Report on the Contemporary Hospitality Industry: Business Analysis

This report provides a comprehensive analysis of the contemporary hospitality industry, focusing on various aspects of its operations and development. It begins by identifying different types of businesses within the industry, such as food and beverage, travel and tourism, lodging, and entertainment, and the products and services they offer. The report then delves into the operational and functional departments of a hotel, using The Brooklyn Hotel as a case study, and examines their interrelationships. It also explores the hospitality industry's contribution to local, national, and international economies, emphasizing the impact of franchising and licensing agreements on global development. The report further discusses different operational roles within the industry, the skills required for these roles, and reviews the existing skill gaps and their impact on the hospitality sector. The analysis covers how global development, franchising, and licensing have influenced the industry's economic worth. Overall, the report provides a detailed overview of the industry's structure, operations, and future prospects.

Contemporary
Hospitality Industry

Table of Contents
INTRODUCTION..........................................................................................................................1
MAIN BODY...................................................................................................................................1
Identify different types of business in the hospitality industry and the products and services
which they offer......................................................................................................................1
Operational and functional departments in the hotel..............................................................2
What does hospitality industry offers to local, national and international economy.............2
Analyse the interrelationship of operational and functional units of the hotel.......................3
Analyse how the franchising and licensing agreements have influenced the global
development of hospitality business.......................................................................................3
How global development, franchising and licensing developments have made the contribution
on economic worth of the industry.........................................................................................4
What are different operational roles in the hospitality industry.............................................4
What are the skills required for operational roles..................................................................5
Review the skills gaps............................................................................................................5
Impact of skill gaps on hospitality industry...........................................................................6
CONCLUSION................................................................................................................................6
References:.......................................................................................................................................7
Books and Journals.................................................................................................................7

INTRODUCTION
Hospitality industry is that industry which provides various types of services to the
people. The hospitality industry is divided into various sectors which includes food and
beverage, travel and tourism, resorts, hotels and many more(Kallmuenzer and et. al., 2019).
People also avail these services when they want to spend good time with their family and friends.
The hospitality industry is considered to be the most revenue source industry if the strategy used
by the owners is amazing and perfect. The Brooklyn Hotel is the first hotel in UK which
provides variety of services to its guests and their main is to provide best experience to the
guests. This report will cover different types of business within the hospitality industry,
operational and functional departments, contribution of hospitality industry, interrelationship of
operational and functional units, use of franchising and licensing agreements, different
operational roles, skills required for these roles, reviewing the skill gaps, impact of skill gaps on
business.
MAIN BODY
Identify different types of business in the hospitality industry and the products and services
which they offer
The hospitality business is mainly divided into four segments which are discussed as below-
 Food and Beverage- The Food and Beverage is considered to be the largest sector in the
hospitality business. The Food and Beverage is considered to be known by the name
F&B and these services are provided in the restaurants, hotels, motels(Bani-Melhem,
Quratulain and Al-Hawari, 2021). It can also be said that these services are provided also
in those places where people spend their holidays. The products are services that they
offer is proper full meals, snacks, beverages etc.
 Travel and Tourism- Travel and tourism is the sector of hospitality in which the people
move from one location to another. The travel and tourism is the most earning sector and
in this it can be related to moving for work, or to spend good time with their family and
friends. The products and services offered is trains, airlines, buses and etc.
 Lodging- It is basically provided to provide the stay to the people which can be in the
day or the night. When people go out to spend their holiday or may go out for the work
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then they need some place to stay. The services provided by the lodging are sites, resorts
and etc.
 Entertainment- Entertainment plays the important role in the life of the people and for
this there is the industry also which serves different sought of entertainment to people.
The services offered by the entertainment is the gaming, clubs, bars and etc,
Operational and functional departments in the hotel
Operational and functional department of The Brooklyn Hotel has been discussed below-
Operational department-
 Front office department- The front office department carries out lots of work which
includes welcoming the guest, providing them the information if they are facing any
issues and many more(Baloglu, Busser and Cain, 2019). The Brooklyn Hotel front office
department also works in the same manner and help the guest to carry their luggage, to
make the proper registration. Food and Beverages department- In the hotels the main focus is nit juts on the stay but
also on the foods which they serve to the guest. The Brooklyn Hotel serves the food of
different cuisines and is liked by the people who come to stay in the hotel.
Functional department- Human resource (HR)department- The HR department of the hotel carries down the
work which is related with the number of vacancies which is there in the hotel, to fill the
vacant position. The Brooklyn Hotel HR department provides the training to the people
who are new so that the work becomes easy for them. Marketing department- The marketing department of Brooklyn Hotel works to make
the promotion of the hotel and the services provided by them. They target the people in
the market who can be attracted by the hotel easily.
