Concepts and Innovation in Hospitality

Concepts and
Innovation in
Hospitality
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Table of Contents
INTRODUCTION...........................................................................................................................4
Concept of innovation and its different sources.........................................................................4
Importance of innovation to business performance....................................................................5
Factors driving innovation in hospitality industry......................................................................6
Range of innovation concept and approaches implemented in hospitality.................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
Nowadays innovation has become a major tool and practices for growth and development of
business. It has allowed companies operating in hospitality sector to provide unique and high-
quality services. Besides that, with the help of innovation they are able to enhance efficiency and
improve process. Moreover, technological innovation has provided a platform to expand in new
markets and attract more customers (Akhundjanov et al., 2020). Thus, it has transformed the way
of offering services to people.
This assignment will describe about the concept of innovation and different sources. Also, it will
be explained about importance of innovation in business performance. Furthermore, factors
driving innovation along with various concept and approaches of innovation applied in
hospitality industry will be discussed. At last an innovative concept will be described in brief.
Concept of innovation and its different sources
Innovation is process of new thoughts, ideas, concepts, etc. that helps in effective processes,
commodities and ideas (Arora et al., 2016). It is known as creating a new idea to redesign or
reproduce new goods and services. through this, it provides platform for growth to business.
Innovation also leads to working in new way and gaining competitive advantage.
History of innovation
It can be said that Godin cites from 1636, when an English Puritan and former official Henry
Burton, began publishing pamphlets against church officials as innovators. Then, in 1939 Joseph
originated concept of innovation. He said it was different from others. From 1980's innovation
took lead.
Types of innovation
The types of innovation are radical, incremental, disruptive and architectural.
radical – It is a type of innovation in which new business model is developed. This means new
system or process. For example- I phone
Incremental – it is an innovation in which update is made into existing products or services. For
example- samsung
disruptive – here, it is a type of innovation in which a new market is created. For example-
Netflix
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architectural- an innovation where architect of product is changed.
Sources of innovation
Basically 4 P’s of are process, paradigm, product and position. with this innovation can be made
in those areas . However, there are various sources of innovation which is explained below:
Process needs
It is a type of innovation whereby analyzing the market and customers’ needs changes are made
in process. Thus, new products are developed and operations process is modified. In many
businesses’ innovation is implemented just to change process by providing a new way or method
to perform operations. The change is in procedure, method, etc (Gachie and Govender,2017). It
is source of innovation as there change in process leads to new process or method. For example-
online delivery of products and services
Market and industry trend
Here, with change in industry and market trends in hospitality sector it forces organization to
bring innovation. The trends occur due to economic, political, technological factors. In addition,
due to change in market structure is also trend. Moreover, in market trends occurs in product or
services, customer needs, etc. so, it results in providing vast opportunity for business in
hospitality sector to make grow and expand via innovation. It brings out new ideas or concepts to
be implemented to develop new product, change process, etc. (Gong and Peng, 2018) It is
source of innovation as change in trend will led to new product or service development. For
example – trend of eco tourism services.
Change in perception
This is also an innovation source as it related to change in customer taste and preference. This
occurs due to ethics, values, etc. which change their perception. Thus, it allows organization to
capitalize on those change through innovation. Furthermore, innovation is implemented to fulfil
needs of people. Here, with change in perception, people lifestyle is changed (Islam 2018). for
example- change in perception of sustainable services.
New knowledge
It is main source of innovation in which new knowledge is applied in different ways. The
knowledge is in terms of technology, product feature, market trend, etc. It provides vast number
of opportunities for firms to expand and grow. Through this, they apply new knowledge in
modifying or redesigning new method or process that is used in business. In hospitality sector
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