Impact of COVID-19 in the hospitality industry

DISSERTATION

ABSTRACT
The present investigation has been taken into consideration on COVID-19’s impact over
hospitality industry. It has impacted the hospitality sector with no expectations. Hospitality
sector is first business that affected and last to be recover. The aim of this investigation is to
identify the condition of different sectors like hospitality and so on after COVID-19. Away with
this the aim has been developed and also objectives have been developed and attaining by using
the different sources. Secondary bases have been used for collection of information in literature
review. Research objectives have been attained by consisting secondary base like internet
sources, articles, scholars, journals, and so on. Research onion framework has been used by
consisting the different layers for some instance research philosophies, research approaches, data
collection methods, sampling and ethical considerations. There has been positivism investigation
approach is also being utilised quantitative investigation technique & provide the detailed
clarification in relation with area that researcher is looking forward to investigate. On the other
side, deductive research approach has been used because it provides the detailed and in- depth
understanding related to particular subject area. For collection of information, primary method of
data collection has been used as it consists the interview and survey. For the interview purpose,
chosen respondents are managers of hotel and for survey purpose, chosen respondents are
customers. There has been random sampling method used to select the respondents for collect
data. The main reason behind selecting this sampling method is that it provides the equal chance
to the chosen respondents and reduce biasness. Thematic analysis method has been used to
analyse collected data from primary method. The discussion is based on the literature review that
provides the detailed analysis.

TITLE: Impact of COVID-19 in the hospitality industry.
INTRODUCTION
Background of Research
Impact of COVID-19 spread across whole world, main focus for businesses and
governments is safety of people. COVID-19 has unprecedented circumstances before fragile
hospitality and tourism sector. It has impacted each sector across globe and hotel sector is among
hardest hotel. The hospitality sector is wider section of the specific area i.e. lodging, drink
service, transportation, theme parks, and so on. Investment in the technology across hospitality in
near will be focused on solving the issues and give or bolster the new business related
opportunities as the legacy revenue streams have dwindled. Factors which were driving
hospitality sector before the COVID-19 pandemic consists enhancing the disposable income
level, increasing the online travelling business and new travel trends due to enhance internet
penetration. Ever- expanding global tourism sector was main factor that driving development of
hospitality sector before coronavirus outbreak. Leisure and hospitality sector mainly contributes
5% of the general GDP as well it accounts for the 10% of employment in country (Alon and et.
al., 2020). Impact of the COVID-19 on international travel will based on extent on pandemic and
direction concerned to travel restrictions. Response of public will impact in context to short term
period after lifted the travel restrictions. The hospitality businesses are mainly turning to the
technology to enhance customer loyalty, automated process and communication in order to
maintain the data accuracy in online environment customer may be stumble upon.
Rationale of Research
The present investigation is concerned with situation of hospitality sector after the COVI-
19. Hospitality industry has been hard hit through COVID-19. It has accelerated digital
transformation required through hospitality business that at present have to be rely on the
technology to enhance speed as well as efficiency of processes. It helps in give customer centric
experience. The main reason behind conducting the present investigation is to determine the
impact of COVID-19 on the hospitality industry (Alonso and et. al., 2020). Conducting the
present investigation in personal and professional context. In the personal context, knowledge of
a learner regarding the COVID-19 on the hospitality business enhanced. This helps in provide
the in- depth information of a learner improved. Other than this, in professional context learner
knowledge regarding analyse situation of the hospitality sector after COVID-19 enhanced.

Through this, skills and knowledge of a learner can be enhanced so that it can perform similar
kind of investigation 9in the future.
Research Aim
The aim of the research is “To identify the situation of the Hospitality industry after
COVID-19.”
Research Objectives
 To investigate the overall impacts of COVID-19 on the Hospitality industry.
 To find out what long term effects of COVID-19 on the provided sector can be.
 To discover any combat strategy for the effects of the pandemic on the hospitality
industry.
Research Questions
 What are the overall impacts of COVID-19 in the hospitality industry?
 What are long term effects of COVID-19 in the hospitality sector?
 If any combat strategies can be developed to prevent the effects of the corona virus
pandemic on the hospitality industry.

LITERATURE REVIEW
It is defined as survey of the scholarly sources which give overview regarding specific
topic. This is mainly follow discussion of thesis statement of paper or purpose of study goals.
The literature review is evaluation and search of available literature in selected subject area. This
documents state of art with context to subject or area. The primary motivation behind conducting
literature review sections as it is to acquire comprehension of existing examination with respect
to specific area on which research is looking forward to analyse. The focal point of literature
review is to accomplishing the exploring targets concise way (Bas and Sivaprasad, 2020). For
analysing the of data within Literature Review, there has been a range of sources utilized, for
example, articles, books, researchers, web sources, and others. This aid in give the in depth
knowledge arrangement with respect to the specific branch of knowledge in a viable or critical
way.
Overall impacts of COVID-19 on the Hospitality industry
According to Chris Eden (2021), COVID-19 has entered the healthcare sector. Despite the
effect of COVID 19, hotels are still related to performance patterns by STR software
performance test experts. The accommodation industry is primarily linked to the housing and
food services sectors. The GVD was predominantly £59.3 billion, or approximately 3.0% of the
UK's wealth creation. The restrictions on the trading have impacted business turnover of
hospitality. The economic output in hospitality industry has down to 92% in April 2020 as
comparison to February 2020 (Baum and Hai, 2020). Due to COVID-19 pandemic situation,
economy of world was to be shut down. It has confronted hospitality sector with unprecedented
issues. There are some strategies to be flatten COVID-19 curve for an instance community
lockdown, social distancing, stay at home orders, mobility restrictions and many more have been
resulted in the provisional closing of numerous hospitality industries. This reduced the business
demand that were permit to be operate on continue basis. While hospitality sector is recovering
slowly, COVID-19 crisis continues to be exert the impact about operations of hospitality
business. It is expected to make the changes to operations in situation of COVID-19 to assure
about health and safety of customers and staff members. It also enhances the willingness of
customers to be patronize business. COVID-19 has more impact on hospitality marketing and
sales of business. Hospitality sector thrives on visitations patterns and considerable efforts are

