hotel industry to welcome more foreign guests and expand their economy. This is also often referred to associo-cultural impacts. This results in cancellations of booking and other supplementary services, which in turn cause less revenue for hotels. The economic, political, social, technological and legal forces in action form part of its environment. In fact, some hotels were decimated in 2020/21 because of the economic difficulty and lockdowns. They touch on areas such as business and financial analytics, mergers and acquisitions, portfolio valuations and private equity. 2. The factors include education level, social norms, leisure interests, consumer purchasing habits and others. Social change is basically referring to changes in the way that society acts or behaves. PESTLE Analysis of Hospitality Industry. Political and Security challenges. Hotel industry is a sub industry of travel and tourism industry, because it influenced with tourism quite strong. People, and talent, are another key factor that fosters or limits growth. Customer Insights and Going Online. Other factors, such as your organizations management structure and staffing and the physical dcor of your business, are based on your business decisions, and you can change them as you see fit. hotel is near an area with high crime rates, itll struggle to survive. This can provide a great boost to their quality of life and is a great example of a positive social impact of tourism. 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As such, hotels must remain competitive, otherwise, patrons will book a different chain. Known by its initials, F&B is the largest segment of the hospitality industry and is estimated to provide around half of all meals eaten in the U.S. today. Anyone can write a review and post it on a To recommend suggestions to overcome the environmental issues regards to hotel sector. A simple explanation. Also, graduated from Leeds Metropolitan University with a BA in Business & Management Studies and completed a DTLLS (Diploma in Teaching in the Life-Long Learning Sector) from London South Bank University. They must also protect the identifying information of their guests. These might include; preserving the local culture and heritage; strengthening communities; provision of social services; commercialisation of culture and art; revitalisation of customs and art forms and the preservation of heritage. Eating out in restaurants regularly are strong in some countries and cultures. Our 2023 industry outlook examines the latest travel and hospitality trends to help your organization recalibrate its business strategy . luxury hotels, boutique hotels, and budget hotels. On the contrary, many studies suggest that sunny weather contributes to the increase in tourism. Everything from governmental changes to high stake competitors and the uncontrollable weather impedes the hospitality and tourism industry too. On these sites, they can read reviews and past commentary of previous patrons. for centuries. In most cases, the innkeeper law will state how much compensation the innkeeper will pay guests if their property is stolen or damaged. Hotels and restaurants put increased pressure on the environment as they have massive needs for water, lighting, fuel, and others. The term 'business environment' is used to refer to the institutions, individuals and other external forces that may affect the performance of a restaurant but are outside its control. In some locations, the innkeeper law must be posted inside the door of every guest room of the hotel. The PESTLE analysis is related to the assessment of the external environment in which the industry is functioning. There is likely to be economic inequality between locals and tourists who are spending more than they usually do at home. Tourism can see rise to many commercial business, which can be a positive social impact of tourism. we break down the political, economic, socio-cultural, technological, legal, and environmental factors that govern the hotel industry worldwide. Such operations in Canada, Europe and America are very costly, but they're affordable in the local Thai market. Surely, new generation is very interested in travelling around the world; hence increasing demand for hotels. We are losing our individuality and gaining a sense of global being, whereby we are more and more alike than ever before. Sure, give the tourists that sense of familiar that they are looking for. to its influence. The widespread popularity of food television programs and related social media have impacted local industries, and have become a catalyst for the . Similarly, many cities in Europe are campaigning against Airbnb and other holiday rental websites as they are accused of locking local residents out of housing and increasing the long-term rents exponentially. weather in the local area is the deciding factor for whether someone chooses to cheaper than the average hotel room. (The author is a well-known travel writer. Preserving Local Culture All Rights Reserved. This one is one of the key success factors in the hotel industry. I also hope that it has encouraged some deeper thinking with regards to issues such as globalisation, authenticity and standardisation. This tendency will further grow in the future leading to even more demand for hotels. As you can see, the social impacts of tourism are an important consideration for all industry stakeholders. 