Analysis for hotel industry is the best and modern way to find factors which affect it social and environmental part play a significant role equally in strategic management however, economic factors are divided into legal factors. Economic factors contain increase rate, interest rates, foreign exchange rates, economic development designs etc these features are factors of an economy performance that directly affects a company and have deep long term effects.
When someone speaks of the uncontrollable factors in the hospitality industry, they are referring to the macro environment external factors such as the economic situation facing the nation or the world are among the factors that those working within the industry can have no control over. Hospitality/tourism industry pestel analysis if any of the industries is really too susceptible to the environmental factors then it is the hospitality industry from changing weather to changing governments, all these factors can impact it deeply. There are a number of macroeconomic factors that will affect the real estate industry as a whole and the hotel sector in particular in 2012, according to the the plasencia group's lodging investment roadmap 2012. Major hotel chains expect a fall in profits during 2009 resulting of reduction of travel expenditure but remember people still need to stay in hotels and travel for business “this industry will continue its expansion with various degree of development following the regions.
Economic factors affecting hospitality industry discuss the keymacro-economic factors affecting demand for your industry sector the hospitality industry makes a major contribution to the uk economy it is a fact that the hospitality business employs a large percentage of people. Hotel industry continues to ride economy’s tailwinds posted by: megan sullivan in featured , hot topics , industry news june 3, 2014 the us hotel industry continues to ride the tailwind of the economic recovery, buoyed by positive room demand, occupancy increases, and steady average daily rate growth. We believe that there are four factors affecting the course of the us economy and the health of the lodging sector for the balance of 2012: us monetary policy, the european union debt crisis, chinese gdp growth, and the price of oil. External factors such as the economic situation facing the nation or the world are among the factors that those working within the industry can have no control over when economies go sour, the hospitality industry may suffer because of a drop in discretionary spending.
Of the companies’ economic performances – both according to region (26 municipalities) and according to their type of business (including hotels, restaurants, retail, tour operator, entertainment activities, sport related tourism, etc) – was. External factors and influences economic factors • economic growth • interest rates and monetary policies, • taxation, • inflation rates, • economic attractive of destination for leisure and business purposes • government spending, • unemployment policy, • exchange rates, • consumer confidence 8.
Hospitality industry often suffers because of a drop in discretionary spending tourism may go by the wayside during times of extreme economic difficulty, leaving industries within the hospitality industry, such as the hotel business, dependent upon the continued patronage of the business community. While hotels and airlines represent the bulk of industry gross bookings, most travelers do not take trips to sit on airplanes and spend time in hotel rooms whether they want to unwind on an exotic beach, try new cuisines, or explore ancient ruins—travel is all about the experience.