Emerging Trends In the Hospitality Industry

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This document discusses the emerging trends in the hospitality industry and their impact on organizational leadership, corporate social responsibility, and competitive advantage. It evaluates different leadership styles suitable for the industry and explores how responsible leadership and CSR can deliver benefits to the organization and the community. The document also highlights the importance of cost and differentiation strategies for achieving competitive advantage in the hospitality sector.

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Emerging Trends In the Hospitality
Industry

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INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
1. Critically evaluate the appropriate leadership style for the organization and justify the
selected one..................................................................................................................................1
2. Assess that how organizational responsibility and responsible leadership leads to corporate
leadership systems to facilitates competitive advantage.............................................................3
3. Evaluate that how corporate social responsibility deliver benefits to the organization as well
as for community.........................................................................................................................4
4. Benefits of social media and its related risk which affect the organization and build
strategies to overcome risk..........................................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................11
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INTRODUCTION
A broad community of businesses offering services to customers is the hospitality industry.
The sector can be divided in three main areas such as housing, food and drink, tourism and
transport (Breda, Pacheco and Dinis, 2019). These are all customer-oriented places, but they
offer different service standards often. There are several trends which affect the hospitality
sector, so management need to evaluate those factors and take advantage of it. It provides several
opportunities to enhance operational productivity as well as profitability. Hospitality sector is
consumer focused because satisfaction level of them is the main source of revenue. Because, if
consumer not satisfied with the services than in future they will not come which affect their
profitability level. Hilton Hotels & Resort is the flagship brand of Hilton Worldwide. Founded in
1919 by Conrad Hilton and there were 586 properties for the name as Hilton Hotel & Resort in
85 countries with 215,623 rooms.
This assessment is all about that how leadership helps in hospitality sector organization
and which leadership style is suitable for the business. Also evaluate that how firm responsibility
and responsible leadership provides competitive advantage. In addition, it includes benefits of
corporate social responsibility and social media. Along with this, there is some social media risk
as well, so managers need to build strategies to mitigate it.
MAIN BODY
1. Critically evaluate the appropriate leadership style for the organization and justify the selected
one
Leadership style relates to the actions of a leader in controlling, promoting, directing and
handling groups. Great leaders will promote social progress and political movements. They can
also inspire, grow and invent others (DEEPEKA and NARAYANAN, 2019. Turning around a
struggling business that require a more straightforward approach than someone being asked to
develop an already profitable organization would allow the best leaders to adapt their style to the
situation they face.
There are several effective leadership styles which can be followed by the organizations to
manage their workforce or improve their efficiency through implementing various practices.
Some of the leadership styles are mentioned below, which can be followed by the Hilton hotel
and all are as follow:
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Autocratic leadership style: The greatest task-oriented leadership, autocratic rulers or
leaders of "commander and control," work in an "I'm the boss" mode. They provide workers with
clear goals and instructions and tell everyone what to do, how and when to do it. Despite the
support of the rest of the team, autocratic leaders make themselves decisions.
Autocratic leadership style is great for desperately needed results, circumstance where the
boss knows much better than the team and new training for staff. This leadership style is not
beneficial for simplification for innovative or professional jobs; employee integrity, ambition and
loyalty because it always affected. For Example: Steve Emplobs is the fine example of a
leadership autocratic, but only within its specific limits, who promoted innovation. In relation to
Hilton Hotel, managers can follow this style to make their staff disciplined and achieve each and
every task on time with accurate results. The other key drawback is to isolating employees, so it
is impossible for the staff to imagine working without their leaders.
Democratic leadership style: A combination of job-oriented leadership types is known as
democratic or participatory leadership. The leader offers advice and encouragement, welcomes
employees' input and respects their views (even though he or she made the definitive decisions).
This leadership style is good to increase employee’s loyalty, promotion, social advancement of
the employee, product quality and innovation improvements. It is bad for the situations where
management required immediate response as well as results.
For Example: The definition of a democratic leader is sometimes quoted by Bill Gates.
