Hospitality Provision in Tourism Assignment

Hospitality Provision in Tourism Assignment

Introduction

This Hospitality Provision Tourism Assignment reflects on the aspects of the role of the hospitality industry within the travel and tourism sector and the inter-relationship between hospitality as well as wider travel and tourism businesses. Then, the analysis of the implications of integration to the hospitality industry are to be made as well as that ways by which integration has impacted a hospitality business will get discussed.

Task 1

Interrelationships between hospitality and wider travel and tourism businesses.

Hospitality organisations are considered to be the most significant providers of the services to the travel and tourism sector. In case of leisure or for business, individuals are spending a considerable time at their hotel especially when it is considered to be of a luxury status. It is understood that the guests would like reaping the beneficial aspects that is being provided by the hotel where they are staying, especially in regard to the premium prices that they are paying.

Package holidays

The function of hospitality in respect of package holidays is very important. Hotels that have their inclusion in package holidays finally are based on the prices that are paid in respect of the packages. When an individual is opting for a budget package, then that person should not be expecting accommodation of 5 star status, and practically speaking, the accommodation is more like to be of 3 star or 4 star standard. Most of the time, there occurs a massive purchasing of well known packages for holidays, so consumers will be benefitting from better rates of hotels as well as prices of airline tickets. (Buckley, 2011) Hotels also are having special agreements with individual travel agents, providing exclusive rates for their establishments in return of confirmed flow of consumers from the travel agents’ end. Consumers might be opting for getting accommodated exclusively for rooms, bed and breakfast, half-board or in a rare scenario on a full-board basis. The representatives of the travel agencies are constantly checking up on their clients who are staying at the hotel for ensuring that they are enjoying a quality time. They also put into discussion the various crisis situations that the client’s experiences throughout their period of stay so that those problems are resolved as soon as possible. There is also the availability of the packages that are all-inclusive but a major drawback is that they are not providing the consumers the flexible options that the other packages offer. The tour packages that are all-inclusive takes into consideration all the things that are required for the complete stay like meals, beverages, hotels, tours as well as every other things that are required. (Buckley, 2011) Those who are opting for such packages would normally spend a significant period of time inside the resort since majority of their various activities will be based inside the resort.

Aviation

The success of the Airline’s industry is hugely based on the availability of accommodation. When there is a full capacity in the hotels then there is a huge chance for the airlines to face a loss in their business. This is considered to be a significant problematic scenario in respect of the airlines that fly to small destinations like Malta, where there have occurred the existence of circumstances in which every hotel on the island were all completely booked. As a result, it is absolutely necessary for the major airlines to assess the circumstances in respect of the availability of bed as well as for choosing the timings of the flights and the days consequently. In the form of on-board catering, there is also the presence of hospitality in the various airlines and there is also the availability of arrangements to sleep. (Buckley, 2011) The budget airlines on the payment of additional amount provide foods as well as beverages whereas the airlines of higher class most of the time provide foods and beverages that are all-inclusive, also to those passengers who are travelling in the economy class. There are also certain airlines that are even more luxurious possessing seats that can be reclined so that they can be turned into beds and also there exists silver service dining as well as a bar that is located centrally, where the consumers can make the selection of what they want to eat as well as drink. (Conrady, 2011)

Business Travel

The businessmen particularly choose the hotels that are capable of providing the essential amenities for working in a comfortable manner. They try searching for hotels having business centres, Wifi or accessibility of the cable and internet, meeting rooms as well as areas for conducting conferences, and also other services like 24 hour laundry as well as dry cleaning. (Conrady, 2011) The businessmen would also prefer to indulge in some form of leisure activities especially within the meetings, where they will be spending some relaxing time either by the pool or at the spa or in some other places. But, this is not always actualised because of their nature of business travel. There is a similar story for the catering organisations as well. For impressing the business associates as well as clients, the businessmen does the selection of certain premium restaurants. They do the utilisation of the money that their companies supply to them, so that they are able to have the affordability of premium restaurants for accompanying their extravagance accommodation. (Conrady, 2011) Due to globalisation, there exists a developing requirement for travelling that is associated with business travel and this will be growing, without any doubt, more and more as there is an increase in the connection amongst the various destinations. Business travel have been becoming increasingly affordable in respect of the various organisations due to the availability of budget airlines but there are certain organisations which feel that for keeping their reputation intact there is the need for travelling in the business class of the airlines. Then there is also the existence of the business class in the various airlines that is made for the business individuals who need a working space. The growing destinations like India and China are becoming hugely popular destinations for business travel and in this respect the global organisations throughout the world are inclined towards the setting of their companies’ branches in those places. (Conrady, 2011) There is a huge growth in the industries in those places and therefore specific organisations would not want to miss any scope for increasing their share of market as well as profitability.

