Strategic management for tourism hospitality - Myassignmenthelp.Com

Question: Discuss about the Strategic management for tourism hospitality. Answer: Introduction The report will provide detail explanation of the internal and external analysis of the industry and of the business which is discussed in the case study. The case study is focusing on Reed Exhibition Company; it is the worlds leading event organization. Nowadays, most of the people prefer hiring event organizers for various occasions or events. Therefore, this industry is in the boom phase. Overview of company Reed Exhibitions is a division of the Reed Elsevier plc. Reed Elsevier plc is a major international business publisher with offices in UK and Netherlands and it offers its services across the world. The company not only deals with organizing the events but also offer services for automobiles, beauty and cosmetics, broadcasting, electronics, security and many others. Macro analysis PEST analysis Political factors- Reed Exhibitions found fewer barriers in the event industry; it is a positive sign which encourages growth and productivity. The fewer market entry offers an advantage to enjoy the business expansions globally (Ho, 2014). For instance, the company has organized approximately 500 events in more than 30 countries which reflect that they are bringing together more than 6 million event participants from around the world. The company has growth opportunities in the market of China, Russia, Latin America and the Middle East. Therefore, the company should start organizing the events and exhibitions in these countries. Though, the company might face some political trade agreements related to tax, exports and imports duties. Economic factors- The economic factors might affect the exhibition industry in the current market as well as in the potential market. In China, the customers have high purchasing power which is an advantage for a company this can be reflected from the data that is; there is a rise in the GDP of the country from $955 to $7920 since the year 2000. Thus, the rise in the GDP reflects the rise in the purchasing power of buyers which leads to an opportunity for the company to acquire maximum share and revenue (CCPIT, 2015). Social factors- The social factors involve the preference of the customer of the diverse culture. The company organized the events in different countries and the culture of each country varies along with the preference. The changes in the preference and the choices influence the company to bring the changes in the strategy (Rogers and Davidson, 2015). According to the preference, the company organizes the events and exhibitions. Technological factors- The technology factor might create the major impact on the working of the company. With the use of software, a company is able to identify the matching preference of buyers and suppliers. Moreover, this software provides a way to the company in generating opportunity for the business such as creating the customized schedules of meeting with the mutual agreement (Robinson, et.al, 2016). In the year 2013, the Reed travel exhibitions pre-scheduled approximately 210,000 meetings with the help of technology. Micro factors Suppliers- The suppliers of the company can influence the decisions of the company as they play a vital role in providing raw materials and required equipment. There are many suppliers with whom the company purchases the products. These suppliers hold the power in their hand for delivering the quality raw materials (Bowie, et.al, 2016). The company can switch the suppliers as they can easily get more suppliers in the competitive market. Therefore, there are many suppliers who want to form strong terms with the Reed Exhibition. Customers- Company might get affected due to the changes in the demand for the services considering the prices of the products. Reeds Exhibition Company is trying to deliver a platform for industry communities for conducting business and enable the exhibitors for targeting and attracting the new customers quickly and cost-effectively. The company is taking the benefit of this opportunity by targeting maximum customers (Ho, 2014). Competitors- The numbers of competitors are continuously increasing in the exhibition or event industry due to the increase in a number of customers. The competitors are affecting or influencing the decision of Reeds Exhibition (Mullakhmetov, et.al, 2016). The company is specialized in diverse sectors which include automobiles, beauty, and cosmetics, broadcasting, electronics, security, and safety. Hence, the company has strong competitors in different industries who are giving tough competition. General public- Company believes in satisfying the needs and expectations of customers, this is one of the primary objectives of the Reed Exhibition. The company is offering the diverse products to the customer that leads to the customer satisfaction. SWOT analysis Strength The company is having strong presence and position in the market which is a strength of Reed's Exhibition. The company delivers the delight services which fulfill the expectations of the customers. Hence, the strength of the company is to provide the customer satisfaction. The company tries to make use of the advanced software that helps the company in connecting people face to face. The use of technology is providing an advantage to Reed's managers to make deals more conveniently (Evans, 2015). Weakness The company is depended on the suppliers for raw materials which is a weakness of the company. The company should not be depended on the suppliers as the suppliers might increase the prices of the products which affect the working and the strategies of the company. Opportunities The company is having the opportunity to expand the business in the other market and the potential markets where the company is having the scope include China, Russia, Latin America and the Middle East. The company is performing more and more acquisitions that help the company in expanding the business in the market of China (Evans, 2015). Threats The market of the event exhibitions is increasing rapidly which ultimately increase the number of threats. The changes or fluctuations in the laws and regulations of the countries or nations might affect the working of the company and the strategies of the expansion (Hollensen, 2015). Conclusion The report talks about the external and internal analysis of the company discussed in the case study. The report includes the macro and micro factors along with the SWOT analysis which is necessary for tourism and hospitality management. This is the only way through which the company can analyze the market that is essential to take decisions to overcome the weakness and to grab the opportunity. References Bowie, D., Buttle, F., Brookes, M. and Mariussen, A., 2016.Hospitality marketing. Taylor Francis. CCPIT, 2015, Annual Report on Chinas Exhibition Industry 2015, Viewed on 4th January 2017, www.ccpit.org/Contents/Channel_3900/2016/0121/605710/.../file71453358973118.pdf Evans, N., 2015.Strategic management for tourism, hospitality and events. Routledge. Ho, J.K.K., 2014. Formulation of a systemic PEST analysis for strategic analysis.European academic research,2(5), pp.6478-6492. Hollensen, S., 2015.Marketing management: A relationship approach. Pearson Education. Mullakhmetov, K.S., Sadriev, R.D., Gabidinova, G.S. and Akhmetshin, E.M., 2016. Control in marketing-based management.Academy of Marketing Studies Journal,20(2), p.13. Robinson, P., Fallon, P., Cameron, H. and Crotts, J.C. eds., 2016.Operations management in the travel industry. CABI. Rogers, T. and Davidson, R., 2015.Marketing destinations and venues for conferences, conventions and business events(Vol. 14). Routledge.