Premier Inn Hotel: Analyzing Business Environment & Structure

This case study provides an in-depth analysis of the business environment surrounding Premier Inn, a leading hotel chain. It examines the organizational structure, highlighting its functional configuration and strategic objectives. The analysis includes a SWOT assessment, identifying the company's strengths, weaknesses, opportunities, and threats, as well as a PESTEL analysis, exploring the political, economic, social, technological, environmental, and legal factors impacting the business. The study concludes by emphasizing the importance of understanding both internal and external factors in shaping Premier Inn's strategic direction and overall success. Desklib offers similar case studies and solved assignments to aid students in their studies.

Case study

Table of Contents
INTRODUCTION...........................................................................................................................3
ORGANISATIONAL STRUCTURE.............................................................................................3
BUSINESS ENVIRONMENT ANALYSIS...................................................................................4
SWOT ANALYSIS.........................................................................................................................4
PESTEL ANALYSIS......................................................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................1

INTRODUCTION
Business environment is composed of the set of activities that are being performed in the
organisation. What ever be the organisation there are certain entities that will have to be fulfilled.
Managing of employees as well as dealing with the operational purposes of the organisation will
everything define the organisational environment (Cherunilam, 2021). An organisation is bound
to be the one which follows ethical standards as well as the principles through which every task
will have to be inherited. The internal as well as the external constituent of the organisation will
determine the page with which the company is moving ahead in the competitive atmosphere. The
boons as well as the loopholes that are in regard to the organisational entity will everything
determine the organisational structure. This entire report will focus upon the business
environment and that with regard to the organisation Premiere Inn hotel. This organisation is
regarded to be the largest Hotel brand and is also operating to be the best in its entity. The
business environment of this organisation is portrayed in this report.
ORGANISATIONAL STRUCTURE
The organisational structure of the hotel Premier Inn is said to be a functional organisational
structure. There are certain instances that are pertaining in regard to the functional configuration
for the organisation and that has been tested by the transformational programs. This functional
organisational structure will move ahead with the prospect of development and it also maintains
consistency along with the documented guidelines (Möller and et.al, 2020). The entire
organisational structure please into bringing about the mandatory policies as well as the strategic
objectives that are a part of functional organisational structure. The organisation follows of
fundamental prospect and will also bring about the internal perspectives into existence. The staff
is well motivated and their targets are said to be crystal clear such that every person in the
organisation will move ahead with the prospect of strategic decision making. The service is
composed of various insights that will bring about tangible responses to all the market
competencies. The functional organisational structure is brought about by different measures that
will define the customer personification as well as their behavioural criteria. The prices as well
as the competition that is prevailing with respect to the organisation is maintained on or due basis
and satisfaction is gratified at all levels of its service. The organisation is more into developing
the predictive models which are necessary in order to segment customers and its services that are
to be offered to the customers (Cepel and et.al, 2019). The finances are said to be managed in a

prominent manner that every area of the organisation is populated with the right amount of
resources. The organisation is moving ahead with the potential that will bring about good growth
prospects.
BUSINESS ENVIRONMENT ANALYSIS
The business atmosphere of the organisation premier Inn is derived to be one of the spectacular
approaches that is operating in United Kingdom. It is a hotel chain that is composed of various
regions and it is operating in almost all the ventures possible. The exceptional services that are
being offered to customers is one of the biggest achievement for the organisation and it is
operating as one of the well reputed organisations to stop the organisational objectives with a
probable and defining vision and mission statements will bring about all the gratifications that
are in regard to the hotel (Hrechyshkina and Samakhavets, 2019). This hotel chain is regarded to
be one of the major budget hotels in that has started in United Kingdom. The advertising facility
that is a part of promotional aspect of the organisation is in such a way that it has brought about
all the campaigns into existence. Also there are certain television programs that are being
conducted by the organisation in order to move ahead with a substantial investment and also the
smartphone bookings are said to be the prominent ones with respect to this organisation. It
provides wide range of services and its customer care is said to be one of the most prominent one
to be dealt with. The financial management of the organisation is regarded to be the confidential
criteria and that is being maintained by the organisation in deriving itself. This organisation is
regarded to be the well reputed one and it is also accounted for more than 70% of white bread's
earnings. The internal and external factors of the organisation are balanced at all levels and
strategic orientation towards dealing with problems made it one of the best hotels so far.
SWOT ANALYSIS
SWOT analysis of the organisation will deal with the strengths, weaknesses, opportunities and
threats. they are as follows:
Strengths: these are referred to be the aspects which will stand as unique entity with respect to
the organisation (Gaganis and et.al, 2019). This hotel is regarded to be one of those which has
attained the British travel awards. It is also the one which is operating with 50000 rooms and in
nearly 700 hotel. The premier Inn hotel is set to be highly advertised Hotel among all those
which are present in United Kingdom. This is one of the premier brand and is regarded by many.

