Royal Hotel's Marketing Strategy & Plan: A Comprehensive Analysis

This report provides a comprehensive analysis of the Royal Hotel's marketing strategy and plan. It includes an industry analysis using PESTLE, which examines the political, economic, social, technological, legal, and environmental factors impacting the hotel. A competitive analysis is conducted using Porter's Five Forces, assessing competitive rivalry, buyer and supplier power, the threat of new entrants, and substitute products. The report also includes a strategic capability analysis, evaluating the hotel's financial, human, physical, organizational, and knowledge resources. Finally, a TOWS analysis is performed to identify the hotel's strengths, weaknesses, opportunities, and threats, providing a basis for strategic recommendations. The analysis aims to provide insights for improving the Royal Hotel's market position and future planning. Desklib provides access to similar solved assignments and study tools for students.

Running head: MARKETING STRATEGY AND PLAN
Marketing Strategy and Plan
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MARKETING PLAN AND STRATEGY
Table of Contents
Introduction................................................................................................................................2
Industry Analysis.......................................................................................................................2
PESTLE Analysis...................................................................................................................2
Competitive Analysis.................................................................................................................4
Porter’s Five Forces...............................................................................................................4
Strategic Capability Analysis.....................................................................................................6
TOWS Analysis.........................................................................................................................8
References..................................................................................................................................9

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MARKETING PLAN AND STRATEGY
Introduction
The Royal Hotel is considered to be a hotel listed in the heritage-former of Australia
(Conejos, Chew & Yung, 2017). The history of this single-storeyed building was later known
as the Australian Inland Mission Hospital. The first section of the concerned hotel was known
to be constructed in the year of 1883 (Bowie, 2018). At present, the growing up of the Royal
Hotel is considered to be influential amongst the public and websites of the Australian region.
Different blogs, photos and galleries are dedicated to the existence of the Royal Hotel. In this
connection, the given report is focused on determining the separate analysis of the company.
The same are specified as below.
Industry Analysis
PESTLE Analysis
As opined by Ahmadi, Maleki & Ahmadi, (2019), PESTLE analysis is that tool of a
business that helps in the examination of the macro-environmental factors that influences an
entire business entity.
Factor Development Implication
Political  Changes in the
government and the
influence of
legislation.
 The implication of
the inflation and
interest rate in the
hotel industry.
Economic  The overseas
economic recession
and the increase in
the cost of the
hospitality industry.
 The implication of
the strategic plans
and processes that
resolved the issue of
cost-effectiveness

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MARKETING PLAN AND STRATEGY
and letting overseas
visitors increase.
Social  The opinions of the
consumers that can
either build or
diminish the brand
image and loyalty of
the hotel industry.
 Increase in the use of
social media and
satisfying the
demands of the
customers effectively
and efficiently.
Technological  The change in the
infrastructure and
facilities provided to
the consumer that
gives them a better
experience.
 Implicating the use
of innovated
technological types
of equipment that
helps in providing
service to the
consumers.
Legal  The union
negotiations at the
current date in
Australia determines
the requirements of
the hotel industry
towards its
employees.
 The implication of
the employment laws
and regulations in
the industry to
increase the
efficiency as well as
the productivity and
therefore, the
satisfaction of the
consumers.

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MARKETING PLAN AND STRATEGY
Environment  The pressure to the
hotel industry to be
responsible
environmentally and
sustaining the factors
of ecological nature.
 Implications of the
laws concerning
environmental
stability and taking
steps to sustain
nature altogether
with doing the
business.
Table 1: PESTLE Analysis
Key Points
 The obligation of the hotel industry towards the hereditary factors are to be
considered.
 The strength of the lower inflation rate increasing the profit percentage of the hotel.
 The necessity of the concerned business industry to sustain the natural environment.
Competitive Analysis
Porter’s Five Forces
As stated by Porter & Prenzler, (2017), Porters Five Forces Analysis is referred to as
that part of the business that helps in the examination of the competitive level and needs of
the company.
Five Forces Level Comments
Competitive Rivalry High The competitive rivalry of
the Royal Hotel is
considered to be high
because there are several

