Accommodation Food Services Industry Sheet -Myassignmenthelp.Com

Question: Discuss About The Accommodation Food Services Industry Sheet? Answer: Introduction Marketing is considered as the basic pillar of any business organisation and the primary determinant of the success of an organisation regardless of the industry it operates in. The marketing process of a business is controlled by two major environmental factors that are internal and external. Internal environment of an organisation is consisted of the primary stakeholders involved, whereas, the external environment can again be divided into two major segments that are micro and macro (Kumar, Rahman Kazmi, 2013). The report will be focusing on the macro environmental factors that are considered as uncontrollable as the managers are unable to modify or regulate the macro environmental factors. These factors plays active role in determining the success of a business. The managers are responsible for altering the business operations accordingly to the external forces for attaining competitive advantage in the market. The focus will be given on the contemporary hospitality industry of A ustralia. The forces that will be investigated are political and legal, social-cultural, economic, technological, demographic and competition (Gupta, 2013). The focus of the report will be narrowed down to the hotel industry of Australia that is the primary part of the contemporary hospitality industry for better understanding the forces and its impact on the organisations. Macro Environmental Analysis Macro environmental analysis is the study of the external uncontrollable forces that determines the competitiveness of an organisation in a particular market. Managers often uses PESTLE analysis tool for understanding the possible nature of the macro environment. The PESTLE stands for political, economical, socio-cultural, technological, legal and environmental factors (Ho, 2014). However, managers changes the components according to their requirement of knowledge. The domestic and international factors that will be used for understanding the macro environment of contemporary hospitality industry of Australia are Demographic, economic, competition, society and culture, political and legal and technology. Demographic Slow but steady demographic change in the Australian population resulted into multiculturalism. There is a significant rise in the Asian and Middle Eastern population within Australian brings considerably change in the culture and shifts the taste towards a multicultural approach (Hugo, 2013). This makes it necessary for the hospitality organisation to take similar approach for being competitive. However, this facilitates them in addressing a multicultural international tourist. Hence, requirement of both the primary target population becomes similar. However, it makes it difficult for the organisations to cope up with the change, as it is cost effective. Economic Purchasing power per capita of Australian population reflects a figure of $44414 USD that is significantly high and represents the disposable income of the population (tradingeconomics.com, 2018). This represents a stable economic condition of Australian population, which is beneficial for the hospitality industry. Moreover, economic growth of the world provides suitable situation for the Australian hospitality organisation to flourish in the present and upcoming years. Competition Competition in the hospitality industry is considerably high due to the presence of greater number competitors in the market. Moreover, the similar services provided to the customers increases the tension in the competition. This tension increased in recent times due to the expansion of the international organisation in the Australian territory. Society and Culture The industry has to entertain a large number of international customers that can be considered as the primary source of profit along with significant domestic travellers. Moreover, increasing globalisation resulting into cross-cultural population requires the organisations for setting international customer service and accommodation (Yu, Byun Lee, 2014). On to it, the constantly changing trend in the customers lifestyle demanding constant modification of the service provided. This put Australian hospitality organisation under severe pressure for copping up with the shift in trend for gaining competitive advantage. Political and Legal Stable political scenario has positive impact on the contemporary hospitality industry of Australia and supported in attraction of international travellers. Australian commonwealth government has set some key legislative acts that governs the service quality of the industry that are competition and consumer act 2010, Australian consumer law and National trade measurement legislation (business.gov.au, 2018). CCA communicates the relationship between all the mediators of hospitality service provides securing the fair-trading and competition around the nation (accc.gov.au, 2018). Australian consumer law makes it mandatory for the hospitality organisation to provide equal benefits to the customers irrespective of state (consumerlaw.gov.au, 2018). National measurement act lastly safeguards the uniform use of the units and standards around the country, which provides equal opportunity for the hospitality organisation that ultimately ensures the quality of the products delivered to the cust omers (measurement.gov.au, 2018). Moreover, GST and tax concessions set by the government ensures fair price for the products being delivered that ensures fair competition in the market. Technology Technological adaptation in hospitality industry is dependent on the technological advancement of the target customers and the willingness to pay for the services. Australia is one of the holiday destinations for the international customers that put the hospitality organisation under pressure for constantly upgrading their technological support for getting competitive advantage in the market (Wang et al, 2016). This requires them to set international standards for their technological adaptation for both attracting and supporting the customers needs. On to it, their promotion and booking is also largely dependent on the modern technology and requires the use of social networking, online activities, online presence and involvement of third party booking agencies (Leung et al, 2013). Moreover, the technological advancement of the domestic market also expects the organisations to adopt updated technologies in their business operations. Conclusion The above macro environmental analysis of Australia for the contemporary hospitality industry communicates the appropriate nature of the market enjoyed by the organisations. The political and legal factors promote and entertain tourism within Australia that plays profitable for the hospitality industry. The fair act of the nation ensures the quality of services provided by the organisations. This helps the organisations enjoy similar benefits for the similar quality products being delivered to the customers. Moreover, technological advancement of the country also facilitates in attracting customers from both national and international target market. Technological advancement further helps adopting digital media marketing, which further helps in addressing the international customers as the services offered are communicated through various digital modes to its target market. Moreover, technological integration in the business helps both serving the customers with greater efficiency an d understanding their experiences through online feedback system. The society and culture also have positive impact and facilitates the industry to grow over the market. This however, has a negative stance due to the multiculturalism. The multicultural customers create the need of having diversified products for addressing the diversified need. However, with increasing number of international organisation expanding their reach in the Australian market facilitates in creating competitive market. The economic and demographic factors on the other hand help reducing the tension and provide the customers a wide range of products and services that helps every organisation to have its share in the market. Reference accc.gov.au. (2018). Australian Competition and Consumer Commission. Retrieved 27 January 2018, from https://www.accc.gov.au/about-us/australian-competition-consumer-commission/legislation business.gov.au. (2018). Accommodation and food services industry fact sheet. Retrieved 27 January 2018, from https://www.business.gov.au/info/plan-and-start/develop-your-business-plans/industry-research/accommodation-and-food-services-industry-fact-sheet consumerlaw.gov.au. (2018).Resources and guides Australian Consumer Law. Retrieved 27 January 2018, from https://consumerlaw.gov.au/business-and-the-acl/ Gupta, A. (2013). Environmental and pest analysis: An approach to external business environment.Merit Research Journal of Art, Social Science and Humanities,1(2), 13-17. Ho, J. K. K. 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