There are certain enthusiastic deals for the customers who are booking the hotel and are enjoying
the benefits. This has also been one of the best recognised hotel chains in of United Kingdom.
Weaknesses: weaknesses of the prominent aperture will have to be identified and will have to be
collected at all levels. Otherwise these will act as a barrier for the entire organisational
performance. The weakness is the following in regard to the hotel premier Inn will include those
of competitive atmosphere. The organisation has got more strategies with respect to an intense
competition and therefore it was acting as one of the weak point for the organisation. There is a
level for international hotel chains and therefore the organisation is still in the pace of
development to attain it (Nudurupati and et.al, 2021). The Global presence is regarded to be one
of the prominent criteria and therefore the admiration will have to elaborate its base in order to
get defined by the international hotel chains.
Opportunities: the prominence of every organisation will lie in its opportunities. opportunities
will define an organisation and will also favour for new entities. The opportunities that are in
regard to the organisation premier Inn is its tie ups. This tie ups are regarded to be the strategic
orientation and will also bring about no amount of deals that are necessary for the organisation in
order to expand its base. The organisation is more into digital marketing and will inhibit all the
policies that are necessary in order to bring about the digital forces into existence. It is always in
the pace of development and also build a brand value that has brought about by the customer
experience.
Threats: the threats that are in regard to the organisation will have to be analysed at all levels of
its operation. There are major consequences that will act as a barrier for the organisation as well
as its performance and therefore these are identified under corrected. The threats that will fall in
regard to the organisation are its private rooms. These will have to be modified and will have to
be observed at all levels and that is one of the biggest threat for the organisation. There are
certain backpackers hostels which are regarded to be the biggest threat for the hotel chain to stop
PESTEL ANALYSIS
PESTEL analysis will deal with the external environment of the organisation that is necessary to
be dealt with.
Political factors: the political parties that are in regard to the organisation is it government
influence. There is a corporation tax that has been added over this organisation that will have to
bring in profits every year. There is also an increase in VAT with respect to the organisation

from 17.5% to 20% in 2011 till date (Hrechyshkina and Samakhavets, 2019). This has brought
about a negative impact on the organisational performance.
Economic factors: economic factors of the financial matters of the organisation that are to be
dealt with. Factors that are in regard to the organisation free here in that financial crisis in 2008.
This is said to be one of the serious disaster in economy of the hotel and is also brought about
with certain benefits at this had to be one of the biggest loss in the economic factors.
Social factors: this organisation mostly relies upon the tourism place. It is said to be one of the
tourism destination and will provide accommodation to people all around who has visited the
country on the basis of tourism.
Technological factors: there are certain technological implementation like that of utilisation of
Internet and computers that are being added to the hotel. The hotel is also available on internet
and people can book their choice through online categories. The specifications are displayed in
an application which is designed specially for the customer approach (Hrechyshkina and
Samakhavets, 2019).
Environmental factors: there is a significant effect of global climate change on this organisation
because it has been in a region where it gets attacked by climate. There were times when the
organisation was attacked by floods in 2014 and that served to be one of the severe period for it
to recover.
Legal factors: there are certain changes that are brought about by legislation with respect to
minimum wages. This change has brought about certain model actions in the organisational
strategic orientation of deciding minimum wage.
CONCLUSION
The entire report concludes upon highlighting the effects of business environment. Through this
report one can easily understand the components that are falling in business environment. The
report explains business environment as one of the important prospects with respect to the
internal as well as external factors. The report explains business structure of the organisation
Premier Inn and how far it is moving ahead with its organisational policies and implementations.
The report also brings about the business tactics that are being employed upon the organisation
which will give a clear picture of business objective. The internal analysis is brought about by
the explanation of SWOT analysis that has explained different prospects with respect to the

organisation. The PESTEL analysis of the organisation is dealing with the external analysis and
that is explained with all the factors that are present.

REFERENCES
Books and journals
Cepel and et.al, 2019. Selected economic factors of the quality of business environment. Journal
of International Studies.
Cherunilam, 2021. Business environment. Himalaya Publishing House Pvt. Ltd.
Gaganis and et.al, 2019. Culture, business environment and SMEs' profitability: Evidence from
European Countries. Economic Modelling. 78. pp.275-292.
Hrechyshkina and Samakhavets, 2019. Changing business environment in Belarus. Journal of
Geography, Politics and Society. 9(1). pp.1-11.
Hrechyshkina and Samakhavets, 2019. Foreign trade of the Republic of Belarus in the
international business environment.
Möller and et.al, 2020. Networks, ecosystems, fields, market systems? Making sense of the
business environment. Industrial Marketing Management. 90. pp.380-399.
Nudurupati and et.al, 2021. Impact of the changing business environment on performance
measurement and management practices. International Journal of Production Economics.
232. p.107942.
Online
Business environment: [Online]. Available through: < Business Environment - Definition,
Components, Dimensions & Examples (vedantu.com) >
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