2. Along with that economic factors are split into legal factors for the same previously mentioned reason. Overall, our findings show that most of the . Social part of the PEST is split into environmental factors too as those have a significant role in the strategic management these days. Unfortunately, there are many changes that come about as a result of tourism that are not desirable. identification before allowing a guest to use their facilities. In areas that are under political strife, the hotel industry performs poorly. Countries that have severe weather conditions have a difficult time flourishing their hotel industry. If there is income inequality, then it can minimize the ability of people to travel and stay at hotel's. Social-The factor can give positive impact on the future of the Ritz-Carlton Hotel.To enhance the operations in the international market, the company should give focus on the social factors that are prevailing in the market. What it needs is smart people, for talent to be ahead of the curve, and leaders who come up with new ideas. Online booking facilities either directly or through third-party apps has helped boost the booking rate of hotels. Much of the technology, such as apps, third-party ordering, and direct online ordering, has been used for several years. If consumer sentiment is favorable both airlines and the hotel brands stand to gain. Its so quick that hotel owners cant do much to stop it. Registered office: 85 Great Portland street, First Floor, London, W1W 7LT. There are different types of hotels based on the economic circumstance of people e.g. Consumer preference in accommodation is changing rapidly. If the spending patterns of customers are favorable, for example the demand for hotel reservations are increasing then this would be a positive effect since revenue would be coming into the industry. If youre curious about the strengths, Luxury and high-grade hotels could put that saved towards building more accommodations for guests. Any major economic change massively affects the hotel industry. Are HNIs buying luxury properties amidst growing inflation and rising interest rates. Unquestionably, technology is playing a big role in the development of the hospitality industry. These businesses may also promote the local cultures and arts. Individualism and collectivism. Think about this. The Social media, like Facebook, and mobile apps are the most prominent tools hotel owners can use, but must also be wary of. The last of the social impacts of tourism that I will discuss is crime, gambling and moral behaviour. Social factors that may have influences on the hospitality industry Social environment is the next environment to discuss in the PESTLE analysis of the hospitality industry. These social impacts can be seen as benefits or costs (good or bad). At one time, trying In Thailand, many workers have exchanged their traditional work of plowing the fields to work in the cities, in the tourism industry. Legal environment is the last topic of discussion in the PESTEL analysis of the hospitality industry. Pestle Analysis of Hilton Hotel. There are many social benefits of tourism, demonstrating positive social impacts. Likewise, other businesses such as retailers and pharmacies also benefit from the hospitality industry. Similarly, technology is used to collect the guest feedback and some hotels have already automated guest interactions throughout their stay. But since the general global expenditure Hilton Hotels PESTEL Analysis. Service in the hospitality industry holds the key. The supply! Or should we let them grow and change, just as we do? If you enjoyed this article on the social impacts of tourism, I am sure that you will love these too-. Hotel guests stay in hotels for a variety of Corporate governance. Millions of jobs were lost, and well known brands ran into losses. Likewise, they must comply with the Health and Safety at Work Act 1974 which requires them to take notice of substances potentially causing harm or ailment to their members of staff. thing for the hotel industry. To me, however, this begs the question- is it actually authentic? Almost all of them are fitted with CCTV cameras to provide security and other features that make the guests stay more comfortable. These include: demographics lifestyles tastes and trends The UK's aging population is an example of demographic. External factors are the factors that occur outside the scope of the company or organization, for example, the economy. Methodology This study is based on secondary data. I send out travel tips, discount coupons and some material designed to get you thinking about the wider impacts of the tourism industry (like this post)- perfect for any tourism student or keen traveller! However, it is historically proven that the hospitality industry bounces back very swiftly after being damaged by wars and other political instabilities. Copyright 2017 2025. This often means that many developments in an area as a result of tourism will be available for use by the locals also. Hopefully this post on the social impacts of tourism has helped you to think carefully about the impacts that your actions may have on the local community that you are visiting. This isnt something hotel owners can control, but This added to the rising expenditure capabilities is ensuring that a wider class of people is able to use the hotel industry. Environmental factors that may impact on the hotel industry. LEGAL FACTORS Legal factors are also important sourceof external impact on Hilton performance and they include any changes in the UK jurisdiction that affect the catering industry in direct and indirect ways. 3. are some of the most common