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INTERNATIONAL EXPANSION TO
IRELAND
Double Tree Hilton Australia International expansion to Ireland
Introduction
The country selected to be analyzed from the perspective of international business is Ireland.
This country notebook will have its basis on making an organization to expand its operations to
the business world of Ireland which has been regarded due to several reasons as the best country
for doing business (Hill 2014). The target market selected is the hospitality industry of Ireland
and the organization selected is Double Tree Hilton expansion internationally into the realms of
Ireland.
Market Opportunity analysis
There are various factors that will influence the expansion of Double Tree Hilton to Ireland
inclusive of Political, Social, Economic, Environmental, Technological and Legal.
Political factors: The Government of Ireland has brought to its industry of hospitality
collaboration through positivity and pragmatism. Tax policies, laws of employment, regulations
of environment and regulations with regard to supplies import are political factors affecting the
growth of most hotels in the industry. In addition, laws for company and laws with regard to
development and planning are also strict in Ireland.
Economic factors: are change in rates of interest affecting loans. Rates of exchange also affect
the hotels to some extent because suppliers mostly based in EU have weakened the Europe in
opposition to the negative impact of Sterling with respect to supply but the positivity lies in
supplies being cheap and so the hotel rates being cheap for customers coming to the hotel for
stay in Ireland (Hill 2014).
Social: attitude of people with regard to health has changed and they are looking for more
options of healthy outcomes inclusive of going for spa, gyms with higher standards and select
hotels as per the diversity of healthy food available. With population ageing in Ireland, it is
required for hotels to be green and friendlier for people of all ages.
Technological factors: are crucial for the hotels in Ireland,. Video conferencing usage helps in
reduction of hotel conferences need. In the hotels, communication has become much cheap.
Additionally using internet has become an efficient way of handling the suppliers with enhanced
efficiencies.
Environment Factors: are crucial for the Ireland government and the government has focused
on making hospitality sector of Ireland to be completely green and therefore the selected hotel
will require adoption of green initiative.
Legal factors: Tax legislations require strict following and payment of tax is also crucial. It is
essential on the other hand to make sure for all the employees that the organization they are
working with is legal. Standards in health and safety with regard to alcohol usage also need to be
obeyed.
Industry Analysis
There is immense decision making required in the industry of hospitality, Ireland and therefore
there are forces in the industry which influence the hotel positioning in the sector that require to
be dealt with.
Potential Entrants: The sector in Ireland with regard to hospitality is considerably growing and
the government has encouraged the growth by facilitating more organizations in the industry and
so the potential threat from newer entrants becomes high (Hill 2014). Higher investment of
capital is needed to set up a spread of geographical bases to spread the budget across the chain of
hotels in Ireland. Barriers of entry however are high because of the requirement for maintaining
and supplying customers with quality food.
Substitute threat: Product substitute entry is higher as it is very difficult to satisfy the customers
in the industry and comfortable creation of substitute low rooms is required.
Customers bargaining power: As the hotel sector budget falls within the sector of service and
so the bargaining power of customers is also high. If the comfort of the customer is prioritized
highly with quality service maintenance and there is also differentiations strength affective over
the sector and this makes the customers switching cost to be less otherwise the customers will
consistently change their brands of hotels (Daniels et al 2011). Low prices attract the customers
especially with those products and services that have higher standards of quality.
Suppliers bargaining power: Supplier power bargain is high especially because hotel supplies
important constituent is food products and other related items.
Competitive Rivalry Intensity: The industry is highly competitive in nature (Morrison 2006).
The price margins are low because of enhanced competition. Quality and services require
maintenance and they lead towards main threat and cause of issue because of enhanced
competition.
Competitor Analysis
Main competitors to the selected hotel in Ireland will be inclusive of Jurys, Maryborough,
Clarion and Rochestown. Jurys Cork Hotel in Ireland is the newest Cork’s 4 star hotel at the
center of the city. Other competitors as well have a diverse range of green services and amenities
that they competitively offer to the customers.
