Marriott International: Analysis of Key Business Environment Issues

This report provides an analysis of the key issues within the business environment, focusing on their impact on Marriott International. It begins with an introduction to the business environment and highlights the importance of understanding external factors. The main body of the report uses a PESTLE analysis to examine political, economic, social, technological, legal, and environmental factors affecting Marriott. The report explores the potential impacts of these factors, particularly focusing on political and social issues, and their effects on the company's operations and employee relations. Furthermore, the report reflects on the challenges faced during the analysis, the insights gained, and offers recommendations for mitigating the negative impacts of these macro factors. The conclusion summarizes the key findings and emphasizes the significance of environmental awareness for Marriott International's strategic planning and overall success.

KEY ISSUES IN THE
BUSINESS ENVIRONMENT

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Key macro issues in the business environment ..........................................................................1
Potential impact due to 2 identified issues..................................................................................3
Refection on 2 challenges ..........................................................................................................4
CONCLUSION ...............................................................................................................................4
REFERENCES................................................................................................................................6

INTRODUCTION
Business environment are those collection of individuals, entities and other factors which
are may or may not be controlled by organisation but affect the whole organisation. This repor5t
is based on the key issues in the business environment that need to be minimize from the
organisation to operate smoothly and achieve its target. This report is based on the Marriott
international hotel, which is big hospitality company which manage and franchises a broad range
of hotels and lodging facility. And also expand its business in 6,520 number of location in
different countries. This will include the key macro issues in the business environment . This will
also explain the potential impacts due to the issues. And further more this will also include the
reflection on the challenges.
MAIN BODY
Key macro issues in the business environment
There are many key macro issues that can affect the business of the Marriott
International. These are the uncontrollable external factor that influence the Marriott
international's decision making process and also affects its performance and strategies. For the
analysis of the key macro factors that affect the Marriott international it uses the PESTLE
analysis which consist Political, economical, social, technological, legal and environmental
factors (Hamilton and Webster, 2018).
Political factor – This is the major threat for the Marriott international that could affect its
business, international relation and create the danger from the terrorism. This terrorist attack is
the biggest threat, this create the disrupt international air travel and frighten people away from
the travelling and to go out in that city. And because of the terrorist attack people and the
employees also afraid to come in the hotel. Another political threat is the the unstable political
condition in he country. As with the changing political region force the Marriott to change its
policies and prices also by changing the taxation. This could affect he business and decision
process of the company at great extant (PESTLE Analysis of Marriott International,2015).
Economical factor – This is the another macro factor that affect the business of the Marriott
International. Economical factors such as high exchange rates and interest rates and and
economical condition of the country. This may affect the organisation, as good economical
condition will help the Marriott to providing good resources and and also help it to give best
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services to the guests. If there is poor economical condition in that country then the income of
the people would also low and because of this people eliminate the travelling and to stay in the
Marriott international and also the hotel also will not be able to satisfied their customers need.
Social factor – Society's culture and way of doing things also impact the culture of the Marriott
and its environment (Clarke, and Xu, 2016). Shared believes, values and attitude of the people
play a great role in the Marriott international and also influence hotel Marriott international will
understand the customers and design the strategies for them. Education level of the population
also affect the business of the organisation, as the people are not educated their income are low
and less understanding of t he expanding their money and not able to do expense in the Marriott,
this will affect the business of the organisation. According to the different culture Marriott also
have to change and designs its infrastructure that could attract the guests.
Technological factor – Technology have huge impact on the business of the Marriott. Different
technological change help the organisation to easily access the services and give the best services
to the customers (Hillary, 2017). Marriott applied the advanced technological changes as
compared to the competitors that help the organisation to get the more customer satisfaction.
Like its online services and payment services gives the ease to the guests. If it not follow
technological changes then the business of the Marriott will affected and influence its operations,
and image in the market.
Legal factor - It very important for the business to have the proper knowledge of the legal factor.
Marriott International has to consider all the law and regulation such as health and safety law as
Marriott has to engage in it because of its social and ethical responsibility (Kolk, 2016). It is
important to have a proper knowledge of the legal factor as it gives negative impact on the
business if the rules and regulation are not in favour of the business.
Environmental factor - There are different norm for different industry that must be followed by
them. The environmental factor affect the business as current weather condition also directly
impact the Marriott International and also climate change also make some products useless
(PESTLE Analysis of Marriott International,2015). Also if the organisation produce large
amount of waste than it is important to manage the waste. Increasing temperature due to global
warming could close some resorts or make some beach resorts to relocate, in this way the
environment affect the business of the Marriott internationals (Lee, 2017).
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Potential impact due to 2 identified issues
Political factor affect the micro factor as it has many challenges that faced by the Marriott
International such as political factor directly affect the management and the employees as they
are micro factor of the Marriott International. At the time of Brexit there was many challenges in
the business environment as Marriott International had to make many decision which could
affect the organisation to the large extent as by Brixit the management had to make changes in
the its pricing strategies and also in the organisation function which affect the business as whole.
And due to the Brexit countries was being separated, and they have different political region the