Gates offered his workers a lot of flexibility and they heard his opinions, in particular
management (Hughes, 2018). As a result, Microsoft remains successful given the fact that it is no
longer active on a daily basis. Democratic leadership has several beneficial characteristics such
as a leader who works effectively and empowers staff and promotes team spirit. Be aware
however that the team can be led to the least common denominator by democratic leadership. It
is most effective leadership style which should be followed by the hotel manager of Holton in
order to increase their employee’s participation in the working place.
Laissez-faire leadership Style: It is also called delegative leadership style and they focus
on people oriented leadership. The representative does not offer a lot of guidance in this way
rather than the group decides. This form of leadership is difficult for most businessmen to
understand that they prefer to be highly accountable individuals who have strong views and want
rapid results. Nevertheless, with the interest in stronger leadership styles growing, leading
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businesses have been considering the possibility of additional management. This leadership style
is good for highly motivated, highly qualified and skilled staff members. It is bad for the
circumstances which require rapid results, new or untrained staff, employees refusing to take
responsibility, staff who do not need support and staff who cannot agree. For Example: the
'holacracy' method that Tony Hsieh uses in Zappos demonstrated the style of delegative
management at work (Kim and Jeong, 2018). In context of Hilton hotel, managers can follow
this leadership style if they have qualified and highly motivated staff members who can handle
the work alone and have ability to take responsibility. If not, then they unable to achieve their
goals & target for respective outcomes.
From the above discussion which is based on different leadership styles, managers of
Hilton hotel should adopter democratic or participative leadership style to motive or enhance
their employee’s performance in the workplace. By using this style, leaders can empower the
work that is based on logics and open communications with team members helps in resolving
issues which they facing. Managers of Hilton hotel select this leadership style because it provide
several benefits such as it helps in encouraging staff’s creativity, build strong relationship among
staff members, it also encourage to honestly among employees in the workplace etc. In addition,
this style increases the employee’s participation in the operational issues and gives them
authority to share their opinion. Basically, democratic leadership style is favourable for
hospitality sector organizations because they are consumer focus, so they should be opened with
other team mates to share their vies and thoughts to improve customer services as per their
observation and their work.
2. Assess that how organizational responsibility and responsible leadership leads to corporate
leadership systems to facilitates competitive advantage
In an organization, there are several role & responsibility which they have to perform to
achieve business goals & objectives. In order to run operational activities, managers force to
perform as responsible leadership which helps in improving overall efficiency. Leadership is a
practice of engagement with stakeholders which is focused on ethics and values and a common
interest into and out of the business. Viable business decisions that take into consideration of
all stakeholder interests, including investors, staff, consumers, suppliers, the society, the climate
and coming generations are the responsibility of responsible leadership.
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Organizational and its workers all are responsible for the business performance which
further leads to corporate leaders to facilitate competitive advantages. In a large size
organizations such as Hilton hotel which is hospitality sector based entity. Senior managers and
directors are considering as corporate leaders (Medhekar, 2020). They hold leadership roles and
make decisions that impact their departments or business units. Top management of Hilton hotel
build several strategies and made decisions to increase revenue of the hotel. They need to
develop strategies which provide competitive advantages or helps in achieving business goals &
objectives.
There are strategies which followed by the organizations for competitive advantages
which are as follow:
Cost advantage: In this strategy, company able to target large number of audience through
selling their services at lower cost. It helps in targeting more people at cost effective price which
provide competitive benefits in the market. Managers of Hilton hotel can follow this strategy to
achieve competitive advantage.
Differentiation advantage: When a company follow differentiation strategy which
concentrates on the cost of the product compared with other similar products, the buyer and
potential clients will be perceived. A value-based approach emphasizes a product's cost savings
or reliability relative to other goods. The cost savings will take priority around rather than
concentrate on longer-term expense for the product's original sale price. For instance, an energy-
saving device could save customers long-term money even though they pay a little on the back
end.
By using above mention methods, Hilton hotel able to compete with its competitors and for
effective outcomes, leadership plays essential role where they provide proper guidance to their
staff members and motivate them to improve their performance as well as productivity. Cost and
differentiation strategy used to offer their customers affordable and variety in the services to
boost demand.