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MARKETING PLAN AND STRATEGY
such hotels in Australia that
matches the terms and
conditions of the same.
Take, for example, The
Australia Hotel.
Bargaining power of buyers Moderate The bargaining power of the
customers remains at a
reasonable level because the
rates of the hotel industry
remain fixed for the
different services it
provides, and there is the
high number of customers
associated with the
company. However, the
customers’ demands for
some offers and discounts.
Bargaining power of
Suppliers
Moderate The suppliers have a
moderate influence on the
company because of the
strong base of suppliers the
industry has. In this
connection, the suppliers
cannot charge a high price
from the company.

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MARKETING PLAN AND STRATEGY
The threat of New Entrants High Any business entity
including the Royal Hotel
has a high danger of new
companies entering into a
similar market they operate
in. This is because no
business entity can stop a
new firm to establish itself
at any point in time.
Threat of Substitutes High The threat of substitute
product and services also
remains high because it is
very much possible that a
company may introduce
similar or even better
outcomes as compared to the
Royal Hotel.
Table 2: Porter’s Five Forces
Key Points
 The hotel industry should primarily focus on increasing its research and development
team to study the market conditions.
 The industry should focus on implementing better technological advancements that
would help the industry to gain a compelling competitive advantage.

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MARKETING PLAN AND STRATEGY
Strategic Capability Analysis
As stated by Grover et al., (2018), strategic capability analysis is the agility of a
business firm to harness the level of skills, capabilities as well as the resources it has.
Financial Balance Sheet, Cash Flow and the suppliers
of funds.
Human Resources Managers, Employees, Partners, Suppliers
and the customers
Physical Types of machinery and pieces of
equipment, Buildings, Materials, Patents,
Products, Data Bases as well as computer
systems
General Organisation Cash flows, Debtors, Creditors and all level
of employees.
Knowledge and Training Skills, Talent, Personal Development and
Motivation.
Table 3: Strategic Capabilities
Key Points
 Strong financial base.
 Effective human resources.
 Planned training and development program.

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MARKETING PLAN AND STRATEGY
TOWS Analysis
As opined by Grant (2016), TOWS analysis is the determinant of business that helps
in the examination of the internal strengths and opportunities a business has and the internal
threats and weaknesses the company suffers from.
Threats
 The slow growth in the global sector
of the hotel industry.
 The increase in the uncertainty that
impacts market development.
Opportunities
 The expected growth of the food
sector dealt with the hotel industry at
6%.
 The increase in the number of
consumers in the sector of both the
developed as well as emerging
markets.
Weaknesses
 The limited distribution channel.
 The level of the portfolio of
products.
Strengths
 The flexibility of the industry to
implement new business strategies.
 The increase in the sales of the
company in the last five years at an
annual rate of 10%.
Table 4: TOWS Analysis
Key Points
 The company should focus on its food products.
 The company should study the market efficiently with the help of the R&D team.

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MARKETING PLAN AND STRATEGY
References
Ahmadi, M. R., Maleki, D., & Ahmadi, A. (2019). SMC-SPMV: A new strategic
management model for cloud computing based on SWOT/PESTEL multi
view. African Journal of Engineering Research, 7(1), 17-32.
Bowie, D. (2018). Innovation and 19th century hotel industry evolution. Tourism
Management, 64, 314-323.
Conejos, S., Chew, M. Y., & Yung, E. H. (2017). The future adaptivity of nineteenth century
heritage buildings. International Journal of Building Pathology and
Adaptation, 35(4), 332-347.
Grant, R. M. (2016). Contemporary strategy analysis: Text and cases edition. John Wiley &
Sons.
Grover, V., Chiang, R. H., Liang, T. P., & Zhang, D. (2018). Creating strategic business
value from big data analytics: A research framework. Journal of Management
Information Systems, 35(2), 388-423.
Porter, L. E., & Prenzler, T. (2017). Police officer gender and excessive force complaints: an
Australian study. Policing and society, 27(8), 865-883.