Investing in foreign hospitality industry in Switzerland Research Paper

Investing in foreign hospitality industry in Switzerland - Research Paper Example Swiss Statistics observes that the uncountable benefit has attracted more than 6,500 international foreign companies that are currently located in Switzerland. It has an attractive market, offers unique production skills, and serves as a gateway to Europe. It is strategically located at the centre of Europe, which ensures easy accessibility of all European markets. It is referred to as the centre of competitiveness in Europe, as it plays an important function in financial markets internationally. It is also the center for many international organizations like World Trade Organization, WHO and UN, among others. Therefore, the hotel industry can do well here as there are many potential customers who have to eat and spend in hotels. Presence of international trading companies, law firms, and insurance companies, freight forwarding companies, security firms and surveillance firms certify Switzerland as a true global business center. Switzerland has greatly improved over the past years as an investment center. It continually enhances foreign and domestic investments through improvement of circumstances and conditions. Expansion of Mirvac group of hotels to Switzerland will improve the company’s reputation and image. Switzerland is an international country and presence of these hotels will ensure its loyal customers get their services, away from home. It will also make it be recognized internationally, as many foreigners come here. Therefore, it will market it internationally, and hence, investing in other countries will also be easy. Investing in Switzerland is therefore an important strategy for the company’s future prospects.... Investing in Switzerland is therefore an important strategy for the company’s future prospects. Current Global Trends Globalization has had various effects on the industry of hospitality. The positive impacts are exposure to diverse cultures, large market, economy development, technology advancement, promotion of creativity, increased job opportunities, development of travel industry, and availability of international services. Exposure to different cultures will help managers in the hospitality industry to learn different cultures as they interact with people from different walks of life. Globalization has increased customer base, as people travel for businesses and holiday, health and other purposes (Swiss Statistics, 2000). This increases the market for the industry of hospitality, with major income from international visitors. Visitors from various cultures, cuisines, customs and languages ensure variety of services that meet their needs. This greatly improves the hospital ity industry, and Mirvac Group of hotels will reap this benefit. Globalization also has negative effects on the hospitality industry like language barrier, cultural barrier, disasters or events in other countries, seasonal environment, bad habits, and crime rate increase. Though these may be a barrier to the hotel investment in Switzerland, the management should still invest here but employ people with wide language and cultural knowledge. These employees will effectively handle and serve different people from different cultural and language backgrounds. PESTLED Analysis of Switzerland Political System The tri level political system in Switzerland is very effective, because county and state governments are highly controlled. They are very understanding situation as well as