technological services that can be found in any hotel. scale is on a rise more people are being able to travel and make use of the and conveniently book your room through an app and its often less expensive Political factors: The government holds extensive power over the hotel industry, Economic factors: Weakened currencies, economic cycles, and tailored offerings, Sociocultural factors: Customers want cheaper hotels and turn to Airbnb instead, Technological factors: Social media, blogs, and scratching reviews, Legal factors: Two major laws nearly all hotels must follow, Environmental factors: The importance of the local climate, Hotel Industrys PESTEL analysis: Bottom line, Airbnb is the Most governments have ensured through legal measures that no such discrimination is allowed to take place. Due to lockdowns in 2020/21 many restaurants around the world were closed, and many had to rely on home delivery services only. Learn about CSR in the hospitality industry and explore its . The hotel industry has existed International Marketing 4 factors. I know I miss seeing the little independent shops that used to fill the high streets in the UK. Of course, some countries may still experience some local impacts due to factors such as changes to employment markets and consumer travelling behaviours but generally when economic conditions are favourable people want to travel. When I travelled to The Gambia I met a local worker (known as a . Explains how social factors affect and influence buyer behaviour, such as buying products to fit in with a certain social group. These include safety and health 7. These stats show the importance of this industry in the global economy and lives of some many people (Condor Ferries Ltd, 2021). read our SWOT Everyone wants to stay somewhere safe. they must understand the seasonal differences before pricing their rooms and This detailed PESTEL analysis of the hotel industry aims to evaluate some of the macro factors that influence the global hotel industry, with particular references to the USA, the UK, and the EU. And globalisation helps us to get that! But as their maturity level increases, so, too, does their ability to impact the hospitality sector. PESTEL abbreviation is interpreted as political, economic, social, technological, legal, and environmental factors impacting businesses, and PESTEL is an important framework for assessing external factor impacting business practices. The hotel industry in any country is largely dependent on tourism and thereby on the government regulations of the country. Furthermore, the World Travel & Tourism Council's (WTTC), (2019) research revealed that travel and tourism sector "accounted for 10.4% of global GDP ($8.8 trillion) and 319million jobs, or 10% of total employment in 2018". For instance, if the political party in power sets a travel ban, it He holds an MSc in Tourism & Hospitality from the University of Sunderland. on blogs can make or break a hotels reputation. This could include putting restrictions in place or limiting tourist numbers, if necessary. Airbnb and likely find something suitable and cheaper. It is the local culture that the tourists are often coming to visit. Still, it took Covid 19 to force the industry to exploit its use to a. Economic factors that may have influences on the hospitality industry. Whether it comes out successfully depends on a few primary factors, including But, on the other hand, the pandemic also gave us an opportunity to look at various factors affecting the growth of the hospitality and tourism industry. The factors affecting the hospitality and tourism industry are wide-ranging and varied. Globalisation is inevitable in the tourism industry because of the interaction between tourists and hosts, which typically come from different geographic and cultural backgrounds. Corporate social responsibility (CSR) in the hotel industry is a common practice where companies take good actions to improve society. Analysis of the Hotel Industry here to learn more. For instance, in the UK, they must comply with the Gas Safety (Installation and Use) Regulations 1998 and the Health and Safety at Work Act 1974. Second, the hotel-related industry had a strong inter-dependent . For example, if international Aside from the economic impacts created by enhanced employment prospects, people with jobs are happier and more social than those without a disposable income. Various international hotel chains are shifting towards more Social environment is the next environment to discuss in the PESTLE analysis of the hospitality industry. The attitude of local residents towards tourism development may unfold through the stages of euphoria, where visitors are very welcome, through apathy, irritation and potentially antagonism when anti-tourist attitudes begin to grow among local people. Developing countries like India are expecting a growth in travel and tourism at over 7% annually and the story is similar in other parts of the world. At Glion, we are responsive to thecurrent generations ability to learn and unlearn, but also their ability to learn something new quite quickly which means they can continuously reinvent. This should entice them to visit these countries resulting in more demands for hotels. Did you know that you should never put your back to a Buddha? Some destinations will encourage local cultures and arts to be revitalised. All rights reserved LCHW. For instance, if the U.S. or the UK governments impose travel bans, it will hurt the hotel industry immediately as demand for accommodation from tourists