Premier Inn Hotel: Evaluating Structure, SWOT & PESTEL Analysis

This report provides an in-depth analysis of Premier Inn Hotel's organizational framework and business environment. It examines the company's tall hierarchical structure, highlighting its benefits and limitations. A SWOT analysis identifies Premier Inn's strengths, weaknesses, opportunities, an...Read More

Understanding
Business Organisation

INTRODUCTION 3
TASK 4
CONCLUSION 7
REFERENCES 8
Books and Journals 8

INTRODUCTION
The distribution of employees internal and external needs, as well as the expectations, demands,
and sources of new technology ideas is the business environment. The above mentioned factors
have both positive and negative effects on business operations. There are two types of business
environments: The company can take advantage of a variety of opportunities depending on the
macro as well as micro business environments. The operations of the company must now identify
all of the factors. They will not only be able to compete in the market as a result of this, but it will
also help them become more profitable. To cover this report, the Premier Inn hotel is chosen,
which has repudiated its image in the field of the hospitality industry founded by Whitbread Plc
(Jaeger, and Upadhyay, 2020). In the United Kingdom, the selected. Businesses are
fundamentally influenced in both a positive and negative way by a variety of outside factors,
including representatives, customer needs, including their desires, requests, and supplies,
government authorities, and innovation. there are essentially two types of business environments
small-scale business environments as well as large-scale business environments. It would appear
that each type of environment produces different types of opportunities for the organization.
Therefore, conducting an advertisement examination is crucial for the company's management to
understand all of the elements that make up the market environment. This not only contributes to
increasing their productivity but also does not assist them in gaining a competitive advantage over
their rivals. For the purpose of completing this report, the Premier Inn Hotel, a location in the
Whitebread Plc neighbourhood hospitality sector, was selected. The selected hotel is one of the
world's largest hotel chains, with 800 locations worldwide. It is located in the United Kingdom.

The purpose of this report is to examine the Premier Hotel's authoritative framework, including its
internal status and external working conditions.
TASK
Organizational Framework of Premier Inn Hotel
The company's structure, or corporate framework, provides a complete picture of the extent to
which the company's activities contribute to achieving the established goals. The more organized
the hierarchical foundation is and the more successfully it is based on the firm fit, the
organization can work to their full potential. Hierarchical structure layout as well as coordinate
the parts and responsibilities to the employees within the company.
Tall Authorative Structure -
The most effective down management strategy is the tall hierarchical framework, in which the
chief executive officer (CEO) or chief executive officer of the company is the initiator. He or she
is responsible for officially developing the company's work culture, methodologies, goals, and
vision, which are then communicated to the entire advisory board, which is responsible for
carrying out all of the choices and the framework (by-laws) with the assistance of employees at
lower levels (Pedler, and Hsu,2018). The large organizations generally accept the large
framework because it is inflexible. Due to the fact that the Premier Inn Hotel is a huge hotel chain
with more than 800 hotel franchises worldwide. Therefore, the particular business will eventually
benefit from and embrace this organizational structure. The company's management creates a
distinct division within the market that is financially managed by the board of directors. The
company's administrators are responsible for making significant decisions, and the center director
implements, evaluates, and develops a strategy to achieve the company's objectives.
Benefits-
● The primary advantage of a hierarchical structure is that, with the assistance of a
solid command chain, the structure can be best maintained.
● This procedure includes the control restrictions for the parts and responsibilities
that are communicate.
Analysis of business environment of premier inn hotel

The business's management will use their business skills in an environment that is fundamentally
inclusive of trade. The advertised review that is carried out by the company management
determines which business environment is better able to accurately calculate business factors
when setting the Premier Inn (Marston, 2021).
SWOT analysis of Premier Inn 300 words: -
Strengths
Company presence: - In the hotel business
sector, the company enjoys a solid reputation.
The company operates approximately 800000
rooms in more than 800 hotels worldwide.
Each month, they serve approximately 5
million customers.
Locations: - as the management of the
Weakness
Hygiene issues: - is being regarded as the
company's most significant flaw. A case has
been recorded in which the Premier Inn's
housekeeper cleans the entire bathroom with
the same guest towels.
Limited presence: -the limited presence
globally is also a crucial weakness
company provide their services near airports,
great tourist attractions, and universities. The
company management allows various
consumer segments to stay nearer to the
locations where they are required to be.
for the company. In comparison to the giant of
the market, the firm has a limited presence in
a number of nations
Oppertunuty
Newmarket: - The company has the first and
most important opportunity, which is the
ability to explore new markets. with the
Threat
Legal Threat: - as the issue of hygiene,
which has a negative impact on the company's
image. They could face legal action if they

