Emerging Trends in the Hospitality Industry

This document discusses the emerging trends in the hospitality industry, focusing on leadership styles, organizational responsibility, and corporate social responsibility. It analyzes the leadership styles suitable for a selected hospitality organization and how responsible leadership contributes to a corporate leadership system. It also evaluates the benefits of corporate social responsibility for the organization. The document provides insights into the subject of hospitality and is relevant for courses related to hospitality management.

Emerging Trends in
the Hospitality
Industry
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Contents
INTRODUCTION.......................................................................................................................................3
MAIN BODY..............................................................................................................................................3
Critically analyze and apply an appropriate leadership style for selected hospitality organization..........3
Critically assess how organizational responsibility and responsible leadership leads to corporate
leadership system to facilitate competitive advantage.............................................................................6
Critically evaluate how corporate social responsibilities (CSR) delivers benefits to selected company. .6
Critically judge the benefits of social media and its related risks which affect selected company and
analyze strategies for addressing these risks............................................................................................8
CONCLUSION...........................................................................................................................................9
REFRENCES............................................................................................................................................11
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INTRODUCTION
Hospitality industry is increasing day by day around the world as well as it provide wide
numbers of opportunities to society related to earning as well as leaving style. Hospitality is
considered as relationship among the guest as well as host at which host receives guest along
with goodwill and it will include receptions as well as entertainment of visitors, guests or
strangers (Acharya and Siddiq, 2020). In hospitality industry there are different sectors such as
restaurant, hotel, tourism, entertainment and many more. Organization selected for this report is
Holiday Inn which is a British owned brand operating in hotel industry as well as it is founded by
Kemmons Wilson in 1952. Its head office is located at United Kingdom and it nested its business
in more than 1145 locations around the world. Topics included in this report are leadership style
for respective hotel as well as it also includes responsibilities and responsible leadership leads for
corporate leadership system. Moreover it also includes benefits of CSR activities for Holiday Inn
and it also include benefits of social media as well as risk related. In addition to this report will
also define about solution or strategies which can adopt for addressing risk related to social
media.
MAIN BODY
Critically analyze and apply an appropriate leadership style for selected hospitality organization
Leadership style is determined as manner as well as approach which provide direction,
motivation and implementation of plan. In respect of employees leadership style is determined as
planned pattern of implicit as well as explicit actions that performed by leader at the workplace.
There are several leadership styles which a company may adopt according to their business
operations and functions such as autocratic, democratic, supportive, charismatic,
transformational, transactional, laissez faire and many more (Adeyinka-Ojo and et. al., 2020). In
respect of Holiday Inn they are operating the hospitality industry and their business are totally
based on the customers and employees relationship. So it is essential for them to adopt proper
leadership style as it will motivate employees which encourage them to conduct their allotted
work in best manner. Below several leadership styles are mentioned below for the selection of
best one for Holiday Inn:-
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 Autocratic leadership style – It is also known as authoritarian leadership in which leader
or manager has all authority, power and responsibility at the workplace. According to this
style manager or leader rarely involve their subordinates in the decision making process,
in this members are asked to follow each and every decision of their manager or leader
(Hussain and et. al., 2020). In respect of Holiday Inn, if their manager or leader adopts
this leadership style then they develop decision and strategies for hotel and other
members or subordinates need to follow that order. In this leadership style employees feel
bounded as well as demotivated which directly impact on their performance.
 Democratic leadership style – According to this leadership style manager considered their
employees as an asset and they organized several activities for them so that they feel
motivated. In respect of this leadership style manager and leader consider their
subordinates in the decision making process as well as they also provide power to them
so they conduct work properly. In context of Holiday Inn if they adopt respective
leadership style then their employees feel motivated because their manager and leaders
considered them important as well as they also involve them in decision making process.
 Supportive leadership style – In this leadership style manager and leader delegate as well
as assign takes to their subordinate and along with that they also provide skills required to
accomplish task in proper manner. At this leadership style manager work with employees
at the time of issues or problem this will provide high degree of attention as well as
coaching. In respect of Holiday Inn if their manager adopts this, then employees able to
enhance their skills and abilities as well as they also able to accomplish work in effective
manner.
