case

This research project investigates the internal and external factors influencing the business environment, with a specific focus on The Standard London Argyle Street hotel. The study begins with an introduction to business environment concepts and the hotel's context, followed by clearly defined research aims, objectives, and questions. The researcher employs a mixed-methods approach, utilizing both primary data collection through questionnaires and interviews and secondary data analysis through an extensive literature review. The literature review explores the concept of the business environment, differentiating between internal and external factors and their impact on organizational growth. The research methodology, including the use of the research onion, is thoroughly outlined. Findings from the data analysis are presented, followed by recommendations, suggestions, and a concluding reflection. The project aims to identify factors crucial for the hotel's success and expansion, providing valuable insights into the interplay between the business environment and organizational performance.

Research Project
(An investigation for identifying the factors that have influence on
business environment. A case of study The Standard London Argyle
Street, Camden, London, WC1H 8EG, United Kingdom)

Summary
In this below research, it is discussed about various internal and external factors which can
affect the business environment and their organisational growth. There are certain factors which
can affect the business performance. This research is about this topic only. This research consists
of introduction first about the topic and the hotel. Then it covers research aim, objectives and
questions. Then investigator is using primary and secondary method to collect data and
information. So, there is a use of literature review and questionnaire. Then it covers research
methodology. In addition, it covers at last recommendation, conclusion, reflection and
references.

Contents
Summary..........................................................................................................................................2
Contents...........................................................................................................................................3
Introduction......................................................................................................................................4
Research rationale............................................................................................................................5
Literature review..............................................................................................................................5
Concept of business environment...........................................................................................5
Internal and external factors of business environment...........................................................6
Impact of business environment on organisational growth....................................................7
Research methodology.....................................................................................................................8
Analysis and findings.....................................................................................................................13
Recommendations and suggestions...............................................................................................20
Conclusion.....................................................................................................................................21
Reflection.......................................................................................................................................21
REFERENCES..............................................................................................................................23
Appendix........................................................................................................................................25

Project title: “An investigation for identifying the factors that have influence on business
environment. A case of study The Standard London Argyle Street, Camden, London, WC1H
8EG, United Kingdom .”
Introduction
Business environment is basically an environment in which all the activities are
performed. But these activities might be affected by some internal and external force. There are
certain internal and external factors which can affect the business performance in a good or bad
way. These factors include changes in customer demands and needs, demand and supply,
employees, clients, suppliers, innovation techniques, economic changes, social trends,
government rules and regulations etc. These are considered to be the major internal and external
factor which can affect organisational growth and goals both (Ahani, Rahim and Nilashi, 2017).
The hotel which is taken in this research is Standard London Argyle Street hotel. It is the biggest
hotel of UK. Hotel provides all features like electric in house library and features a sound studio
which host weekly lie music. This hotel provides all facilities its customers and guests. Hotel is
also affected by various internal and external factors which are in and outside the business
environment. Hotel needs to identify those factors so that it can maintain its reputation and
worked on its improvements. Hotels should focus on its strength and weakness and opportunities
and threats. it is important to identify all factors because this will help the managers and owners
in working on those factors and identifying their threats and opportunities.
Research aim
“To determine the internal and external factors of business environment that effects on
organisational growth.” A case of study The Standard London Argyle Street, Camden, London,
WC1H 8EG, United Kingdom.
Research Objectives
 To develop basic knowledge about the business environment.
 To identify the internal and external factors of business environment that helps an
organisation in its business expansion. To determine the impact of business environment on organisational growth.
Research Questions

 What is the concept of business environment?
 What are the internal and external factors of business environment that helps an
organisation in its business expansion?
 How business environment impacts on organisational growth of Standard London?
Research rationale
The rationale behind choosing the topic is that investigator world learns new things and
knowledge about business environment factors. The main reason for conducting this research is
to identify various internal and external factors which should be focused by hotel in order to
increase organisational growth (Ahmad and et.al., 2017). This research will help investigator in
professional and personal development because in this researcher will analyse whole results by
himself. This will enhance his skills like communication skills, decision making skills, time
management skills etc. The investigator will be able to make proper decision by himself and this
results in increasing his knowledge. These skills directly help investigator in completing this
project report within a given time limit. Also, researcher will able to know about the internal and
external factors. The reason behind executing this research is that students could increase their
skills and they get to know about internal and external factors of business environment through
literature review.
Literature review
Concept of business environment
According to the views of Chaturvedi, (2021), business environment is referring to the
indicates the aggregate of all people, organisation and other forces that are inside and outside the
business. Business environment are the external factors and institutions that are beyond the
control of business and they affect the functioning of a business enterprises. These involves
customers, suppliers, government competitors and political, social, economic factors which can
affect the business environment. It may be defined as the total of surroundings, that have a direct
or indirect bearing on functioning of business activities. Also, it is defined as the set of political,
social, economic, environmental, legal and technological factors which can directly or indirectly
affect business activities and business decisions (The Concept of Business Environment, 2021). A
business firm is an open system. It gets resources from the environment and then revert it back
by providing products and services to the environment. There is various level of environmental