company's successful entry into Germany and
the Republic of Ireland. (Biedermann, M 2021)
Digital technologies: - The respective
business has the opportunity to utilize digital
marketing tools in order to expand in the
highly competitive market. They can promote
the brand in an efficient and effective manner
with the assistance of these tools.
don't pay attention to the laws.
Lockdowns: - The pandemic-related
lockdowns pose numerous challenges to the
hospitality sector. The Premier Inn Hotel
faces a significant challenge if similar
circumstances occur in the future.
PESTEL analysis of premier inn hotel;
the examination in regard to PESTEL considered the most crucial survival mechanism that
helps the business administration in assessing the external scale of the business environment,
which is beyond its control. Through this demonstration, the Premier Inn Hotel was able to
successfully evaluate the exterior component witch, which has significant effects on the
company's operations. It became crucial for the company to analyze the external environment in
order to face doubtful challenges;
 Political factors- Since the company has a well known image, the advertisement helped
increase the number of potential customers. A favorable opportunity for the hotel
mentioned in this report will result from representations of eating out to help out
arrangements becoming common as Covid 19 becomes more prevalent in the UK
government (Beynon-Davies, 2021).
● Economic factors- The country's GDP, employment growth, inflation rate, and many
other figures were included in this element. The premier hotel has had a significant
negative impact on the financial situation of the United Kingdom, and the GDP of the
nation has decreased at an extremely high rate. In addition, it is difficult for people to

spend money on travel, which could have an impact on hotel sales, and they may need to
lose their jobs, which will prevent them from earning an expandable salary.
● Social factors- This figure of conduct includes, among other things, the buyer's shifting
preferences and actions. Due to the general, a significant shift has been observed in an
individual's preference for private accommodation over hotels. Individual businesses
require an enormous number of free client based structures as a result. Customers are
settling toward establishments that are said to be clean and follow to all covid
regulations. The most prestigious hotel under management obeys to the COVID
regulations, has sanitized all of their rooms, and requires employees to wear masks inside
the hotel when guests arrive or depart.
● Technology factor - In today's competitive world, technology is constantly evolving. To
compete with a variety of rivals, a business cannot afford to ignore these factors. In order
to enhance the value that it provides to its clients, the respective hotel needs to upgrade
its technology wherever it is required (Staniškis, 2022). The adoption of technology is
crucial because it may help a business cut costs while also improving the customer
experience. In this digitalized world, it's critical that hotels accept all forms of payment.
Customers were able to book hotels anywhere, at any time, at their convenience as a
result of the rise of social media and the development of numerous websites
CONCLUSION
From the above report it has been concluded that It has been designed to perform all
business functions in an extremely successful and productive manner. The organization's
management style must obey to the appropriate authoritative framework. Rights and
responsibilities are clearly communicated between employees and directors, resulting in
improved staff efficiency. As a result, the company is able to accomplish its goals with
great success. The report came to the conclusion that the company can effectively identify
its strong and weak points and the opportunities for growth in the competitive market by
conducting a SWOT analysis. After the PESTEL evaluation was complete, it helped figure
out how the hospitality industry was affected by external factors.

REFERENCES
Books and Journals
Beynon-Davies, P., 2021. Investigating Domains of Organisation. In Business Analysis and
Design (pp. 89-104). Palgrave Macmillan, Cham.
Biedermann, M., 2021. The application of high reliability organisation theory in relation to high
reliable organisational practice: An air traffic case (Doctoral dissertation,
University of Gloucestershire).
Jaeger, B. and Upadhyay, A., 2020. Understanding barriers to circular economy: cases from the
manufacturing industry. Journal of Enterprise Information Management.
Marston, C., 2021. What's it really like to work in your organisation?. Early Years
Educator, 22(12), pp.7-7.
Pedler, M. and Hsu, S.W., 2018. Regenerating the learning organisation: towards an alternative
paradigm. The Learning Organization.
Staniškis, J.K., 2022. Sustainability Challenges in an Business Organisation. In Transformation of
Business Organization Towards Sustainability (pp. 3-14). Springer, Cham.