Contemporary Hospitality Industry: Types of Businesses, Departments, and Trends

This presentation delves into the vast sector of the hospitality industry, with a focus on Hyatt Hotel as an example. It covers the different types of businesses, operational and functional departments, and current and potential trends in the industry. It also discusses the industry's contribution to local, national, and international economies and the impact of franchising and licensing agreements on global development.

Contemporary Hospitality
Industry

Table of Content
 INTRODUCTION
 Different types of business within hospitality industry and diverse products and services they
offer
 Range of operational and functional departments
 Contribution of hospitality industry to local, national and international economies
 Interrelationships of operational and functional units within chosen hospitality business
 Impact of using franchising and licensing agreements on global development of hospitality
industry

Table of Content
 Analysis of contribution of global growth, franchising and licensing developments to economic worth
of hospitality industry
 Appraisal of implications of current and potential trends in the hospitality industry
 Evaluation of hospitality business to develop products and services that will meet current trends
 Impact of external factors on current and potential trends and development in hospitality industry
 CONCLUSION
 REFERENCES

Introduction
Hospitality industry is considered as
the vast sector that is engaged in offering a wide
variety of services to a large number of market
share (Liu and et.al., 2021). Within this
presentation, Hyatt hotel, UK is taken into
consideration as a hospitality business which
will demonstrate different aspects.

Different types of business within
hospitality industry and diverse products
and services they offer
There are a wide variety of businesses within the
hospitality industry that is involved in the process of offering varied
services to the potential customer-base as per their needs and wants.
There are different kinds of businesses within the hospitality
industry that are providing differentiated products and services
which are described as below:
 Food and Beverage
 Lodging and Accommodation
 Travel and Tourism

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 Food and Beverage: This is a key business
within the hospitality sector that is engaged in
providing food as well as drink services to the
tourist as per the demands and requirements of
the customers. There are multiple services in this
sector and these include full service restaurant,
catering businesses, quick services, etc.

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 Lodging and Accommodation: It is another kind of
service that is provided by hospitality industry to its
target market as per their needs and wants. It is offering
lodging and accommodation services in the form of
hotels, resorts, guests house and many others. The key
concentration is on providing maximum satisfaction as
well as comfort to its market share at time of staying at
hotel.

Range of operational and functional
departments
In context to hospitality sector, there are various
departments within an organisation that are interconnected with
one another that provide assistance in the achievement of the
business objectives in specific period of time. In relation to Hyatt
hotel, different functional departments are discussed as below:
 Operations Department
 Functional Department

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 Operations Department within Hyatt is
accountable for controlling and smooth
flow of business operations and also
monitors different departments like food
and beverage department, front office
department, etc.

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 Functional Department in Hyatt is accountable for
operating accounts, marketing and HR related work
so that there is no issue at time of dealing with
customers. HR department involves in proper
recruiting and selection of employees and deploy
them through providing training and development for
fully satisfying customers (Wang and Xie, 2020).

Contribution of hospitality industry to
local, national and international economies
The hospitality industry is a wider sector that offers
different services to market-base and indirectly contributes to
local, national and global economy.
 Local Economy: Hospitality sector offers multiple services
to its customers and attract them towards industry. Hence,
they incur expenditure on different services and facilitate in
growth of local economy through developing better roads
and other infrastructure for improving transportation
services within sector which contributes to local economy.

Interrelationships of operational and
functional units within chosen hospitality
business
Each department within hospitality sector
functions in coordination with other departments like
finance department works in interconnection with
production department. In context to Hyatt finance
department provides funds to production department for
producing food and beverages within business and
production department provide information regarding
amount needed for purchasing of essentials to produce
food.

Impact of using franchising and licensing
agreements on global development of
hospitality industry
There are wide number of businesses in hospitality sector like
food and beverage and some of these organisations include McDonald,
Burger King, etc. has began licensing and franchising of business
throughout the world (Yousaf and et.al., 2019). It provides advantages to
customers to have fun and enjoy their service which results in
international development of hospitality sector as well as leads to
maximise productivity, profitability and achieve organisational objectives
effectively.

Analysis of contribution of global growth,
franchising and licensing developments to
economic worth of hospitality industry
From above discussion, it is
analysed that global growth, franchising
and licensing developments support
national GDP through earning a large
amount of money by producing products
and services within hospitality sector,
creation of employment opportunities,
etc.

Appraisal of implications of current and
potential trends in the hospitality industry
In hospitality industry there are many different current and
potential trends which affect the organization of business in UK (Kim
and et.al., 2018). The management of an organization have to
adopted the hospitality for their business which are briefly explain in
below:
Current Trend:
 Safety and Health of Customers:
 Promoting and creating Awareness:
Potential Trends:
 Managing the business in Sustainable manner:

Evaluation of hospitality business to
develop products and services that will
meet current trends
Hyatt Hotel have to do important
function which is required to developed their
products and services which will meet their
current trends in organization that management
have to adopt the latest technology in their
business operation so that they able to improve
their business production and they able to beat
their competitors in market and they able to
sustain long term in market.

Impact of external factors on current and
potential trends and development in
hospitality industry
From above discussion, it is evaluated that
impact of different external factors such as political,
economic, social, technological, legal and
environmental factors impact trends and developments
in hospitality industry. These factors influence buying
behaviours of customers in hospitality industry in such
a way due to natural disasters or political guidelines of
COVID-19, customers prefer to stay at home rather
than going out for trips or else

Conclusion
From above discussion, it has been concluded that the hospitality business caters
to the needs of various customers and fulfills their satisfaction level. Apart from this the
hospitality industry also contributes to the economy of the nation by contributing at the
national, local and international level and leads to the growth of the country's GDP. Also
there is the interrelationship between the various organizational departments which leads
the company towards the achievement of the goals in a proper manner.

References
 Kim and et.al., 2018. The effects of corporate social responsibility (CSR) on employee well-being in
the hospitality industry. International Journal of Contemporary Hospitality Management.
 Liu and et.al., 2021. Taking a break is for accomplishing a longer journey: hospitality industry in
Macao under the COVID-19 pandemic. International Journal of Contemporary Hospitality
Management.
 Menicucci, E., 2018. The influence of firm characteristics on profitability: Evidence from Italian
hospitality industry. International Journal of Contemporary Hospitality Management, 30(8), pp.2845-
2868.

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