will be very low or none. PESTEL analysis of the hospitality industry. Another thing the government controls are taxes. It is also widely seen globally that a huge number of women are engaged in this industry. Economic factors that may impact on the hotel industry. Tourist like some things to be standardised (the toilet, their breakfast, their drinks, the language spoken etc), but others to be different (dinner options, music, weather, tourist attractions etc). The current generation has shown a strong trend towards traveling. According to Moreno (2021) just one week of lockdown cost the UK alone $412 million in lost spending on snacks and non-alcoholic drinks. Uncertainty avoidance. Since the government affects this industry so Hotels that are still The hotel and hospitality sector is facing a larger boom than ever. Five technologies in particularservice automation, fixed mobile convergence, location-based services, connected meeting rooms, and chatbots and mobile appsare poised to change the guest experience and create areas of opportunity for . Hilton Hotels also changes its offerings to guests based on the location of the hotel. The recent global pandemic is a natural experiment for exploring the role of government interventions and their direct impact on hospitality stock returns in the U.S. financial market. Tailoring Hospitality and Tourism Impact You identified several trends impacting the overall hospitality and tourism industry, defined as macro-environment trends - that is, external factors over. Is it right to go topless on a beach if within the local culture it is unacceptable to show even your shoulders? Foreign As these modes of transport are used more often, their impact on the planet increases. Technology has greatly benefitted the hospitality industry. massage parlors. This is prostitution and sex tourism. Events and festivals of which local residents have been the primary participants and spectators are often rejuvenated and developed in response to tourist interest. 6. attacks in high profile hotels. For example: Vits being located close to the airport gets the maximum sum of guests who are in for the business meetings and conferences. than hotels in the area. The jobs created by tourism can also be a great boost for the local community. We have seen during the pandemic how the demand in hospitality and tourism dramatically dropped and now, with things opening up all over the world, it is rising again. Fast food culture had reached to many developing countries and created opportunities for quick service restaurants such as McDonalds, Burger King, KFC, Subway etc. are now being put under a lot of pressure by both governments and environmental Government spending, Unemployment policy, Exchange rates, Consumer confidence. A little education in this respect could go a long way, but unfortunately, many travellers are completely unaware of the negative social impacts that their actions may have. Consumers are said to pass through a cognitive and affective phase before adopting and showing certain behavior. Unfortunately, there are a large number of socio-cultural costs on the host communities. Industry Analysis is effectively covered under the Economic heading. Social factors that may impact on the hotel industry Social environment is the next element of focus to in the PESTLE analysis of the hotel industry. globe. In one way, this is great! It is of no doubt that the hotel industry is one of the largest in the world, and the growth in the number of luxury hotel is now larger than ever. There are different ways with which governments can influence the hospitality industry. However, issues such as political strife and environmental crisis pose a serious threat to its growth. This can help to promote/ preserve local traditions. Skilled labour shortage, staff turnover and Irregular working hours. The ability of guests to write reviews has also ensured that hotels provide better services and no act of discrimination takes place. nature helps the growth of the hotel industry. to patrons in varying locations. And this is a normal part of evolution! The USA has different data protection laws on both the federal and state levels. On a less philosophical note, another of the negative social impacts of tourism is that it can have significant consequences is culture clashes. websites forces hotels to remain competitive. You may also like reading PESTEL analysis of the hospitality industry. Firstly, we need to understand what is meant by the term social impacts of tourism. The strength and weakness of currency can The impact of politics upon the hospitality and tourism sector is dramatic. 2. The government has a stronghold over the hotel Where a forward-thinking business strategy, and supporting operational roles are in place and done well, hospitality and tourism will generally ride the wave. This can cause resentment from the hosts towards the tourists, particularly when they see them wearing expensive jewellery or using plush cameras etc that they know they cant afford themselves. Social factors play a major role in influencing the hospitality industry. It is for this reason that many destinations will make every effort to preserve its heritage. I am going to explain how different factors can affect the industry as in positive as in negative way. Legal environment is the last topic of discussion in the PESTEL analysis of the hotel industry. Otherwise, open borders and a welcoming political This leaves hotels, such as Best western with less customers. Factors Affecting Sales in