 Transformational leadership style – By adopting this leadership style manager and leader
able to inspire others. In this leadership style manager or leader didn’t required to present
effective changes because here leader initiates transformation by motivating employees
(Njoroge and et. al., 2020). In respect of Holiday Inn, if their manager and leader adopt
this leadership style then they required high level of employee’s involvement and
productivity so that proper decision can be developed. They also develop decision by
evaluating situation properly because in this risk setting is too high as well as for team
members there is unrealistic expectation which impact operations.
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 Transaction leadership style – It is considered as leadership style in which leader and
manager promotes compliances through following both punishments as well as rewards.
By implementing this leadership style manager or leaders able to motivate their
subordinated for the short term because they use reward and punishment method or
system (Phand and Swami, 2020). In respect of respective hotel, if their manager and
leader adopt this leadership style then they will organize different practices related to
reward and punishment so that employees feel motivated. Through this staffs also feel
encouraged to conduct their work in effective manner so that hotel attains their desire
goal and objectives.
 Coaching leadership style – Respective leadership style is characterized by collaboration
and partnership because in this leader and manager behave like coaches as they provide
guidance, command and control over their subordinates so that they perform their work
effectively. They also provide feedback as well as suggestions to employees so that they
accomplish task in best manner which leads to attainment of desire goal. In respect of
Holiday Inn if their manager and leader adopt this leadership style then according to that
they provide guidance as well as command to employees so that they perform task
properly and effectively.
By analyzing above mentioned leadership style, it can be determined that for Holiday Inn
manager most appropriate is democratic leadership style. It is so because in this leadership style
management of respective hotel will considered, support as well as guide their employees
through which they feel motivated as well as encouraged to perform their duties in proper
manner (Ramachandran and Ruthramathi, 2020). Moreover, through it they perform their duties
in effective manner as well as it will also enhance their work quality which leads to impressive
relationship with customers or visitors. Through this leadership style Holiday Inn management
able to retain their employees as well as customers for long time or life time which also increase
their goodwill and profitability ratio.
Critically assess how organizational responsibility and responsible leadership leads to corporate
leadership system to facilitate competitive advantage
Organizational responsibility refers to the systematic actions, performance as well as
policies performed by the entity according to the prevailing situation in terms to retain the
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interest of both internal and external stakeholders. This helps to maintain the balance between
the progress of an organization and ecosystem including the role of society and environment.
Profit maximization or the expansion of the business can be the objective of firm but for which
they need to choose the viable path and build desirable strategy without comprising the interest
of ultimate user. This lead the company to gain the advantage of long term competitive
advantage which makes the offering irreplaceable by generating immense interest and trust of
potential customer (Boella and Goss-Turner, 2019). Efforts needs to be put in terms to classify
the product and services and present it different from other alternatives available in market
because it enhances the possibility to appeal the interest of existing and potential customer and
wipe out competition in the market. In context to the hospitality industry whose core dealing is
services and look after the convenience of target market to make their trip relaxing and
memorable. In context to the Holiday Inn which is the part of IHG brand significantly practices
to create value for the representatives of company, environment as well as local community. This
has helped the hotel to build favorable reputation in both developing and developed part of the
country as by creating the value for stakeholders it empower their efforts to carry out the
responsibility significantly. It basically focuses in the concept of green engage under which the
manager of company try to minimize the energy due to which they use favorable technology that
mitigate the changes of wastage like solar panels are use and windows are effectively design to
pass through the natural light and reduces the use of electric bulb. Further, green engagement
signifies the use of online system, in terms to carry out all the functioning associated with
hospitality sector. This reduces the fuel expenditure and with the help of healthy techniques
sustains the interest of potential market. Along with that for the entity it basically runs various
awareness program to support the lives of people like shelter in storm programme that result into
stakeholder’s engagement (Willer and Lernoud, 2019). Under this programme the hotels were
provided to help the people and recover from the disaster. Online request was posted to raise the
funds and donate for the welfare of people as well as region.
