Conclusion
In conclusion, a PEST analysis together with a SWOT analysis helps to evaluate a business and therefore establish its ability to thrive in the market. A SWOT analysis of Sun Golden Hotel reveals several strengths, weaknesses, opportunities, and threats to the business. Among the strengths identified are its new, modern equipment and superb room conditions which are because it is a new establishment and a customer-focused motto aimed at improving the services offered continuously. Also, its discounted offers serve as a strong point. The weaknesses identified in this analysis are lack of experience since the hotel is new and the lack of public information about the hotel. As a new establishment, it is difficult to get customers. The paper also identifies several opportunities that can be exploited. They include the hotel's excellent director and CEO who will use their experience and connections to expand the business. The threats to the establishment include high initial and rental cost, competition from other hotels and the issue of environment and safety.
An analysis of the political, economic, social and technological environments (PEST) OF the Sun Golden Hotel also revealed key concepts. The political factors affecting the hotel are the policies of the land regarding tourism, health, food, Tax, consumption policy, service industry and construction. Economic factors are customer income, inflation, expected revenue, cost of labor, and inflation among others. As discussed herein, the social issues affecting the business include the rate of population growth, demographics, age distribution and increased public consciousness with regards to food and health. The technological factors identified are the rising popularity and, therefore, potential of social media, waste management systems and energy efficient system. As a hotel that is focused towards future growth and expansion, paying attention to the key factors identified in the PEST analysis will be extremely vital as it will aid the business to understand the industry better and thus attain a competitive advantage. The SWOT and PEST analyses aid in the formulation and implementation of informed strategies that will help the hotel attain its short-term and long-term goals.
Recommendations
Presently, Sun Golden hotel is a 3-star hotel under new management looking to build its brand and expand. As such it is vital to have a strategic approach to business in a manner that gives the business an upper hand over the competition while also ensuring profitability. Basing on the PEST and SWOT analysis of the firm, the hotel can benefit from various strategies. The first recommendation is that Sun Golden should invest heavily on adverting through various channels including social media, television, and radio and via industry magazines. Secondly, the hotel should provide relevant training to its workers and emphasize that they operate as guided by the hotel motto which is Customer is God. Focusing on the consumer will create customer loyalty and help increase the business market share. Finally, the hotel should offer attractive package deals to organizations and corporations while also providing special holiday offers to customers. This will raise the hotel’s status as a preferred destination for both business and individuals which will increase the firm’s profitability.