Strategic Groups in The Hospitality Industry Report Writing - Tourism Management Assignment Help

Assignment Task

PESTEL Analysis of Quebecs Hotel Leeds

The PESTEL framework will allow to analyse the macroenvironment surrounding Quebecs Hotel Leeds as it will present an extensive list of external factors influencing the hospitality industry and the strategic direction of the firm (Johnson et al., 2009). The majority of presented factors affect internal operations with some not being fully separated in terms of their ability to bring opportunity or threat to the firm. This means that several factors within the political and economic environment may pose the same level of threat to the hotel, with Covid-19 being a prime example. Upon completion of the PESTEL analysis, it appears the following factors are most likely to influence Quebecs Hotel Leeds future functionality.

Political

The strongest political factor currently affecting Quebecs Hotel Leeds and several other hospitality establishments internationally is the imposed travel restrictions by numerous Government bodies around Europe and beyond as a result of the unprecedented effects of Covid-19 (BBC News, 2020b). The UK announced a travel ban in late March 2020 for those wanting to travel within the country and abroad, meaning that several hospitality firms had
to close with immediate effect (The Independent, 2020). Although travel restrictions have not yet been lifted, operations are predicted to resume with new safety measures being implemented across all affected industries (BBC News, 2020b). However, it is apparent that risk perceptions associated with Covid-19 are on the rise due to the uncertainty of when UK nationals will be able to travel again (ABTA, 2020). This has led to several holiday cancellations which in many cases have left organisations with no other option than to cease operations as there is dramatic decrease in demand for travel (The Guardian, 2020).

With international travel being of great uncertainty to many, it is assumed that domestic travel is at better advantage due to the potential likelihood of people wanting to minimise the spread of the pandemic. However, a recent poll showed that 86% of Britons are willing to travel abroad when Covid-19 restrictions are lifted which could pose great threat to the UK tourism and hospitality (Travel Weekly, 2020). Risk perceptions associated with the UK’s response to the global pandemic could also prevent international travellers from visiting once restrictions are lifted as the UK was announced to have the largest death toll in Europe (BBCNews, 2020a). Additionally, the UK’s departure from the European Union earlier this year is also predicted to cause implications on the movement of travellers and workers once Covid- 19 restrictions are lifted due to the likelihood of new travel and medical documentation being required as a result of Brexit (Lim, 2018).

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