It constantly launches the new techniques by which Holiday Inn can seek out the solution
in order to reduce the emission of carbon. Being the part of IHG company it had successfully
created the public private partnership between the educational institution and IHG hotels with the
objective to offer employment opportunity to both skilled and unskilled employee. Efforts are
made in develop the knowledge and capability of local community and become one of the largest
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hotels of world. It has become capable to reduce the carbon emission leading to low footprint of
carbon and constantly participate to minimize the situation of climate change. Today Holiday Inn
has high recognition value people believe their services the high loyal customer base helps in
developing the position of long term competitive advantage. Thus, the foresight vision of internal
manager constantly works to retain its unique and desirable image amongst the market by
satisfying the interest of each and every customer as it helps the possibility to gain long term
sustainable advantage.
Responsible leadership refers to the situation under which interactions are maintained
with the stakeholders that are integrated with one other to achieve the shared objective or goal.
There are various form of the leadership amongst which Holiday Inn leaders focus on the
Democratic style under which the employees are given the opportunity to come forward and
participate in the decision making process. Changes are the essential part of the hospitality
industry due to which training and development session are constantly offered for the staff of
Holiday Inn so that they remain prepared to tackle the challenging situation suitably.
Transparency is promoted which generate the possibility to gain job security and enormously
participate in the well being of entity (Boella and Goss-Turner, 2019). The boards of company
are responsible to promote the sustainable shareholder value that offer the strategic direction and
sustain the interest of audience for the long term tenure. Holiday Inn has maintained its position
all around the world which is due to its responsible leadership style that has not only sustain the
interest of the customer but also existing employees feel privileged to participate in the company
and gain immense amount of personal growth and development. This even avoid the possibility
of high turnover and absenteeism rate which maintain the internal affairs and facilitate the
possibility to gain competitive advantage over other rivalries exist in different geographical
areas. Furthermore, to maintain competitive pace the manager as well as leader of company
constantly identify the new ways or technique by which they can deliver services to the audience
without compromising the quality of the offering. This involves undergoing research and
development program that give insight about the market as well as current trends are identified
based on which the services of the hotels and restaurant gets updated. Therefore, being customer
oriented respected hospitality company effectively manages the organization responsibility and
leadership system to gain the dominance all over the globe by delivering value to the
stakeholders (Pestana, Sánchez and Moutinho, 2019).
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Critically evaluate how corporate social responsibilities (CSR) delivers benefits to selected
company
Corporate social responsibilities is determined as type of international business and
private self regulations which aims to contribute in societal goal related to activities,
philanthropic, charitable nature through the engagement in supporting volunteering or ethical
activities. In order word, corporate social responsibilities are considered as activities which are
performed by a company for the benefit of society or resolving issues of society. By conducting
this organization able to gain numbers of benefits such as motivating employees and increase
goodwill at marketplace (Rao and Prasanth, 2020). Along with this, it will also help in attracting
more and more customers, investors and stakeholders. In respect of Holiday Inn, they are
operating their business in hospitality industry and in this if they conduct corporate social
responsibilities then them able to attract huge number of audiences, shareholder and investors.
There are numbers of activities which respective hotel may conduct for their society, from which
some are mentioned below:-
 Respective hotel may adopt eco friendly technology or activities as that will help them in
providing guilt free luxury experiences to customers or clients. In respect of this, they can
use solar energy for providing light; they use natural gas, store rain water and many
more.
 Holiday Inn also feed poor people around their location through this they able to fulfill
hunger of people. Along with this, in current situation of COVID 19 respective hotel may
provide food to homeless people, doctors and other people who are helping society.
 Respective hotel may also donate funds for the society development; this donation can be
done at school, colleges, hospital, NGO’s and many other places (Rhou and Singal,
2020). In current situation of COVID 19 this hotel may provide financial support to their
nation by providing funding to hospital and other industry.