What does hospitality industry offers to local, national and international economy
The hospitality industry offers many things not just to the local but also at the international
level. The main aim of the hospitality industry is to provide the best experience to their guest and
also to the country which approximately adds around 10.4% of the GDP (Bigné and Decrop,
2019). They help in providing the job opportunities to the people who are unemployed and
government of the country supports this industry in a larger way. The people who want to spend
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some outdoor time then the hospitality industry is the best for such things. The tourism sector is
increased and with that many local people and the international tourists comes to visit the place.
The Brooklyn Hotel is the first hotel in UK and with that their image and goodwill is also well
established because of which many people come here to spend some time.
Analyse the interrelationship of operational and functional units of the hotel
The interrelationship between operational and functional department of The Brooklyn Hotel have
been discussed below-
 Human resource (HR) department and Front office department-The HR department
contacts with the Front office department regarding the requirement of employees. If the
position is vacant then the HR department has to fill that particular position (Fujita,
2019). The Brooklyn Hotel HR department provides the form to the front office
department to distribute to other employees.
 Marketing department and Food and beverage department- The marketing
department contacts with the food department of The Brooklyn Hotel that they provide
them the information regarding the cuisines which will be liked by the guests. The food
department fixes the menu and take the consideration of the marketing department also.
 Purchase department with housekeeping department- The purchase department of
The Brooklyn Hotel purchases the things and keep the stock ready according to the
requirements of the department. The housekeeping department provides them the
information regarding the things including the linen, things required for cleaning. Then
the purchase department keeps all the things ready.
Analyse how the franchising and licensing agreements have influenced the global development
of hospitality business
The franchising and licensing agreements are two different things but the use of both things is
done to make the expansion of business(Lin and et. al., 2019). Licensing means the business gets
the license of the other similar business of the other country as they can use their intellectual
property for some period of time. This will help the business to start their business in different
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country and with that they get to know information about the market also. Franchising is to start
the business in the name of the other established business and this also helps in to share the risk
and profits by the owners(Jang and Zheng, 2020). For example- If the Brooklyn Hotel wants to
expand their business in other county then they can take the help of any mode of entry and with
that their business will be developed globally. The main motive of the licensing and franchising
is for this only as this method is suitable in the sense that it the cost of market entry is low
compared with other methods. The source of income for the business will be higher and with the
help of this method they can make the entry in the different markets easily.
How global development, franchising and licensing developments have made the contribution on
economic worth of the industry
The global development of the business and the franchising and licensing has helped the
business not only to achieve the growth to the business but also to increase the economic worth.
The global development of the business with the help of these entry modes involve the adoption
of different technology which work in that particular country and this helps the business to
inculcate in their business. The business starts making those changes and if The Brooklyn hotel
will expand their business to other country and starts utilising the things in their daily activities
then the business will bring some changes (Cha and Borchgrevink, 2019). The use of technology
in the hotels has become the highest priority, the different culture adoption by the hotel and the
information and knowledge of the different types of people will help them to make the required
changes. If these changes will be made by the hotel then they would be able to earn more profits
and develop the competitive image. The hotel industry has to face the dynamic environment of
the market and for this they have to make some changes. Global development helps them to
make the changes and with that also they gain their competitive advantage in the market.
What are different operational roles in the hospitality industry
The hotel has different roles and for this they employ the people which suit the best for the role.
The Brooklyn Hotel also has different operational roles which have been discussed below-
 Waiting staff- The waiting staff of the hotel main work is to welcome the guest and
attend them effectively. The job role defines the work in which they have to bring the
food to the guest, to take the payments from the guest and to provide them the things
which are required by them.
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 Restaurant manager- The main work of the restaurant manager is to keep the food
ready all the time and should focus that the food is made hygienically. The Brooklyn
Hotel manager has to identify that the food has met all the quality standards, to train the
staff so that the mistakes can be avoided.
 Front desk manager- The front desk manager has a lot of duty and responsibilities as
they are on the front desk and they have to attend the guests who have arrived in the hotel
(Rather, 2021). Not just this, they have to make all the registration of the guests, to
provide them the information regarding the issues they are facing and many other.
What are the skills required for operational roles
There are different skills which are required by the hotels for doing their different roles and
those skills are important for doing the job in the hotel. The operational roles in the hotel are
many which involves the front desk, food department, housekeeping and many other. The skills
which are required for the operational roles is to have good communication, to be organized in
the hotel because organisation helps in performing the work of the hotel well(Luu, 2019). Other
skills which is required is the good interpersonal skills, teamwork, commitment, enthusiasm
skill. These skills are crucial which the interviewer looks on the person. The Brooklyn hotel
employs the people which has all these qualities as the personnel creates great impact on the
performance of the hotel (Chan and Tung, 2019).