forces. These are internal and external factors as an external factor may be related to national
level, international level and regional level. These forces provide opportunity or threats to
business performance. Every organisation should work on grasping the opportunity for them and
try to reduce their threats as well.
Business organisation cannot change the external environment that is why they just react ad turn
them into opportunities or threats. So, it is more essential for a company to analyse the external
factors which can affect the business environment. Further, it is more important to analyse the
business environment to survive and to get success for a business. This is a role and
responsibility of managers of a company to analyse the internal and external factors to analyse
the business performance. A firm or a hotel should have to survive in the market and gets human
resources, energy, capital and technology. Business needs to follow rules and regulation made by
government, social norms and beliefs and cultural values, economic rules and policies made by
local government (Blanco-Portela and et.al., 2017). Hence, business environment is the dynamic
in nature because it performs it functions in dynamic environment. there is certain importance of
business environment as it identifies firms or hotel strength and weakness. Also, it determines
business opportunities and threats which can occur in and outside the business environment. It
helps the hotel in building reputation and image in front of customers. So, if business factors can
be considered on mind then hotel can increase its growth.
Internal and external factors of business environment
As per the views of Vanessa, (2021), business environment involves internal and external
factors both that can affect firm’s overall growth and profitability. Internal and external factors
both depends on business types, size and status. The internal factors consist of employee’s
competitors, customers, suppliers and culture of organisation. External factors of a company
include government policies, technology, social factors and economic factors etc. in context of
The Standard London Argyle Street hotel, firms are affected by number of internal and external
forces. In context of internal forces, employees are the one who are the man assets of company
or hotel, these are the people who are more engaged in the production of goods and services
hotel is offering to customers (Internal & External Environmental Factors That Affect Business,
2021). They can affect the business environment because of there is conflict among employees
the this may lead to decrease in productivity of hotel. Then another is the competitors and
customers who can affect the business. Competitors affects hotel because they come in constant

competition of market and profits share. Customer are the main for which hotel is working. They
need to satisfy customers or guests fully. It is a responsibility of hotel to keep demands and needs
of customers high and take care of the changing taste of customers. Then culture of environment
is very necessary because if culture is not so much good or not so much healthy then employees
cannot feel safe and they could not work with their full potential. The culture of business
environment should always be healthy and positive.
Then next is external factors which can affects he business. These are technology, as technology
which is used in a hotel should be modern so that customers should be happy while coming
there. Hotel should provide free Wi-Fi, digital payments to customers (Bouranta, Psomas, and
Pantouvakis, 2017). Then government policies and rules, this can also affect the hotel because
hotel needs to performs its business activities in all over the world so they neds to follow
government rules and regulations. Interest rates and capital market can affect the business firms.
Economic factors like demands and cost of capital can affect the businesses at the time of covid
pandemic, customers have did not spend well and they did not visit to the hotel which has
affected the hotel. So, these are some of the factors which can affects the organisational growth
and profitability. Theses should be reflected in mind of managers.
Impact of business environment on organisational growth
According to Trivikram, (2020), there is a biggest role of internal and external factors on the
business’ environment of the hotel. The main reason behind the external factors is that they have
not any control over business. There can be positive and negative role of factors on business
environment it just depends on the business performance or management performance. If the
management is performing good then they can turn factors into the opportunities and if they are
not performing good then these factors can turn into threats for firm. So, it is very more essential
for a firm to focus on those internal and external factors of hotel otherwise they should have to
bear losses. Currently, the situation of hospitality sectors is very bad they are facing a lot of
trouble because of coronavirus pandemic (Influence of Business environment on the success of
an organisation, 2020). Because customers are not coming to the hotel for visits so they are
facing so much of loss. So that is why all external factors of a firm are coming with negative
impact on hotels. So, this is the reason, hotels are not currently working properly and facing
issues and challenges regarding safety and health measures. But future operations and strategies
can lead to accomplishing in their goals and objectives.