Conferences and exhibitions

There is a huge significance of the conferences and exhibitions on the domestic as well as international travel and tourism sectors. For example, Malta did the hosting of its biggest ever conference welcoming around 5000 delegates for taking part in the yearly conference for Oriflame and all the delegates were staying in either 4 or 5 star hotels. (Moutinho, 2011) As a result, the local economy did the accumulation of approx. 8 million euro, which was majorly associated with the cost of accommodation. The caterers especially from the hotels were selected for the preparation of the food in respect of each and every delegate. Most of the time there takes place the hosting of conference attendees at the hotel where the event is occurring. The consumers are offered the possibility with the help of the exhibitions for viewing products or services prior to their purchase. (Moutinho, 2011) ITB is an international exhibition attracting exhibitors from various parts of the world. There is the showcasing of the new offerings as well as concepts to other individuals from their respective fields by the organisations as well as NTOs. Those events are attracting a huge number of individuals from various parts of the globe that is offering huge benefits to the various hotels near the place where the event is taking place.

Visitor attractions

A visitor attraction is something that about which the individuals talk or that creates an interest amongst the travellers, tourists as well as other individuals. There are various kinds of attractions like manmade structures that include theme parks as well as museums, or there also exists natural attractions like natural parks. (Mowforth, 2015) Also, there exist certain sites that are of interest to the individuals only due to the activities that take place there even though the place that is hosting the event is of not much interest. The most popular attractions for visitors are considered to be the theme parks that jointly see a huge number of visitors every year. Disneyland is considered to be one of the most famous attractions in the world and is situated in France, Japan, China and the United States. Majority of the theme parks are having their personal cafes as well as restaurants where the families will be able to enjoy a meal and again indulge themselves in enjoying more. Moreover, Disneyland in Paris also is having two hotels in the resort that are being featured most of the time in package holidays and are have huge popularity. (Mowforth, 2015)

Therefore, from the above discussion it can be concluded that there exists a strong interrelationship between hospitality as well as wider travel and tourism businesses that includes package holidays, aviation, business travel, conferences and exhibitions as well as visitors’ attractions.

Task 2

2.1 Analyse the implications of integration to the hospitality industry.

The implications of integration to the hospitality industry can be analysed by the following attributes such as,

Branding

The name of a brand itself may summon up specific emotions that are associated with personal experiences in respect of the brand. Similar to the other industries, the tourism industry’s success is based on the various techniques associated with branding that the major players in the tourism industry adopt, and what are the ways by which their messages get delivered to the target markets. It is essential that clients possess the ability to relate themselves with those brands, and brands are able to identify their target customers. Brands most of the time concentrates in making their loyal consumers view their products and services as an extension of their character as well as personality. (Shaw, 2011) For example, when a group of businessmen will be checking into the Sheraton Pine Cliffs hotel in Algarve, they will be expecting similar processes for check-in, amenities for business as well as prolific luxuries like all the other Sheraton hotels. It will not be acceptable if anything different is provided in respect of the money that is paid. Similarly as Sheraton, Westin also is a part of the Starwood Hotels and Resorts. This is considered to be a posh brand that caters in respect of every type of clients who are searching for lavish accommodations. The hotel possesses top class facilities for individuals who are conducting business as well as every other luxury that the couples would be anticipating for any kind of romantic getaway. (Shaw, 2011) It is also considered to be the most family oriented brand within the Starwood Group, which is providing amenities where children are able to play under continuous supervision. The animation team at the Westin Dragonara Resort in Malta often does the organisation of the activities during the day, like conducting Sony Play Station tournaments in respect of the teenagers or interactive games as well as other activities of fun for the children. There are also children’s check-in points at the reception in the various Westin hotels across the world for making them have a feeling of importance like the adults who are accompanying them. All these aspects are an essential part of the branding strategy of the organisation. Along with other aspects, children might be using their positive experiences for influencing their parents to visit the same hotel again and again.

