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Shangri-La Pest Analysis

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Political
Singapore government has always been in favour of the tourism sector. In fact, Singapore Tourism Board (STB) launched a $90million BOOST (building on opportunities to strengthen tourism) for the tourism sector). The initiative help pushed the industry through tough times by assisting MICE (Meetings, Incentives, Conventions, Exhibition) companies to alleviate their business costs (Singapore Tourism Board, 2009).
Not too long ago, the Singapore government cooperated with Indonesia to develop cruise ship tourism as Singapore is enjoying a cruise tourism boom (The Jakarta Post, 2011). This collaboration boosts economic bilateral ties and tourism. Previously, the Singapore government also backed entrepreneur Ong Beng Seng’s bid to …show more content…

Other international events such as the inaugural Youth Olympic Games and Asia-Pacific Economic Cooperation Meetings (APEC) also drew visitors from worldwide for both business and leisure.
In addition, with Singapore being a well-established hub for various sectors such as the finance and medicine, business travel in Asia has seen an increase by 20% compared to 2009 (Channel News Asia, 2010). With a rebound in Asian business travel, hotel occupancy in July hit a high of 90% an increase of 10.2% from 2009 and hotel room revenue grew 37.2% (The Business Times, 2010). Being the “Best Business Hotel in the World, Asia-Pacific and Singapore” as awarded by Business Traveller (Shangri-La, 2010), the surge in business travels is definitely advantageous to Shangri-La. Shangri-La, being a 5-star hotel is classified under the luxury scale. As deduced from table 4 (appendix B), luxury hotels have seen 9.8% increase in average occupancy rate from 2009 and the revenue per room saw an increase in 21.3%. However, in the midst of international turmoil, Mr Cheng, the Chairman of Singapore Tourism Board highlighted that the signs of a global economic slowdown are evident. It will likely have an impact on the growth of economies across Asia and Singapore has to brace herself for the rough times ahead (Singapore Tourism Board, 2011). Socio-cultural
Despite the rising standard of

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