Travelodge's Business Environment: Leadership Styles and CSR Practices

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This report provides a comprehensive analysis of Travelodge's business environment, focusing on the impact of factors such as Brexit and the Covid-19 pandemic. It includes a SWOT and PESTEL analysis to identify the company's strengths, weaknesses, opportunities, and threats. The report also compares and contrasts different leadership styles, recommending democratic leadership as the most suitable approach for Travelodge to foster employee engagement and innovation. Furthermore, it examines Travelodge's corporate social responsibilities, emphasizing the importance of integrating environmental and social concerns into business operations to enhance brand image and consumer relationships. The analysis highlights the need for Travelodge to adapt to changing consumer behavior, embrace technology, and prioritize sustainable practices to maintain competitiveness and achieve long-term success in the hospitality industry. The report also emphasizes the role of strong leadership in motivating and retaining talented employees, which is crucial for navigating the challenges posed by the current business environment. This assignment solution is available on Desklib, a platform offering study tools and resources for students.
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Business Environment and
Leadership
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
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SWOT and PESTEL...............................................................................................................3
Changes in PESTEL factors has influenced the opportunities and threats for the business. .3
Compare and contrast the different styles of leadership........................................................3
Recommend a suitable leadership style..................................................................................5
Corporate Social Responsibilities of Travelodge...................................................................6
Reflection...............................................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9
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INTRODUCTION
A business environment is consisting of number of ever-changing factors which is essential
for organisation to evaluate in order to effectively emphasise upon those changes. Main aim
behind this is to conduct business operations while confronting complex challenges in an
effective manner (Palalić, R2021). It is important for a leader in a business organisation to
achieve challenging goals by taking fast decisions and action by evaluating the factors which is
prevailing in business environment. Present report has been conducted on Travelogue which is
operating its business services in hospitality industrial sector and have several hotel chains
around the globe. This report discusses the critical time that present company is facing in UK
business environment due to the effect of Covid-19 pandemic and Brexit. Report include SWOT
and PESTLE analysis and comparison and contrast of different style of leadership. Along with
this CSR practices and reflective analysis is included in this report.
MAIN BODY
SWOT and PESTEL
SWOT
STRENGTHS WEAKNESSES
Positive brand image in hospitality
industrial sector
Travelodge offer high quality of
services in affordable price range.
Hotel is having potential workforce.
Travelodge have limited market share.
Respective hotel does not adopt
advanced technology as compared to
other rivals.
THREATS OPPORTUNITIES
Threat from Brexit and current
situation of covid-19.
High competition as rivals is adopting
advanced technology.
Travelodge can conduct cost effective
operations with the help of advanced
technology.
Hotel have opportunity to take
government subsidies available for
hotels who have affected due to
Covid-19.
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PESTEL
Political:
Political factor includes elements associated to changes to government policy, political
stability etc. In United Kingdom business environment Travelodge is facing challenge due to
Brexit and the outbreak of covid-19 which is developing potential risk of new legislation and
political policies change. This can affect overall business operations of company, as in this they
are quiet to abide overall different legislation after British exit from European Union.
Economical:
This element includes changes to economic climate, availability of funding, cost of EMS,
budget changes etc. Covid-19 is causing serious global economic implication which will impact
Travelodge for several years and will create financial crisis for several years.
Social:
Due to covid-19 and Brexit there is significant change in the purchasing behaviour of
consumers. In this it is important for Travelodge to emphasize upon identifying needs and
demands of consumers and provide them satisfactory products and services in order to develop a
stronger base of consumer after covid-19.
Technological:
Due to covid-19 increase in the use of technology is significantly enhanced in order to
provide services to consumers (Akkaya, 2021). From the above SWOT analysis, it has been
identified that Travelodge comparatively invest less in adopting high tech technology
comparatively to other rivals, which can impact upon Travelodge to re-invent in themselves and
market segment after Brexit and covid-19.
Environmental:
Covid-19 significantly enhance attention of consumers and government towards natural
resource consumption and promotion and protection of biodiversity in order to control emission
to air, hazardous materials etc. Different type of environmental regulations are required to be
adopted by Travelodge in order to attract consumers.
Legal:
There is significant increase in legal issues in which new legislation and other
compliances has been formulated by government agencies. Furthermore, it has been identified
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that due to practice it is required to change this strategy completely in order to conduct their
business operations.
