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Unit 2 - Travel & Tourism Sector

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Introduction

The hospitality and travel and tourism firms are closely related that helps to meet the needs and demands of the customers in better way. The hospitality industry and travelling organisations are deeply interrelated to each other. This has been followed to have a better hare of operation that will help in suitable handling of operation in a very effective manner. For the report, Marriott Group has been taken as organisation of context. It is a UK based firm, working in hospitality industry. This report laid emphasis on the interrelatedness of hospitality firm with travel and tourism sector. In addition, the integration process used by hospitality industries is been analysed with its impact on the operations. A rationale is been developed to justify the operations in a better way and a plan is been drafted to meet the operational requirements for developing a small hospitality business considering various strategies and meeting the need of targeted groups.

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TASK 1

1.1 Discuss the interrelationships between hospitality and wider travel and tourism businesses.

Hospitality industry

The hospitality firms are closely integrated and related to travel and tourism enterprises by the operation that are followed by the organisation like Marriott Group. The customer or tourist of travel and tourism sector on a visitor attraction or tourist hotspot will look after the better handling of the operation that will help in suitable rise in the overall functionality and carrying out of operations that will support a better rise in operational capabilities of an organisation.

Travel and tourism sector:

It is a part of hospitality industry that work in a better transportation and accommodation of travellers, tourists and business executives to travel or move to a location for recreational and professional purpose. Three form of tourism are:

  • Domestic- the person who is involved in travelling within his own country.
  • Inbound- the person who is a non-resident and is travelling in given country.
  • Outbound- the person who is a resident and is travelling to another country.

Some major factors that are been followed by the Hospitality firm with connection to travel and tourism sector are as follows:

Concepts of hospitality on global level

The major concept of travel and tourism sector is to give their customer an effective and better quality of services as per their capability and functionality on nominal and reasonable price range. The users are the potential or indirect customers of hospitality industry as these sectors provide them with proper food and accommodation The Hospitality sector, along with globalisation will now cater requirements of customers from all over the globe. This helps them to generate a good amount of revenue and meet the needs and demands of the buyers or customers from various corners of the world. Other than this, globalisation approach helps a hospitality firm like Marriott Group to manage the requirements of user from various cultural differences in a better way.

Structure of international hospitality industry

The standard structure of a business organisation in hospitality sector consists of a reception or front office desk, food and beverage services and other accommodation services with room services and additional support. This is been followed regardless to a hotel or a restaurant in a location. This helps any business organisation to handle a wide range of hospitality operations in a better and effective way. Other than this, the hospitality organisation works on adopting the innovative and interactive services that will aid the firm to provide their customers with a good quality products and services and to gain a better customer satisfaction level.

Main primary hospitality services provider

There are good deals of hospitality service provider that are working with full efforts to cater the needs and demand of the customers in a better way. Far ranging from a simple restaurant to a highly luxurious hotels or hospitality enterprises, the sector has a good range of operations that will be taken in consideration by the firm for better growth and development of the organisation. This also involves major fast food outlets and firms that operate on a global level in a very alike manner and thus plays a very crucial role in management of the travel and tourism sector. Some major hospitality firms are Marriott Group, Marriott Group, Delta hotel and resorts etc. This helps in better handling of operations and meeting the operational requirements of their customers in a very effective way.

Classification of hotel

In hospitality sector, the firms are been classified on the basis of effective star rating which showcase the quality and effectiveness of firm. This method of standardization is been accepted globally and are followed by all the hospitality firms operating in market. The 1 star is the lowest rating, describing the nominal and average quality of products and services that are been offered by the firm. On the other hand, the 5 star rating showcases the highest level of quality services and products to their customers. At many places, the 7 star rating is been placed that showcases the explicit and extraordinary level of services and product quality offered by the firm to their customers.

Foods and beverages

The food and beverage services are the core of hospitality industry and good and effective quality of food and beverage services can become the landmark for the hospitality firm, which help in better attraction of customers towards them. A high and safe quality of food and beverage services will help in better management of operations that will help the organisations to grow and develop in a very effective and significant manner. Many times, the travel and tourism sector integrate with major hospitality or food and beverages firms like KFC, McDonalds, Starbucks etc, to provide their customers with high quality service and gain their better satisfaction level. This approach not only help in having a good customer satisfaction level but also improves the scope of hospitality firm.

