Christi Hotel: Business Environment Analysis, Strategy and Performance

This report provides a comprehensive analysis of Christi Hotel's business environment. It begins with an overview of different organizational types, including public, private, and voluntary organizations, and their growth in the international business environment, with a specific focus on Christi Hotel as a private entity. The report then delves into the business functions of Christi Hotel, such as executive, maintenance, marketing and sales, finance, human resource management, and production. It also provides a PESTLE analysis, examining the political, economic, social, technological, environmental, and legal factors affecting the hotel. Furthermore, a SWOT analysis is presented to evaluate the strengths, weaknesses, opportunities, and threats faced by Christi Hotel. Finally, the interrelationship between internal and external factors is discussed, leading to a conclusion that summarizes the key findings and recommendations for the hotel's strategic development and growth. The report includes detailed explanations, positive and negative impacts of various factors, and interrelations between them to provide a holistic understanding of the business.

HOTEL INDUSTRY: BUSINESS
AND BUSINESS ENVIRONMENT
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TABLE OF CONTENT
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
An overview of different types of organisation..........................................................................1
Explanation of Public, Private and voluntary organization........................................................2
Different Business Functions of Christi Hotel ...........................................................................5
Organisational functions and its interrelation with organisational structure .............................7
TASK 2 ..........................................................................................................................................8
PESTLE Analysis.......................................................................................................................8
Political factors that effects Christi:.................................................................................................8
Economic factors that effects Christi:..............................................................................................8
Positive Impact:..............................................................................................................................8
Social factors that effects Christi:....................................................................................................9
Positive Impact:..............................................................................................................................9
Negative Impact:.............................................................................................................................9
Technological factors effects Christi:..............................................................................................9
Positive Impact:..............................................................................................................................9
Negative Impact:.............................................................................................................................9
Environmental factors that effects the Christi:..............................................................................10
Positive Impact:............................................................................................................................10
Negative Impact:...........................................................................................................................10
Legal factors that effects the Christi:.............................................................................................10
Positive Impact:.............................................................................................................................10
Negative Impact:............................................................................................................................10
SWOT analysis of Christi.........................................................................................................10
Strengths of Christi:.......................................................................................................................11
Weaknesses of Christi:...................................................................................................................11
Opportunities of Christi:................................................................................................................11
Threats of Christi:..........................................................................................................................12
Interrelationship between internal and external factors:...........................................................12
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CONCLUSION .............................................................................................................................13
REFERENCES..............................................................................................................................15
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INTRODUCTION
Business environment is collection of all internal and external actors such as employees,
customer need and expectation. It is aggregate total of all organization, people and other forces
that are uncontrollable for industry but it can affect tits performance. The report gives overview
of different types of organisation like private, public and voluntary organization which are
operating in business environment and get influenced with changing circumstances of this
business environment. It mainly focuses on Christi hotel which is private hotel chain and
explains how business environment affect growth of this organisation for international business
environment, public companies also require good business environment for internal growth there
are various forces that can be reason for success and failure of this firms. Macro environment
factors plays important role in operation of each type of business form. Scope,vision, mission,
objectives and structure of each type of these organizations play an important role. The report
further discussed the PESTLE analysis of Christi hotel and shows how these factor impact the
business and which strategies would be beneficial for growth and improvement. It also gives
overview of SWOT analysis of Christi hotel and analyses strength, weakness, opportunities and
threats of firm in industry which helps business to make appropriate strategies,
TASK 1
An overview of different types of organisation
There are basically three types of organization which run their operation for earning
profit and for serving society (Types of business organization. 2020). Companies that are not
operated by government have purpose of earning profit are private organization, those companies
that are governed by government are public and voluntary organization are those that work for
charity and non profit organisation (Alkhater, Walters and Wills, 2018).