mainly placed through decision makers in order to attract the visitors for supporting sector
(Baum and et. al., 2020).
As contrary to this Avik Bhattacharya (2020) The UK lock-down and social distancing
affect the impact on hospitality sector. Restaurant could not book their table for diners. As their
business were almost shutdown which is unpredictable challenge in the industry and the booking
percentage was slow down in January of this year which is affected by the lock-down restriction
such as stay at home and travel and other restriction has affected the business. The highest fall in
quarterly GDP recorded in this year. For employment, hospitality sector is the third largest
sector. In COVID-19 the employment impacted directly and their income affected by this.
Pandemic has impacted on the economy that has severely damaged the sector. This impact
financial growth of the business. UK hospitality sector suffered the sales in 2020 (Craven and et.
al., 2020). Now, the hospitality sector is slowly recovering and ensures customers about their
health and safety. Impact of jobs in UK reducing their employees and cut their salary as impacts
mass unemployment and it result in decrease in revenue in the sector. In the current COVID-19
environment fear employee’s migrant their places to their home town and the workers are
moving to the other job where they can get their salary easier and faster. It is surveyed that due to
the pandemic support is required for opening of new hotels in the UK.
Long term effects of COVID-19 on the provided sector can be
On the basis of Francine L. Shaw (2021), it has been stated that hospitality sector is mainly
hit through COVID-19 pandemic. 2020 year was worst for the hotel occupancy because of stay
at home orders, quarantines and travelling restrictions. Health pandemic has been scarier,
disruptive and overwhelming for many. Many economic costs would cover the disruption of
commercial insurance particularly when the coverage covering the losses was issued by the court
order of outages to hotels as well as related industries. Small companies, including restaurants,
cabinets, bistros, bed & breakfasts and boutique hotels, are prone to incur less problem than
some other private player’s industry because of vulnerable to the change. They shall be impacted
through change in supply chain, less demand and even shot down until recovery taken place.
With heavy impact, hospitality sector will need to learn about function in such a manner that
seen before (Das, 2020).
Dining will shift online- Perhaps biggest long term change promoted through COVID-19
is shift from on the premise to the off the premise dining. They will be relying more on the

delivery and also takeout than the before. People will get used to ordering online food or picking
this up at hotel to be enjoy at the home with family. In regards to this, hotels will be realising that
they require to have online ordering system to be survive and it will provide the benefits to hotel
and customers both (Debata, Patnaik and Mishra, 2020).
Menus will be rethought and re-engineered- In hotel sector, learns to be adapt and also
evolve the amidst ripple impact that will felt long after gone of COVID-19. There will be see
various changes in menus. Family meal boxed will popular for the delivery and takeout as they
are affordable option for the people which want to be eat at the home with family (Davahli and
et. al., 2020).
Seating will have reorganized and communal tabled will disappear- For the hotels who
relied on enhancing use of the seating and space in order to enhance profit, health and safety
related regulations are big limitations. Individuals do not feel comfortable with sitting to others
mainly indoors. In regards to this, social distancing has become norm and continue to be far long
time, so hotels require to maintain less safety distance among tables (Dube, Nhamo and
Chikodzi, 2020).
Technology that minimizes human interaction will seep into industry- The main goal of
hotels is to reducing interaction among consumers from various parties, staff and customers. It
can be done through cutting edge the technology. Once the hotels begin using technology, this is
not likely that they will go back to old ways. Contactless payment is one of easiest technology
implemented that done online when the consumers order delivery or contactless cards. In context
to digitalized menu, scan QR code at table to access menu that is effective and safe way to
deciding what they want to be order without interaction with waiter. Perhaps, ideas to implement
and long term consists touchless elevators and dining experience which is contactless from
starting to end (Farmaki and et. al., 2020).
Combat strategy for the effects of the pandemic on the hospitality industry.
As per opinion of Bogdan Romashko (2020) As the corona virus spread around world, it
has become a threat for the business. It has negative impact on hotel and hospitality industry.
Because of this, hotel industry reportedly declines its demand. Hotels, restaurants, casino are
stood shut for some month as government take decision to control the spread of corona virus. But
with time government and their authority decided to open their economy around the world and
hotel industry is also prepared to open their business once again. At this time, it is important for a