Business Organisation & Environment Essay - Premier Inn Case Study

This essay provides an analysis of business organisations and their environments, focusing on Premier Inn Hotel as a case study. It explores the organisational structure of Premier Inn, highlighting the use of a divisional structure and the potential for a hierarchical approach. The essay includes a SWOT analysis, examining the strengths, weaknesses, opportunities, and threats faced by Premier Inn, as well as a PESTLE analysis, assessing the political, economic, social, technological, legal, and environmental factors impacting the business. The report also touches on the impact of COVID-19 on the hospitality sector and concludes with insights into how Premier Inn can navigate the challenges and leverage opportunities for growth and sustainability. Desklib offers a range of solved assignments and study resources for students.

Level 0 Assignment Guide –
Case Study
2021/2022.
Understanding Business
Organisation
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Table of Contents
1Introduction .............................................................................................................................3
2Organisational Structure of Premier Inn Hotel .......................................................................3
3Business Environment Analysis of Premier Inn Hotel .............................................................4
3.1SWOT Analysis ..................................................................................................................4
3.1.1Strength......................................................................................................................4
3.1.2Weaknesses................................................................................................................5
3.1.3Opportunities.............................................................................................................5
3.1.4Threats........................................................................................................................5
3.2PESTLE Analysis -...............................................................................................................5
3.2.1Political Factors..........................................................................................................5
3.2.2Economical Factors....................................................................................................6
3.2.3Social Factors..............................................................................................................6
3.2.4Technological Factors.................................................................................................6
3.2.5Legal Factors...............................................................................................................6
3.2.6Environmental Factors...............................................................................................6
4Conclusion ...............................................................................................................................7
5Reference Page.........................................................................................................................8

1 Introduction
Business is the separate legal entity in which they usually work and manages the
various activities in order to boast the overall production of the company within the country.
The main prospective of the business is to have the sufficient employment opportunities and
meeting the competitive advantage in the market(Sharma, Sharma, 2020). In this case study,
Premier Inn Hotel is the chosen organisation which is established in 1987 through Whitbread,
by Dunstable England. There is different chains and department which are made with the
consideration of managing the business practices in the hospitality sector. There are many
branch which are Jersey, UK, Ireland, United Arabs Emirates and so on. This report will
cover the micro and macro factors which is impacting the overall functionality of business.
Moreover, It will also focuses on COVID-19 and its major concern area and the affect on
business practises and also the issues by which the company can modify their working at the
time of pandemic.
2 Organisational Structure of Premier Inn Hotel
It is the pathway which helps the company to manage their working and it is the
systematic approach by which helps in analysing all the areas through in which the company
is operating. It also helps in performing the various task with the specialised person so that
the work can be done in an right approach. Premier Inn hotel is using divisional
organisational structure by which hotel can effectively accomplish their different functions
with the help of specialised workforce in each department(Schofield, 2021). The main focus
of the company is to use this structure so that employees can effectively divide their work
according to their skills and abilities in order to complete them in an appropriate manner.
Departments like housekeeping, front office, food production and Food and beverage as they
are being divide in to small groups on the basis of their work. The main emphasis of Premier
inn hotel for choosing this structure is to make all the employees to distribute their certain
task on the basis of their skills and their team working spirits. the company can also opt
hierarchical organisational structure by which the work is being distributed among the
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different level of management so that it will be effectively completed. This also helps in
accomplishment of the certain task in well-defined manner as the instruction given by the
senior to their employees. This is seen that all such factors and their general working can be
managed on the basis of working conditions and the evaluation of the hospitality which is
being made by the managers. In hotel industry, It is seen that choosing specific organisational
structure is important in order to understand the working and the methods by which
employees can effectively facilitates their guest.
3 Business Environment Analysis of Premier Inn Hotel
It helps in analysing the internal and external factors by strength and weaknesses of
the hospitality sector can be evaluated(Rojas-Lema and et. al., 2020). In context to Premier
inn hotel, key areas in order to identify the business environment. PESTLE and SWOT
analysis is being conducted which are given below:
3.1 SWOT Analysis
This is the tolls ad technique which helps in determining and understanding the
strengths, weakness, opportunities and threats of the company. As it also helps in
understanding the current market scenario of the company and changes required in the
operations. In relation to Premier Inn hotel, It is described below:

