Tourism is the source for the fact that Hospitality industry is turning towards Globalization. Tourism alongwithHospitality Industry is the most important aspect for some countries as it is the major source of foreigncurrency for any country and arguably the largest employer for the country.As it is rightly said,”
In many countries, where tourism has become a major export industry, the hospitalitysector is the focal point for concepts of globalization to take root.”[Cline R.:1995]Roadhouse Hotels as we know from the worksheet given is a well-known chain of budget hotels andconsidering the basic management tools in the form of PEST and SWOT along with the country rating chart wewould analyse two countries from different continents viz. Newzealand and India.
Reasons for Choosing Newzealand and India
International tourism expenditure is expected to be soft (down 2 per cent in 2009), followed by a recovery in2010 (up 4.5 per cent). A larger increase in spending (up 9.1 per cent) is forecast for 2011.The increase in this year will be influenced by a recovering global economy and New Zealand's hosting of theRugby World Cup.[Tourism Newzealand:2009]The statements above could clearly indicate the support the NZ government provides to tourism whichindirectly suggests favourable conditions for any chain to think about as a possible destination for InternationalHospitality Development.Investing in India, with its "long history of English law," is more straightforward than China, which requiresmore caution, said Hilton President and Chief Operating Officer Matthew Hart. [Reuters:2007]A handful of global luxury hotel chains are scouting for opportunities in India, thanks to the rise in hoteloccupancy rates during the October-December quarter and the enormous potential in a booming market thatdoesn't have enough hotel rooms. [Hotel-Online:2010]Concluding the above two statements we could clearly see that there is a increasing amount of pressure onrooms seeing the amount inbound tourists in India. We could also conclude that the investments in India areeasier too taking into account the English inclined laws of the country.Before any Hospitality Property thinks about globalizing themselves several factors are needed to be kept in themind and have to carefully analyze them in order to minimize the possibilities of wrong investments in a wrong place.These factors would be used by us to show the grading of each country according to which we would see the best country with respect to have property of Roadhouse Hotels.The factors we said are a part of PEST which in turn is a part of SWOT. We would therefore start with thePEST analysis for the countries we have proposed.