In 900 words, analyse one of the industries where Whitbread operates, considering the structure of competition and the competitive forces within the industry. Based on that analysis and the materials below, discuss the attractiveness of the industry. Refer to the theories and frameworks below and apply them to the specific case.
Theories and Frameworks
Porter (2008)
Herfindahl index, a model created by Besanko et al. (2013)
The industry life cycle model
Grant (2010) Six forces
Important to answer the question
You should conduct an industry analysis of the UK Hotel industry. You should present your analysis as an assessment of the industry: a good answer will propose a detailed picture of the industry supported by data and reflections detailing the main outcomes of the analysis in a final paragraph and coming to a clear conclusion. You should include in your answer the following points:
1. The analysis of industry competition: you need to identify the type of industry and its features. You can use an Excel template and the data provided on the market shares in TMA 02 Materials to calculate the concentration indexes, discuss their values and the lifecycle phase of the industry.
2. The six forces analysis: a fundamental part of the answer is the analysis of the six forces and to prepare a diagram of the six forces as a demonstration. You should discuss the contents of the diagram in the text, presenting the outcomes of the analysis.
3. You should enrich your answer by applying one of the following topics: hyper-competition, analysis of the exit barriers, the identification of the type of industry according to the entry barriers or the presence of strategic groups