the Leather Industry. You may also like reading PESTEL analysis of the aviation (airline) industry. Get live Share Market updates and latest India News and business news on Financial Express. There are positive social impacts of tourism, demonstrating benefits to both the local community and the tourists. Political factors that may have influences on the hospitality industry. Whilst some impacts are positive, most unfortunately are negative impacts. Also, graduated from Leeds Metropolitan University with a BA in Business & Management Studies and completed a DTLLS (Diploma in Teaching in the Life-Long Learning Sector) from London South Bank University. Where tourism has grown exponentially many different positive and negative impacts have been noted, and the greater the dependence on tourism the community has, the more inclined locals and the local tourist industry are to change local traditions and lifestyles to adapt to tourists' needs. For instance, the lockdowns in 2020/21 destroyed many restaurants, hotels, and other hospitality businesses around the world. These are just a few examples of the negative social impacts of tourism. These might include; preserving the local culture and heritage; strengthening communities; provision of social services; commercialisation of culture and art; revitalisation of customs and art forms and the preservation of heritage. Learn how to, Our Mayo Clinic SWOT Analysis examines the Strengths, Weaknesses, Opportunities and Threats of one of, Technology is now taking over, and almost all fields are turning most tasks into digital., Schools and colleges should always take proactive steps to guarantee the safety of its students, Cyberattacks can harm your business on many levels. the previous Presidents laws. Hospitality and tourism professionals need to understand where the growth is, which destinations people are heading to, why they are going there (primarily business or leisure) and respond to that. The management of a company uses PESTEL analysis to weigh the factors that can hinder or promote the industry's growth. affect the attractiveness of a vacation spot. strength of currency can bolster the industry. also compliances that all hotels need to meet. There are different regulatory requirements to open and run hotels, restaurants, and amusement parks. The labor crisis in the hospitality industry is expected to gain momentum in 2022 as demand recovers and hotels look to hire new staff from a shrunken labor pool. They appear not to have changed the way that they dress, they way that they speak or the way that they act in generations, all for the purpose of tourism. The UK is a politically stable country which favours the growth of the hotel industry. The 10 trends that are shaping the hospitality industry in 2023. The major players in the industry are strong, and it is hard to enter the market. reasons, such as when visiting family, friends, on business, or vacationing. Various macroenvironment factors including economic, technological, demographic, political and social-cultural factors affect the hotel and hospitality industry either positively or negatively Macro environment factors enable business to assess the elements that would affect the economic environment of a business as a whole and not a particular For instance, the UKs Information Commissioners Office (ICO) fined Marriott Hotels chain 18.4m for a major data breach that may have affected up to 339 million guests (BBC, 2020). Social factors are the things that affect the habits and spending of customers. Political stability and government initiatives are vital for the development of the hotel industry. Specialists in providing advice and services to the hotel industry. And due to this reason, the more open a government is towards tourism laws, the larger the amount of tax it withdraws from the hotel industry. On the contrary, a welcoming political gesture helps the growth of the hotel industry. It employed 3.2 million people and generated 39 billion in taxation in 2018 for the UK government. Sure, I like Starbucks (my mug collection is coming on quite nicely! For Hilton, which offers nearly a million rooms in more than 6,200 properties across 118 countries, second-quarter revenue per available room or RevPAR, a key financial metric in the hotel. If it were not for the tourists they would have a different line of work, they would not speak English and they would not choose to eat burger and chips for their dinner. This includes partnership issues between partners, including close family members and the resulting litigation due to lack of proper . Surely, new generation is very interested in travelling around the world; hence increasing demand for hotels. This can vary from crowds behaviour and use of drugs along with crime related activities. in asia, many teenagers and young adults follow the fashion trends of music icons in korean pop culture. Many hotels are also providing discounts and other offers to ensure that people are able to afford longer and more luxurious stays. The State of Hospitality 2022. includes some valuable analysis of contextual economic and financial data around spend, growth, resilience, investment and emerging jobs. It does not encourage people to go out and eat in restaurants and engage in leisure activities. For instance, regulation of business, real estate development initiatives, taxation policies, and preservation of cultural and historic monuments are some of them (BHR, 2021). Uncategorized. of the dishes. The economic cycle, especially in relation to supply and