External Factors & Trends in Hospitality: North Hill Hotel Report

This report provides a comprehensive analysis of the contemporary hospitality industry, with a specific focus on North Hill Hotel's expansion plans in Asia. The report begins with an assessment of external factors, including political, economic, social, technological, legal, and environmental influences (PESTEL analysis), and their impact on the development of hospitality companies. A SWOT analysis of North Hill Hotel is presented to evaluate its strengths, weaknesses, opportunities, and threats. The report then assesses the impacts of these external factors on the development of hospitality companies, appraising the implications of current and potential trends, such as tech explosion and focus on health and well-being. Finally, it evaluates North Hill Hotel's ability to develop products and services that meet these trends and examines how external factors influence these trends and overall industry development. The report concludes with a summary of the key findings and references relevant literature.

Contemporary
Hospitality Industry
Task 3 and Task 4

Table of content
• Introduction
• Assessing external factors which affect development of company that operate in hospitality industry
• Undertaking SWOT Analysis for hospitality
• Evaluation of impacts of external factors in development of companies in hospitality sector
• Appraisal of implications of current and potential trends in hospitality industry
• Evaluation of ability of company to develop commodities and products which will meet current trends
• Evaluation of the ways external factors impact on trends together with development in hospitality sector
• Conclusion
• References

Introduction
• Contemporary hospitality industry is part of wider network
that comprises of lodging services, travel related products,
food and beverages and so on in conjunction to various
other industries including entertainment, food and so on.
For the presentation, selected business is North Hill Hotel
that is planning expansion in Asia along with looking for
new investors to support the project.

Assessing external factors which affect development
of company that operate in hospitality industry
• There are certain number of external factors that impacts widely on operations of hospitality
company. External or macro environmental factors are termed as elements that are
uncontrollable in nature and affect businesses which depends most on overall health of an
economy.

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• Political: Political stability of a nation is significant factor as the hospitality industry
needs to cope with pertaining political situations wherein, they operate.

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• Economic: Prior expanding business in some country, it is essential to check economic
situation of that nation. Economic factors which impact business operations are inflation
rate, employment rate, business cycle and many more.

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• Social: In hospitality industry, social factors including population growth rate, consumer
lifestyle, gender ratio, customer demographics and many more affects business
operations.

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• Technological: In hospitality industry of Asia, there is ongoing improvement in
technology in present era. In order to expand in Asian market, North Hill Hotel cannot
afford to ignore technological factor.

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• Legal: Legislation and regulation of a nation affect operations of hospitality business. In
Asia, there are certain legislation such as employee law, customer law and many more
that should be adhered by North Hill Hotel in order to restrict intervention of political
parties in operations.

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• Environmental: In Asia, people or residents or vacationers are becoming more
sophisticated for protecting ecology or environment. In the country, hospitality
companies are becoming centre or point of criticism for environment pollution.

Undertaking SWOT Analysis for hospitality
• SWOT Analysis is termed to strategic planning technique that is ideas by entity to look
towards strengths, weaknesses, opportunities and threats. In North Hill Hotel, use of
SWOT Analysis assist business decision making for maximising strengths, working on
weaknesses, capitalising on opportunities and mitigating threats.

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• SWOT analysis of North Hill Hotel is underneath:
•Strength: It refers to what business do best within gamut of activities or operations
to achieve success in competition, strengths of North Hill Hotel are below:
• Focus on innovation
• Power of positivity