3. Evaluate that how corporate social responsibility deliver benefits to the organization as well as
for community
CSR (Corporate Social Responsibility) is the way businesses handle their operations and
have a positive overall effect on society. This includes sustainability, impact on
society, ethics and the main business how entities make their money – should be done correctly,
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not just supplements such as philanthropy. CSR activities may be implemented by organizations
in a decentralized way or in a broader system. Organizations are rapidly implementing robust
CSR systems involving every company unit with committed personnel and resources. In one
survey, 86 percent of S&P 500 corporations released reports outlining their social responsibility
and sustainability activities in 2017. This figure fell from 72% in 2013 to less than 20% in 2011.
Every organization conducts various CSR programs which provide them several benefits
to the Hilton Hotel as well as for society. Some of them are mentioned below:
Corporate Social Responsibility deliver benefits to Hilton Hotel:
Increase employee’s satisfaction: The way organization treats its society reveals many
things about how an organisation handles its workers. People whose roles are valued and
sponsored are much more successful and happy at work (Monaco, 2018). It gives a sense of
identity within the organization and a link with the local community to provide the staff
volunteering, particularly during working time. Via these personal growth opportunities workers
will gain inspiration and pride in their jobs. It motivates as well as encourages staff members of
Hilton hotel to work in this organization. CSR activities done by hotel which increases
employee’s satisfaction which further enhance their working efficiency as well as effectiveness.
Improve public image: In the modern age of today enterprises that express corporate
social responsibility are known and criticised for their involvement. Only good deeds into your
community will benefit from the prestige of your brand. Think about it when customers purchase
goods and services from businesses that support their society, they feel good (Moore, McDonald
and Bartlett, 2018). Don't forget to spread the message about your civic participation and
publicize your CSR ventures. Tweet the social services, upload and distribute. Having your good
deeds public knowledge will only boost the positive image of your company. This is the benefit
which Hilton hotel get by conducting CSR activities. Increase public image will leads to generate
more demand which automatically the revenue of hotel. In customer focused industry, word of
mouth is the biggest promotional activity without any cost.
Increase customer loyalty: CSR activities help the organization to improve their
customer loyalty. Such as Hilton hotel done several programs and contribute in the society for
the social welfare or sustainable development. It will increase the customer loyalty for the brand
which further helps in generating more revenue. 56 percent of the participants said in a 2016
Neilson survey "a brand known for its social importance" was a big buyers' engine. 53% of
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participants said the leading consumer was "a brand of group engagement." When corporate
values suit their personal beliefs, consumers are more likely to be faithful to the brand. CSR
activities reflect your organizational values and prove that your core values consist of teamwork,
group interaction and interaction.
Increase creativity: It is another benefit of CSR is to increase creativity among the staff
members who working in Hilton hotel. Such social engagement empowers workers to contribute
to the broader picture (Okupe, Ward and Adeola, 2018). They can develop new ideas on services
or internal processes or invent new solutions to solve problems. When they display the ideals and
interests of your organization through community engagement, your workers are inspired to
learn new and improved ways of doing their work.
Corporate Social Responsibility benefits in context of society:
Positive impact in the community: Maintaining corporate responsibility is an invitation
to businesses to take responsible action and take into account the social and environmental
effects of their company. This can prevent or minimize adverse effects on the culture of
organizations. For certain cases, Hilton hotel find ways to improve their programs or value chain,
which ultimately helps the community when they did not.
It supports public value outcomes: Simply stated, the importance of an organisation's
contribution to society is public benefit. A strong, systematic framework for corporate social
responsibility and organizational thought will actually allow organizations to produce results of
public interest in the sense of how their programs will impact the community. This may take
place indirectly where the services of an Hilton hotel encourage others, for example voluntary
work and philanthropy, to make their contribution to the communities or directly through
activities of the organization.
It supports beings an employer of choice: The capacity of the Hilton hotel to recruit
and retain highly skilled workers is usually an employer of choice (Onyuna, 2019). There are
ways to make a decision employer, like the balance of work life, fair working conditions and
flexibility at the workplace. Research has shown that a strong corporate social responsibility
system can also enable a organization recruit new workers who are searching for socially
conscious workplaces, group involvement and sound ethics.
