Global Issues and Challenges for Intercontinental London Business

This report provides an in-depth analysis of the global issues encountered by the Intercontinental London Company, a prominent player in the hospitality sector. The report identifies and examines key challenges such as increased competition, financial risks associated with international expansion, cross-cultural issues stemming from diverse markets, and legal complexities. The analysis underscores the impact of these issues on the company's business operations and expansion strategies. The report highlights the need for the company to assess competitive landscapes, manage financial risks, navigate cultural differences, and adhere to legal frameworks to ensure successful international business operations. The report also emphasizes the importance of understanding the criticality of these issues and making proper management strategies to work in all situations and utilize every situation to improve business profitability and work in diverse departments and cultures to maintain respect and decorum at the organization. The report concludes by emphasizing the importance for the organization to understand the global issues and to take every step by understanding the criticality and the effects of the steps which can impact the overall business objective.

CONTEMPORARY
GLOBAL ISSUES IN
BUSINESS AND TOURISM

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
Global issues................................................................................................................................3
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
Global issues are denoted as the issues company face while conducting business
operations at a global level. This report is based on the case study of Intercontinental London
Company in respect to its international business operations. Company is associated with the
hospitality sector in travel and tourism. This project would precisely demonstrate about the key
issues organisation face in order to conduct business in international market. All key issues will
be discussed in this project that organization needed to face in order to expand business in the
international market.
MAIN BODY
Global issues
Hospitality sector is among the fastest growing sector across the globe. The emergence of
the hospitality sector also caters multiple challenges that needed to face by the organisations
associated with the sector. Following are he key issues that organisation is facing at this point in
time.
Increased competition
Hospitality sector is among the highly emerging sector across the globe. The demand of
the sector is keep on increasing every year due to the emergence of the trend related to the
increased demand in travel and all different areas associated with the sector. People from all
across the globe are becoming keener towards initiating travel and exploring different locations
all across the globe. Due to all the changes in the lifestyle of people from all across the globe and
increased income of people and travellers from all around the globe the demand of the travel and
tourism industry has been expanded at another level. All these factors and aspect could somehow
also interest the stakeholders like investors and different others to invest in the sector. All these
factors could improve the level of competition in the travel and tourism sector at a global level.
Intercontinental London Company are facing more competition against the business operations
not as compare to its previous businesses. Growth of the sector and increased profitability of the
sector could improve the level of competition which company is facing in order to conduct the
business operations. The increased competition is a huge threat company faces in process to meet
all its various business objectives (Smith and Beaves, 2016). Level of competition associated
with the sector hamper operations of the entire sector. Company involve its competitors in all its
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strategies and policies which it makes in order to channelizes all its various operations. Every
time Intercontinental London Company look for expand its business at a global eve it always
needed to assess the level of competition company will required to cater. The amount of
competition always hampers the business scale and possibility of the company to achieve the
massive growth and success in the business. This is a key factor that always required to include
while delivering the business operation in order to expand the business at the international level.
As an organisation it requires a time to establish the entire business. Company takes time to
generate revenues against the business functions so its essential for the company to evaluate and
analysis the level of competition associated with the market. In order to prove the expansion plan
right its essential for the company to cut the competition and take competitive advantages.
Financial risk
Financial risk indicates the issue of losing the financial resources due to failure of the
business expansion idea. This is a key issue that always required to analysis by the company in
order to conduct the business expansion. Financial risk is a key issue that always needed to
consider every time Intercontinental London Company look for expanding its business at the
international level. As the business expansion process comprises the investment of huge
company’s resources. Its important for the company to evaluate the operations and expansion
plan in such a way that company get to keep a balance in between its business expansion,
financial riks and the potential amount of advantage company will receive against the business
expansion practice. It can be demonstrating that this is among the major area of concerned that
always needed to ensure positively in favour of the organisation against the business functions
entertained by the company (Direction, 2020). Financial risk not always associated with losing
the financial stability of the company. Furthermore, this also involves losing the brand value of
company in the target market. Its important to deal effectively the financial risk associated with
the business expansion project in order to gain the competitive advantage and address the high
level of growth and success in the planning.
Cross culture issues
cross culture issues missed organization phase in the hospitality in global issues. it is one of the
major issue when the hospitality sector is focusing in expanding their business in other countries
which includes different cultures, different ways of living, different ways of working and
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different languages which are used in the countries. it is very important for the hospitality sector
to have one of the best wish to provide the cross culture and to maintain the decorum of different
