Research Report: PESTLE Analysis and Hilton Hotel Communication

This report provides a comprehensive analysis of Hilton Hotel, beginning with a PESTLE analysis to evaluate the external factors impacting its business. The analysis covers political, economic, social, technological, legal, and environmental factors, highlighting their influence on the hotel's operations and strategic planning. The report then examines Hilton's communication strategy, particularly focusing on its approach to diversification and the use of push communication to disseminate information and promote its services. The report emphasizes the importance of effective communication channels in reaching a broad consumer base and achieving competitive advantages in the hospitality market. The analysis also provides recommendations for the effective use of communication strategies, including the benefits of diversification to improve sales and revenue.

RESEARCH

Contents
PEST Analysis of Hilton hotel.............................................................................................................3
Communication strategy of Hilton hotel that is based on research and organization’s strategic
direction............................................................................................................................................5
REFERENCES..........................................................................................................................................6

PEST Analysis of Hilton hotel
Pestle analysis refers to a concept in marketing principles. This concept is mainly
used as a tool through organisations to track environment in which they operating their
business or plan to launch the new project. It is an analytical tool for the strategic planning of
business. Pestle analysis is strategic Framework for the better understanding of external
influences on business. There are several macro environment factors that impact on strategic
planning for an instance exchanges demographic change new laws trade barriers and many
others (Desbien, A. L. and et. al., 2015). The organisation uses Pestle analysis for analyse its
external environment and it is not easy for top management to control the external factors in
an easy manner. Pestle analysis has different components such as political, economic, social,
technological, legal and environmental. Pestle analysis is a part of external analysis at the
time of conducting a strategic analysis or doing the market investigation. It provides
overview of various macro environment factors which need to be taken into consideration.
On the other hand, it is a sort of key apparatus for better understanding the development of
market or decay position of business bearing and potential for activities. Hilton Hotel and
resorts is worldwide brand of full-administration hotel and resort and lead strand of American
global cordiality association. This hotel was established by Conrad Hilton and there were
more than 570 Hilton hotels and Resort properties in around 85 nations and furthermore
regions over the six segments (Greer, 2018). Hilton Hotel is lead of Hilton brand and it is one
of the biggest Hotel brand in everywhere throughout the world. This lodging brand is focus at
both the recreation Travelers and business with area in primary downtown areas, conference
halls, well known get-away goals, close airplane terminals and in around the globe. Hilton
Hotel conducts Pestel analysis to aware about the external factors which negatively impact its
business the pestle analysis of Hilton Hotel mentioned below:
Political factor- Under this, political stability is mean requirement to success related
to industry in the hotel industry (Giri and Singh, 2015). Political factors can impact on
number of visitor’s and business Travelers which visit to country in indirect and direct ways.
In year 2005, 7 July in London United Kingdom was temporary branded as place that
accommodated set of extremist religious forms. The threats and risks of act of terrorists are
most likely to minimum number of tourists to London and United Kingdom with negative
effect on Hilton performance level in this specific market. In all over the world, Hilton Hotel
actively engaged in logging in context to able to influence the certain political factors on
business to certain extent. This company has been spending more than 1.5 million USD in

past four years. The terrorists and political unbalance impact on the hospitality sector in
negative manner. On the other hand, Brexit developed the negative impact on hospitality
sector and also tourism Occupancy. In addition to this, catering sector in United Kingdom
may also suffer from the sensations in post through UK and European Union was Russia
because of its annexation of Crimea and also its perceived intervention on internal affairs
possibly for United Kingdom to exit from European Union. There are problems which have
been arisen through British on different occasions which might have direct evince on
Revenue of the Hilton hotels in United Kingdom because of reduction in total number of
tourists to country (Jones and et. al., 2016).
Economic factor- The international and national macroeconomic situation as well as factors
and events affecting situation which main factors affecting the Hilton hotel business. For an
instance at the time of Olympic in United Kingdom in year 2012 many of hotels were
occupied as well as booked fully for whole period of time as a result of global economic and
financial crisis in year 2007 to 2009 the sales of Hotel produced through 20% and the profit
by 40% by the fourth quarter of year 2008 all the more than 5 years have passed. Since
financial as well as economic crisis of year 2007 to 2009 the national economic in United
Kingdom faced with a set of the significant risk and challenges of another economic crisis
that may not be two distinct (Greer, 2018). On the other hand GBP exchange rate against
main currencies as well as inflation rate in United Kingdom represent significant factors
which can affect performance level of Hilton in United Kingdom. When Hilton Hotel
conducts it business in another country then its face the issues related to adverse currency
movements.
Social factor- Hilton brand is most famous among the worldwide traveler and United
Kingdom is one of most famous traveling destination for guests just as shopping sweethearts.
Wide scope of the social components influencing Hilton Hotel comprising rising patterns in
client Lifestyle, statistic of clients, factors impact of good examples in the client basic
leadership and advancement rate of populace. For an instance, in large number of the Young
clients from developing financial aspects (Zaman and et. al., 2015). For example, China
people visiting United Kingdom for various purposes which can be determined as essential
social factors that influence United Kingdom neighborliness part. Each customer has different
demands and preferences and tourist want to visit the attractive places and gain better
Experience (Serbin and Serbin, 2018). So, it is a responsibility of Hotel to provide the better
destination places on the basis of their demands and needs. Modifying patterns of the family