country (Domingues and Nunes, 2018). It was very difficult for the people and for the Marriott
also to which countries political rules is to follow. And what strategies had to make for the
management and the employees. And also there will be many political changes which such as
many policies which affect the business to the large extent. As it also affect the employees as by
Brexit there will be no stability among employees and also there will be increase in the
employees turnover . So political factor affect the micro factor as the management strategies has
to be taken as Brexit affect the organisational strategies as there will be different new procedures
and policies that to be taken into account to survive the business and to have sustainable growth.
So, Political factor play very significant role (Pearson, 2017). This political macro factor affect
the micro environment of the Marriott as the changing in the taxation and changing rules for the
wages and laws for the hotel industry affect the employees and management of the Marriott,
employees turnover may increase due to low salary and no any other benefits provided to them.
Another macro factor that affect the micro factor of the Marriott is the social factor that
can influence the behaviour of the employee in the organisation. As social factor include culture,
belief, preferences, attitude of the employees. This can create the negative or positive
environment and culture within the Marriott organisation. As the country have different culture
with different languages, so may create the language discrimination and the communication
barrier in the Marriott (Mak and Chang, 2019). But this different culture and the language is
beneficial for the Marriott,l as in the hotel different guest from the different location come, so
this is helpful for the Marriott to understand their needs and to give them best value services and
sati9sfied them. This increase the business of the Marriott. Social factor impact the employees as
there are wide diversity of people working in the organisation and there are chances of the
conflict as sometime one employees interest and attitude doesn't match with the other and than
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conflict arises so social factor affect the employee's loyalty as they are identify with the group
and contribute to an organisation. As to reach and obtain multiple goal it in important to feel
them they are the most important part of the organisation. Employees retention also depend upon
employees identification with the organisation processes , work life balance , management,
recognition etc (Khan. and Quaddus, 2015).
Refection on 2 challenges
With the help of this project report which is based on the key issue in the business
environment. I have faced many challenges but apart from the challenges I have learned a lot
from the project as this has increased my knowledge and also gain the better understanding of the
as by this my knowledge have increases and gain better understanding of the macro
environmental factor and leaned skills to face any situation and also from this report my
communication skill has also become better. In this report I have analysed various macro factor
that affect the business operation and its decision making process as whole and its surrounding
and I gather different aspect of the macro environment (Charter, 2017). Factors which affect the
business operations those are political factor, social factor ,economic factor, technological factor,
legal factor and environment factor which affect the business to the large extent. Form this
project report I have understood the importance of these factors and it is necessary to analyses
those factors. And to handle the situation must have a adequate knowledge upon the factors (Ji-
fan Ren and et.al., 2017). It is recommend to have proper research before entering into the
business Before writing this project I was very nervous at first, whether I will handle this report
and able to conduct it properly or not. After this I studied about the macro factor which impact
the micro factor as conduct the proper study that how political factor affect management and
social factor affect employment. Further I will recommend that to take various measures which
minimise the impact of the macro factor on the business. I have learn many new things and ways
to conduct the business in the adequate manner. I also learned many new things about the
Marriott Internation which enhance my skills (Prajogo, 2016).
CONCLUSION
As the study is based on the key environmental issues facing by the Marriott
International, which affect the company at great extent. From the above study it has been
concluded that many macro environmental factors like political, environmental, social and many
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more which include in the PESTLE analysis has great impact on the micro environment of the
Marriott international. Political factor affect the management and employees of the Marriott
whereas social macro environmental factor create problem in the Marriott among the employees
because of the different culture and also create conflicts and communication gape. And because
of these macro environmental factor Marriott have to face challenges in their micro environment.
And these political and social factor affect the management and the behaviour and attitude of the
employees. Further more also concluded reflection of the challenges which are being faced by
the Marriott international and its learning out comes that will help to overcome those challenges.
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REFERENCES
Books and Journals
Charter, M., 2017. Greener marketing: A responsible approach to business. Routledge.
Clarke, G., Li, Y. and Xu, L.C., 2016. Business environment, economic agglomeration and job
creation around the world. Applied Economics, 48(33), pp.3088-3103.
Domingues, J. and Nunes, M.M.M., 2018. A first effort to understand the impact of Web Summit
in Lisbon 2016-2017 on the hospitality industry and Dand development of
startups (Doctoral dissertation).
Hamilton, L. and Webster, P., 2018. The international business environment. Oxford University
Press.
Hillary, R. ed., 2017. Small and medium-sized enterprises and the environment: business
imperatives. Routledge.
Ji-fan Ren and et.al., 2017. Modelling quality dynamics, business value and firm performance in
a big data analytics environment. International Journal of Production Research. 55(17).
pp.5011-5026.
Khan, E.A. and Quaddus, M., 2015. Examining the influence of business environment on socio-
economic performance of informal microenterprises: content analysis and partial least
square approach. International Journal of Sociology and Social Policy. 35(3/4). pp.273-
288.
Kolk, A., 2016. The social responsibility of international business: From ethics and the
environment to CSR and sustainable development. Journal of World Business. 51(1).
pp.23-34.
Lee, I. ed., 2017. The Internet of Things in the Modern Business Environment. IGI Global.
Mak, A.H. and Chang, R.C., 2019. The driving and restraining forces for environmental strategy
adoption in the hotel Industry: A force field analysis approach. Tourism Management. 73.
pp.48-60.
Pearson, R., 2017. Business ethics as communication ethics: Public relations practice and the
idea of dialogue. In Public relations theory (pp. 111-131). Routledge.
Prajogo, D.I., 2016. The strategic fit between innovation strategies and business environment in
delivering business performance. International Journal of Production Economics. 171.
pp.241-249.
Online
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PESTLE Analysis of Marriott International.2015.[online].Available
through<https://pestleanalysis.com/pestle-analysis-of-marriott/>
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