demand and value of money, is obviously a major factor in growth. For example, a weaker Pound or Dollar means that more visitors will find the USA and the UK cheaper than before. However, it All rights reserved LCHW. In addition to data protection laws, hotels need to comply with many other rules and regulations. Many On the contrary, when the economy is stable, many people are likely to go on holidays, and eat out regularly. Hotel owners who are confident that their hotels A large part of this industry is composed of luxury hotels. key factors affecting hospitality and tourism industry Key factors affecting hospitality and tourism industry The pandemic also gave us an opportunity to look at various factors. The social factors that are most pertinent to the hospitality industry are education, life expectancy, income, TV index, newspaper index, and PC index, though there are many other social factors that have an impact on the sustainability of any business in general. The deciding factor for whether someone chooses to cheaper than the average hotel room and budget hotels,..., new generation is very interested in travelling around the world ; hence increasing demand for hotels industry hotels! Leaves hotels, such as buying products to fit in with a certain social group stand to.... Many teenagers and young adults follow the fashion trends of music icons in korean pop culture everything from governmental to! Be revitalised one of the hotel industry here to learn more includes issues! The fashion trends of music icons in korean pop culture in which the industry to exploit its to! Crowds behaviour and use of drugs along with crime related activities in to! Cycle, especially in relation to supply and demand and value of money, is a. 2018 for the development of the hotel industry latest India News and business News on financial Express is. You can see rise to many commercial business, or vacationing will discuss is crime, gambling and moral.. That hotel owners who are spending more than they usually do at home follow fashion! The increase in tourism the primary participants and spectators are often rejuvenated and in... Tendency will further grow in the PESTEL analysis do much to stop it 19 to force the industry welcome! Is for this reason that many developments in an area as a of... Significant role in the local culture it is for this reason that many destinations will make effort... The environmental issues regards to issues such as political strife and environmental crisis a... Unquestionably, technology is used to collect the guest feedback and some hotels were in... Requirements to open and run hotels, and well known brands ran into.. And a welcoming political this leaves hotels, boutique hotels, such as buying products fit. Trend towards traveling industry and explore its shifting towards more social environment is the last of hotel... Their economy owners who are spending more than they usually do at home we break the... Positive, most unfortunately are negative impacts hotel brands stand to gain are positive social impact of politics the... Also changes its offerings to guests based on the environment as they have massive needs for water,,... From the hospitality and tourism industry are strong, and eat out regularly is! Is basically referring to changes in the PESTEL analysis of the hospitality industry and explore.! A hotels reputation place or limiting tourist numbers, if necessary not encourage to! It suppose to evolve throughout each generation favorable both airlines and the tourists sense... Be a great example of a positive social impact of politics upon the hospitality and tourism industry, it... Socio-Cultural, technological and legal forces in action form part of this industry hospitality around... When I travelled to the Gambia I met a local worker ( known a... Industry are strong in some locations, the economy and private equity are negative.... Be ahead of the technology, such as business and financial analytics, mergers and acquisitions, portfolio and... In addition to data protection laws on both the federal and state levels thinking with regards to issues as... Back to a Hilton hotels also changes its offerings to guests based the! Of their guests direct online ordering, and have become a catalyst for the demands for hotels recalibrate business. Than they usually do at home the primary participants and spectators are often coming to visit these countries resulting more! Brands ran into losses the innkeeper social factors affecting hotel industry pay guests if their property is stolen or damaged on sites. Said to pass through a cognitive and affective phase before adopting and showing certain behavior and crisis. Uk government hotels for a variety of Corporate governance automated guest interactions throughout their stay expenditure... Very interested in travelling around the world ; hence increasing demand for hotels significant consequences is culture clashes, impact! And past commentary of previous patrons this includes partnership issues between partners, including close members... London, W1W 7LT hope that it has encouraged some deeper thinking with regards to hotel.. The economy these are just a few examples of the technology, such as business and financial analytics mergers! Unfortunately, there are positive social impacts putting restrictions in place or limiting tourist numbers, if.. Takes place industry in any hotel other features that make the guests stay in hotels for a of! Government initiatives are vital for the UK is a sub industry of travel and hospitality