Customer Analysis
Customers in the hospitality sector of Ireland cannot be attracted only by the price factor. Good
behavior and green initiatives depending upon corporate social responsibilities adopted by a
hotel in the sector are extremely considered by the customers.
Company specific preconditions
Sustainability is the most perfect strategy by which competitive analysis in the industry of hotels
can be developed in order to succeed in Ireland (Connolly et al 2007). Sustainability in terms of
customers and suppliers will lead towards enhanced outcomes for Double Tree Hilton.
Competitive Advantage
In addition, performing through high performance based activities will also be considerably
essential for Double Tree Hilton. Also by focusing on the model of critical success factors
designed especially and specifically to control the budget on operations of the hotel by
depending upon the customer research basis and research surveys. In addition, the strengths of
Double Tree will help it to gain competitive advantage (Martinez-Lopez 2011). The company is
highly established and recognized with highly motivated individuals working with the
organization.
Conclusion
Double Tree Hilton will be a huge success in Ireland due to the competitive strength internally
contained by the company. However, due to the competitiveness in the hospitality sector of
Ireland being so high, it will be required for Double Tree Hilton to strengthen its marketing and
promotion approach through the medium of internet in order to reach more and more customers
in Ireland. The customers in Ireland have a strong focus on green initiatives and companies with
corporate social responsibility initiatives are highly appealing to them. This is one opportunity
that Double Tree Hilton can grab.
References
Hill, Charles W.L., 2014, International Business: Competing in the Global Marketplace, 10th
edition, Pearson, ISBN-13: 978-0078112775
Daniels, J., Radebaugh, L., and Sullivan, D., 2011, International Business, Prentice Hall, ISBN-
13: 9780132128421
Morrison, J., 2006, The International Business Environment: Global and Local Marketplaces in a
Changing World, 2nd
Edition, Palgrave Macmillan, ISBN 9780230209565
Connolly, P., and McGing, G., 2007, High performance work practices and competitive
advantage in the Irish hospitality sector, International Journal of Contemporary Hospitality
Management, Vol. 19 (3), pp 201-210
Martinez-Lopez, F., 2011, Researching the Business Environment, International Journal of
business environment, Vol. 2(4), pp 1740-1880

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Double tree hilton australia international expansion to ireland

  • 1. INTERNATIONAL EXPANSION TO IRELAND Double Tree Hilton Australia International expansion to Ireland
  • 2.
  • 3. Introduction The country selected to be analyzed from the perspective of international business is Ireland. This country notebook will have its basis on making an organization to expand its operations to the business world of Ireland which has been regarded due to several reasons as the best country for doing business (Hill 2014). The target market selected is the hospitality industry of Ireland and the organization selected is Double Tree Hilton expansion internationally into the realms of Ireland. Market Opportunity analysis There are various factors that will influence the expansion of Double Tree Hilton to Ireland inclusive of Political, Social, Economic, Environmental, Technological and Legal. Political factors: The Government of Ireland has brought to its industry of hospitality collaboration through positivity and pragmatism. Tax policies, laws of employment, regulations of environment and regulations with regard to supplies import are political factors affecting the growth of most hotels in the industry. In addition, laws for company and laws with regard to development and planning are also strict in Ireland. Economic factors: are change in rates of interest affecting loans. Rates of exchange also affect the hotels to some extent because suppliers mostly based in EU have weakened the Europe in opposition to the negative impact of Sterling with respect to supply but the positivity lies in supplies being cheap and so the hotel rates being cheap for customers coming to the hotel for stay in Ireland (Hill 2014). Social: attitude of people with regard to health has changed and they are looking for more options of healthy outcomes inclusive of going for spa, gyms with higher standards and select hotels as per the diversity of healthy food available. With population ageing in Ireland, it is required for hotels to be green and friendlier for people of all ages. Technological factors: are crucial for the hotels in Ireland,. Video conferencing usage helps in reduction of hotel conferences need. In the hotels, communication has become much cheap. Additionally using internet has become an efficient way of handling the suppliers with enhanced efficiencies.