Changes in PESTEL factors has influenced the opportunities and threats for the business
Analysis of the above task it has been identified that Travelodge is having positive brand
image in hospitality industry sector and provide high quality of products and services to
consumers. It has been evaluated that due to Brexit and covid-19 there is significant influence
upon the threats and opportunities for respective organisation, as due to covid-19 government
restricted movement of individuals in order to break the chain of the virus. Along with this from
time-to-time lockdown is being imposed by government which increases the use of high-tech and
advanced technologies in hospitality industrial sector (Lee, 2021). During Covid-19 other rivals
of Travelodge of such as Hilton hotel undertake use of technology to provide virtual services to
consumers. In this it has been evaluated from SWOT analysis that Travelodge invest less in
technology which increases the threat effectiveness. Along with this it has been identified that in
order to significantly serve consumers and to emerge as a profitable and successful venture
Travelodge is emphasising upon offering high quality services by adhering all the health
standards to consumers in affordable pricing statement. With the help of emphasizing on this
threat Travelodge aim towards increase competitiveness in market, as after covid consumers are
looking forward to more affordable options. Along with this with the help of strong leadership
Travelodge encourages its workforce which is its one of the major strengths to provide high
quality services Travelodge to customers after Covid-19
Compare and contrast the different styles of leadership
Authoritarian Leadership:
This form of leadership allows leaders to undertake decisions without engaging
employees in the process of decision making. In this form of leadership, employees are neither
consulted not considered and are expected to abide the decision which is stipulated by the leader
(Lin and Chen, 2021). With the help of this organisation can undertake decision in time effective
manner and can follow a chain of command. However, it has been identified that it is very strict
form of leadership style which not only affect employee employer relationship but also kills
employee’s innovation and creativity and reduces collaboration and team work.
Democratic Leadership:
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Democratic leadership is one of the commonly used leadership nowadays in most of the
organisation, as this form of leadership involve team members in the process of decision making.
This leadership facilitate employees to feel engaged, valued and motivated (Hijjawi, 2021).
However, it delays the process of decision making due to involvement of employees which can
become time-consuming. However, with the help of democratic leadership company can enhance
job satisfaction and motivation of employees and can further increase their creativity and
innovation. This form of leadership is highly reproductive which helps in creating a strong team
and also benefit organisation in terms of lower level of employee turnover.
Delegative Leadership:
This form of leadership is also known as laissez-faire leadership. This leadership mainly
emphasizes upon delegating initiative to team members. In this leader’s delegate responsibilities
to team members which encourages employees by trusting them. This leadership values
creativity and innovation and assist organisation in developing a positive work environment.
However, if command responsibility is not properly defined then this leadership can create major
challenges to accomplish organisational goals.
Transactional Leadership:
In this form of leadership in which leaders reward and recognise employees for their hard
work. Leaders set goals in which employees are aware the manner in which they will be
rewarded for their compliance (Krishandutt, 2021). It is a give and take leadership style which is
mainly concerned with the following procedures and established routines in effective manner.
With this leadership company can enhance productivity and motivation in which leaders can
minimise confusion in the chain of command. However, this leadership style creates more
followers than leaders among employees.
Transformational Leadership:
Form of leadership in which leaders inspire followers with a mission for then empower and
encourage them to accomplish them. This leadership style facilitates leaders to constantly push
employees outside of their comfort zone. With the help of this leadership leaders can place a
high value on relationship and can enhance morale of employees. However, in this leadership
constant feedback and motivation is required.
From the analysis of all the above leadership style it has been identified that in order to re-
invent brand in hospitality industrial sector to emerge as a profitable and successful venture. It is
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important for Travelodge to encourage motivate and engage employees in the process of decision
making, as it helps in enhancing their creativity and innovation which directly impact on
consumer satisfaction level in hospitality industry sector. Employees are directly associated to
consumers to offer them facilities and services, in this democratic leadership style or
participative leadership proves to be an effective form of leadership style that can be
implemented by Travelodge leaders in order to create a strong team (Gürlek and Kılıç, 2021).
This will not only allow them to engage employees in decision making process which brings new
idea and creativity but also help company to enhance overall productivity. With the help of this
leadership style Travelodge can boost confidence and create participation strength and
relationship with employees which directly impact upon overall performance and productivity of
company.
