Unit 12 Hospitality Provision in the Travel and Tourism Sector

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The aim of this unit is to enable learners to gain understanding of the role of the hospitality industry, the impact of integration, and gain skills to plan hospitality businesses.

Unit abstract

This unit introduces learners to the diversity of the hospitality industry and enables them to investigate the hospitality industry in a travel and tourism context. Learners will consider the impact of integration on the hospitality industry and the possible future implications of this in a broader context. Learners are provided with the opportunity to select an area of interest to design and develop in an outline format, bringing together theory and practice in the creative design of a hospitality business reflecting current trends and the needs of selected customer groups.

Learning outcomes

1 Understand the role of the hospitality industry within the travel and tourism sector

  • Composition of the hospitality industry: hotels (1 star to 5 star, budget hotels, bed and breakfast); restaurants (fast food, cafes, coffee shops, mainstream, fine dining); pubs and bars (managed houses, tenanted or leased pubs, freehouses); nightclubs; contract food service providers (catering outsourced to a contract food service provider); hospitality services (catering managed in-house); membership clubs; events
  • Travel and tourism sector: travel services; tourism services; conferences and events; visitor attractions; accommodation services; passenger transport
  • Interrelationships between hospitality and travel and tourism: the role of hospitality in underpinning many types of travel and tourism eg business travel, aviation, conferences and exhibitions, visitor attractions, theme parks.

2 Understand the impact of integration within the hospitality industry

  • Integration: history and development of horizontal and vertical integration, integration via major organisations (ownership)
  • Impacts: fewer major organisations, reduction of independent businesses, economies of scale, control of subsectors, increase in market share, standardisation, improved quality.
  • Implications:importance of branding and pricing policies, independent establishments joining associations to compete with the larger organisations, control and manipulation of the market, increased globalisation of the industry

3 Be able to plan the development of hospitality businesses

  • Development: concept, market research, target market, location, scale, funding, products and services eg menu, licensing
  • Design: ambiance, culture, brand, interior, exterior, functional areas, customer flows; link to target market, customers with individual needs
  • Operation: staffing by functional areas, specialist qualifications, staffing issues related to seasonality, compliance with legislation, promotional activities, pricing


  • Del Rio, D., Calani, L., Cordero, C., Salvatore, S., Pellegrini, N. & Brighenti, F. 2010, "Bioavailability and catabolism of green tea flavan-3-ols in humans", Nutrition, vol. 26, no. 11, pp. 1110-1116.
  • Engelen, Mariëlle P K J, Rutten, E.P.A., De Castro, Carmen L N, Wouters, E.F.M., Schols, Annemie M W J & Deutz, N.E.P. 2012, "Casein protein results in higher prandial andexercise inducedwhole body protein anabolism than whey protein in chronic obstructive pulmonary disease", Metabolism: clinical and experimental, vol. 61, no. 9, pp. 1289-1300.

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