Therefore, there are more mainland cuisines traveler came to Hong Kong for business. It benefits to our company as the market are growing to a larger scale. We can gain revenue in accommodating the development of market. However, these issues also attract a lot of foreigner and mainland investors enter to the Hong Kong hospitality market. There are some potential competitors growing up that may be a threat of our company. Consequently, we need to analyze the market more frequently and be aware of new competitors. Otherwise, it may have a negative effect to our business.
Economic Regarding the economic environment, we are most concerning the exchange ate of currency and inflation rate of Hong Kong. These factors have the vast impact to our business operation and decision making. First, the exchange rate between Hong Kong dollars and ARM is increasing. With the development of China business, we had more opportunity to earn ARM in hotel. For the recent years, the hospitality industry accommodating the mainland market, so that a large amount of ARM inflow to Hong Kong. According to the exchange rate from Hong Kong dollar to ARM, 1 ARM equal to 1 . 723 Hong Kong Dollars. The exchange rate is still increasing as the result f the development of China market. We can gain more revenue by the difference of exchange rate. Nevertheless, under the linked exchange rate system, the exchange rate between HOOK and USED is stabilizing at a fixed rate of 1 USED equal to 7. 8 Hong Kong Dollars. As the result of U. S. A economy depression, it affects the value of Hong Kong Dollars. Second, the changing of inflation rate influences the cost of goods. According to the data of Trading- Economy, the inflation rate increase quickly from 2010 to 2013.
Hospitality Industry In Hong Kong
The value of money decreases with the inflation rate which related to our business operation. Moreover, the financial planning and strategy need to change to fit the market. The customers tend to save money or reduce the cost as the price of goods and services will also increase. They will be not willing to spend in our hotel. Consequently, it may directly affect the revenue. Coloratura In this factor, it includes the culture aspect, the demographical factors and lifestyle, etc. The trend of the market is also being concern. For the trend of buying access, the customers are being more carefully when they making decision in purchase.
As there are lots of competitors in hospitality industry, everyone provide high standard or more individual service which not only meet but exceed the customers’ expectation. The needs and wants of market overcome the basic level such as accommodation and safety. Moreover, their perception of SE;CE increases from time to time. They would do information search and review the others guests comment before purchasing the service. On the other hand, the brand and company image in the hotel is necessary for attracting new customers and keeping loyalty customers. In customer point of view, the brand image represents the service quality of the hotel.
For Sheraton Hotel, it has an international brand that representing luxury service. It will be a benefit to attract new customers. However, even the guests do not experience the service provided by Our hotel, they will have a higher expectation than the other hotels. From the consumer attitudes and opinions, it is important to check the guest opinions for further improvement. There is a part of guests review on the Sheraton official website. The guests could leave the comment after experienced the service. According to the guests rating, there are five criteria to measure the hotel service quality which are
Room Comfort, Staff, Room Cleanliness, Facilities and SSP Recognition. The ratings are around 3. 8 to 4. 3 out of 5. It reflects that the guests satisfied with the current product and service provided by Sheraton hotel. Technological To analyze the technological factors, it includes the technological changes and development. After that, it may affect the cost, quality of our hotel and lead to innovation of service by technology. Development of WI-IF hot spot, it is becoming a new way to access the internet by wireless equipment. Most of the people trend to use smart phones or devices. They can enter the network everywhere.
As a business traveler, they can connect with the others on the internet and exchange information. They can also do business on it. Therefore, most of the hotels in Hong Kong develop the technology of WI-IF spot, so that it can be convenient to the guests in our hotel. In the past, it is an Innovative technology for business use. Nowadays, it becomes a basic need for everyone. About technology access, check-in and check-out are the time consuming process of the hotel. If the E-channel applies into hotel to create a self-check-in system, it may reduce the time of check-in and check- out.
The Hong Kong citizen can check-in without the complicated procedure. It would be a innovative potential technology which deeply affect the hospitality industry. Moreover, technology also is the bridge of global communications. As for the Stardom hotel group, the base of customers would be very large that cannot be record in black and white, especially for loyal customer. If the hotel can share the information by the internet, the guests would be more oriented to our hotel services. Natural The natural environment of Hong Kong, it is an over-developed city that the natural resources are used for the city planning.
As a result, the pollution of Hong Kong is much more serious than the foreign country. Moreover, diseases would be also a critical factor which affecting the hospitality industry. Regarding the pollution of Hong Kong, According to the Air Pollution Index (API), it is a calculation method of air pollution by measuring the scale of pollutant in the air. The result reflected that the pollution become more serious. It may affect the traveler Visiting Hong Kong, either business or leisure traveler. The Sheraton is located in Attitudes where the highest air pollution district in Hong Kong.