Environment Scan

Nancy Nguyen

IHMN250

Environment Scan

According to British Columbia’s tourism and hospitality industry, there are $13.4 billion annually revenue generated. (Gaining the EdgeA Five Year Strategy for Tourism in British Columbia 2012-2016) Tourism has been grow rapidly in BC recently, as a business owner of a hotel downtown Victoria, our business willing to face some of the challenges in the future which are impact to tourism industry. As we move into the next century, the necessity to adapt, change, and update will be more important than in the past. Being able to adapt while staying flexible are essential if an organization is to be a successful in dealing and being able to predict changes in the organizational landscape. In order to effectively predict changes, an organization has to identify and address the changes as they are happening. In this paper, I would like to discuss two main factors of the external environment which are social and economy, also to detect changes that may affect the hospitality industry from local, national and international.

Demographic change is a form of social change; it can affect different aspects of tourism. It impacts directly on tourist demand and the tourism labor market and has an indirect effect on jobs within the hospitality industry and tourism services. Because Canadian these days lives longer and has fewer children, Canada is facing a challenge of “demographic ageing”. This will have a serious implication for the economy as less working people will support those who have retired. The size of Canada’s working population is predicted to decrease by 2050. (The Furture Canada's tourism sector:Shortages to Resurface as Labour Market Tighten, 2012). This would lead to major negative impacts on economic growth and public finances if current policies remained the same. In other developing countries, however, the demographic transition is less advanced and working age population will increase in the coming decades....