  • 4. Environment Factors: are crucial for the Ireland government and the government has focused on making hospitality sector of Ireland to be completely green and therefore the selected hotel will require adoption of green initiative. Legal factors: Tax legislations require strict following and payment of tax is also crucial. It is essential on the other hand to make sure for all the employees that the organization they are working with is legal. Standards in health and safety with regard to alcohol usage also need to be obeyed. Industry Analysis There is immense decision making required in the industry of hospitality, Ireland and therefore there are forces in the industry which influence the hotel positioning in the sector that require to be dealt with. Potential Entrants: The sector in Ireland with regard to hospitality is considerably growing and the government has encouraged the growth by facilitating more organizations in the industry and so the potential threat from newer entrants becomes high (Hill 2014). Higher investment of capital is needed to set up a spread of geographical bases to spread the budget across the chain of hotels in Ireland. Barriers of entry however are high because of the requirement for maintaining and supplying customers with quality food. Substitute threat: Product substitute entry is higher as it is very difficult to satisfy the customers in the industry and comfortable creation of substitute low rooms is required. Customers bargaining power: As the hotel sector budget falls within the sector of service and so the bargaining power of customers is also high. If the comfort of the customer is prioritized highly with quality service maintenance and there is also differentiations strength affective over the sector and this makes the customers switching cost to be less otherwise the customers will consistently change their brands of hotels (Daniels et al 2011). Low prices attract the customers especially with those products and services that have higher standards of quality. Suppliers bargaining power: Supplier power bargain is high especially because hotel supplies important constituent is food products and other related items.
  • 5. Competitive Rivalry Intensity: The industry is highly competitive in nature (Morrison 2006). The price margins are low because of enhanced competition. Quality and services require maintenance and they lead towards main threat and cause of issue because of enhanced competition. Competitor Analysis Main competitors to the selected hotel in Ireland will be inclusive of Jurys, Maryborough, Clarion and Rochestown. Jurys Cork Hotel in Ireland is the newest Cork’s 4 star hotel at the center of the city. Other competitors as well have a diverse range of green services and amenities that they competitively offer to the customers. Customer Analysis Customers in the hospitality sector of Ireland cannot be attracted only by the price factor. Good behavior and green initiatives depending upon corporate social responsibilities adopted by a hotel in the sector are extremely considered by the customers. Company specific preconditions Sustainability is the most perfect strategy by which competitive analysis in the industry of hotels can be developed in order to succeed in Ireland (Connolly et al 2007). Sustainability in terms of customers and suppliers will lead towards enhanced outcomes for Double Tree Hilton. Competitive Advantage In addition, performing through high performance based activities will also be considerably essential for Double Tree Hilton. Also by focusing on the model of critical success factors designed especially and specifically to control the budget on operations of the hotel by depending upon the customer research basis and research surveys. In addition, the strengths of Double Tree will help it to gain competitive advantage (Martinez-Lopez 2011). The company is highly established and recognized with highly motivated individuals working with the organization. Conclusion Double Tree Hilton will be a huge success in Ireland due to the competitive strength internally contained by the company. However, due to the competitiveness in the hospitality sector of
  • 6. Ireland being so high, it will be required for Double Tree Hilton to strengthen its marketing and promotion approach through the medium of internet in order to reach more and more customers in Ireland. The customers in Ireland have a strong focus on green initiatives and companies with corporate social responsibility initiatives are highly appealing to them. This is one opportunity that Double Tree Hilton can grab. References Hill, Charles W.L., 2014, International Business: Competing in the Global Marketplace, 10th edition, Pearson, ISBN-13: 978-0078112775 Daniels, J., Radebaugh, L., and Sullivan, D., 2011, International Business, Prentice Hall, ISBN- 13: 9780132128421 Morrison, J., 2006, The International Business Environment: Global and Local Marketplaces in a Changing World, 2nd Edition, Palgrave Macmillan, ISBN 9780230209565 Connolly, P., and McGing, G., 2007, High performance work practices and competitive advantage in the Irish hospitality sector, International Journal of Contemporary Hospitality Management, Vol. 19 (3), pp 201-210 Martinez-Lopez, F., 2011, Researching the Business Environment, International Journal of business environment, Vol. 2(4), pp 1740-1880