This website uses cookies to ensure you have the best experience. Learn more

A Pestle Analysis Of The Uk Hospitality Industry

1956 words - 8 pages

In this essay I will be discussing and critically analysing each element of the PESTLE analysis within the hospitality industry, with examples to reflect each point. Also this essay will discuss how marketers should adapt to changes in the macro-environment. The PESTLE analysis is a marketing principle used to understand the relation between a company and the external environment. Murray-Webster (2010:88) states PESTLE analysis will help to capture understanding about aspects of the context by using the prompt political, economic, sociological, technological, legal and environment.

The political element in PESTLE represents how the government can influence the economy by setting rules and regulations which they have to adhere. An example of this is that the national minimum wage increases and now due to a new law in place, companies must provide pensions to eligible employees and every company needs to comply with this and stay within the law. Another factor is the political unrest in certain countries. This can take effect on the hospitality industry which can in turn affect the economy and business environment. The threats of terrorism are still very much alive; an example of this was the terror attacks in London on the 7th of July 2005 where the suicide attacks left more than 700 people injured according to The Guardian (2005) which brought concern for the people and the economy. It leaves a fear in people’s minds and the way the marketers can adapt to this is by promoting UK based hotels and holidays companies, with the increased threat of terrorism and political instability people will be more concern about their safety and decide not to travel abroad.

The economy affects the marketers in many ways and the economy’s performance directly impacts companies. These can include taxation changes, economic growth, exchange rates and inflation. An example of this was when the Olympics were held in London 2012; this affected the economy in many ways and benefitted the hospitality industry significantly by increasing the occupancy rate according to Harmer (2012). With the economic situation changing daily, it is important to be aware of the global economy and follow the changes as it affects peoples spending power. With the cost of living increasing people are looking for good deals. The marketer can instil a value for money when promoting their services. For example UK holiday companies such as Butlins and Haven has become very popular as they caters for families in the UK, they provide a holiday from home for an affordable price.

The social factor analyses the social-cultural trends and how it affects the market. Trends such as consumer lifestyle, cultural trends, and demographic variables are all apart of the market. By understanding , utilising and manipulating the trends, you can show that you are socially aware of their culture.
By conducting a number of research methods you can analyse the data and input that into your business. For...

Find Another Essay On A PESTLE Analysis of the UK Hospitality Industry

Coffee Industry in the UK Essay

1577 words - 6 pages Coffee Industry in the UK The coffee industry has grown rapidly since the 1990s; before Starbucks emerged, people were used to drinking low quality coffee from tins. Starbucks introduced fresh coffee made from top quality beans that have excellent taste and drinks such as the caffe latte and cappuccino, which have helped to fuel the development of the coffee market into a multi million pound industry. The size of UK branded coffee chains

The European IT Industry: UK Essay

2143 words - 9 pages imports, and a local valued-added tax of 17.5 percent applies to most transactions including imports.Road and rail transportation and distribution in the U.K. needs capital investment for modernization and the government has planned significant capital injection over the next few years.1.2 UK Information and Communications Technology (ICT) OverviewThe UK telecommunications infrastructure is highly developed. The U.K. is extensively cabled and has

Going Green In The Hospitality Industry

996 words - 4 pages University of Maryland. According to the USA Today article, the Marriot hotel uses 30% less energy than a comparable property. In turn, the hotel makes a better profit because it has lower operational costs. Green hotels are also changing their cleaning habits by using The example of this location gives the hotel industry as a whole less reason to resist change to greener options. Lodging Hospitality examines these cost-saving options in a September

The Competitiveness of the Hospitality Industry in the Context of Globalization

3896 words - 16 pages The age of globalization has brought about changes in most industries and activities around the world. We are now living in a borderless world where the impact of physical borders has been reduced and where interactions among different nations have become more open and less restrictive. It is a fact that the hospitality industry has not been spared by the impact of globalization either. In fact, for the most part, the hospitality industry

The Importance of Hospitality

664 words - 3 pages In The Odyssey, Homer uses fear of the gods to portray the idea of Xenia, which means hospitality to all, to live a normal and happy life. On multiple occasions people ignore this idea and in result get a streak of bad luck. For example, the suitors that stay in Odysseus' house are terrible guests. They get brutally murdered by Odysseus. Polyphemus eats several of Odysseus' crew mates. Polyphemus gets blinded by Odysseus. Aegisthus does certain