Encourage professional and personal development: The ability to workers to
participate in socially conscious activities within a business will benefit through offering staff
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new skills which in effect can be used in the workforce. Staff of Hilton hotel has the ability to
contribute to work and causes beyond their normal job duties that can deeply impact them or
learn entirely new things which can enrich their own perspectives. Organizations foster
development and employee engagement through contributions to these activities.
Improve relationship with clients: To establish and sustain trust between companies and
consumers, a good corporate social responsibility system is important. It can reinforce ties with
current and new customers, create partnerships and foster good positive relationships. One way
to do so is to provide pro-bono or similar programs where a Hilton hotel may collaborate with
non-profit organizations, where funds and resources may be limited, in order to promote their
public benefit performance. This in effect helps to produce outcomes of public interest that could
not otherwise be achieved.
Corporate social responsibility not only beneficial for the organizations but it is beneficial
for the community because several CSR activities help in developing society, provide sustainable
development as well as welfare to live their life comfortably. Hilton hotel tak several initiatives
to organized campaign where they promote essential requirement of cleaning in the hotels and
how it impact the satisfaction level of guest. In addition, hotel provide internship to more than
400,000 young people (Santeramo And et.al., 2018). For their Month of Service, Hilton workers
donated 213,000 hours of volunteer work to 4,145 different initiatives. Their energy policies
have led to energy savings of 14.5%, carbon emissions of 20.9%, waste production of 27.6% and
water use of 14.1%, partly through the Clean-of- the-World programme. Such kind of CSR
activities help the Hilton to get above discussed benefit in organizational as well as social
context.
4. Benefits of social media and its related risk which affect the organization and build strategies
to overcome risk
Social media relates to the ways of human interactions in virtual communities and networks,
through which they develop, exchange and share knowledge and ideas. The Media & Marketing
Office regulates the main pages of Facebook, Twitter, Instagram, Snapchat, YouTube and
Vimeo. In the today’s modern business environment, social media marketing is the new way to
promote their brand and their products. It is the new promotional method which is very cost
effective as well as popular because it helps in targeting huge customers at single time and there
is not geographical limit to promote their brand or products and services.
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In relation to Hilton Hotel, marketing team is following this platform to expand their reach
among the guest or visitor. Social media provide several benefits; some of them are as follow:
Reach large audience: Millions are now using social media sites. For Hilton hotel, it is a
great opportunity to find a wide pool of people involved with the services. A major advantage of
social media is the opportunity to reach mass audiences. This opens doors to organization to find
more solutions that services require.
Direct connection with your audience: Social networking is among the few marketing
tools that can helps to communicate with audience directly. They know about what you're
interested in just because the social media page is chosen to follow. Hotel will have more
relevant material to your audience when they learn it better (Seal, 2019). They find the content
more interactive, which contributes to more interaction with organization and the website. They
can solve issues more effectively by direct contact with audience. They can deal with them
individually and solve their problems one after the other and develop the brand in a favourable
light.
Create organic content: The opportunity is to post inbound links free of charge is a huge
advantage for company in social media. This gives the Hilton hotel many ways to communicate
without cost to useful leads. This is why businesses want to use these channels. They can publish
as much information as you want, too. These platforms allow users, based on the social
network to post images, videos and other items. It's a good way to bring the brand to the
attention and familiarity of people who want to work for company.
Paid advertising services: There is an alternative to execute paid promotions when
company want to go outside normal posting. Growing social media provides pay ads in its own
form. Depending on website, the ability to publish social media can differ. Paid advertising gives
the company a chance to communicate with interested parties who have not yet found certain
firm. Social networking platforms allow users to customize the advertising in people's feeds
about products and services.
Build your brand: The opportunity to develop the identity is one advantage of social media
marketing. Hilton hotel introduce audience with their brand if they interact with interested leads.
The opportunity to free up organic content lets you create awareness with audience over and over
again. That creates loyalty to the brand. More and more people are exposed brand the more
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familiar they are. The familiarity with the brand contributes to more sales as people continue to
purchase products they know very well.
Above mention all are benefits of social media but there are some risks as well which affect
the organization such as Hilton hotel and further influence the productivity as well as revenue of
the hotel. These risks are as follow:
Insider risk of social media: Employees are the potential risk of social media because they
take business accounts to post their personal views. Employees quit the company with their
profile email addresses and local teams with no central influence and exposure to build local
social media accounts (Vij, 2019). Lack of supervision of the activities of employees will prove a
considerable risk to social media account of companies.
