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Analysis of the internal and external environment of Golden Palace Hotel
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by Simone, Simon, Tsolaye, Lalla & Jade
Table of Contents:
Analysis of the internal and external environment of Golden Palace Hotel
1. Terms of references: 3
2. Procedure: 3
3. Findings 3
3.1 External environment 3
3.1.1 Macro Economic environment 3
3.1.2 Political environment 4
3.1.3 Social environment 5
3.1.4 Technological environment 5
3.2 The Micro Environment: Porter’s Five Forces 5
3.2.1 Threats of new entrant 5
3.2.2 Industry competitors 6
3.2.3 Threats of substitutes 6
3.2.4 Bargening Power of Suppliers 7
3.2.5 Bargeing Power of Buyers 7
3.3 Analysis of Strength and Weaknesses 8
3.3.1 Strengths 8
3.3.2 Weaknesses 8
4. Conclusion 9
5. Recommendation 10
5.1 Short term 10
5.2 Long term 10
6. Bibliography 11
7. Appendix 13
1. Terms of references:
This report was complied by the external consultants Simone, Simon, Tsolaye, Lalla and Jade. This report shows how external and internal factors influence the business of “Golden Palace Hotel”.
This report was submitted on October 15th.
2. Procedure:
This report was compiled using mainly secondary sources including the Internet. For a full list of sources, please check the bibliography.
3. Findings
3.1 External environment
3.1.1 Macro Economic environment
Until 2007 UK enjoyed an economic growth of 2,8% per annum for the last 5 years (“Travel and Tourism” 09). In 2008 the UK economy started to have zero growth (“Travel and Tourism” 09). This were the worst growth since the 90th and that made UK slipped in recession (“Travel and Tourism” 09).
This recession will have dramatic consequences on the hotel industry; also after recession not all markets will that hoteliers had relied on before the recession will return to pre-credit crunch levels (Walsh D....