Mexio Hotel Industry Analysis Complete the second part according to the existing first part，The first part is in the given document。Section 2: Hotel and Lodging Industry Snapshot of the Regiona. Types of Properties: Outline the unique and/or overall general characteristics of
the hotel and lodging industry in the country/region to be visited.
a. Please consider:
The presence of independent, chain hotels and single owner inns.
Unique forms of lodging, such as castle hotels in Ireland,
residencias in Cuba, etc.
b. Hotel Guest Description and Analysis: Describe the visitors to the region and
their reasons for travel.
a. Please consider:
The primary motivators/generators for tourist and business
travelers to the country/region.
The nationalities and percentage breakdown of inbound foreign
Amenities and services. What types of amenities/services can and
should hotels provide in order to provide an excellent experience
for domestic and international guests?
c. Employees Description and Analysis: Describe the employees found working in
the hotel industry in the region.
a. Please consider:
i. Cultural background of the employees. Are the employees working
in hotels likely to be locals or from a variety of cultures?
ii. View of hospitality industry work. Is this a region in which hotel
industry jobs are competitive and sought after or difficult to fill?
iii. Management styles. What management styles are preferred in this
country? Is this different or similar than what you have experienced
or learned about in the US? Enhong Wu
Professor: Jane Boyland
December 19, 2018
Section 1: PESTEL Analysis of the Hotel and Lodging Industry in New Mexico
Impact (help or hurt?)
➢ Political stability- In January 2019, the constitutional
office will expire in New Mexico. Governor,
attorney general, and state treasurer office will be
declared vacant, and an election will be expected to
be conducted. This triggers political instability
which is usually detrimental to business, as visitors
will reduce due to the uncertainties in the country
with the political heat.
➢ Terrorism threats- In New Mexico there is no strict
gun control. Residents may purchase any firearms
that may be deemed legal under the federal law —
no restrictions on the magazine capacity or the
waiting periods. This is dangerous as one may attack
people in their hotels.
➢ International relations- New Mexico is a great player
in the global arena and a home to significant military ➢ Help
research facilities. This gives a plus to any local
business primarily in the hotel industry as visitors
can feel comfortable identifying with the country.
➢ Economic growth- The New Mexico government
normally provides land, building and other
infrastructures. A Gross Receipts Tax that pays for
these infrastructures was imposed.
➢ Taxation policies- New Mexico is a tax haven
country, meaning that the citizen and foreigners are
able to save due to a low tax haven. This policy will
attract more visitors in New Mexico leading to a
growth in the hotel industry.
➢ Income inequality- In New Mexico economy is
dependent on drilling oil, extraction of minerals and
farming. However, the poverty rates have increased
drastically leading to high income inequalities. This
has an adverse effect in that only few people will be
able to afford the lodging.
➢ Employment rates- New Mexico has economic
incentives to businesses operating in the nation.
Incentives include tax exemptions which are
substantial in the job creations.
➢ Education level- New Mexican has a high
concentration of high school dropouts. Most of those
who reach college level do not obtain the
certificates. This usually makes it hard for citizens to
get employment either locally or outside the country.
Most citizens end up without working skills which
makes then unemployable.
➢ Culture- There are diverse communities in New
Mexico, it is inhabited by Hispanic and Latino
American, meaning that the area is well varied and
different cultures can be accommodated.
➢ The skill level of the workforce in lodging industrySince the hotel industry is drastically growing the
staff skills level has also improved. This can also be
attributed to the increase in hospitality colleges.
➢ Technology’s impact on product offeringTechnology has proven useful by making thing and
operations quick and straightforward. Through
technology efficiency and effectiveness are
improved thereby increasing the quality of services
and products as well as saving on time.
➢ Impact on cost structure in lodging industryTechnology is instrumental in the current world;
however, its high costs make it hard for small
companies to afford it.
➢ Health and safety law- New Mexico laws stipulate
that customer’s health should be a priority. This
affects the hotel and lodging industry as a lot of
expenses will be used acquiring the needed legal
➢ Anti-trust law in lodging industry – In New Mexico,
there is an increase in public procurement
corruption. Federal staffs usually overcharge
government staffs to earn more. These laws affect
the lodging industry as they have to charge on
➢ Copyright, patents / Intellectual property law- New
Mexico states protect the copyright. This helps to
protect the hotels’ secrets and avoid theft of
➢ Climate change- New Mexico is primarily semi-arid
to arid. Meaning that the temperature at times does
not favor the hotel and lodging industry. High
temperature is not favorable in the hotel industry,
and tourists will tend to shy away from areas with
high temperature such as New Mexico
➢ Air and water pollution regulations in lodging
industry-New Mexico Environment Department
prohibits emissions that contribute to environmental
pollution. Air Quality Standards laid down will be
beneficial as they will maintain a good physical
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Cartwright, Mark. “Toltec Civilization.” Ancient History Encyclopedia, Ancient History Encyclopedia, 5
Dec. 2018, www.ancient.eu/Toltec_Civilization/.
OECD (2017), Tourism Policy Review of Mexico, OECD Studies on Tourism, OECD Publishing, Paris.
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