 Holiday Inn may also plant more and more trees and plants in their premises in order to
support greenery as well as for this they can also do planting in their local areas as it will
also considered as corporate social responsibilities.
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By conducting all these corporate social responsibility activities, Holiday Inn able to gain
number of benefits at the potential marketplace. Below some of the main benefit of corporate
social responsibilities are given in respect of respective company:-
 Increase brand image and customer loyalty – By conducting corporate social
responsibilities an organization able to enhance their brand image at the marketplace
which also leads to customer’s loyalty. Similar will happen when Holiday Inn conduct
CSR activities for the society as their goodwill get increased as well as positive news
spread around the society which help in increasing loyalty of customers. In addition to
this it will also help retaining employees, customers, stakeholder and investors for the
long time duration (Risbood, 2020). Moreover, it will also help in increasing business
profitability as well as market shares at the potential marketplace.
 Help in creating new business opportunities – Through conducting business opportunities
an organization able to gain new business opportunities which help them in expanding
business at the domestic, national and international level. In respect of Holiday Inn by
conduct corporate social responsibilities they able to attract more and more audiences and
investors which provide them an opportunity to expand their business at the domestic,
national and international level. Moreover, it will also help in gaining opportunity like
increasing customer’s base, market shared and profit ratio.
 Low cost of operation – By conducting activities related to the corporate social
responsibilities an organization able to conduct their business operations and functions in
low cost. This will help in gaining more revenue because expenses will get reduce. In
respect of Holiday Inn they are operating in hospitality industry and in order to conduct
corporate social responsibilities they will decrease their carbon footprint which leads to
reduce in fuel consumptions. In addition to this respective hotel may use solar energy for
electricity which helps in minimize bill of electricity that also leads to lowering
operations cost.
 Risk management – Conducting corporate social responsibilities help in managing risk in
effective manner because it is based on public perception (Saha, Mani and Goyal, 2020).
An organization which conduct CSR activities able to attract more and more customers
and investors that increase their market goodwill and reputation. So in respect of Holiday
Inn by conducting corporate social responsibilities they able to attract more and more
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customers as well as media also publish positive aspect for them. This will increase
market value and shares of respective hotel that directly linked to minimizing risk at the
market place because they are gaining competitive advantages.
 Get government support – In today’s time companies which conduct corporate social
responsibilities are supported by government in order to encourage them. In respect of
Holiday Inn by conducting corporate social responsibilities they able to attract
government because media publish positive news about them (Sota, Chaudhry and
Srivastava, 2020). Through this respective hotel gain benefits like they face less
inspections as well as freer control through both national as well as local government
entities. This will also help them in increasing their profitability and market shares at the
potential marketplace.
These are main benefits gain by Holiday Inn by adopting as well as conducting corporate
social responsibilities at the marketplace.
Critically judge the benefits of social media and its related risks which affect selected company
and analyze strategies for addressing these risks.
Benefits of social media for hotel
Social media is a part of digital marketing platform that engages the interest of wide users
due to High engagement rate of the site. Promotion of the offering through the social media site
immensely helps Holiday in company to engage existing customer as well as reach out services
for the potential customer as well. Some of the benefits associated with the use of social media
are determined below:
Monitor audience: Existence of the company within social media sites helps to analyse
the behavior of audience as amongst other digital marketing tools social media including
Facebook, Instagram, Twitter and Pinterest are commonly used platforms. The personalized
campaigns which are exclusively designed for the target market helps to gain valuable
information on the basis of their responses. Similarly, modifications are promoted leading to
high return on investment.
Enhances relationship with the customer: Digital channel including social media
platform which is used by company to interact with the customer and build long term
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relationship with them by resolving their queries. All the detail information can be accessed by
interested customer to generate better knowledge and avail the services along with that Holiday
Inn constantly update their offerings so that they derive out better responses. The reviews and
comment are posted by the existing customer on the basis of their past experience that moreover
attracts large number of potential customer.
