Political factors - pest analysis of accor group of hotels, Other Subject

Politics shows a very fundamental role in the growth or failure of any particular industry. It is basically certain decisions taken by a group of people for the betterment of any specific location. Apart from the internal issues that are faced by various hotel groups, political factor are also challenges to be faced. The group is a global brand, which makes them involved in governmental aspects, which enables them to be aware of impacts caused by political factors. Political factors include the stability of the government, regulation trends, legislation of the employment, changes in the political environment, tax policies and controlling of tariff and trade which can effect the hotel chains in numerous ways (Mind Tools, 2012).

Mumbai is very stable politically as compared to other states of India. There has been a few issues because of the economic recession worldwide but these were faced by most countries in Asia-pacific. Researchers like Mike (2008), portray the reason for Mumbai being affected from the economic recession was because of leakage. In Mumbai, politics do not have instant effects after the government changes. It assures a bright future for the city, because as changes occur it helps in gaining better contacts and working together on

The changing decisions. Ethically it may not be right to render support in order to give any particular organization a competitive advantage over others. In terms of population Mumbai alone has 15 million people residence, which gives rise to issues such as unemployment and union issues. Usually labor issues as caused because of a political influence. If strong contacts are established unethically it helps in reduces the occurrence of labor strikes etc.

Zurich in terms of politics is also one of the most stable cities globally. Switzerland being a part of the European Union faces issues from the illegal immigrants trying to work illegally. Even after so many countries of Europe facing the economic recession, Zurich is one of the few cities offering a strong pay scale. Another reason for the Zurich staying financially strong is the tons of foreign money being stored in the Swiss banks. Moreover Zurich being financial hub political changes, do not affect the everyday running of Ibis Zurich as such. Putting together all the impacts economically it would be best to conclude to saying it depends on how well does an organization set up contacts with their respective governments. Lastly it is very necessary for every country to maintain their international relations, so that in time of need support will come in from around the globe.

Posted Date: 3/30/2013 7:09:19 AM | Location : United States

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