Analyses of the organization´s macro and micro environment
2.1 Macro and micro environment of Aktia Lounge Hotel & Spa
Every business travel and tourism organization has a so-called ‘business environment’. This is another term for the factors which affect the organization and its market. Some of these factors – the micro-environment – are ‘close’ to the organization, physically and/or organizationally speaking, such as suppliers and intermediaries. These factors can be influenced or even controlled by the organization.
However, the business environment also includes the macro-environment; this comprises wider, more remote factors which have great influence, but over which the organization has no control and practically little or no influence. These factors exist at a national or even global level, and are therefore well outside the physical or organizational field of influence of any individual business travel and tourism organization.
These macro-environment factors are very influential in business tourism, and organizations therefore must seek to try to anticipate them and proactively prepare for them.
In this report the author will explore some of the complex issues involved in the macro environment in hotel industry. First, the author will identify the main elements of the macro-environment, using the well-known SWOT analysis technique. SWOT stands for strengths, weaknesses, opportunities and threats. A SWOT analysis identifies strengths and weaknesses within a company, and outside opportunities and threats. Strengths are internal characteristics of a company such as skills, resources, capabilities and brands. Weaknesses are internal characteristics such as such as sources of customer or employee dissatisfaction. Opportunities are external market expansion possibilities, technological improvements or competitor weaknesses. Threats come from external factors such as new competitors, dissatisfied customers or changing market needs. See Figure 1.
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Flexibility Tailor-made product delivery Entrepreneurial activity Family involvement Natural and cultural resources Strong local character Personalised relationships Labour loyalty and low turnover |
Management Marketing Information technologies illiteracy Dependence upon tour operators Supporting markets Lack of economies of scale Human resources management Education and training Transportation and accessibility Financial management and resources Seasonality Lack of standardisation Lack of quality assurances |
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European Union support European redistribution of labour Increase in tourism demand size Trends in tourism demand Low cost of living in periphery Information technology Infrastructure development Transportation Olympic Games |
Environmental degradation Concentration and globalisation Oversupply Lack of visibility in CRSs Infrastructure Wars/terrorism Political intervention |
Macro environment reflects the factors that indirectly affect a business but cannot be controlled by it. Macro environment includes such main six factors as: political, economic, technological, environmental, legal and social. While the micro environment deals with the specific environment of the organization - new patterns of organization and steering are required to be developed. Within the micro environment it is important that the layout of the physical infrastructure is focused on competitiveness.
Although Greece offers unique nature, culture and heritage, the lack of differentiation of the tourism product as well as competitive disadvantages in marketing and planning cause an over-dependence on intermediaries for the promotion and distribution of the tourism product whilst jeopardizing its quality. This affects the profitability and competitiveness of both the destination and its small and medium-sized tourism enterprises. The paper proposes a grand strategy as well as numerous strategic directions, objectives and tasks aiming to demonstrate the way ahead for Greek tourism. Several major opportunities emerge throught the major projects currently being undertaken which will enhance the infrastructure of the country. It is argued that a consistent tourism policy based on professional development and implemented through a Master Plan is urgently required.Strategies and methodologies need to be identified,whilst tprivateenterprisesneedtoincreasetheircooperationlocallyinorder to enhance the quality and competitiveness of the product.
Aktia Lounge Hotel & Spa main strength is that its management has ever expanding mentality, which means that the business is growing every year – lots of investments are done and the enterprise participates lively in market competition. Being a rated five star all inclusive hotel is strength, which shows companies service quality standard. There is a wide range of wellness and beauty services in Body & Mind Spa, as well the existence of child care centre, fitness club and sauna centre gives an advantage to provide various service complexes and add value with one service to another.