Public password: Password sharing is incredibly frequent incident. Usually workers
of social networking companies exchange password and login information with each others. It is
the risk which is related to the social media. Organizations need to change their account
passwords and give instructions to each employee to not share with any other person.
Embarrassment by association: Celebrity support is a major business on social media
and due to the actions of the "brand ambassador" they are involved with, the credibility loss can
be substantial. Failed tweet or picture on Facebook will circulate in minutes around the world.
These social media risks can affect the Hilton hotel, so management of the hotel need to
formulate some strategies to mitigate the risk.
Maintain privacy: Due to sharing of social media accounts passwords, there are high
chances of data sharing. Managers of Hilton hotel need to maintain privacy and give clear
instructions regarding this to their employees.
Change passwords regularly: Managers of Hilton hotel also ensure that, they change their
social media accounts passwords on period basis. It will minimise the risk of misusing
information.
Strict action: Management of the organization have to take strict actions if any one finds to
be misuse or share social media account password with anyone. It will generate fear among the
staff members and hotel able to mitigate social media risk.
CONCLUSION
From the above discussion it has been concluded that there are several events which affect
the hospitality sector. In order to lead the organization and workforce, managers should follow
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appropriate leadership style such as autocratic, democratic etc. In addition, corporate social
responsibility is the essential activity which is followed by almost every organization to get
several benefits which helps in improving their brand image, productivity as well as profitability.
It is not only provide benefits to the enterprises but also beneficial for the society for its
sustainable development. Along with this, social media is the latest marketing framework which
is cost effective but it also includes several risks which can affect the privacy of organization.
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REFERENCES
Books & Journals
Breda, Z., Pacheco, C. and Dinis, G., 2019. FUTURE TRENDS IN THE HOSPITALITY
INDUSTRY: AN ANALYSIS FROM THE CONSUMERS'POINT OF VIEW. Tourism
in South East Europe.... 5. pp.139-162.
DEEPEKA, S. and NARAYANAN, M. B., 2019. EMERGING TRENDS IN SERVICE
APARTMENT INDUSTRY–CHENNAI SCENARIO. BRAND: SCULPTING
CORPORATE IDENTITY, p.31.
Hughes, C., 2018. Ethical and legal issues in human resource development: Evolving roles and
emerging trends. Springer.
Kim, H. J. and Jeong, M., 2018. Research on hospitality and tourism education: Now and
future. Tourism Management Perspectives. 25. pp.119-122.
Medhekar, A., 2020. Emerging Trends of Wellness and Medical Tourism in India. In Global
Developments in Healthcare and Medical Tourism (pp. 1-22). IGI Global.
Monaco, S., 2018. Tourism and the new generations: emerging trends and social implications in
Italy. Journal of Tourism Futures.
Moore, K., McDonald, P. and Bartlett, J., 2018. Emerging trends affecting future employment
opportunities for people with intellectual disability: The case of a large retail
organisation. Journal of Intellectual & Developmental Disability. 43(3). pp.328-338..
Okupe, A., Ward, T. and Adeola, O., 2018. Enhancing hospitality and tourism industry
competitiveness in Sub-Saharan Africa. In Africa’s Competitiveness in the Global
Economy (pp. 137-167). Palgrave Macmillan, Cham.
Onyuna, A. A., 2019. Competency Development among Hospitality Graduates in Kenya:
Assessing the Influence of Industry Based Learning. African Journal of Education,
Science and Technology. 5(2). pp.155-163.
Santeramo, F. G. And et.al., 2018. Emerging trends in European food, diets and food
industry. Food Research International. 104. pp.39-47.
Seal, P.P., 2019. Guest Retention Through Automation: An Analysis of Emerging Trends in
Hotels in Indian Sub-Continent. In Global Trends, Practices, and Challenges in
Contemporary Tourism and Hospitality Management (pp. 58-69). IGI Global.
Vij, M., 2019. The emerging importance of risk management and enterprise risk management
strategies in the Indian hospitality industry. Worldwide Hospitality and Tourism Themes.
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