Westindies Yacht Club

There are many contributing factors that have an impact on the West Indies Yacht Club Resort’s ability to continue to lead the industry. By analyzing the external environment, WIYC will be able to align their key competencies to that of the changing environment.

Political

The political environment has greatly impacted the tourism industry in the British Virgin Islands. The strict regulations imposed by the local government constraining the size of new hotels and resorts have dissuaded developers from further expansion of the site, thus restricting the growth in tourism. In addition, the local labor market laws and regulations have negatively impacted foreign businesses. These laws stressed the hiring of locals; increased job protection as well as placed extreme pressure to promote the locals to management positions. The consequences of the labor laws has resulted in the hiring of unqualified employees to “meet” the quota; increased overhead by remaining staffed during the off-season and has limited the ability to retain only the best workers.

Although it may appear that government intervention may impede local investments, there is however a positive side to these regulations in place. The law limiting the size of new hotels and resorts give existing businesses the advantage by accommodating to their upscale clientele that seek a relaxing, secluded vacation and in turn increase profit. The main advantage of the labor law that favors the hiring of locals ensures job opportunities to those willing to work and as well job security. In addition, the labour regulations also encourage these foreign-operated businesses to have stringent hiring practices that lead to employing qualified people for the organization.

Economical

The continued growth of the tourism market and more specific, the growth of the Charter industry in the British Virgin Island has positively contributed to the economy. This growth and the reputation of British Virgin Island being...