Review the skills gaps
The skills are the important if the person is going to take the new job or doing the work
which they are doing. The competition has increased and so the requirements of the skills have
also increased if the person wants to be successful in their life. But mostly the requirement of the
skills is in job place and without the skills no organisation would employ the person. The
Brooklyn hotel also requires these skills in every person because the skills make the person more
competitive and conducts the work with good productivity. But if the required skills are not
present in the person then the hotel cannot achieve the things accordingly and they might not
achieve the growth also (Ai, Chi and Ouyang, 2019). The skills provide the knowledge as to how
they have to conduct their work and if the person has not learned the communication skill then
they would not be able to handle the guest. The most important skill is the communication skill
in the because of which the guest is attracted and this shows how the staff has built the
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relationship with the guest. Good organisation is also important as the hotel staff has to work a
lot and that too on time.
Impact of skill gaps on hospitality industry
The organizations are not getting the required skills for proper management and to conduct
the daily operations to meet the objectives. Without the skills the people who are employed
which they wish to and wants will not result in excellence. The management of the hotel requires
the skill because this helps in the improved customer service and the retention of the guest also
becomes higher(Dogru, Mody and Suess, 2019). The impact of skill gaps would not be able to
reduce the risk which the hotel must be facing. The skill which is required is the teamwork and if
this skill is not learned by the people then they would not be able to work in team. The skills
learning basically provides the knowledge and information to the people but if they are not
having the skill then they would not know how the work has to be completed. The hotel requires
the skills because the development of relations can be made, the work is carried on
systematically. Skill gaps will be the major disadvantage for the hotel because the employees are
the one to whom the guest come and meet and if they will not be having the skills, then no
person would like to come at that place.
CONCLUSION
From the above report it can be concluded that hospitality industry is considered to be the
most important sector. This is because people take these services to spend their leisure time and
if such services will not be provided then their life must not be pleasant enough. These
hospitality services are established to provide the people with their best experiences either to
enjoy the spa time, eating good food or having night stay in different environment. Each
hospitality sector welcomes their guest with utmost harmony and takes care of the priority of
their guest.
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References:
Books and Journals
Ai, J., Chi, O.H. and Ouyang, Z., 2019. Categorizing peer-to-peer review site features and
examining their impacts on room sales. Journal of Hospitality Marketing &
Management. 28(7). pp.862-881.
Baloglu, S., Busser, J. and Cain, L., 2019. Impact of experience on emotional well-being and
loyalty. Journal of Hospitality Marketing & Management. 28(4). pp.427-445.
Bani-Melhem, S., Quratulain, S. and Al-Hawari, M.A., 2021. Does Employee Resilience
Exacerbate the Effects of Abusive Supervision? A Study of Frontline Employees’ Self-
Esteem, Turnover Intention, and Innovative Behaviors. Journal of Hospitality Marketing
& Management, pp.1-19.
Bigné, E. and Decrop, A., 2019. Paradoxes of postmodern tourists and innovation in tourism
marketing. In The Future of Tourism (pp. 131-154). Springer, Cham.
Cha, J. and Borchgrevink, C.P., 2019. Customers’ perceptions in value and food safety on
customer satisfaction and loyalty in restaurant environments: moderating roles of gender
and restaurant types. Journal of Quality Assurance in Hospitality & Tourism. 20(2).
pp.143-161.
Chan, A.P.H. and Tung, V.W.S., 2019. Examining the effects of robotic service on brand
experience: the moderating role of hotel segment. Journal of Travel & Tourism
Marketing. 36(4). pp.458-468.
Dogru, T., Mody, M. and Suess, C., 2019. Adding evidence to the debate: Quantifying Airbnb's
disruptive impact on ten key hotel markets. Tourism Management. 72.pp.27-38.
Fujita, R., 2019. English for tourism and hospitality. Towards a New Paradigm for English
Language Teaching, pp.172-180.
Jang, Y.J. and Zheng, T., 2020. Assessment of the environmental sustainability of restaurants in
the US: The effects of restaurant characteristics on environmental sustainability
performance. Journal of Foodservice Business Research. 23(2). pp.133-148.
Kallmuenzer, A. and et. al., 2019. Entrepreneurship in tourism firms: A mixed-methods analysis
of performance driver configurations. Tourism Management. 74. pp.319-330.
Lin, M. and et. al., 2019. Why does empowering leadership occur and matter? A multilevel study
of Chinese hotels. Tourism Management Perspectives. 32. p.100556.
Luu, T.T., 2019. Can diversity climate shape service innovative behavior in Vietnamese and
Brazilian tour companies? The role of work passion. Tourism Management. 72. pp.326-
339.
Rather, R.A., 2021. Demystifying the effects of perceived risk and fear on customer engagement,
co-creation and revisit intention during COVID-19: A protection motivation theory
approach. Journal of Destination Marketing & Management. 20. p.100564.
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