3.1.1 Strength
The Premier inn hotel is considered as the best services provider and also being
awarded for their best facility and conditions. This is been that it is used to have the better
strategy in the target market by which large segment of the individual can be gained. They
are also having 700 hotels around the world with 50,000 rooms by which they create the
positive impact on the profitability of the company so that they can sustain in the market for
long period of time(Will,Gossel and Windscheid, 2020). They are also having efficient team
by which all the work can be accomplished related to the advertisement which creates the
good brand image in the market which leads to higher profits and revenue.
3.1.2 Weaknesses
In comparison to the other international business, It can be seen that Premier Inn hotel
is not caring the impactful image in the target market of hospitality sector. They also facing
huge competition which can be changes during the time by which tends to affect the economy
of the country.
3.1.3 Opportunities
Premier Inn hotel can focuses on having the better employment opportunities and also
focuses on digital and social media marketing which can be changed according to the time
which can leads to attract the large group of customer. They can also use the some strategic
technique so that they can enhance the growth of the company(Nakao and Nishide, 2020).
3.1.4 Threats
The main threat is adversing situation of COVID-19, It is seen that hospitality sector
facing huge downfall in their operations due to strict restrictions.
3.2 PESTLE Analysis -
It is framework which helps in analysing the external environment and also helps in
managing the competitive areas and certain conditions by which they can effectively make
better choice in the market. This includes political, social, economical, technological,
environmental and legal factors. In context to Premier Inn Hotels, these factors are given
below:
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3.2.1 Political Factors
It is related to the regulations and the policies for the company and also manage all
the work related to the regulatory. Premier Inn hotel focuses on understanding nature and the
general working is being affected the policies of hotel by the adverse impact of Brexit.
3.2.2 Economical Factors
This is concern with the interest rate, inflation, recession and allocation of the finance.
Premier inn hotel is the chain hotel which helps in generating higher profits(Martínez-Caro,
Cegarra-Navarro and Alfonso-Ruiz, 2020).
3.2.3 Social Factors
It is concerned with the demographic segment and work by which the organisation
can emphasis on growth of the company. Premier Inn hotel is offering quality services and
safety measures to the company by which trust of the consumer can be gained.
3.2.4 Technological Factors
This factors covers the innovation and advancement in the operations which can leads
to higher success and growth. Premier inn hotel is using innovative technique and digital
advanced method in order to promote their brand.
3.2.5 Legal Factors
These are the factors which is related to the regulations which is being imposed on the
company by which all the business practices can be managed(Kulkarni and Patil, 2020).
Premier inn hotel is the chain hotel which is trying to opt all the categories by which all the
rules and laws can be managed by the hotel.
3.2.6 Environmental Factors
It covers the increasing pollution and the scarcity of resources and the hotel needs to
take action for protecting the environment. Premier inn hotel contributing towards sustainable
changes and advancement within the organisation by which they can protect the power
energy ad other aspects.

4 Conclusion
It is summarised form the above report that Business is the entity in which all the
functions and the operation is being manages with the sole aim of generating higher profits
within the organisation. This not only benefits the company but also impacts the overall
growth of the economy. Due to huge impact of COVID-19, Hospitality sector is majorly
affected due to strict restrictions on travel on the individual. SWOT analysis is being
conducted in order to understand the market scenario of the company. Moreover, PESTLE
analysis is being conducted which helps in analysing the external environment. As economic
factors are related to the interest rate which can be increases by the expansion of the hotel by
which they can sustain in the market by contributing to the corporate social responsibilities.
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5 Reference Page
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Kulkarni, M. and Patil, K., 2020, March. Block Chain Technology Adoption for Banking
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Martínez-Caro, E., Cegarra-Navarro, J.G. and Alfonso-Ruiz, F.J., 2020. Digital technologies
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Sharma, D. and Sharma, U., 2020. Analysis of balanced scorecard usage by private
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Will, A., Gossel, B. and Windscheid, J., 2020. Eyes on tech! Media entrepreneurship and the
relevance of technology in business models. In Media Management Matters (pp.
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