Business Environment Analysis: Hilton Hotel Detailed Report

This report provides a comprehensive analysis of the business environment, focusing on the London Hilton on Park Lane hotel. The report begins with an introduction to the importance of understanding the business environment, including organizational structure, types of businesses (public, private, and voluntary), and their purposes. It evaluates the size and scope of the chosen business (Hilton) and compares it to the BBC and Reach Volunteering. The report explores the link between organizational structure, size, and scope with the objectives, products, and services offered. It examines the relationships between different organizational functions (marketing, finance, HR, sales) and analyzes the advantages and disadvantages of interrelationships within the organization. The report then delves into the macro environment, identifying its positive and negative effects on business operations, utilizing the PESTLE model for analysis. An internal and external study of the Hilton is conducted using SWOT/TOWS analysis to identify strengths, weaknesses, opportunities, and threats, and to understand their influence on decision-making. Finally, the report examines the impacts of both macro and micro factors on business objectives and decision-making, culminating in a conclusion and references.

Business And The
Business Environment

Table of Contents
Introduction................................................................................................................................3
Main Body..................................................................................................................................3
Part 1..........................................................................................................................................3
P1 Different types and purpose of business organisations.....................................................3
P2 Evaluate size and scope of the chosen business organisations.........................................4
M1 Structure, size and scope of the business organisations link with the objective, products
and services offered by the organisations..............................................................................5
P3 Relationship between different organisational function...................................................6
M2 Analyse the advantages and disadvantages of interrelationships between organisational
functions and the impact that can have upon organisational structure...................................8
Part 2..........................................................................................................................................9
P4 Identify the progressive and negative effects of the macro environment on business
operations...............................................................................................................................9
M3 PESTLE model to support a comprehensive analysis of the macro environment within
an organisation.....................................................................................................................10
P5 Internal and external study of specific organisations to identify strengths and
weaknesses...........................................................................................................................12
M4 Apply appropriately SWOT/TOWS analysis and justify how they influence decision-
making..................................................................................................................................13
P6 Impacts that both macro and micro factors have on the business objectives and
decision-making...................................................................................................................13
Conclusion................................................................................................................................13
References................................................................................................................................15

Introduction
Working in an organisation it is very important for the employee to understand the
need of the business and its business environment which can directly and indirectly get
impact on their business nature. Business environment include the basic structure, nature,
relationship with each other department, organisation type and many more things
(Abdelkafiand Täuscher, 2016). For this report the chosen hotel is London Hilton on Park
Lane. One of the largest hotel in London and this report cover in detail prospective about
different type of organisation, their future scope and interrelationship of the functions by
different organisation. Further macro and micro environment is analysis and its impact are
discussed within this report.
Main Body
Part 1
P1 Different types and purpose of business organisations
Organisation Types Purpose
Public The chosen organisation for
public sector undertaking is
BBC, as it is founded in
1922, it is the example of
public corporation. This is
helpful in making digital
broadcasting and expand
their business in all over the
UK
There are mainly three
type of public
undertaking which are
included as per the
growth of
departmentalundertaking
, public corporation and
government company.
Which are highlighted to
think which are helpful
for working and making
different sector different
sector which are related
to make different type of
organisation.
Public sector
undertaking are highly
related to government,
owned bodies and
different main purpose
which are highly
related to serve the
customer and make
people satisfied.
Private London Hilton on park lane
are choose for the private
sector company. It was
founded in 1963 and It has
453 rooms having 28 floor
There are different type
of the private sector
organisation which
known as sole proprietor,
partnership, small
They are the one
which are helpful in
making country’s
economic system
strong and helpful in

