Croatia Pest Analysis

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1. Value chain

Infrastructure: acquire quality through :
- Natural quality (environment)
- Material quality (the hotels’ interior design and entertainment activities) - Immaterial quality (quality in services and organization) ( Pure service performance would diminish the profit. Therefore, the organization provides staff training, job security and high supervision in order to maintain quality human resource management. Technology such as OnQ forecast management System is implemented. ( Through this system the organization becomes precise in pricing and financing strategies and meets the customer preferences. (Ganesh D. at al., 2001) Given that the company belongs to the tourism industry, the remaining value chain is: Principles → Intermediary → Customers Hamilton Hotels build vertical integration with their principles which provides additional activities. (Smeral, 1998) The cooperation includes arrangements with restaurants, leisure, recreation centers and banks and insurance companies. This vertical integration is expanded with airlines, rent a car and credit card companies. ( As far as the geographical expansion and the promotion of the Hamilton Hotels are concerned, intermediaries perform as major device. The most appreciated influencers are travel agencies. (Smeral, 1998) According to the management of Hamilton hotels, services after the accommodation could only increase the cost. In order to maintain low prices and meet the standards of customers, unnecessary services have been removed (Smeral, 1998)

3. PEST analysis

3.1 Political analysis

Croatia is constitutionally parliamentary democratic country. Signing the Dayton Peace Accords in 1995, brought high level of security and protection. ( Though, corruption is awkward issue that remains. In addition, the political forces in the country, in 2004 outlined a Commission that will prevent conflicts...
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