Impact of Covid-19 Pandemic on Business Performance of Tourism Industry: A Study on Hilton

This research project examines the impact of Covid-19 on the tourism industry, with a focus on Hilton. It identifies the challenges faced by the UK tourism industry, assesses the impact on Hilton's business performance, and suggests measures for reducing the impact. The research methodology includes an interpretivist approach, inductive research, and a longitudinal time horizon. The findings are presented using tables, charts, and diagrams.

Research Project
(Topic- Impact of Covid -19 Pandemic on business performance of tourism industry)

Table of Contents
Topic and an organisation................................................................................................................3
Background .....................................................................................................................................3
Aim .................................................................................................................................................3
Objectives of the research ..............................................................................................................3
Research problem ...........................................................................................................................3
Research questions .........................................................................................................................3
Chapter two .....................................................................................................................................4
Literature Review.............................................................................................................................4
Conclusion ......................................................................................................................................9
References .....................................................................................................................................10

Topic and an organisation
The topic is related to the impact of the Covid-19 on the performance of the tourism indutsry. As
the Pandemic has led to bring a major impact on the tourism industry and the economy as a
whole. The chosen organisation is Hilton which is known as a global brand which provides the
services of hotel and resorts which was founded by Conard Hilton. It is also one of the largest
hotel brands in the world.
Background
In the modern society, tourism plays an essential role in the overall economy and it was also
emotionally damaging for the most of the people. All the sections of the society got affected and
the sales declined because of the restrictions and the projects on hold. As the tourism sector is
one of the significant industry and due to Covid-19 the whole performance got affected. The
research will highlight the challenges which was faced by the tourism industry during the
pandemic. The chosen company for the research is Hilton and along with it, various measures
taken by the company to manage the impact on the business performance.
Aim
To identify the impact of Covid -19 Pandemic on business performance of tourism industry. A
study on Hilton.
Objectives of the research
 To identify the challenges faced by UK tourism industry during the period of Covid 19
 To assess the impact of Covid-19 on business performance of Hilton.
 To identify measures for reducing Covid impact on business performance of Hilton.
Research problem
The problem is related to the various challenges which was being faced by the tourism industry
in UK during the Pandemic. Mainly impact of the Covid-19 on the overall performance of the
Hilton. The global lock down caused a decline in the economy and due to which many
companies had to restructure their operations, rules and working in the market. All the
preservative measures will also be presented in the research.
Research questions
 What are the challenges faced by UK tourism industry during the period of Covid 19?
 What is the impact of Covid 19 on business performance of Hilton?

 What are the measures taken by Hilton to reduce impact of Covid on business
performance ?
Chapter two
Literature Review
According to Barnaby Bourton, Covid-19 has affected every sector of the industry,
mainly the tourism and hospitality industry. The pandemic is proved to be a challenge for both
companies and its employees. It is one of the most influential event mainly for the investors and
market participants. In 2020 the government has introduced a self-isolation period for the tourists
before entering into the country with the aim of stopping the spread of the virus (The COVID-19
impact on the UK’s travel & tourism industry).
As per Jaffar Abbas and et.al., there are various phases which were observed in
formulating the travelling industry with the aim to recover. As it is known that the pandemic has
led to bring so many global challenges, health related crisis and economic issues also. The
tourism and hotel industry had to face the main impact that is decline amounting to around 2.86
trillion US dollars, which quantified more than 50% revenue losses which is a major loss. For the
purpose of revival, with the help of innovation and change the tourism industry can come back
on track (Exploring the impact of COVID-19 on tourism: transformational potential and
implications for a sustainable recovery of the travel and leisure industry).
According to Jena Tesse Fox, the revenue of the Hilton has decreased around 38.4
percent year over year, and 53 percent compared to 2019. Also in in the first quarter of the 2021
the results highlighted the major impact on the company's operations. Due to the Pandemic and
travel restriction, it led to affect the overall revenue of the chosen company (Hilton bets on return
of business travel).
Chapter 3
The term research methodology is explained as the correct set of methods which are utilized to
ascertain and examine the subject matter in relation to the topic. As it allows the reader to
measure the overall dependability of the content. The methodology comprises of exact
procedures which are used to analyses the information about a topic. As it is an essential domain
of the research project because it also helps the researcher in the process of setting the process of
analysis of data. That is why, such methodologies comprises of various collection methods,
statistical analysis and the overall observations.