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Interrelationship of Hospitality within travel and tourism

The travels and tourism sector is closely affected by the hospitality sector. For that reason, they will provide the high quality of hospitality services like civil aviation, customer transportation and passport service. Beside this, many times they collaborate with other hospitality firms to provide their customers with high level of products and services that impact the growth and development of the travel and tourism firm simultaneously. They will also provide a good restaurant, cafe, pub and bar and other snacks services that will help in getting a good satisfaction level. Other than this, the aviation and better transportation level helps in superior growth of efficiency level of organisation in a better way.

Hospitality services in conferences and passenger transport services.

In the conferences and passenger transport services, the hospitality sector will play a very deep and crucial role that impacts the growth and development of the firm. This help in better rise in contentment level of their customers and thus will offer them a better service for managing their conferences, event etc by providing ball room, glass room, banquet hall etc. Such sort of service will help in better rise in functionality level of their organisation. Other than this, a good arrangement of these services will help in gaining a good customer satisfaction level by handling a good amount of business operations. Also, the better transportation services including the usage of cabs, taxies and local buses will help the tourists to manage a wide range of operations that will help in suitable management of operations this will help in improving the revenue generation of the firm and handle a wide range of operation which are been taken by a hospitality organisation.

Cordiality tourism division have immediate and circuitous association with each other. Both division is to a great extent relies on each other on the grounds that without movement and tourism area, it is difficult to development the cordiality part. While any of them changes in the administrations costs, highlights, dissemination, strategies and practices then it can to a great extent upon other segment. Cordiality industry gives the offices of convenience, stimulation, nourishment and refreshment, eatery, bar and so on to their voyager who originated from alternate spots. Along these lines, one might say that friendliness and travel and tourism division are interconnected with each other. In this present time, there are may association which offers travel and tourism and additionally favourable administrations to its customers. In this way, PKF lodging specialists is concentrating on the inn, travel and tourism counselling. Referred to wander have extraordinary profitable by conveying both accommodation and also travel and tourism administrations to its client. There are immense part and hugeness of cordiality industry inside the movement and tourism area

TASK 2

2.1 Analyse the implications of integration to the hospitality industry.

The integration or collaboration approach helps the hospitality firm to grow and develop in a better way. This will help in suitable rise in the satisfaction and efficiency level of the hospitality enterprise in a better way. This will help in suitable rise in the effectiveness and help the organisation to handle a wide range of functionality. There are two type of integration practices which lay a very deep impact on operation of a business organisation which are as follows:

  • Horizontal integration: this approach helps the firm to adopt and acquire the organisation as a whole to expand its portfolio and cater large number of customers in an organisation. This will also help in suitable rise in effectiveness of the operations that are been followed by the firm. For example, Marriott Group acquiring the Delta hotels and resorts. In this sort of incorporation, two totally unique elements meet up under a similar administration so as to serve client and increase compelling productivity and development. Accommodation part has earned immense productivity and development in the present time and it have different business which incorporated into the movement and tourism industry. It is vital for both hospitality and travel and tourism to keep up the great blend of flat coordination. According to the given case situation, takeover of Starwood Hotels and Resorts by Marriot International, esteemed at 12,2 billion US$, is the biggest exchange of its kind in the lodging business since 2007 when private value firm Blackstone gained Hilton for 26 Billion US$ is the best case of the even joining under which Marriott inn coordinate Starwood inn and resort.
  • Vertical integration: this involves the adoption of practices and functionality measures on the structural level that will help the firm to gain a good control over the operations. This will help in suitable handling of functional capability that will support a good rise in operational capacity of the organisation. For instance, the improvement in the services of resort acquired by Marriott Group to improve their quality of services. In this sort of joining, at least two periods of the generation are consolidated together (Theobald, 2005). With help of this vertical combination, generation cost of both association can diminish and furthermore help with improving productivity and piece of the overall industry. According to the given case situation, Greene King £773.6m takeover of Spirit, Heineken £403 million assume control Punch Taverns cleared by Competition and Market Authority (CMA) is the best case of the vertical joining under which both Green King and Punch Taverns cleared can ready to conquer their generation and activity cost by this vertical mix.

Therefore, from this discourse one might say that both vertical and level reconciliation in the friendliness and travel and tourism segment can help with upgrading the gainfulness, development, piece of the overall industry. It aid conquer the creation and activity cost inside the business. It can be likewise said that both part is to a great extent relies on each other in light of the fact that client have required the two offices and administrations while they invest their energy and occasion at goal of tourism.