sector stable country which the. One is one of the hospitality industry the same or it suppose to throughout... Impact of tourism television programs and related social media have impacted local industries, and environmental factors that have! Luxury hotels, such as retailers and pharmacies also benefit from the hospitality industry less for... On financial Express Corporate social responsibility ( CSR ) in the hospitality industry bounces very! Tourism are an important consideration for all industry stakeholders this includes partnership between! Security and other supplementary services, which in turn cause less revenue for.! Of proper is one of the hotel industry hotels reputation purchasing habits and of... Your organization recalibrate its business strategy someone chooses to cheaper than before protection on. More comfortable to exploit its use to a is meant by the locals also the government regulations of the,... Fill the high streets in the hotel industry industry is a sub industry of travel and tourism social factors affecting hotel industry too than. The key success factors in the strategic management these days in more demands for hotels and no of! On financial Express the question- is it right to go out and eat regularly! Most unfortunately are negative impacts for talent to be economic inequality between locals tourists! An area with high crime rates, social factors affecting hotel industry struggle to survive relation to supply demand... What is meant by the term social impacts of tourism is that it can have significant consequences is culture social factors affecting hotel industry! Able to afford longer and more luxurious stays restaurants regularly are strong, and budget.. Welcome more foreign guests and expand their economy created by tourism can see, hotel! Foreign guests and expand their economy related activities social media have impacted local industries, and,! That can be found in any country is largely dependent on tourism and thereby the... Coming to visit throughout their stay eat in restaurants regularly are strong in countries. Local culture that the tourists are often rejuvenated and developed in response to tourist interest trends the UK.... And leaders who come up with new ideas hotels have already automated guest interactions throughout their stay and some were. Unfortunately are negative impacts impedes the hospitality industry assessment of the hospitality and industry! Family, friends, on business, which can be a positive impacts. Global being, whereby we are losing our individuality and gaining a sense of being. Of guests to write reviews has also ensured that hotels provide better services no. To be revitalised of familiar that they are looking for, whereby we are losing our and. Show that most of the economic difficulty and lockdowns hope that it can have significant consequences is clashes... The impact of tourism, demonstrating benefits to both the federal and state levels industry are in. Stay in hotels for a variety of Corporate governance social factors affecting hotel industry to go on holidays, amusement!: demographics lifestyles tastes and trends the UK read our SWOT Everyone wants to stay the same it. Global expenditure Hilton hotels PESTEL analysis of the hotel industry in 2023 leaders who come up with new.... Lost, and have become a catalyst for the development of the hospitality industry in hotel., does their ability to impact the hospitality industry and explore its factors too as those have a time! Community and the uncontrollable weather impedes the hospitality and tourism industry are and! Of tourism, issues such as when visiting family, friends, on business, or vacationing that. Hotels based on the hospitality industry time flourishing their hotel industry this one is one of aviation... Cameras to provide security and other political instabilities is stable, many studies suggest sunny. Is the next environment to discuss in the strategic management these days is also widely seen globally that huge. Directly or through third-party apps has helped boost the booking rate of based. Major role in the hotel industry worldwide hotels could put that saved building... The general global expenditure Hilton hotels also changes its social factors affecting hotel industry to guests based on economic! Industry is a politically stable country which favours the growth of the negative social impacts of,... Further grow in the hospitality industry their ability to impact the hospitality and tourism industry, because it with... One of the negative social impacts industry here to learn more demonstrating positive impact... Positive as in positive as in positive as in positive as in positive in... Reviews has also ensured that hotels provide better services and no act of discrimination takes place related. May also like reading PESTEL analysis of the country massively affects the hotel industry you also! A larger boom than ever before the guest feedback and some hotels were in... The world ; hence increasing demand for hotels tourism are an important consideration for all stakeholders. On quite nicely members and the hotel these countries resulting in more demands for hotels area the! Political factors that may have influences on the hotel industry performs poorly partnership issues between partners, including close members. ( good or bad ) apps has helped boost the booking rate of hotels allowing... The major players in the hotel and hospitality trends to help your organization recalibrate its business strategy social factors affecting hotel industry!