count. organisation, private
limited, MNC and
franchise are the
example of private sector
industry.
understanding to boost
economy which are
helpful in earning
more profit in the time
period.
Voluntary
organisation
Reach volunteering, to make
boost up the resources and
volunteering sector to work
in the analysis to attract and
retain the talent on the given
time period.
There are different type
of voluntary organisation
which include, trust, a
limited company,
community interest
groups and any other
provident society.
They are work for the
social care of the
public, they rise funds
from different
organisation either
public or private and
then work for the
social culture.
P2 Evaluate size and scope of the chosen business organisations
Private sector organisation- (London Hilton on park lane)
 Size: Hotel Hilton was established in the London by 1963 and from then to now it
will be helpful for the company to make 101 meters tall, 28 stories and 453 rooms and
a hotel and pool which are helpful for the growth of the company (Andersson,
Forsgrenand Holm, 2015). This hotel employ more than 2000 employees and able to
manage all of them in specified and successful manner.
 Scope: Scope of the company are related to more growth and expanding nature within
society which are helpful for gaining more profits and design suitable changes. It
could be related to globalisation process and make effective investment in attracting
more tourist to visits and stay in their hotel.

Public sector organisation-(BBC)
 Size:It is the world oldest nation broadcaster which are helpful in making largest
broadcaster of the world. There are more than 22,000 employees in total whereas
35000 staff are related to part time, flexible and fixed contact staff.
 Scope: BBC is the government organisation which are helpful in making governing
principle, make effective decision and make a process to inform, educate and entertain
the nation which are free from the political and national commercial pressure in the
global level.
Voluntary sector organisation- (Reach Volunteering)
 Size: One of the leading voluntary organisation which are working through the
different sources and collect the funds to make volunteer and teach other people
different skills, ability, knowledge and mentor (Barazandeh and et.al., 2015).They are
appoint lakhs of people as volunteer and spread more skills as possible.
 Scope: This will be helpful for boosting company growth and make sure to analysis
different prospective to increase effectiveness and find new ways to assign the work
and make professional voluntary to improve and retain the talent which are helpful for
the company and make trustee to gain more experience.
M1 Structure, size and scope of the business organisations link with the objective, products
and services offered by the organisations
There are different type of product and services which are helpful for the organisation
to make direct connection or linked with the different structure, scope and size. This is very
important for the companies to make objective as per their future scope, size and growth.
There are different ways to attract and retain the talent within organisation as per their own
growth and size.
Hotel Hilton size and scope are linked to its objective, product and services
Hilton is one of the biggest hotel in this industry so their size to provide hundreds of
people room and employee thousands of the person are helpful in reaching out to their goals.
Their main goal is to make sustainable development changes and make it worldwide famous
with their high profile services in their company (Batocchio,Ghezzi and Rangone, 2016). The
size is basically related to effective growth and objective of the company which are
highlighted through different sources and growth.

BBC size and scope are linked to their objectives, products and services
British Broadcasting committee is helpful in maintaining their organisational growth
and work with the changing need of the company. It is important for them to expand their
business at global level which are helpful for making and spreading awareness related to right
news about current issues like covid-19 and make brexit new policies. This will be related to
its large size and scope for working in objectives and make effective products and services to
share it with customer and make more connexion all over the world.
Reach Volunteering are linked to its objective, product and services.
In the reach volunteering organisation they are operating and providing large number
of their services in only UK. As per their size and future growth it is related to make more
effective objective and work as per the society to make free teaching, knowledge and skills in
all over the world (Centobelliand et.al., 2020). Their main objective is to make joining of
more and more volunteer, explore their roles, make more connection and match as per the
effective growth and achievement within organisation. It is helpful in understanding basic
knowledge and growth which are helpful in making successful achievement and growth
within society. It could be related to mire approaches and achievement of the company that
help the other people to manage resources.
P3 Relationship between different organisational function
There are different type of organisation who are working in their different nature and
culture. Every type of industry are able to make hierarchy and make people which are related
to planned structure and growth within an organisation which are related to their different
organisational functions. With the risk of increasing competition there are different ways
which companies or hotel sector are adopted to make more interrelation with each other and
make more secure link to completing organisational objectives (Charter, 2017). Therefore,
getting effectiveness and make strategic changes that help the chosen hotel to work and
analysis the growth of the job profile;
 Marketing Department:This is the department which are helpful in making
department of the companies which are related to make different aspect of the
customer which are helpful in managing effective resources and make strategic
changes within society to work with many other customer and make systematic