Control of market and integration amongst bigger companies 

Certain significant tour operators of UK did the purchasing of hotels abroad for increasing their presence globally as well as productivity. Through this, they have the ability for controlling their hotel rates to their benefit, which will assist them to bring more reasonably priced packages in respect of their clients while having an increase in their sales. Even though, this sort of activity provides benefits to the organisation, it can create an adverse effect on the smaller establishments in the hospitality industry. The large companies getting integrated unquestionably poses a threat in respect of the smaller establishments and it is unavoidable that staffs and their families will face suffering as the bigger companies take control. It is the cold hard truth that the travel and tourism sector majorly is based on the survival of the fittest, the organisations that have the ability for offering the best balance amongst the quality, quantity as well as value for money. (Romero, 2011)In major circumstances, the internet growth is limiting the probability of forward integration especially when it is in respect of holiday packages. This has resulted in certain travel agents closing down their business since they were not possessing the required financial support for sifting their physical operations to virtual platforms. The rise of active packaging was also a significant threat to these organisations, and it was so immense that the tour operators in UK are in the process to close down the retail outlets for focusing more on selling via internet. Even though the potential clients will be benefitting from the lower costs over the internet, this will be posing a significant risk to society as a huge number of individuals will be suffering from unemployment.  

Increased globalisation 

After the successful expansion of an organisation in its destination of starting its operation, the markets which are situated abroad are often to be captured next. Globalisation is the outcome of a compilation of extensions, which can get evaluated from an internal as well as external standpoint. An organisation will be facing ‘internal globalisation’ in which its staffs from across the world will be developing relationships with each other. (Romero, 2011) There will be the occurrence of ‘external globalisation’ when members of the team will be communicating with clients from every part of the world. The social networking websites also allow for the occurrence of such communication information The organisations, most of the time, does the creation of their personal accounts on websites like Facebook as well as Twitter, with the assistance of which the members of the team and loyal customers from across the world can join in as well as get involved in discussions. Globalisation has also assisted in severe decline in barriers related with trade, especially inside the European Union. The countries of the European Union mostly get benefitted from products and services that are of low price when there is the occurrence of trade within the Euro zone. (Lussier, 2011) This provides a beneficial aspect towards accommodation as well as providers of catering services to a vast degree, especially when there occurs bulk purchasing.

Starwood Hotels and Resorts Worldwide is unquestionably one of the most influential global hotel and leisure chain. It has achieved huge success with the help of its projects associated with integration over the last few years. It had acquired the Le Meridien brand as well as its complete portfolio that amounted to 130 hotels as well as resorts globally. Starwood’s base of consumers has increased because of this acquisition to a huge degree having posh properties in Europe, Asia, the Middle East and the Asia Pacific.

2.2 Discuss how integration has affected a hospitality business.

The impacts of integration in a hospitality business are mentioned as under,

Economies of scale and market share 

There can be significant reduction in the operating costs when there occurs the integration of the organisations. When a hotel is taken over by a tour operator, there will be increased cost associated with investment, however, the beneficial aspects that can be obtained by providing a wider variety of products or services can be observed soon enough. In this respect, integration will be allowing the tour operators for reducing its dependency on other providers of accommodation as most functional aspects can be taken care within the parameters of the organisation. When the tour operations have the will and ability to invest in hotels having more reputation, the more productive it will be from the standpoint of operating cost. The tour operator might reduce the package costs as well as pass the beneficial aspects to the customers. Having the appropriate strategies in place, the share of market will develop and there will occur profit maximisation. With the help of integration that occurs horizontally, organisations can do the extension of their present base of clients whereas with the help of vertical integration organisations have the possibility for entering new markets as well as attract a completely different base of customers. (Hayton, 2012)

Standardisation

This is considered to be a complex as well as the method that consumes a lot of time, especially in an industry that includes a significant number of variables. The processes that are automated can most certainly be normalized, but it is very much challenging for standardizing the human elements, even though it is not impossible. Standardisation can be achievable in hotels but there exists certain limitations. The process by which a telephone operator is answering the phone can be standardised and so can the process by which the greeting of the guests can occur when they are checking into the hotel. (Furnham, 2012) There will always occur a concern associated with changeability since the various departments inside the organisation are run by varied individuals who possess their own standards as well as methods to deal with the circumstances.