Research philosophy:
There are two types of research that is positivism and interpretivism. As per this research project,
Interpritism will be taken into consideration as it is brings the human interest into the study.
Along with it, it assists in getting information that will be helpful in reduction of the problems in
research.
Research approach:
It is defined as the plans for the aim that comprises of broad expectation of the data
collection .There are two types of Research approach such as inductive and deductive. As per the
project, inductive approach is chosen because it helps in clearing the point and less time-
consuming.
Research choice:
As it explains the base of the conducted research which is divided into various that is qualitative
and quantitative. As per the project, qualitative research is being considered. The main goal in
the selection is that it aids in centring on the facts of information which is usable for better
investigation.
Research strategy:
There are various strategies for example qualitative interview, case study, survey, action-oriented
research and many more. It is further divided into assorted parts that is case study and surveys
for the purpose of research strategy. In this research,case study will be selected as per the
demand of this project.
Research design:
It is defined and chosen by researcher as it provides a base for the market research under which
the researcher is allowed to use of different methods. Such methods will be suitable as per the
case. Moreover, it is also explained as the frameworks that are selected through researcher which
are further divided into two types that is descriptive and exploratory. In this research project,
chosen design is exploratory design and it assists in analysing data that to in proper manner since
the preliminary stage of investigation.
Time horizon:
It is defined as the time frame and the time duration of the research in which research is
completed. It is further divided into two types that is cross sectional and longitudinal. In this

project, the time horizon chosen is longitudinal time horizon because it is known to assist in
knowing the changes with evolution that takes place over the time.
Data collection:
It is the layer of the research in which different techniques are used and it is also divided into two
parts that is primary research and secondary research. In context to the research , secondary
research is being considered as it ensures better reliability and accuracy. In which the data is
collected from various specific sources.
Instruments:
It comprises to the several mediums by which research is facilitated and it is divided into
interviews and questionnaires. According to this research, questionnaire will be preferred as it
will allow research to analyse opinions of others. Interview is not considered for the research as
the interviewer makes sure to keep the answerers confidential.
Gantt chart
The term Gantt chart is defined as the chart which is used in the project management for the
purpose of showing activities against time. It allows the projects to be organised and enhance the
overall visibility to keep the track of things.

Chapter 4
Present your findings using tables, charts, and diagrams
The Covid-19 has led to bring the ban in the global travel and as per World Travel & Tourism
Council (WTTC), the tourism itself generated around 10,3% of global GDP, making it an crucial
driver of the global economy. The graph above presented the GDP contributed by tourism
globally.
Illustration 1: The Impact of COVID-19 on the International
Tourism Industry

From the above graph, it can be predicted that Mexico is possibly the most vulnerable as it has
around 15.5% of its GDP which is mainly relying on the travel and tourism industry. Spain and
Italy are also highly vulnerable that is owing around 14.3% and 13.0% of its GDP to tourism
respectively.
Illustration 2: COVID-19: These countries are most at
risk from falling tourism

Chapter 5
Conclusion
From the above analysis, it can be said that there are various preventive ways which can
be used to be implemented by the company in order to reduce the adverse impact of the Covid-
19.

References
Books and Journals
Online
Coronavirus and the impact on the UK travel and tourism industry
https://www.ons.gov.uk/businessindustryandtrade/tourismindustry/articles/
coronavirusandtheimpactontheuktravelandtourismindustry/2021-02-15
The COVID-19 impact on the UK’s travel & tourism industry
<https://www.workingabroad.com/blog/the-covid-19-impact-on-the-uks-travel-tourism-
industry/>
Exploring the impact of COVID-19 on tourism: transformational potential and implications for a
sustainable recovery of the travel and leisure industry
<https://www.sciencedirect.com/science/article/pii/S2666518221000206>
The impact of Covid-19 on the UK tourism industry
<https://boutiquehotelnews.com/features/the-impact-of-covid-19-on-the-uk-tourism-industry/>
Tourism in the UK - post covid
<https://www.icaew.com/technical/business/webinars-and-publications/business-and-
management-magazine/bam-july-august-2020/tourism-in-the-uk-post-covid>
Tourism Policy Responses to the coronavirus (COVID-19)
<https://www.oecd.org/coronavirus/policy-responses/tourism-policy-responses-to-the-
coronavirus-covid-19-6466aa20/>
Hilton bets on return of business travel
<https://www.hotelmanagement.net/operate/hilton-bets-return-business-travel>
Covid-19 impact roundup : How Hilton is setting a positive example
<https://tophotel.news/covid-19-impact-roundup-how-hilton-is-setting-a-positive-example/>
In a Year Like No Other, Hilton Grows to Milestone 1 Million Rooms and Responds to
Pandemic with Innovations for Guests, Positive Impact for Communities
<https://stories.hilton.com/releases/hilton-successfully-navigates-year-like-no-other>
Hilton Update on Corporate Response to COVID-19
<https://stories.hilton.com/releases/hilton-update-on-corporate-response-to-covid19>
Covid-19:Implications for business

<https://www.mckinsey.com/business-functions/risk-and-resilience/our-insights/covid-19-
implications-for-business>
How to effectively mitigate the impact of COVID-19 on business?
<https://www2.deloitte.com/ba/en/pages/about-deloitte/articles/COVID-19-How-to-effectively-
mitigate-impacts-pandemic-on-your-business.html>