Unit 41: Hospitality Business Strategy

Introduction

A business strategy can be defined as the combination of all the decisions taken and actions performed by the business to accomplish its goals and to secure a competitive position in the market. Specifically, business strategy defines what needs to be done to meet business goals, which also mean that it helps manager to make sound decisions related to hiring (and firing) and resource allocation.  It is the backbone of the business as it is the roadmap which leads to the desired goals. Business strategy is very important for an organisation as it help to attain a specific goals and objectives. It is one kind of management plan which helps to increase the performance of an organization. It shows the way to achieve goals and without this it is really tough to complete in the market with other competitors.

In the hospitality industry, producing a business strategy is one of the major activities of management of hospitality organisations. Business strategy of a hospitality organisation will reflect its success and failure in achieving business the objectives.

The first step in the development of any business strategy is the determination of the mission, vision, goals and objectives of the organisation. A business strategy creates a vision and direction for the whole organisation.

This assignment looks at understanding the strategy process which includes strategic planning. This involves strategic context and terminology, strategic thinking, planning systems/issues and techniques. Strategy formulation looks at issues such as stake holder, environmental auditing, strategic positioning and organisational audit. An approach to strategy evaluation and implementation includes different entry strategies, realisation of strategic plans to operational reality, resource allocation, review and evaluation of chosen strategy.

Students are expected to analyse the impact and influence of the macro-environment and assess the internal environment and capabilities of a selected organisation in the hospitality industry. Knowledge and understanding will be assessed in the context of the students’ report to fulfill respective learning outcomes.

Assignment Submission Format and Guidance

The submission is in the form of a strategic hospitality management plan report. This should be written in a concise, formal business style using 1.5 spacing and font size 12. Students are required to make use of headings, paragraphs and subsections as appropriate and ensure that the report is justified aligned. All work must be supported with research and referenced using the Harvard referencing system. Students are also required to provide a bibliography using the Harvard referencing system. The recommended word limit is 3,000–3,500 words, although students will not be penalised for exceeding the total word limit.

LO1: Analyse the impact and influence which the macro environment has on a hospitality organisation and its business strategies

LO2: Assess a hospitality organisation’s internal environment and capabilities

LO3: Evaluate and apply the outcomes of an analysis using Porter’s Five Forces model to a given market sector

LO4: Apply models, theories and concepts to assist with the understanding and interpretation of strategic directions available to a hospitality organisation

Scenario:

As the Corporate Strategy Manager of  a well-known large global hospitality organisation, you have been asked to produce an environmental analysis and strategic growth management plan based on the use of recognised internal and external analytical tools. You can, if you choose to do so, select an organisation of your choice or your place of work, if appropriate.

In Part A of the report, you have been asked to produce an environmental analysis, and in Part B you are asked to devise a strategic plan based on the environmental analysis and findings.

Scenario:

As the Corporate Strategy Manager of  a well-known large global hospitality organisation, you have been asked to produce an environmental analysis and strategic growth management plan based on the use of recognised internal and external analytical tools. You can, if you choose to do so, select an organisation of your choice or your place of work, if appropriate.

In Part A of the report, you have been asked to produce an environmental analysis, and in Part B you are asked to devise a strategic plan based on the environmental analysis and findings.

Task: Report

Part A: You are to complete an internal and external analysis that provides a basis for strategic planning for a selected organisation.

The analysis will include:

• PESTLE and SWOT analysis of the organisation and an analysis of the organisation’s capabilities
• Analysis of the competitive environment using Porter’s Five Forces model.