cultures in the organization and providing all the facilities While expanding the business
internationally and providing all the product and services from the intercontinental London
company in the international market with the aim to maximize customer satisfaction and improve
the business profitability by expanding the business in different locations throughout the world.
Working globally and working in hospitality sector nudes to have a good ways to support the
cross culture because there are different barriers which includes while expanding the business
internationally. One of the major factors which affect and is a global issue, when the
organization is working in the countries which have different languages needs to make strategies
accordingly so that they can manage all the process and working of the intercontinental London
company do the best in providing product and services in those country which have different
languages so that they can get their result and find their objectives satisfy.
Cultural difference of different countries works accordingly and it is very important for the
organizations to maintain all the different cultures at the workplace so that they can maintain the
ethics and culture at the workplace which is one of the most important part to get the success in
the business (Kasemsap, 2016). Inter-Continental London company are trying hard to provide all
the quality is to every culture at the workplace as the organization is working in the hospitality
sector and it is very important for the organizations to provide different cultures and give
importance to every culture with equality and rights to improve their business.
Language is the other barrier which affect the global issues while making the expansion of the
business and working in the hospitality sector intercontinental London company needs to make
sure that they have the employees who can work in both the language so that they can handle the
situations which are going, it is very important to utilize the language in the best way so that the
communication connect and can manipulate the people who are working and who are the
customers have a good relation while working in the organization and providing services to the
customer. Different culture and different language are those factors which intercontinental
London company needs to understand and find the criticality and make their management’s to
work accordingly so that they can manage and diversify their management to work in every
situations and utilize every situation to improve the business profitability and work in different
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diverse department’s and in different cultures to maintain every culture’s respect and decorum at
the organization (Ratten and et.al., 2017).
Legal issues
Legal issues they refer to the issues which can come while working in the international market
and expanding the business in the international market. it is very important to have all the laws
and legislations to be followed by the organization in working at international platforms so that
they can work and provide the services of their organizations to every customer and different
audience at the international level with all the legal and law full way of working. It is very
important when an organisation thinks to expand their business globally and working in global
market needs to have different laws and legal way of working in different countries. it is very
important for the organizations to understand the criticality of legal ways so that they can work
in all the department's and all different countries by following the laws and legislation of that
country to improve their productivity and to improve their business with better services. Legal
way of working is important for the intercontinental London company as when expanding the
business, it is very important to utilize the international market and follow all the international
market policies and the legal way of working to make the business works impactful (Kasemsap,
2018).
Legal issues also include the choice of structure which are dependent on the objectivity pursued
by the organizations in the different companies. the organizations need to provide a possible
structure which have a branch or a joint venture or a representations office or distributor etc.
increasing the international sales of goods and services it is very important to have good
connections and to make the strategies of working with planning and process so that the
organizations can create a more fandom in the market and can utilize that to increase the
profitability and extra scenes of services in the market which can help the organization in
achieving their goals and profit (Ratten and Tajeddini, 2018).
Legal issues also include the way of navigating the complex world of business and making the
possibilities to understand the business of different countries and working globally. If the
organization choose the wrong corporate form of working it can affect the business which can
impact in the business profit. providing all the legal issues with employees and how the
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employment laws and legislations work in the country and understanding all different legal
issues of the countries is very important for the organizations to work better.
CONCLUSION
The report conclude that it is very important for the organization to understand the global issues
which they can face while expanding the business globally and international market. The
intercontinental London company our understanding every single phase of working
internationally and they are taking every step by understanding the criticality and the effects of
the steps which can impact the overall business objective.
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REFERENCES
Books and Journals
Direction, S., 2020. Intra-Africa expansion and business success for fintech firms: Why adapting
marketing strategies is crucial.
Kasemsap, K., 2016. Exploring the roles of entrepreneurship and internationalization in global
business. In International Business: Concepts, Methodologies, Tools, and
Applications (pp. 2140-2170). IGI Global.
Kasemsap, K., 2018. Facilitating entrepreneurship, internationalization, and innovation in global
business. In Handbook of research on entrepreneurial ecosystems and social
dynamics in a globalized world (pp. 104-124). IGI Global.
Ratten and et.al., 2017. Family entrepreneurship and internationalization strategies. Review of
International Business and Strategy.
Ratten, V. and Tajeddini, K., 2018. Women’s entrepreneurship and internationalization: Patterns
and trends. International Journal of Sociology and Social Policy.
Smith, A. D. and Beaves, R., 2016. A Look Case Study of Small NE Ohio Manufacturing Firms
and their Aspirations for Possible Expansion to China.
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