in society as well as related with values like in ensuring number of the single people, similar
sex marriages and the families without children might have certain impact on the
performance of business of Hilton hotel in United Kingdom.
Technological factors- Technology is faster disrupting different sector across board.
Under this, internet enables the easy booking of the rooms and also give all information
regarding Hilton Hotels consisting reviews which are made through past consumers. The
Hilton hotel is available and active by the popular channels but it can not develop brand
awareness but also attract the new consumers. The development of the technological
infrastructure concerned to scattering sector that might great effect on the performance level
of Hilton. On the other hand, the matters related with use of the energy and their cost as well
as potential for innovation purpose within sector that can be classified as necessary
technological factors. Bookings of Hotel have become more well-informed than ever before
anyone can book hotel room easily with using of internet sources in anything social media
like Facebook, website, Twitter like the trip advisor help hotels and consumers in order to
communicate with the customers. Company use social media tools and provide them all the
details and information regarding the hotel services and other services provided by them and
it helps in developing the better customer relationship. On the other hand, it provides the
booking tool from which customers can easily book their tickets for hotel rooms in an easy
manner (Jones and et. al., 2016).
Legal factor- In many countries, Legal framework are not robust enough to protect
intellectual property rights of company. It is necessary that firm should evaluate the market
before entering. Government developed many legislation which firm should be followed in
an effective manner. Some legal factors which Hilton Hotel Inc. leadership should be
consider while entering in to new markets such as discrimination law, consumer protection,
health and safety, employment law etc.
Environmental factor- Different markets have various environmental standards or
norms which can develop its impact on the profit level of business. The law related to
environment and liability are different from country to country. Hilton hotel should focus on
the weather, laws related to environment pollution, climate change etc.

Communication strategy of Hilton hotel that is based on research and organization’s strategic
direction
Communication is important in nature which helps to build effective relation with
other parties in market. This has huge importance while considering the growth of
organisation. Communication strategy is plan to attain the communication objectives. It may
apply to marketing communications, internal and public communications. In context to this,
communication strategy has for various components such as target audience, channels,
communication objectives and communication plan. There are different styles of
communication and all have their own importance in different situations. Communication is
like promotion which helps to disburse the information in market and persuade the behaviour
of consumers. Hilton is multinational hotel which serves their operations in many countries.
They have the aim about development of the best facilities to serve optimum to their different
consumers. The growth strategy which adopted by Hilton is diversification. This includes
entrance in the new market with something new value added service. This strategy has
associated with the large number of benefits but the organisation must have to build effective
communication strategy. This will provide an opportunity to become famous in market and
attain competitive advantage. The strategy of communication which is adopted by Hilton in
the case of diversification is about Push communication (Zaman and et. al., 2015). This will
includes about the deliberant deliverance of information about their existence and the new
services in between the market. This strategy force the consumers to focus on the news and
advertisement provided from the organisation side.
For an example- If Hilton hotel will use the diversification strategy in its business
through this it will able to expand its business in another country. It will help in target the
other market and will enhance sales.
Recommendations
 By using the effective communication channels, Hilton Hotel can interact with the
large number of consumers in other country. It will helpful in provide the competitive
benefits to it. There are numerous benefits of effective communication like grab large
market share, ascertain the support of other drivers and public.
 One of the importance and benefit which can be attached with acceptance of
diversification that help to made robust entry in market where they easily attain the
attention of consumers in comparison to others competitors. In todays market the one

who can get success which have effective and dominant strategy which differentiates
it from others.
 Adoption of push strategy help the Hilton hotel to made dominant entry within the
new market and grab the large market share. Once the organisation is able to enter
effectively in new market then they have large number of option to adopt and to
capture the whole market. This helps Hilton to become successful in short of span of
time in new market.
 By using the diversification strategy the loss to company will be reduced and
investment may be better over the same period of time.
 If Hilton hotel will use the diversification strategy then in this case its sales as well as
revenue will be enhanced. Adding new service or product and entering in to new
market segment provides opportunities for the exponential development.

REFERENCES
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Removal in High Rate Algal Ponds Used to Treat Brewery Effluent; Harvesting
Algae Using Filter-feeding Fish; the Use of Brewery Effluent in Agricultural Crop
Production; and Duckweed as Wastewater Treatment Solution: Report to the Water
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Serbin, S., & Serbin, A. (2018). Bromic Heating Co business exposure project to the Chile
market. Economics, Management and Sustainability. 3(1). 79-93.
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