Research methodology
Research methodology is the method used by a researcher in order to conduct this research. It is
a process of collecting and analysing data and information through various methods and
approaches. This is a model or framework which provides logical aspects of beliefs, values and
culture that provide accurate and reliable results to the researcher (Buchanan and Huczynski,
2019). In this research, the investigator is using research onion to conduct this research because
this will help him in analysing information through various approaches. Research onions consist
of various stages discussed below:
Research process: Research consist of two process which are primary and secondary
research. Primary research is the research which is collected through numerical data and
information. But the secondary research is collected through books and journals and libraries. In
this current investigation, the researcher is using both of these methods in collecting data and
information. Primary research is collected through questionnaire survey an interview by having
open ended and close ended questions. This will bring accurate findings and results. Then
secondary data and information is collected through literature review, this will be provided deep
knowledge of topic. This research is collected among 30 respondents and these respondents are
hotel working staff members.
Research philosophy: Research philosophy is the first stage of research onion as a it consists of
two types these are positivism and interpretivism (Carayannis and et.al., 2017). In this present
research, investigator is using positivism philosophy because it will help the investigator in
getting valuable information and also it does not require more time. This will help the researcher
in collecting and analysing of quantitative data and information.
Research approaches: it is related with the plan or procedure which is used by research in
order to conduct the research. This consist of two approaches these are inductive and deductive
approach. In case of deductive approach, it is based on hypotheses information which is related
with literature review. In case of inductive research, it starts with observation and behaviour of a
person. In this research investigator is using research onion. In this research researcher is using
deductive approach of research because this will help researcher in analysing information and
data ion effective manner. This involves hypotheses development by using literature review and
also it provides in depth knowledge of topic.

Research strategy: Research onion consist of research strategy which involves certain
procedure of conducting a research. It consists of various methods such as interviews, case study,
questionnaire survey and literature review (Garavan and et.al., 2021). In this research, the
investigator is using questionnaire survey and literature review. Questionnaire survey is
conducted between 30 working members of the hotel. Questionnaire survey is conducted online
and offline both. There are open ended and close ended both questions which helps the
investigator in getting accurate knowledge and results. Also, in this research researcher is using
literature review which helps him in taking knowledge about business environment and this
results in getting in depth knowledge about topic. The topic which is taken in this research is
internal and external factors which can affect business environment.
Research choice: Research onion consist of another stage which is research choice.
Research choice consist of various methods such as mono method, mixed method and multi
methods. These methods consist of further types such as mixed method consist of qualitative
method and quantitative method. As in this investigation, both of these methods are used by
researcher because this will help him in getting accurate information and data. In context of
quantitative data analysis, the researcher is using questionnaire survey for collecting data and
information. This will give him accurate results and findings. Then in qualitative research,
researcher is using books and journals to collect information. This will give deep knowledge
about topic of internal and external factors. This is also effective because it cost less as compared
to primary research.
Sampling: Sampling is a method which is refers to the selecting from large number of
populations to select right sample size. This can be of two types probabilistic and non-
probabilistic (Liu, 2018). In this research project, investigator is using probabilistic sampling
method because this helps him selecting right sample from large number of populations. For this
research 30 sample size is taken to find out results. This gives equal chances all the population of
being selecting in a sample. These 30 respondents are from the staff members of The Standard
London Argyle Street hotel.
Time horizons: Time horizon is the framework which tells about how actual time is to be
taken to conduct this research. This consist of two types of cross sectional a longitudinal
approach. In this research, investigator is using cross sectional method because this helps the
investigator in conducting this research on time. And also, it provides single observation for

single point time. The time which is conducted in this research to completed is about one month.
This is conducted through survey.

Research ethics: This is necessary for a researcher to follow all research ethics in a systemic
manner (Long, and et.al., 2017). There are certain ethics for researcher which are to be followed
by him such as giving respect to all citizens and people, taking their consent, confidentiality and
protection of data etc. these re the main principle of research which are to be followed by
investigator while conducting a research in effective manner. This will help him in conducting it
securely and keeping all data and information confidential.
Questionnaire
Q1. Do you know about business environment and economic
environment?
Frequency
a. yes 27
b. no 3
Q2. What are the internal and external factors of businesses? Frequency
a. politics and government policies 5
b. company culture 6
c. competition from other business 4
d. all of the above 15
Q3. According to you, what internal factors can affect the business? Frequency
a. financial resources like funding 12
b. physical resources 8
d. all of the above 10
Q4. According to you, what external factors can affect the business
most?
Frequency
a. economic conditions 15
b. technological advancements 10
d. political forces 5

Q5. Do you think, a business environment factors can affect the
organisational growth of The Standard London Argyle Street hotel?
Frequency
a. yes 25
b. no 3
c. can't say 2
Q6. How can political factors can affect the business performance? Frequency
a. taxes and economic policy 15
b. political stability 5
c. employment laws 10
Q7. According to you, is hotel is providing proper training and
development sessions to the employees or not?
Frequency
a. yes 15
b. no 15
Q8. According to you what latest technologies hotel is using for
attracting customers towards their brand.
Frequency
a. chatbot 5
b. voice searches 5
c. artificial intelligence 5
d. digital payments 15
Q9. What recommendation are to be made to hotel while analysing its
business environment?