Private sector organisation and growth for international business environment
Private sector organization like Christi hotel chain which is providing service from long
time and has achieved good growth, as being private sector business its main aim its to earn
profit and provide good quality services and its biggest strength is to make highly competitive
pricing strategy which is essential for every business to grow in international environment . As it
has good market share its possibility of growing in private sector is huge (Slaev, 2020). There are
various advantages and disadvantages of private sector while operation in international market. It
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has benefits of lowering its production cost, diversifying business risk factor and disadvantages
can be political and legal risk of other countries can harm profitability of firm. Growth for
international environment is good for Christi hotel as it has placed its feet in market strongly so .
It has more chances of succeeding in international business environment. The main business
objective of this type of organisation to maximize profit and minimize cost of production of
goods.
Public Sector organisation and growth for international environment
Public sector organisation like Cine world invest their capital for international growth to
achieve sustainable growth and employment opportunity, contributing sound economic
expansion growth in member and non-member countries as well as for economic development,
there are various purpose for which public sector companies want their company to achieve
international environment for positive development of their country (Bentzen, 2019). The
purpose of carrying out this type of firm is to serve products and services with motive of welfare
of society
Voluntary organisation and growth for international environment
National Trust for places of historic or nature beauty is the company that work for charity
and membership organisation that work for heritage conservation, there are many such
organisation that work for betterment of society (Hack-Polay and Igwe, 2019.). Motto for such
firm is to be available for everyone and international growth. Purpose of such organization can
be creating awareness in public to enhance their voice for particular issue, doing betterment of
children and omen so that every part of world can feel equality. The objectives of voluntary
organization is to protect nature, animals, historical places etc. that increases value of country.
Explanation of Public, Private and voluntary organization
Basis Private(Christi hotel) Public(Cine world) Voluntary(National trust)
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Background
Details
It is a private hotel
which had good growth
and it is also refereed as
budget hotel chain. It
has 510 hotels with
numbers of rooms.
Christi hotel old
established hotel which
has strong customer base
so it can grow more in
upcoming years.
Cine world cinema is
public company whose
headquarter is in London
united kingdom. Its
world's second largest
cinema. It was established
25 years ago. Which has
many subsidiaries like
cinema city international,
picture house cinemas,
digital cinemas video etc.
(Alhaqbani and et al..
2016).
Nationa trust for places of
historic interest or natural
beauty is commonly
known as National Trust
which is charity and
membership organization
that work for
Heritage conservation.
Voluntary organization
are mostly non-profit
organisation that work for
society and have main
motto to be available for
everyone.
Product and
Services
Christi hotel provides
services of rooms with
AC, TV facilities and
does not provide
services of bars,
restaurants and leisures
facilities.
It provides facility of film
screening and other
shows with the best
quality on various
location of world that's
why it is world's second
largest cinema house.
It undertakes range of
activities like condition
surveying, advising on
prevention conservation,
display, storage, routine
care, emergency treatment
etc. voluntary organization
provides services with aim
of welfare benefits of
society.
Size and
scope
Size of Hotel is very
huge it has 510 hotels
consisting 46000 rooms
approximately. Scope of
hotel is good but its
facing extreme
Size of this company is
too huge as it provides
services to several areas.
And scope is good as
today's generation is too
fond of watching
It has more that 500
historic houses, castles,
ancients and industrial
monuments, garden, parks
and nature reserves. Size
of such organization is big
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competitions from local
hotels.
cinemas. as they represent particular
segment of society. In
chosen company its
representing conservation
of lands, plants and
animals.
Vision and
Mission
Vision of this hotel is to
grow with better quality
and low staff cost and
mission is to provide
budgeted good condition
rooms and encouraging
employees to be
efficient (Alshameriand
and Green, 2020).
Vision of public sector
cinemas is to entertain
and cover big share of
market and mission of
company is to be
favourable choice of
public for watching
cinemas.
National trust protect and
care for places and nature
so people can thrive. It
looks after nation's
coastline, historic sites and
green spaces.
Business
Objective
Business objective is to
cover huge market share
and providing good
quality service. Business
objective of private
organization is to be on
top in industry.