Recommend a suitable leadership style
Leadership style plays important role which significantly benefit organisation to develop
stronger base of workforce through which company can successfully accomplish all the goals
and objectives in a well-defined and effective manner. It has been identified that the UK business
environment is facing critical time in the next couple of years with effects of covid-19 pandemic
and Brexit (Myers, 2021). In order to revive business and re-invent themselves to be a profitable
and successful business it is essential for Travelodge to implement a leadership style through
which they can retain, motivate and encourage talented and skilled employees for longer period
of time. Employee retention plays an essential strategy through which company can save their
cost on recruitment and selection. In this, the most suitable leadership style that will help
Travelodge to grow and overcome the challenges that has been post by Brexit and Covid-19 is
democratic or participatory leadership style, as it helps in increasing motivation among of team
to undertake responsibility in decision making process which not only helps in increasing
participation and engagement but also assist company to solve a complex concern which
encourages creativity. Along with this, with the help of democratic leadership style Travelodge
can strengthen relationship with employees which helps in increasing honesty job satisfaction
and strong commitment level. With the help of this democratic style Travelodge can retain
employees for longer period of time and can build a stronger vision for future (19 Advantages
and Disadvantages of Democratic Leadership Style. 2018). Furthermore, it has been identified
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that democratic leadership style also helps in increasing creativity and innovation which will
help Travelodge to perform with more creative and innovative solution which significantly assist
them to enhance their competitiveness and industry which helps company to gain productivity.
Corporate Social Responsibilities of Travelodge
Corporate social responsibility is a management concept in which organisation integrate
with environmental and social concern in their business operations in order to showcase their
responsibility towards society. CSR practices benefit organisation to develop public trust and
enhance positive relationship while considering sustainability. CSR practices benefits
organisation to enhance their value and profitability in respective industrial sector through which
they can develop better consumer relationship. In terms with Travelodge, hotel can effectively
undertake their responsibility by involving with charities, showing environmental concern in
order to perform business in effective manner (James and Priyadarshini, 2021). It has been
identified that now a days in business environment consumer awareness towards environmental
and social issues has been increased which makes organisation to progressively integrate with
sustainable development into their growth strategy. Main aim behind this is to conduct profitable
as well as ethical business operations in order to attract socially active and young consumers. It
has been identified that Travelodge by significantly engaging in the practices to have sustainable
business operations with different initiatives can create a positive brand. However, hotel by
engaging in sustainable initiatives such as Go Green which aim towards reducing overall
wastage can enhance operational efficiency as well as can save cost (Barauskaite and
Streimikiene, 2021). It has been evaluated that Go Green initiative will allow Travelodge to
emphasize upon three elements which include flexible breakfast, green housekeeping, bulk soap
immunities in order to conduct eco-friendly and cost-effective business operations while
reducing single use of plastic as to eliminate wastage. Travelodge can also emphasize upon
developing strategies to have their commitment towards environment in order to reduce their
impact on the environment while making their hotel more efficient. With the help of their
sustainable initiatives Travelodge can not only helps in lowering carbon footprint but can also
develop a business model which assist them to conduct business activities with lower operational
cost. With the help of Go Green program Travelodge can reflects their believe in sustainable
sensible operations and aim towards connecting with new generation of eco-conscious travellers.
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It has been evaluated that in hospitality industrial sector environment plays crucial and vital role.
In it is essential for company operating their business services in this sector to have well design
corporate social responsibility plan which is systematically aligned with organisation mission,
vision and values statement, as it helps in developing a stronger foundation of business.
Travelodge by effectively emphasizing upon minimising wastage, environmental care
conservation along with use of different sustainable practices which include reduce, reuse and
recycle in order to reduce cost for organisation can have a positive impact upon environment
society, governmental agency, consumers and other stakeholders. Along with this has been
identified that covid-19 affected hospitality industry in an adverse manner which also lead
towards increasing unemployment (Qiu, 2021). In this as a CSR strategy Travelodge can help
employee those who lost their job due to this pandemic can successfully re-invent to emerge as
profitable and successful business. This can be done with the help of recruitment program. Thus,
it has been identified that in order to have a sustainable growth after Brexit and Covid-19
Travelodge can launch various forms of strategies under their corporate social responsibility
segment by considering consumer, society, government agency, tour operators and other
stakeholders to business operations in order to resolve environmental as well as social issues.
Form this research, it has been identified that after Covid-19 and Brexit it is essential for
organisations especially those who are operating in hospitality industry to implement effective
CSR strategies in order to develop a positive brand image, as this will allow them to strengthen
relationship with consumers, government and stakeholders. Thus, with the help of different types
of CSR practices by creating social entitative Travelodge can improve its brand awareness and
can create a loyal consumer base in this highly competitive industry especially after Brexit and
Covid-19.
