Challenges of Hospitality Leisure and Travel industry during Covid19 pandemic

Challenges of Hospitality Leisure and Travel industry during Covid19
pandemic
1

There are various issues and problems occur in hospitality industry due to Covid 19. These
issues will lead to have direct influence over the performance and functioning of the business. It
has been analysed that decrease in GDP and unemployment are one of the crucial issues of
COVID 19 that will lead to affect the way of functioning of business dealing in hospitality
industry (Mele and et.al., 2021). Due to decease in GDP there is lack purchasing capabilities of
the customers to buy high quality products and services offered by companies. Due to Covid 19
unemployment rates has been increased as companies are reducing the number of staff. Another
issues that is caused by Covid 19 includes social stigma and mental health problems. Because of
Covid 19 there is lockdown and social distancing. This lead to increase social stigma in
individuals. Covid 19 have majorly affected the mental health of individual. It has been
determined that mental health problems has been increased due to Covid 19 pandemic. Decrease
is GDP issues can be describe as the decline in the economic growth of the county. This is due to
reducing in sales and profitability of companies as well as purchasing capacity of individual is
decreasing. Unemployment is one of the crucial issues and this can be defined as the when large
number of people of the country are jobless (Kekre, 2021). This can be consider as the major
issues as this is directly affecting the standard of living of people and skilled people do not have
job to earn basic living. Social stigma can be explain in the context of health of a person is
negatively association between a person or a group of people who have certain characteristics as
well as specific disease. It has been determined that there is high discrimination against a
particular group of people or place during the Covid 19 scenario which has created negative
attitude in individuals. Mental health problems is the very serious issues which includes anxiety
disorder, behavioural or emotional disorder in individual. Individual that are dealing with mental
health problems are facing crucial issues and it will directly affect the way of living as well as
day to day practices (O'Connor and et.al., 2021).
Positive impact of the decrease in GDP and unemployment comprises of the availability
of cheap and more economical labours. It has been seen and analysed that the issue of
unemployment leads to non-availability of jobs for a larger section of population that gives a
rising opportunity for the business to higher worker at cheap rates. Positive impact of decrease in
GDP comprises of having charging higher price for the services and products and services based
2

on the recession in the economy where there is shortage of products. Further, it has been also
seen and analysed that the unemployment is also creating positive impact on the hospitality
industry and on the companies such as Hilton hotel and Holiday Inn as they can appoint skilled
and talented employees at much cost efficient manner as compared with earlier (Goel, Saunoris
and Goel, 2021). Along with this, the social stigma creates and negative association between a
person or group which leads to creation of higher competition and feeling of improved zeal in
employees to more in a more efficient manner. Finally, the, issue of increasing mental health
problem is creating positive impacts of medical companies such as Babington Hospital,
Bassetlaw District General Hospital, Buxton Hospital, Cavendish Hospital, etc. as now they can
earn higher revenue and fees from the patients. Further, a positive impact of rising mental health
problems is also seen on the tour and traveling firms such as Cosmos Tour Ltd. and EASE Easy
Jet as patients of metal health and depression are guided to have higher tours and traveling plans
by the doctors. Thus, the rising mental health problems are having a positive impact on the
hospitality sector especially on the traveling agents as it leads to higher productivity and rise in
their profit level (Sharif and et. al., 2021).
Negative impact of issue decrease in GDP and unemployment within an economy
comprises of the fact that they are not able to make the full use of the of workers which resulted
in form of reduce productivity. Along with this, a lower GDP means a limited income and
savings by the household that resulted in form of lower sales and less spending that negatively
impacts the profit and productivity level of the organisations. Beside this, the main issues and
negative impact caused by the unemployment consists of having the stressful situation for the
individuals so it tends to create many stress related health issues like headaches, high blood
pressure, diabetes, heart disease, back pain and insomnia (Liu, Chen and Li 2021). These health
issues often result in increased visits to a doctor and increased use of medication to manage the
health conditions. Further, it has been also analysed and reviewed that the covid-19 has vested
the issue of low GDP and unemployment that creates a negative impact on the spending of
people thus they are now not interest in going out and spending on traveling and touring.
Therefore, an analysis and implication can be made out that the companies within the hospitality
sector such as Hilton Hotel, Holiday inn, Café Coffee day and other restaurants and traveling
agents are the one which are highly negatively impacted by the issue of decrease in GDP and
unemployment. Along with this, the issue of social stigma which comprises of the negative
3