Quality

There is no conformity that improvement of quality will take place with the help of integration. It is based on how changeable the human element is. There is no guarantee that when a hotel is taken over by another, the new owner will be having an enhanced approach towards the improvement of quality. Staffs might not gel with their new boss since they might feel that the step that has been adopted for the improvement of quality is not feasible or sensible which will increase the threat associated with committing bigger flaws. (Furnham, 2012)
So, in conclusion it can be said that the management of any company does not choose a stringent top-down administration. Management must listen to what the staffs are saying since they are the individuals who are constantly in touch with the consumers, and they have an exact understanding of what the consumers are anticipating from the company. Hotels that exist within similar chain of hotel also face similar crisis situations, albeit it is their topmost agenda for offering quality services the whole time.

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Task 3

3.1 Develop a rationale for your chosen project, clearly justifying decisions linked to target market.

Project name – business analysis of a hotel-cum-restaurant business

For developing a rationale in respect of the hospitality business that will clearly justify the decisions linked to the target market, the following attributes are considered such as,

• Idea The plan is to open a hotel-cum-restaurant business. This will be located at a destination for tourists in the UK since there is a high demand for hotel-cum-restaurant business from the growing number of tourists who are visiting UK every year. This also showcases that there exists huge potentiality for such businesses. The main aim of the business will be to concentrate on the middle-class tourists and offer them the services at a reduced cost so that they can enjoy their stay in UK within their budget. (Freeman, 2010)
• Market Research – This whole process will be requiring a lot of market research that needs to be conducted prior to the opening of a new business and its outcome is very much important to decide the success of the business. In this respect, the market research will be consisting of individuals filling the questionnaires in this regard and also conducting personal interviews with the individuals who will be using the services. This will assist in estimating the customer expectation and then the planning related to the service can be done. This will initiate with the finding of the demand for the service that is being planned for being offered at a reasonable price. In this respect, the sample size would be 1500 tourists who will visit UK.
• Target Market – The target market that already been mentioned are the middle class tourists who will be visiting UK and who do not have the affordability to take high package deals. Thus, the target segment will take into consideration the tourists who want reasonable packages. (Freeman, 2010)
• Target Location & business size – The targeted geographical location is UK where a huge number of tourists from middle class background will be visiting and the business size will be 200 rooms having amenities such as AC rooms and 100 rooms that so not have AC. This will also have the amenities of offering food.
• Investment – A certain amount of the investment will be by taking loan from the bank and the rest will be a personal investment. It will be of the 80:20 ratios where the majority of the amount will be taken from the bank as loan. (Frydman, 2013)
• Licensing– Every aspect of the new business will be undertaken in an appropriate way that will follow every legal aspect that includes the licensing that needs to be conducted which is needed for opening as well as running the business.

3.2 Develop a plan for a hospitality business which includes the operational requirements of the business’ organisational structure in relation to human resource allocation.