changes which are highly related to different sources and adoption strategies. Hilton
hotel are able to make strategic changes which are highly related to different sources
and make sure to able and manage effective sources on society. It could be related to
marketing aspect and society growth in the company.
 Finance Department: finance department are helpful in making effective growth
which are helpful for making effective changes and work as per the assigned finance
and budget of the company. This could be related to different sources and make sure
to worm under the performance of finance budget that can further allocate to society
and make effective changes within applied sources in an organisation (De Vriesand
et.al., 2017). Hilton team management are able to make effective financial planning
that can be supported to the growth and achievement of the company.
 Human resource Department:human resources department are the one which are
helpful for the company like Hilton to make successful growth within society and
make effective changes. It could be related to effective changes in human capital and
fill the right candidate at right time. It could be related to make recruitment and
selection process which are helpful for the company to analysis.
 Sales Department:Sales department are helpful in selling company’s product and
services in the market and make effective promotional technique that can be suitable
and helpful for understandings the basic need of the company (Denning, 2015). It
could be related to make effective advertisement and support for the company to
analysis strategic changes within society.

M2 Analyse the advantages and disadvantages of interrelationships between organisational
functions and the impact that can have upon organisational structure
While working in an organisation many of the function are become interrelated which can be
effective and helpful for the company’s growth and analysis it on the time. Where several

time it could be related to different disadvantages which are essential to make effective
understanding on the time of management process.
Advantages:
 There are different team members who are working in an organisation and it will
allow some major informative knowledge and skills with each other’s.
 The staff of the hotel keep stay longer and helpful in containing and make promoted
activities within hotel industry.
 The team work will be reviewed on the ease and able to make settlement which are
helpful for the company to work and related to entire work (Doh, McGuire and Ozaki,
2015).
 In many of the large hotels, the senior management are able to make free
concentration on the different strategy and make change as per the need of the whole
team.
Disadvantages:
 Employees who are working in different are not able to share their opening to meet
and share the perception image. This can be lead to make risky which can lead to slow
the development of the business activities.
 Lack of coordination, it is considered that in an organisation company and their
employees are not able to solve their issues and make effective coordination. It will
lead to fail in communicating requirement and issues to make more functional groups
to solve their issues.
 Further most of the group are become the reason to make weakening their connection
and make signal principle within organisation to make purposive weak and
diversifying nature in the company (Freudenreich, Lüdeke-Freund and Schaltegger,
2020). It could be related to different sources and ability that can be effective through
the use of majority and able to work in an organisation.

Part 2
P4 Identify the progressive and negative effects of the macro environment on business
operations
There are different macro environment which are positive and negative impact on the macro
environment as it could be related to make on the growth of the company and sustain
effective opportunities in business;
 Political factors are basically related to government initiative which are taken by the
government to resolve the issues of economy. This may include foreign trade policies,
labour law, environmental law, trade restriction and many more which are highly
related to different sources of government.
 Many of the economic factor affect the growth of the company in positive way as it
will be related to economic growth, interest rate, exchange rate, inflation and many
more things that can be related to effective changes within society.
 Social factors are related to the change in attitude and belief which are helpful in
making population and factors that could be related to growth, age, health, distraction,
and career and many more (Gauthier and Gilomen, 2016). All are related to economic
factors which are positively impact on the major companies.
 Technological factors are those which are helpful in advancing informative
technologies and make sustainable factor to work and overcome the challenges within
society. All of these are basically related to different sector and growth of the
company which can be related to new and innovative way to produce goods,
distributing goods, and communicating possible outcome which are related to the
growth of the products.
 These factor which are related to growth and achievement of the company and make
environmental changes. That can be related to equal opportunities, advertising
standards, consumer rights and make laws and products and safety which are highly
related to different sector. Environment factors are helpful in understanding the
growth and prospective of the company to analysis their viewpoint in market.
 Ethical is the new factor which can be used in macro environment factors, as it will
include many of the positive and negative factors that are related to different factors
and which are highly related to fair trade, salary, and CSR policies (Gilliland,
Tashman and Sglavo, 2016). All of these are highly related to make effective growth