Reflection
The most obvious things that I discovered as per my experience in writing this report that I
learnt and gained wide range of knowledge in context of leadership style, corporate social
responsibility and other aspects. To conduct this report, I undertaken advantage of theories such
as different style of leadership which enhanced my knowledge and application of leadership
theories. Present report enhanced my creativity writing skill and allowed me to conduct in depth
analysis to accomplish project goals. Furthermore, in reflection of my experience during this
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report allowed me to have clarity on different forms of leadership styles which is helpful for
organisation to overcome number of challenges. This report enhanced my awareness and
familiarity with the impact of Covid-19 and Brexit on hospitality industrial sector. In addition to
this it has been identified by me that the knowledge that has been gained by me in terms of
different theories will assist me in my future work. However, regardless of my specific gain in
competencies after accomplishing this report I felt that I have duly learned the application of
different theories which enhanced my sense of confidence. Furthermore, it has been identified by
that with the application of theory into practical framework allowed me to comprehensively
examine the impact of various factors that are Covid-19 and Brexit on business organisation
operating in hospitality industry sector. This further facilitate me to examine relationship and
patterns associated to the data and current information. Present research enhanced my knowledge
competencies and potential to apply theories to the practical framework in effective manner.
Thus, it has been identified by me from the experience in writing this report that the knowledge
that I have gained from this research allowed me to apply theories in a systematic manner and
the experience from this report enhanced my critical thinking ability and confidence on
simultaneous basis.
CONCLUSION
As per the above report it has been concluded that business environment is inclusive of
number of elements that can pose threat upon company. In this it is essential for leaders within
an organisation to consistently evaluate these factors as to develop strategies against them and
encourage employees towards adopting the changes, in order to effectively response towards the
complex situation in business environment. In this with the help of effective form of leadership
style leaders within company can enhance improves performance that will significantly benefit
organisation to overcome the challenges and business operations by considering various growth
and development opportunities.
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REFERENCES
Books and Journals
Palalić, R2021. Impact of networking and business environment on student leadership
styles. International Entrepreneurship and Management Journal, 17(1), pp.447-475.
Akkaya, B., 2021. Leadership 5.0 in Industry 4.0: Leadership in perspective of organizational
agility. In Research Anthology on Cross-Industry Challenges of Industry 4.0 (pp. 1489-
1507). IGI Global.
Lee, M.R., 2021. Leading virtual project teams: Adapting leadership theories and
communications techniques to 21st century organizations. CRC Press.
Hijjawi, G., 2021. The effeect of entrepreneurship on organizational excellence: The mediating
role of visionary leadership. Management Science Letters, 11(1), pp.57-66.
Krishandutt, V., 2021. Leadership during a crisis. Civil Engineering= Siviele
Ingenieurswese, 29(2), pp.1-1.
Myers, D., 2021. Authentic Leadership in a Digital World. In Transparent and Authentic
Leadership (pp. 17-36). Palgrave Macmillan, Cham.
James, K.V. and Priyadarshini, R.G., 2021. Responsible Leadership: A New Paradigm for
Organizational Sustainability. Management and Labour Studies,
p.0258042X211005325.
Ozdemir, O., Dogru, T., Kizildag, M., Mody, M. and Suess, C., 2021. Quantifying the economic
impact of COVID-19 on the US hotel industry: Examination of hotel segments and
operational structures. Tourism Management Perspectives, 39, p.100864.
Gürlek, M. and Kılıç, İ., 2021. A true friend becomes apparent on a rainy day: corporate social
responsibility practices of top hotels during the COVID-19 pandemic. Current Issues in
Tourism, 24(7), pp.905-918.
Lin, Y.C. and Chen, C.M., 2021. How do hotel characteristics moderate the impact of COVID-
19 on hotel performance? Evidence from Taiwan. Current Issues in Tourism, pp.1-6.
Barauskaite, G. and Streimikiene, D., 2021. Corporate social responsibility and financial
performance of companies: The puzzle of concepts, definitions and assessment
methods. Corporate Social Responsibility and Environmental Management, 28(1),
pp.278-287.
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Qiu, S.C and et. al., 2021. Can corporate social responsibility protect firm value during the
COVID-19 pandemic?. International Journal of Hospitality Management, 93, p.102759.
Online
19 Advantages and Disadvantages of Democratic Leadership Style. 2018. [Online]. Available
throughhttps://brandongaille.com/19-advantages-and-disadvantages-of-democratic-leadership-
style/
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