Challenges of
Hospitality Leisure and
Travel industry during
Covid19 pandemic
Table of Contents
Table of Contents

INTRODUCTION...........................................................................................................................1
Positive impacts on Companies.......................................................................................................1
Negative impacts on Companies......................................................................................................3
CONCLUSION................................................................................................................................4
References:.......................................................................................................................................5

INTRODUCTION
Essay topic: Challenges of Hospitality, Leisure and Travel industry during Covid-19
pandemic
Hospitality, leisure and travel industry is defined as the broad category of domains within
the service industry. It includes the services of lodging, food and drink service, event planning,
theme parks, travel and tourism. Further classification of services involves the hotels, tourism
agencies, restaurants and bars. Talking about leisure, it includes the sports and multi purpose
venues. In terms of tourism, domestic and international travel is included which contains the
activities such as sightseeing and attractions (Kumar, Normala and Belhadi, 2021).
The Covid-19 pandemic has resulted in a great challenges in front of the hospitality,
leisure and travel industry which has led to the severe repercussions. Strategies adopted by the
companies has resulted in the harmful outcomes due to the deadly pandemic. It has not only
destroyed the hospitality industry but the entire economy of a particular nation. Recovery of
losses has demanded more than one stakeholders in order to get solutions for raising up the
industry. Another major issue associated are such that the countries which are developing are
less prepared for such crises. One of the major issue is the hygiene which is a most important
concern for the hospitality industry (Sigala, 2020).
The following discussion is based on the positive and negative impact on various
organizations under hospitality, leisure and travel industry. Such impacts are totally based upon
the issues discussed above so that it can be analysed that how the positive and negative impacts
can affect the companies in several ways.
Positive impacts on Companies
Positive impacts on companies under hospitality industry are such that as soon as the
organizations came to know about the pandemic, they have cleared their payments to suppliers
under operations domain (Sheresheva, Efremova, Valitova and Laptev, 2021). This has
maintained the reputation of the organization along with the goodwill without any further
complications during the lock down period. Companies started minimising their extra expenses
on consumption of useless resources thus maintaining the sustainability. Such cutting down of
cost includes the cutting of operational and capital expenditure (Du, Floyd, Kim and Funk,
2020). They started conserving their financial and human resources while postponing their
1

Academic Writing for Business and
Management
1

Table of Contents
Introduction......................................................................................................................................3
Main Body.......................................................................................................................................3
Challenges of Hospitality, Leisure and Travel industry during Covid-19 pandemic.............3
How can the business solve the issues in their management..................................................5
Conclusion ......................................................................................................................................6
References........................................................................................................................................7
2

Introduction
After the impact of covid-19, tourism sector has been impacted with the major issues and
challenges, related to cancelled reservation, a decrease in international travel and having changes
in the tourist behaviour and make strategic impact. All of these are related to work and make
some major changes to analyse effective growth and work to analyse the outcome. The major
changes and growth are applicable for the use of tourist and make some strategic changes. All of
these are related to work and make some effective change and work as per the tourist impact and
society (Litvin and et.al., 2021). This report include the major growth and applicability for
analysing effective change and destination to work due to the pandemic impact.
Main Body
Challenges of Hospitality, Leisure and Travel industry during Covid-19 pandemic
Changes in the consumption pattern
Most of the hotel industry are not able to analyse their all consumption pattern, and after
the outbreak of covid-19, they are not able to mange uncertainties and make sure for analysing
the performance and manage the outcome to make travel contact and work on the losses due to
large number of cancellation to their destination challenge. After the outbreak of covid-19, there
are some effective changes and their measure are used to make radically changed outcome for
the growth of result. It will be related to analyse the measure success and make significant
influences on their daily and social lives. It is related to effective growth and major excess the
use of consumption pattern change. As after the impact of covid-19, most of the companies are
able to analyse tourism products and make a health security. It will be related to make changes in
economic, social and informational changes (Lei and So, 2021). All of these become the reason
to analyse the outcome and make effective pattern to the growth and applicability of the major
changes. It will be related to make effective adaptability and make effective growth outcome to
work on the major success and analyse the perception of the risk. It could be helpful for the
growth and applicability to reduce the consumption pattern which actually contribute the
understanding and analyse the major growth and become relationship from having the pandemic
style and make a human welfare. The main reason for become a challenge to measure travel
operator and manage the activities in an authorised way to complete work and manage the
3