Objective is to expand
business year after year
and being in position that
it can help society as well
as it can earn god profit
(Ogbari and et al., 2016).
Objective of National trust
and voluntary organization
is promoting permanent
preservation for the
benefits of nation land and
building and also for
natural aspect features of
plants and animals.
Organisation
and legal
structure
Christi has functional
formal organization and
legal structure through
which they do their daily
operations. In this
formal structure the top
management of private
Organisation and legal
structure of every public
company is complex but
it differs from company to
company. Cine cinema
also have complex
structure. In public
Legal structure of the
voluntary organization is
can be trust,
unincorporated association
and a company limited by
guarantee. The chosen
voluntary company have
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company communicates
and give direction to
lower level of
management. In this
hotel top management
takes decision regarding
operations.
companies the
government takes
decisions regarding their
operations, expansion and
other important areas.
trust legal structure. This
is ideal for small groups
with membership and low
income.
Company's
Stakeholders
There are basically four
types of stakeholders in
hotel chain which are
hotel owners, senior
managers, customers
and government
agencies.
Stakeholders of public
companies are also
customers, suppliers,
employees and investors.
Communities, regulators,
staff, volunteers, members
and supporters these are
primary stakeholders of
voluntary organization and
secondary stakeholders are
advocacy or interest
groups and government.
Purpose The primary purpose of
this organization is to
earn profit.
The purpose is to
facilitate service with
sharing profits with those
who have bought shares
in public stock on which
firm is listed.
Voluntary firm have
purpose of serving wide
variety of activities and
advising other groups to
achieve profit and high
market share.
Different Business Functions of Christi Hotel
Executive
These are decision makers and mangers of departments, depending upon the functioning
of business these executives are responsible for managing various others functions of business.
They direct lower level management for carrying out operations of business (Haak and
Beckmann,2020).
Maintenance
As Christi hotel is operates in hotel industry it has the one function of maintenance, even
if there are various technologies and ideas that can remove human-force but still there is always
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requirement of staff for maintenance, sometimes maintenance is lumped in some other function
of organization such as housekeeping , it depends on the personnel department of organization.
Marketing and Sales
The important function area of every organization is marketing and sales. Without
marketing there is very low possibility of sales of any product or services as marketing plays an
important role in success of any business. Marketing team is responsible or promotion and
converting person into paying customers. The team should also be aware of updated marketing
channels that are most trending in market and cover every age of persons so more customers can
be attracted like social media marketing, email marketing, etc. basically sales of such industry
depends on marketing investment of business.
Finance function
Finance and accounting is also important function of every business as it records al
expenditure and revenue of every organization so it can analyse its position in market and take
actions for improvements. Every function of Christi hotel is interrelated with each other s it helps
the company to perform better with integration of functions Also finance function has relation
with every function like production, marketing, RD, and IT as it records data of each these
functions and decides to cut or invest funds in these areas to have more productivity. These
accounting team is responsible to give answers to executive department. This function helps
business to cut-down its irrelevant cost and invest in required areas.
Human Resource Management
No business function can be carried out efficiently unless here is sound personnel
policy. Human resource management is that department of organization that work for
management of organization in such a may that it measures performance of employees and tries
to motivate those whose morale is low so productivity can be increased. Executive and
maintenance function has interrelation with personnel development function as it guides them
ethics and ways of handling customers. Human resource management also work for management
of workforce for better performance of company.
Production Function
Production function of company manages that how much production should be done so
that no more inventory storage cost should be there, also it helps business to minimize wastage
of material and inputs. As production function involves heavy investment in fixed assets and in
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working capital. It is always controlled by finance manger there should not be over and under
capitalisation. Cost benefit criteria must be prime in allocating funds.
Research and Development
In the time of competitiveness investing in research and development is always
beneficial. It helps business to grow and get success with changing circumstances and cope-
rating with changes and preferences. Each function is interrelated as their common goal is
success of business with cost minimization and product quality . Only change is constant so
company need to do innovation and produce creative products.