The Role of Human Resource Management Related to Sexual Harassment in the Hospitality Industry

2077 words - 8 pages Dominique Strauss-Kahn was arrested for sexual assault employees in the hotel Sofitel New York” (ehotelier.com, 2013). The quote above shows an interesting case to study related to sexual harassment in the hospitality industry. A sexual harassment case was begun when Strauss-Kahn was a managing director of the International Monetary Fund (IMF) would have been arrested caused by presumptive that he raped a 32-year old hotel employee at the Sofitel

The Process of Recruiting, Hiring, and Maintaining Staff in the Hospitality Industry

1245 words - 5 pages When considering the potential and success of any organization, consideration and thought must be applied to the employees. The process of recruiting, hiring, and maintaining staff is critical in the hospitality industry. The employees serve as direct branding and marketing for the company, supplying the customers, or guests, with an experience that meets, exceeds, or fails expectations. The experience given by the employees ultimately

Industry Analysis of the Coffee Industry

2827 words - 11 pages orientation is the combination of a companies mission, previous campaigns, SWOT analysis, Financial Data, Goals, and ROI.Ex: Through strategic orientation companies are better equipped to generate profit and compete successfully because they better understand the "Big Picture" of what they have to offer.3.Advertisement - A paid form of non-personal presentation of ideas, goods, and/or services by an identified sponsor.Ex: A commercial for NIKE

A Strategic Analysis of Walgreens and the Retail Drugstore Industry

10191 words - 41 pages Introduction Knowing the importance of a strategic vision, every company undertakes a complete analysis periodically. In order to create a strategic plan the parties involved must know every aspect of the industry and the company at hand. The purpose of this paper is to describe and analyze the retail drugstore industry and then focus on Walgreens, the industry leader in terms of sales. As part of the in-depth analysis of Walgreens, its

Analysis of the cosmetic industry

1524 words - 6 pages Mid term précis and analysis of the cosmetic industryPrior to discussing any creative industry, it is crucial that we first define 'creativity'. Creativity refers to the course of producing something original, or in the least, with original elements. Thus, a creative industry refers to economic activities that involve the creation of new, original materials.The cosmetic industry is one of such industries, of which will be analyzed

Analysis of the Fashion Industry

1227 words - 5 pages The fashion industry creates all the clothes that one is wearing at any moment of the day, from hats and hair accessories to undergarments to buttons to shoes. One could pursue either a creative or business career in the fashion industry. The fashion industry affects society both positively and negatively, especially negatively, in ways like eating disorders, providing sizes for plus-size consumers, and representation of plus-size models and

Similar Essays

Brewing Industry Pestle Analysis

3542 words - 14 pages more time to enjoy their drinks and sober up before go home.Opportunity - longer hours open means more sales.5. Drinking and drivingAlcohol is a legal substance but there are a number of laws governing the sale, purchase and consumption of alcohol in the UK. The effect of these laws is to criminalize certain types of behavior e.g. drinking and drivingThe brewery industry has collaborate for years with all the information that they hold about the

The Effectiveness Of Scenario Planning In Determining The Future Strategies (A Study On Hospitality Industry)

2548 words - 10 pages School of Sport, Performing Arts and Leisure LI4000 (Strategic Applications) “An Essay on the Effectiveness of Scenario Planning in Hospitality Industry for Determining Future Strategies” THE EFFECTIVENESS OF SCENARIO PLANNING IN DETERMINING THE FUTURE STRATEGIES (A STUDY ON HOSPITALITY INDUSTRY) Scenario planning is a practice of predicting many, reasonable and uncertain futures (Hiejden et al., 2002).Scenario planning, which

Globalization In The Hospitality Industry Essay

1156 words - 5 pages hotel industry. It is imperative that all of these industries work in a cohesive fashion because if one fails, so goes the others. When a country experiences a growth in tourism there is automatically an increase in food and beverage and the hotel sector among others. There are both positive and negative effects to the linkage in the hospitality industry and globalization plays a major part.The hospitality industry creates a multitude of

A Brief Analysis Of The Steel Industry

1511 words - 6 pages Steel Industry In the early part of this century was a time when industry was booming with growth around the installation of major railroads. With this growth came the transatlantic cable, the telegraph, and a whole lot of steel. Steel would be needed in the construction of these new transportation systems and communications were now possible between businesses and industries. (Wren, 2005) This paper will first discuss the development of