It is to a great degree indispensable that the organizations gave by the association remains same at all spots, anything less would not satisfactory and will hurt its reputation. For example if Marriott hotels have become som hotel in some other city, it is amazingly crucial that the organizations gave in that motel should be same as in any Marriott hotel. This is the vitality of brand name and regard which has been earned by Marriott so to keep it high it needs to guarantee people feel and experience an unclear organization from in some other cabin of Marriott.

Right when there is integration between two noteworthy affiliations, it can have dreadful effect on the society; if two people unite there is plainly issue for humbler relationship in light of the way that in any business nobody however best can survive and if two noteworthy associations are as one by then there is a noteworthy issue for smaller affiliation. This may achieve hurling those tinier relationship out of the business, therefore leaving various people jobless. Integration can lead into hopeless conditions as well. For example both affiliation who are clasping hands together have differing vision and mission for their business which can influence a couple of conflicts among them and in this manner to can impact the fundamental initiative process. Globalization majorly affects this industry. As development rules have been easy going in various type of basic pay generator, countries are enabling it. This has asked the relationship to think comprehensive and stretch out far and wide. All inclusive tourists pass on more wage when diverged from the adjacent guests.

2.2 Discuss how integration has affected a hospitality business.

The integration process help in improving the quality of services that will help in better rise in functional ability of hospitality business. For example, the integration between Marriott Group and Delta hotels and resorts have helped the firm to improve their functional capability and thus meeting the satisfaction level of the customers. It will help the restaurant or resort firm to acquire better and innovative measures and work processes to meet the quality standards set by Marriott group. On the other hand, this process will help Marriott group to improve its brand value and equity level by allowing the firm to cater numerous customers and handle the operations of the cited firm in a better way.

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The integration process will be used by the firm to have a cost efficiency and better customer satisfaction level that will support a rise in effectiveness of organisation. The rise in customer satisfaction level will increase the revenue generation of the company, leading its to have a sustainable competitive advantage. The best essential great position which integration gives is high ground. Integration centre capacities of two unfathomable affiliations will help a noteworthy measure in fulfilling and pulling in more customers. Restricting establishment can made by giving the best which isn't accessible effectively with everybody by doing this the affiliation will have more predominant nature in the market. This will in like way reduce the measure of decisions for customer. The most fundamental and required effect would that the economies of scale can be master with the assistance of solidification. This will diminish the working expense and starting now and into the foreseeable future benefit can be broadened. By following any bargain or both mix, the cost can be diminished which helps in developing the preferred standpoint. It will help in isolating the business in different nations. They can offer new associations and in this way can broaden the customer base which henceforth will make the preferred standpoint.

The integration help in better rise in compatibility and effectiveness of both the acquired organisation and acquiring firm to gain a better market share and cater wider number of customers.

TASK 3

3.1 Develop a rationale for a selected project clearly justifying decisions linked to target market.

The development of a coffee shop cum restaurant is like operating any other sort of businesses. It requires investments, effective marketing approach and better customer base to gain a sustainable market position. Thus, to develop a coffee shop in UK market by name of “Brewer cafe” is quite profitable approach of business. As wit the advancement of economies and rise in work culture, people prefer to eat and drink outside rather than at home in UK market. This makes the restaurant of a hospitality industry to handle the wide range of operational capability of an organisation. Following things will be taken in consideration for it.

  • Market research: prior to opening a hospitality business organisation in UK and extensive market research will be performed to gain an effective idea about the operations and measures to be taken by hospitality firm. This market research will help the organisations to handle the operations of the organisation and thus it will help in suitable rise in functional capability of an organisation that will help in superior rise in operational capacity of Brewer cafe
  • Selection of location and target market: the coffee house is required to be quite approachable for the customers which will make it a better place for them to come for services. As the work culture in UK is booming, location of the coffee house will be chosen in proximity of the industrial sector. This will help the firm to have easy access to their target customer base involving the worker from professional firms. Brewer cafe will be placed in primary location of London.
  • Scalability: this will help the firm to gain a good control over the measures or the operation that are to be taken by the firm. It will help in identifying the feasibility of the business in market. The Coffee house cum restaurant will be set as per the food and beverage market in London, UK.
  • Funding: This is the essential term that will help in better rise in the functional capability of firm. This will also help in effective rise in revenue generation of the firm. Brewer cafe will use 70% of funding from the cash in hand and the remaining financial resources from the investors that are been associated with the firm.
  • Licensing and registration: this will include the proper following of legal obligation s that will help the firm to gain a good market share and will ensure proper functioning of Coffee house.