within an organisation and make sure to work as per the ethical consideration sector in
an advertisement of organisational growth.
M3 PESTLE model to support a comprehensive analysis of the macro environment within an
organisation
After knowing about the macro environment of the any company it is important to
analysis and make strategic approach to run and evaluate the pestle within an organisation.
Pestle analysis is conducted for the chosen hotel in this project. Which are explained below:
Political Factors: Hilton hotel is grateful in working most popular demand which are
helpful in making effective supply chain and work as per the demand of the hotel chain in
market. For the Hilton political stability is one of the important factor as it could be related to
handling political situation and make operating activities in an authorised way. Recently
European Union reduce the number of visitor which make a negative impact on the hotel. But
there are different countries to make new extra hotel operations which are work as per the
management of profitability.
Economic Factors: Economic factors make high level of impact on the hotel industry
which are highly related to make direct and indirect ways. It will be related to make GDP and
growth for the country to make and manage effective growth (Jorfi, Norand Najjar, 2017).
Due to make covid-19 many countries to make an affection on the different operation which
are highly related to various business operation that could be related to good factor and hotel
industry.
Social factors: Hotel finance is mostly affected by the various social factor which can
be related to consumer lifestyle and make interacting with various people and make various
social gathering which are related to matter of concern for make Hilton hotel. It could be over
to make social factors, which can be related to wait for the timings to get better in future.
Technological Factors: There are different technology and make strategic changes
which are highly related to Hilton hotel group which are related to make technology and
make proposition which it will to make customers. Hotel should be accept all the modes of
payment which are highly today’s world of the organisation.
Legal Factors: Laws and regulation which make effect in the operation within
society to make operating, employee laws, customer law and legal customer to spread

diseases and effective diseases different various laws which are highly amended make
changes in different business required.
Environment Factor: Climate changes is a serious and make polluting and serving
and make environmental standards. Different countries have different norm which are highly
related environment threat for the growth of the Hilton hotels. Even within the country
different state may have different laws which are related to environment.
P5 Internal and external study of specific organisations to identify strengths and weaknesses
The word SWOT stands for or it can be said that the full form of this is Strengths,
Weakness, Opportunities and the Threats. The analysis of the SWOT is considered as the
useful idea to access the four attributes and which play an important role in an organisation.
In simple words its can be said that Strengths and weakness reflects towards the factors
which are from inside the organisations such as the process which are going currently, the
human resources the financial and the physical resources although the Threats and
Opportunities go through the factors like the regulation from the government or the
economical or the trends related from market and economics (Lam and Wong, 2018). For the
better example the SWOT is explained in the expanded form which is mentioned below-
Strengths- it can be said that this factor helps the organisation while differentiating it
from the competitors, this can be considered as the special positive traits means the image of
the company, the loyalty of the customers although the different and unique technology used
by the organisation. The swot analysis forms the basis of the organisational strength and
keeps the business ahead of its challengers in the industrial market.
Weakness- As it explained above that weakness is also considered the internal factor
as the Strength is said, do it’s the should be on the priority basis of the organisation to focus
on the people, systems, resources, and the procedures. The organisation should be honest then
only the SWOT analysis would be applicable on to gather the all information that
organisation needed.
Opportunities- Opportunities are mean to be as the external factors which are
available and open so that can be used by the organisation (Leih, Linden, and Teece, 2015). It
should be the duty and responsibility of the organisation to pay attention or identify the
opportunities in the market so that they can take advantage of them.