Contemporary Themes in the Hospitality Industry: Whitbread Analysis

This report provides a comprehensive analysis of the contemporary themes within the hospitality industry, focusing on Whitbread. It begins with a PESTEL analysis, examining the political, economic, social, technological, environmental, and legal factors impacting the company. A SWOT analysis is then presented, outlining Whitbread's strengths, weaknesses, opportunities, and threats, along with a similar analysis for Intercontinental. The report further explores factors affecting supply and demand for Whitbread and Intercontinental hotels. The study then delves into current and future trends, including the importance of adapting to changing guest preferences, integrating technology, and catering to the needs of millennials. The report concludes by emphasizing the importance of strategic planning and the use of analytical tools like SWOT and PESTEL to mitigate risks and achieve business goals. References to relevant books and journals are also included.

CONTEMPORARY
THEMES IN
HOSPITALITY
INDUSTRY

TABLE OF CONTENT
 PESTEL ANALYSIS
 SWOT ANALYSIS
 CURRENT AND FUTURE TRENDS

PESTEL ANALYSIS
PESTEL environment is very much essential for Whitbread as with the
help of this analysis management of the organisation will be able to
make better plans for controlling and managing the external
environment in the best possible manner. The various factors of
PESTEL analysis are discussed below-

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Political factor- This factor is related with laws and polices of the
country which directly affects the working of hospitality industry.
The Digital Economy Act2010 was introduced by bthe government
of UK which states that file sharing and copyright infringements can
direclty affect the operations and activities of Whitbread. The hotel
is currently charging high prices from the customer's for the using
Wi-Fi and internet. This plans was mainly used to reduce the
chances of negative impact of digital economy act on the functions
and operations of Whitbread.

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For example- Currently the management of Inter- continental is going
through various kinds of problems. The major reason behind this is
major changes in the polices imposed by the government of UK. It is
becoming essential for Inter-Continental to make appropriate plans as
per the current scenario so that negative impact can be decreased.
Economic factor- It is related with change in inflation and deflation
rate of the economy. The economic condition of UK is negatively
getting affecting and the major reason behind this is is entry of
Brexit(Karadakis, K., Kaplanidou and Karlis, 2010). Due to this
inflation rates is continuously increasing. Whitbread is aiming at
providing its services at very low price and due to this customer's
need not to worry about change in inflation rate of the economy.

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For example- After the entry of Brexit Inter-continental is
unable to carry its business activities in the proper manner.
Due to this large number of customer's are not getting
attracted towards the hotel which is resulting in loss to hotel.
Social factor- It is related with tradition, belief and social values
of the individuals. The customer's of the hotel generally
prefer to buy products and services at low price. So keeping
this in mind the management of Whitbread is aiming at
providing its services at affordable and reasonable price.
With the help of this large number of customer's are getting
attracted towards the hotel.

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For example- It is quite essential for the management of
Intercontinental to identify current need of individuals in the
society. As by doing this appropriate set of plans can be made
for enhancing experience of guest.
Technological factor- It is related with use of latest technology
for increasing the satisfaction level of customer's(Lynch and et.
al., 2011). Keeping this factor in mind the management of the
organisation is aiming at providing online room booking and
free internet facilities to its customer's. With the help of this
factor the sale and profitability of the hotel is increased because
customer's are not required to go anywhere for satisfying their
need and wants.

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For example- The competition level in hospitality industry is
very high, so to handle this problem latest and innovative
techniques can be used to Intercontinental. This will also lead
to achievement of competitive advantage in the best possible
manner.
Environmental factor- It is related with pollution and natural
resources which are available in the external environment. To
maintain healthy environment within the hotel management
of the hotel is aiming at providing pollution free environment
to its customer's. With the help of this factor large number of
customer's are getting attracted towards the hotel because
environment is hygienic and environment friendly.

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For example- Focus can be emphasised on forming
appropriate set of laws and regulations regarding the
welfare of employees. This is because of the employees
are satisfied working in the hotel than they will
automatically give their best output.

SWOT ANALYSIS
SWOT analysis is very much essential for the Whitbread as with the
help of this analysis strength and weakness can be known and
analysed in the systematic and coordinated manner. SWOT analysis
will also be beneficial for the management of Whitbread for taking
some important decisions for its effective working. SWOT analysis
of Whitbread is mentioned below-

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Strengths
 The hotel is able to provide its rooms at low and affordable price
to the customer's which is one of the biggest strength for the
hotel.
 Hotel is also providing the facility to books rooms as per the
convenience of customer's.
Weakness
 The rooms of Whitbread are not attractive and does not have
any kind of decoration.

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 The size of the rooms are small and due to this it not suitable for
big families.
Threats
 There are large number of competitors which are operating its
business in same type of industry. Due to this there are chances
that customer's can shift from one hotel to another.
 There are chances that customer's can demand luxurious rooms
for satisfying their needs. This can affect the growth of the hotel.