Information Technology
Information technology made every process easy going and it helps every organization to
store their operation data systematically. There are various software and applications available
that helps business to achieve their target easily in short time and in accurate form.
Organisational functions and its interrelation with organisational structure
Christi hotel adopts functional organization structure which has hierarchy from top to bottom in
each separate function.
In functional organization structure employees of same skills are placed in one
department such as those who have qualification and knowledge related to sales are positioned at
sales departments. In addition to these employees who have skills and knowledge of accounting
are place in finance department. The purpose of this is to enhance efficiency of each department
to achieve objective of high productivity with minimum errors.
Advantage of Interrelation
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Functional structure departments focus on one area of work it enhances specialism of
each area of business. Coordination is established between each department. There is also benefit
of clarity of work and more focus or lack of diversification and managerial efficiency is also
increases (Maurer and et.al.,2019). There is less possibility of duplication of work, in this
structure training is also given if there is any lacking in particular skill and equal weight age to
all departments.
Disadvantages of Interrelation
The functional organization structure can also create drawbacks for business like
ignorance of organisation objectives as head of each department will give more importance to its
departmental objectives. No doubt that there can be coordination within department but it can
make interdepartmental coordination difficult, conflicts of interest can be created as each
department may create competitive atmosphere among various departs heads and there will be
hurdle in complete development as every employee will be specialized in small area of whole job
TASK 2
PESTLE Analysis
The PESTEL analysis is a strategic framework that helps to identify the external factors
that may have impact on an organization's performance. The PESTEL analysis of Christi hotel
are as follows:
Political factors that effects Christi:
Positive Impact:
Christi is situated in Deland, a city in the US. In the US, the government states that the
hotel industry owners have to pay lower taxes. This improves the business situation of Christi as
well as overall hotel industry.
Negative Impact:
Christi faced presidential elections effects as the government dispose the previous
president's laws. Also, the government has a tight hold on hotel industries. For example, if the
political party's people in power goes for travel banned, it could also affect the Christi's financial
business performance.
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Economic factors that effects Christi:
Positive Impact:
Christi has strong growth in the US market due to its large numbers of hotels availability
as lower the interest rates leads to easier borrow money, leads to many companies to issue new
bonds to finance new ventures (Nandonde, 2019). Exchange rates, recession, taxes are some
factors which influences the growth of the company with respect to economy. A profitable
economy allows the people to spend more on optional items, so the revenue are higher during
economic growth and lower during economic decline.
Negative Impact:
Hotel industry requires a lot of investment, specially within the US. Due to pandemic
situations the business of Christi is highly effected and expected continued growth in 2020 and
beyond to regularize the profit margins and their growth in the market space. The higher and
lower monetary value of the currency also effects the overall tourism of the country and so
Christi also faces the same issues in the market.
Social factors that effects Christi:
Positive Impact:
Travellers specially millennials enjoy the mass selection of rooms at affordable prices
and Christi offers them at a reasonable price and referred as the budget hotel chain in US.
Negative Impact:
Christi feels negative impact due to shifting of consumer preferences. Changing habits of
the customers adds another complexity to the situation which needs to be solved by the quoted
hotel.
Technological factors effects Christi:
Positive Impact:
Earlier the advertising has been done by traditional media but now the industry used the
new mode of advertising via internet due to which it has resulted in over 75% more of room
bookings. Feedback on blogs and social media effects the image of Christi. Tourists who stay at
their hotels can click a picture and write an honest review on the internet which effects the
overall reputation of the firm, though Christi operates with low numbers of staff in each hotel but
the staff in these hotels is highly trained to provide excellent customer service.
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Negative Impact:
Travelling websites also effects the Christi as it had to updated on their website with new
possible options to attract the tourists to their hotels. With the updated technology the customers
are able to compare the price list of the followed firms effortlessly. And with the advancement of
the technology, the fear of hacking the personal data of the customer increases.
