Contemporary Hospitality Industry: PESTLE, SWOT, and Trends Report

This report provides a comprehensive analysis of the contemporary hospitality industry, focusing on Intercontinental Hotels and Travelodge. It begins with an introduction to the industry and then delves into a PESTLE analysis, examining political, economic, social, technological, environmental, and legal factors affecting the companies. The report also includes a SWOT analysis, highlighting the strengths, weaknesses, opportunities, and threats faced by the hotels. Furthermore, it explores current trends in the hospitality sector, such as internet services and tech advancements, and future trends like direct booking and tracking facilities. The report concludes with a summary of the key findings and recommendations for the industry's future, emphasizing the importance of customer satisfaction and skilled workforce. References to academic sources support the analysis.

Contemporary
Hospitality Industry

Table of Content
Introduction
PESTLE Analysis
SWOT Analysis
Hospitality Trends
Conclusion
References

INTRODUCTION
Hospitality industry is essential for an economy in order to accommodate the
guests and travellers of other countries for ensuring their good experience
and satisfaction. The hospitality industry consist of different businesses such
as pubs, hotels, restaurants etc. which are formed for providing different
services and facilities to the customers. Hospitality industry also works with
travel industry in order to provide combined services and facilities. Taken
firm for this assessment is the Intercontinental hotels which is a hotel chain
based in Denham, UK.

PESTLE Analysis
PESTLE is a strategic planning method through which an
organisation predict the market environment before
entering in other country. This task cover PESTLE
analysis of travel-lodge

Political factor
Intercontinental hotel- These factors includes the stability of government,
political conditions, policies of government etc. which varies with the
governments. Due to the Brexit, organisations are facing issues in UK as the
government policies are changing for reducing the impact caused by Brexit.
Travel lodge- The another company is travel-lodge which also operate their
business in hospitality industry. As they are operating their business at global
level therefore it is essential for them to create positive relations for the
government.

Economical
Intercontinental hotel- Such factors includes labour costs, interest rates, taxes
etc. The present tax rate of UK is 20% which is comparatively less then some
other countries in which intercontinental hotel is performing its operations.
This is positively impacting the firm as reduced tax rates means more profit
for the firm.
Travel lodge- Brexit impact on all industries that are operating their business
in UK specifically on its operation due to which their monetary aspects also
impacted such as profits, revenue, price etc. Example- Travel-lodge decreases
prices of their packages which helps them to attracts customers so they again
earn sufficient amount of profit.

Social
Intercontinental- These factors includes the taste, preferences and behaviour
of customers which impact their purchasing habits. People of UK are
educated and technically skilled due to which they gather the information
before taking services from hotels.
Travel lodge- The per capita income of society individuals that spend their life
in UK is high it determines that spend their income on luxury items also.
Example- UK individuals spend their income for visiting different
countries in order to gain knowledge of different culture and country.

Technological
Intercontinental- Such factors includes the advancement in technology,
innovation, invention etc. The UK is a technologically advanced company due
to the level of education among the citizens. The intercontinental hotels relies
on technology for monitoring their different operations such as logistics,
delivery of services etc.
Travel lodge- Travel-lodge is expanding their business at global level to gain
positive result such as increase in sale of their products and to create loyal
customer for their services. Example- Travel-lodge invest money to adopt new
technology to perform their operations quickly. It results that they are leading
player of their industry in present scenario.

Environmental
Intercontinental- These factors includes protection of environment,
conservation of natural resources, eliminating the wastage etc. Government of
UK is strict regarding the exploitation of natural resources and environment
due to which various laws are formulated by government.
Travel lodge- Management of travel-lodge implement different laws inside the
organisation in order to protect natural resources of country. It also helps them
to increase their brand image in the society by organising different CSR
activities.

Legal
Intercontinental factor- Such factors includes the laws and regulations
developed by government of UK for protecting their citizens and
employees from malpractices. Intercontinental hotels are following several
laws such as fair compensation act, anti discrimination act etc.
Travel lodge- In this an organisation there are different goals through which it
is easy for them to accomplish their goals in ethical approach. Example-
Management of travel-lodge formulate strict laws inside the organisation
that helps them to complete their operation through ethical approach.

SWOT analysis
Strength of travel lodge and intercontinental
 Intercontinental hotels are operating at different countries due to which brand
image of hotel is high.
 The company is having a large number of brand due to which revenue of the
company is good then the competitors.
 The room rates of travel-lodge are affordable.
 Effective and efficient services helps them to gain loyal customers for their
services.