Project name – business analysis of a hotel-cum-restaurant business

Stage 1 – Development

• Idea – The plan is to open a hotel-cum-restaurant business. This will be located at a destination for tourists in the UK since there is a high demand for hotel-cum-restaurant business from the growing number of tourists who are visiting UK every year. This also showcases that there exists huge potentiality for such businesses. The main aim of the business will be to concentrate on the middle-class tourists and offer them the services at a reduced cost so that they can enjoy their stay in UK within their budget. (Freeman, 2010)
• Market Research – This whole process will be requiring a lot of market research that needs to be conducted prior to the opening of a new business and its outcome is very much important to decide the success of the business. In this respect, the market research will be consisting of individuals filling the questionnaires in this regard and also conducting personal interviews with the individuals who will be using the services. This will assist in estimating the customer expectation and then the planning related to the service can be done. This will initiate with the finding of the demand for the service that is being planned for being offered at a reasonable price. In this respect, the sample size would be 1500 tourists who will visit UK.
• Target Market – The target market that already been mentioned are the middle class tourists who will be visiting UK and who do not have the affordability to take high package deals. Thus, the target segment will take into consideration the tourists who want reasonable packages. (Freeman, 2010)
• Target Location & business size – The targeted geographical location is UK where a huge number of tourists from middle class background will be visiting and the business size will be 200 rooms having amenities such as AC rooms and 100 rooms that so not have AC. This will also have the amenities of offering food.
• Investment – A certain amount of the investment will be by taking loan from the bank and the rest will be a personal investment. It will be of the 80:20 ratios where the majority of the amount will be taken from the bank as loan.
• Licensing– Every aspect of the new business will be undertaken in an appropriate way that will follow every legal aspect that includes the licensing that needs to be conducted which is needed for opening as well as running the business.

Stage 2 – Design

Ambience and the interior are considered to be the most significant part of the service industry particularly for hotels, spa, restaurants and so on. Therefore, in respect of the hotel that is being planned to get constructed, there should be careful handling of the designing as well as the interior since it plays a significant role to get and sustain the increasing service for the tourists. Since, the focus is on middle class tourists the design should be simple yet luxurious, where the tourists should feel that they are staying in a good quality hotel. The positioning should be done for attracting the middle class tourists. (Freeman, 2010) For providing enhanced service, the staffs are required to get appropriate training so that they will be treating all the guests will proper respect and behaving with them in a polite and friendly manner. For retention of the customers, there should be enhanced service that needs to be provided.

Stage 3 – Operation

The operational part includes in what ways the operations will be handled, who will be handling what, what are the departments that are required and so on. So, the primary part will be recruitment and staffing. Since, this is a big hotel-cum-restaurant, therefore 3 receptionists for the hotel can be recruited and 2 for the restaurant. There will be three managers, 2 for the hotel and 1 for the restaurant. There will also be 3 guides who will be taking care of the tourists in respect of showing them the various places of visitor’s attraction. There is the requirement of 5 to 6 special cooks who will be able to prepare different types of food for the guests. (Fernanado, 2011)

Now, let us decide on the qualification of the various staffs. The receptionists should possess at least a bachelor degree and they should have good skills for communication since they will be directly interacting with the guests. The cooks should possess good culinary skills. There should be the setting of an appropriate human resource management in respect of recruiting staffs, providing them with appropriate training and also for resolving conflicting situations amongst them. The pricing will be less than a 3 star hotel and similar to a 2 star hotel. Promotional activities will take place through radio, newspaper and so on. Also, an official Facebook and Twitter page will be created for the hotel.

Conclusion

This Hospitality Provision Tourism Assignment delves with the aspect of hospitality provision in travel and tourism sector. It has been seen that people travel mainly for three major reasons which are recreation, leisure as well as business. Therefore, for providing the tourists with enhanced and faultless experience, it is required for the hospitality industry to work with the tourism industry.

Reference

Buckley, R., (2011). Tourism and environment. Annual Review of Environment and Resources, 36, pp.397-416.
Conrady, R & Buck, M (2011), Trends and Issues in Global Tourism 2011, Springer Science & Business Media
Freeman, R (2010). Stakeholder Theory: The State of the Art. Cambridge University Press.
Frydman, R (2013). Rethinking Expectations: The Way forward for Macroeconomics. Princeton University Press.
Furnham, A (2012). The Psychology of Behaviour at Work: The Individual in the Organization. Psychology Press
Hayton, J (2012). Global Human Resource Management Casebook. Taylor & Francis
Lussier, R (2011). Management Fundamentals: Concepts, Applications, Skill Development. CENGAGE Learning
Moutinho, L (2011), Strategic Management in Tourism, CABI.
Mowforth, M & Munt, I (2015), Tourism and Sustainability, Routledge.
Romero, I. and Tejada, P., (2011). A multi-level approach to the study of production chains in the tourism sector. Tourism Management, 32(2), pp.297-306.
Shaw, G., Bailey, A. and Williams, A., (2011). Aspects of service-dominant logic and its implications for tourism management: Examples from the hotel industry. Tourism Management, 32(2), pp.207-214