Environmental factors that effects the Christi:
Positive Impact:
Christi follows the National Environmental Policy Act (NEPA). It is the US
environmental law that encourage the enhancement of the environment and its quality. The firm
also follows the Clean Water Act and reformation plan of 1970 (Mak and Chang 2019). Because
of these laws the firms confirms the health and environment improvements among citizens.
Following firm are employing more sustainable practices such as using organic products,
recycling, using less toxic chemicals etc.
Negative Impact:
Like other firms of hotel industry Christi also consumes more energy per visitors than
local residents due to intense energy facilities. CO2 emissions, CFC emissions, noise pollution,
waste food, smoke, smells are some examples which draws negative impact in environment.
Legal factors that effects the Christi:
Positive Impact:
Christi ensures the fulfilment of in-keeper laws, which make sure the welfare and safety
of the guests and their properties. The firm also follows the discrimination laws and pays above
the Deland national minimum wage in order to encourage staff commitment and loyalty.
Following organization values its staff highly and is strongly committed to staff development
and retention.
Negative Impact:
Christi should change its marketing policies with time according to the Federal
Government Policies as the laws related to customers and employees which includes constitution
related to employees health, safety and security, labour laws, alcohol licensing regulations,
environmental protection laws, hygiene laws, privacy, negligence, contracts has been changed
with the changes in government policies.
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SWOT analysis of Christi
A SWOT analysis is basically compilation of companies strengths, weaknesses,
opportunities and threats. The fundamental function of the SWOT analysis is to help
organizations to develop total awareness of all the factors while making business decisions.
Strengths of Christi:
Christi has the planned locations properties, mostly located at airports, city-centre locations and
close to major transport routes. Because of their strategic locations they are preferred by
most of the tourists and professionals.
The hotels are having strong brand portfolio and brand image in the market and also deals with
extremely loyal customer base.
In terms of safety also, Christi provides safe accommodation to their customers when they are
away from home. The company values its staff highly and is strongly committed to staff
development and retention (Doherty and Lew, 2020).
Organization pays above the Deland national minimum wage in order to encourage staff
commitment and loyalty. The concerned hotels normally attracts those travellers seeking ‘no
frills’ accommodation, at a reasonable price and due to this reason these are known as
'Budget' hotel chains.
Weaknesses of Christi:
 Christi has very limited market share as the company is majorly dependent on the US
market.
 The company have a lot of competitors and a very low brand differentiation. The one of the major weaknesses is that they do not provide additional services such as
bars, restaurants or leisure facilities and operates with low numbers of staff in each hotel
though the staff in their hotels are highly trained to provide quality customer services.
Opportunities of Christi:
 New trends in the customers actions can open up the market for the Christi hotels. The
low inflation rate bring more steadiness in the market space which enables credit at lower
interest rate to the consumers.
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 Emerging hotel industries in the market is also one of the opportunities for Christi.
Research about new market trends and look-after the customer feedbacks can open new
streams of generating revenue or reach new market. There are opportunities for digital work growth expansion for varied scale evolving
marketing determinants and to generate new varied scale scenarios, on which leveraged
fundamental scale marketing opportunities are there.
Threats of Christi:
 Christi faces risk issue due to their competitors in the market. Airbnb, is one of the
competitors for them as they offer some services to the customers which are not offered
by the Christi hotels.
 The firm also faces fierce competition from several home-based and international hotel
chains.
 Following proper rules and regulations related to sustainable practices are also one of the
major threats faced by the firm because it includes a huge amount of penalties.
 There is varied threat of increasing competition where there is crucial evolving varied
determinants, on which new scale evolving efficacy needs to be adopted effectively to
generate working innovation effectively.
 discuss some more points of Threats and opportunities; also, interrelate the
strengths and weaknesses of Christi Hotel with PESTEL Factors.