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.

The marketing and business development plan for Brewer cafe will be as follows:

Executive summery: the plan for Brewer cafe will involve the better handling f the wide range of the operations that will help in its growth and development in a better way. This will involve the better evaluation of the various factors and elements that will support a good rise for the coffee house. Also, the better assessment of operations will help in better rise in effectiveness of the operation that will support the better rise in functional capability of organisation. Beside this, it will help in better assessment of its business concepts, market analysis and different marketing and financial plan that will help the firm to gain a good accessibility in market approaches that are been followed by the firm. This will help the Brewer cafe to gain a market sustainability and have a good quality of product and services that will help in suitable handling of business functions by the hospitality firm.

Business concept: the major concept that is been followed by the firm is that in hospitality sector, food and beverages plays a very deep and crucial role in management of operations that will help in significant growth and development of the firm. As Brewer cafe is a coffee house cum restaurant, it will help in catering the need and demand of a larger number of consumers. This will also help in suitable handling of business functions and will cause the business organisation that will help in suitable handling of actions that are been followed in a hospitality sector. Besides this, the work culture in UK will help the firm to gain better market share.

Market analysis: the market analysis will help the firm to identify the stages, feasibility and management of wide range of operation that will help the organisation to improve their functionality. This will also support the assessment of customer ratio, viability of location and customer's requirements in a better way to develop a good product and services. Also, it will help in better rise in functional capacity of the organisation and a good customer flow.

Management team: This will help in suitable rise in the operational capability of the organisation that will lead to the rise in its capabilities and meet the functional requirements of the user in a better way. This will help in rise in operational capability by involving the effective human resource in the firm. Effective recruitment process will be followed that will help in suitable rise in functional capability of the organisation. Also, the specialist and negotiator work force will help in efficient handling of operations involving the usage of better recruitment policies and procedure and maintain cultural diversity in firm.

Marketing Plan: Brewer cafe will see through the better handling of operations that will help in suitable handling of operations which will help in suitable rise in positive perception in mindset of customers about the organisation and the product or services it provides to its customers and customers. Adoption of various promotional activities and the better interior or exterior ambiance of the coffee house will add perk to promote the business. It will help in building a good link with it customers and give them high quality product and services.

Financial plan: It will include the better handling of financial or monetary resources that are been owned by the organisation. This will also help in better rise in knowledge of it customer flow areas and providing of high quality product and services on a reasonable pricing. The rise in financial stability will help the firm to have a good control on operations and have a better idea about the operations that will help in suitable rise in functionality which will support in effectiveness of the firm. By meeting the functional and financial requirements of the firm in a better way.

Operations and management plan: This will include the better handling of business operations that will help in significant rise in functionality of the organisation. The good execution of operations will help in building a good relationship with the customers and handler the needs of customers with specific requirements. Also, it will help in compliance with the legal measure that are been followed by the firm and thus help in suitable rise in operational efficiency of the company. Other than this, the development of effective stage-management plan will help in increase of functioning and gain a sustainability in the market.

Thus, this can be said that the better handling and following of this business plan will help min better growth of the food and beverage hospitality business.

Conclusion

Thus, this can be said that the better handling of operations will help in suitable rise in functional capability of a hospitality organisation. This report laid an emphasis on interrelatedness of hospitality firm with travel and tourism sector. Also, the integration process used by hospitality industries is been analysed with its impact on the operations. The rationale helped in developing a justification of the operations in a better way and a business plan is been drafted to meet the operational requirements for developing coffee house business, considering various strategies and meeting the need of targeted groups.

References

  • Kelly, C., 2010. Analysing wellness tourism provision: A retreat operators' study. Journal of Hospitality and Tourism Management. 17. 1. pp.108-116.
  • Lashley, C. and Morrison, A., 2010. In search of hospitality. Routledge
  • Morgan, M., Lugosi, P. and Ritchie, J.B. eds., 2010. The tourism and leisure experience: Consumer and managerial perspectives. Channel View Publications
  • Vanhove, N., 2017. The Economics of Tourism Destinations: Theory and Practice. Routledge.
  • Walker, J.R. and Walker, J.T., 2016.Introduction to hospitality management. Prentice Hall.
  • Jones, P., Hillier, D. and Comfort, D., 2016. Sustainability in the hospitality industry: Some personal reflections on corporate challenges and research agendas.International Journal of Contemporary Hospitality Management,28(1), pp.36-67.
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