Enhances Brand awareness: Social media is used to carry out impactful communication
to continuously maintain the position for its brand amongst the audience. By designing appealing
campaign better engage the responses of customer and instigate them to build the favorable
responses. Today Holiday Inn and successfully maintain brand awareness all around the globe
due to its strong presence over social media sites and help the customer to consider respective
company amongst other alternatives to successfully avail the services.
Tackle competitors move: Social media allow the platform based on which customer
feedback can be monitored by the company on the basis of their rating and comment posted. This
can help Holiday Inn to consider the constructive feedback and build counter mechanism based
on which they can satisfy the user of services. Moreover, it also helps to address the competition
by identifying their USP and accordingly build the strategy for their desirable existence. Based
on comparison of strength and weakness willingness is generate to develop the competitive
advantage and maximize the potential of entity successfully (Jayawardena and et. al., 2013).
Enhances customer base: In comparison to the other modes of traditional promotion like
television or through magazine social media is one of the most affordable as well as effective
media that can maximize loyal customer base. Thus, it helps to generate result at real time due to
which methods are used to gain the traffic and redirect the interest of user.
Customer review and service platform: It helps to generate the prompt responses of
customer in terms to take the action and register any compliant if they face in their existing
experience. Here the manager of hotel comes to know about the situation and function to reduce
the chances of dissonance by boasting the experience of customer. It is also the desirable
platform that helps to determine the detail insights and strengthen its capability.
Therefore, these are some of the advantage that Holiday Inn can get by using social
media sites which can boost up the sales and bring out favorable strategy for the desirable
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existence of entity. Thus, the company needs to develop effective campaign and update their
service to accommodate the requirement of potential market.
There are several risks which are associated with the usage of social media which is faced
by an organization. From that some of them which may experienced by Holiday Inn are given
below:-
 If a customer or visitor of Holiday Inn experienced bad then they will post negative
comment which impact negatively on the respective hotel which result in reduce in
number of customers and market value (THOMAS, 2020). Moreover, it will also lead to
decrease in sales and profitability ratio.
 One of the most common risk which is associated with the usage of social media is that
safety and security of data because by using links, IP address and sites hacker can hack
system of respective hotel and theft all essential information of customers, employees and
investors. That can be used for illegal activities as well as they can also sale it to
competitive company.
 It is risk for the company that they not get appropriate result of their investment. In
respect of Holiday Inn, it is risk for them is that if they invest huge amount on social
media advertisement but they not able to attract even half of their targeted audiences.
Then in this case respective hotel will face huge loss as well as it will also impact on their
business operations.
These are some of the main issues which may faced by Holiday Inn while conducting
their operations and functions. So it is essential for them to develop strategies for resolving this,
for respective some strategies are mentioned below:-
 Holiday Inn must hire expert or professional who will handle their social media page in
effective manner (Wijaya, 2020). This is so because they able to post most attractive and
creative content which attract customers and encourage them to visit at their hotel.
Through this they able to ensure that investment get full or more outcomes.
 Respective hotel must respond to their positive and negative comments, in positive
comments they will thanks customer and for negative they must do apologized to them.
Through this they able to resolve or minimize risk of negative comment.
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CONCLUSION
By analyzing above points it can be summarize that in today’s time hospitality sector is
increasing day by day, in which leadership plays a main role. This is so because through
effective leadership employees able conduct their work in effective as well as propitiate manner
that leads to attainment of goal successfully. There are several types of leadership style which a
company can adopt autocratic, authoritative, pacesetting, coaching, affiliative, laissez faire and
many more. The selection of leadership style depends upon the business operations and functions
as well as through this a company can gain competitive advantage at the potential marketplace.
Along with this, in current time for every company it is essential to conduct corporate social
responsibilities activities because through that they able to develop their market value as well as
it increase company goodwill which helps in attracting huge customers. Social media are highly
used in today’s time which helps as well as impact a business because there are several risks
associated to this such as security of person and professional information, negative marketing
and many more. So it is essential for companies to understand these risks and develop proper
strategies in order to minimize negative impact on social media.
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AND EMPLOYEE PERFORMANCE: EVIDENCE FROM THE HOSPITALITY
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