Interrelationship between internal and external factors:
The interrelationship between internal and external factors enable us to analyse various
aspects of functional working avenues on wider domains of creative strength for enhanced new
domains, expansion on varied aspects and also for strengthening goals development (Baines
and et.al., 2017).
1. Christi hotel will be able to develop stronger reach among business expanded competitive
domains, for creative market functional reach and also the strength of maintaining best
safety standards will enable business competency to be developed further. There shall be
further goals development among new horizons by using already established goodwill to
functionally expand larger consumers markets, also there is wider scope horizons for active
functional scale efficacy and new keen determining scope. There is weakness and threat for
external hospitality industry competitive diversity for working on new avenues, higher scale
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revenue efficacy and also to potentially enhance informative efficacy operations. There is
wider scale functional working opportunities to deliver market targets consumers demands
within new parameters, scale up new domains of work strengths and also to yield
informative reach among commercial aspects for keen innovative competitive goals
variably.
2. Christi hotel will be able to also expand on new consumers preferences and customised
market services for larger revenue profits and functional scale efficacy within goodwill
targets for future goal innovation (Ayodeji,. and Kumar,2019).This will also enable to build
competitive new scale stronger synergy which will enable business competency to be
productively expanded among wider arenas and also active functional reach. It can be also
analysed that strength will enable external weakness to be informatively focused on wider
competitive goals informatively for stronger profits market reach. It will also deliver
targets market reach for commercial growth operational innovation, to bring on technical
growth goal and also form potential stronger working reach. Christi hotel also can further
focus on digital marketing parameters where new quest goals will enable to strengthen its
position, keenly bring on larger profound arenas and also enhance consumers strengthen
scope goals for larger scale efficacy (Bruno, 2019).
3. The further external domains to enable market competencies to be explored within
commercial domains of hospitality for higher scale new profits on revenue scale working
innovation and also larger scale profound work domains, for creative growth expansion. The
external competitive marketing standards shall be also explored by using new evocative
marketing parameters and functional avenues for leveraged competitive efficacy. The
strengths of enlarged profits within capital structure shall be further build on among market
domains for keen new functional scope operations and informative profound goals variably,
on which skilled domains within competitive diversity can be actively explored. Christy
hotels by further focusing on enlarged vision oriented synergy shall be able to yield higher
commercial focus on innovative functional pace and keen leveraging fundamentals for
strengthening its position and also for framing competitive efficacy (Alvarez-Milán and
et.al., 2018).
4. Interrelation within external pestle factors can be analysed with varied new scale effective
working scenarios for which there has been effective functional synergies towards increaing
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threats and opportunities , for christ. There is effective scale work growth within
technological evolving scenarios for generating new imperative determinants for higher
effective scale goals and higher profitable new goals.
The above targets enable to bring on keen profound synergy within the analysed factors
interrelationship between internal and external factors of business world which actively
enable larger scale efficacy to be developed on. There has been active yielding synergy
among new advanced hospitality standards on which Christy hotel will be able to
experience larger higher avenues new productive goals widely.
CONCLUSION
The report has concluded varied aspects on form of structure and informative pace
within functional scale efficacy where public companies are wide for larger share investments
open for public where Chrsity hotel is explained , further Cine world is private company where
the main focus is pertained on limited scope parameters and National world is voluntary
company. The study has concluded in depth analysis for scope functional avenues where public
companies are widely expanded among commercial scenarios and private companies have
limited reach and voluntary companies on other hand have very less reach. The report has also
concluded stringent functional approach within interrelation of various departments which enable
higher informative reach. Study has also concluded further internal as well external analysis
within companies functional standards for larger efficacy targets where Crsity hotel will be able
to reach on competitive targets by larger scale profound focus on building new domains expertise
and stronger marketing reach for larger informative approach. The report has concluded research
by analysing stronger reach and interrelation ship within external and internal competencies,
higher scope marketing domains for factored on growth targets (Alghizzawi, 2019).
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