Report on Contemporary Issues, Trends, and Developments in Hospitality

This report provides an overview of the contemporary hospitality industry, analyzing operational, managerial, and legislative issues affecting its functioning. It discusses employee expectations, the evolving image of the industry, and the impact of online booking, uneven demand distribution, mobile-based services, social media, and changing lifestyles. The report justifies predictions for potential trends and developments, including the rise of online and mobile bookings, the influence of social media, and the shift towards unique and boutique experiences. It also examines the impact of these trends, such as the redevelopment of older properties and the increasing focus on sustainability. The report concludes by recommending that organizations address these issues and trends proactively to ensure smooth functioning and continued success in the dynamic hospitality sector.

Contemporary
Hospitality Industry
Task – 3 and Task – 4

INTRODUCTION
In today’s world, the hospitality industry is facing several
contemporary issues. There are many managerial, operational and
legislative issues within the industry which needs to be addressed
for the successful operation of the companies. In addition to this,
in the last 20 years, tremendous changes have been noticed in the
accommodation sector. Now people are spending money in
leisure travel as well as holidays (Gilje, 2004). Pertaining to all
these factors, it becomes necessary to evaluate the current image
of the hospitality industry. This presentation will give a brief idea
about the recent development, trends and various factors or issues
affecting the hospitality industry.

TASK – 3
3.1 Analyzing the operational, managerial and legislative issues
affecting the hospitality industry
The hospitality industry is quite dynamic and versatile and thus,
there are many issues and factors that influence the working of
the companies related to it. Some of the operating issues being
faced by hospitality industry are food and safety, expectations of
the employees, standard operating procedures, recruitment and
selection, e-commerce and social-cultural issues. On the other
hand, managerial issues includes determining the key players in
the market, marketing consideration at the global level, providing
training and education to the employees, media issues and many
more (King, 2005).

Continued…
Finally focusing towards the legislative issues, there are many
legal and policy level regulations in the hospitality sector that
needs to be adhered for effective functioning. Quality of services
is the most vital part of this sector and thus, hotels are required to
religiously follow the regulations being established by the UK
government. Heavy penalties are imposed by the government, it
the laws and legislatives are not taken into consideration.
However, the most important contemporary issue being
faced by hotels is employee expectations. Staffs have lot of
expectations from the organization such as good performance
appraisal, training and development, flexible working hours,
growth opportunities etc.

Continued…
For illustration, Ritz Carlton hotel was established in the year
1983 and is one of the best hotels in the world. Employee of the
hotel expects goof training and development program from the
hotel and Ritz Carlton provides training to the workers after
analyzing the training needs and then design training programs,
develop training resources, implement training activities and
evaluate training results (Williams, 2006). Pertaining to this, the
hotel has the lowest turnover rate, because the worker’s
expectations are met to the supreme degree.

3.2 Current image of the hospitality industry
Before the establishment of the hospitality, its image was limited
in relation with the types of business and time of business. But
now days, it is very hard to differentiate the big issues that alters
the establishment in hospitality. This is because of the fact that
they can serve for longer duration of time for food and beverage
industry and hotel accommodation as well. The perception of the
people has now changes towards the hospitality industry. They
are busy in their lifestyle and thus, left no time to cook and
prepare food.

Continued…
They tend to eat out and avail the take away service which is
being offered by many restaurants nowadays. This is the reason,
there is increasing number of establishment in almost every part
of the world (Slattery, 2002). Other than this, because of the
exposure of media, there is expansion in the food and beverage
establishments. Seeking help from the advertisement, people are
easily informed about the new products and services in the
hospitality industry.

TASK – 4
4.1 Justifying predictions for potential trends and developments in
hospitality
• Online booking of services – From past few years, travellers
booking and researching online is increasing at a fast pace. In the
year 2013, more than 100 million people researched in relation with
the online travel. This is the latest trend which is impacting the
business of hospitality industry (Lam, Zhang and Baum, 2001).
• Uneven distribution of demand – Because of the economic
recession, there has been a downfall in the entire hospitality
industry and its related sectors. But with the recovery economy, this
sector is also witnessing recovery. It is important to take in to
account that this recovery stage has seen a sharp rise in the bars,
pubs and clubs and the hotel industry growth is still slow
(O’Connor, 2005).

Continued…
• Mobile based bookings – By the time when the internet
services on devices such as I-pad and Laptops will reach at
their peak, the mobile based services have outperformed many
of its booking channels. In this technology driven environment,
smart phones are considered as a mini-computing device that
has enabled the firm to leverage on this specific factor. This
technology trend has influenced many firms like Hilton,
Starwood and IHG in curtailing their cost of operations.

Continued…
• Impact of social media – Talking in reference with the hospitality
sector, the most important thing is quality of services being offered
to the customers. When the customers are satisfied than he himself
act as an advertisement that boost the promotions of the hotel. On
contrary, a negative review can also ruin the brand image of the
hotel. Social media plus the reviews of the customers plays an
important role in the development of business strategy of a hotel.
• Change in the level of lifestyle – Because of the emergence of new
lifestyle group, products related to hospitality are undergoing
alternations accommodating different taste and groups of people.
For instance, more boutique hotels in London focusing on offering
unique experience to guest is witnessing these days. Travellers
have varied preferences and tastes and thus, impacting the overall
functioning of the hospitality sector (Pizam, 2007).

4.2 Producing an impact analysis for the
predicted trends and developments
There are various current trends being identified above which
have some or the other impact on the overall hospitality sector.
There is change in the lifestyle of people and now they are
spending more towards the boutique and unique hotels.
Pertaining to this, many hotels as well as resorts in UK are
paying attention towards redevelopment of their old properties so
as to meet up with the changing preferences of the customers
(Slattery, 2002). Other than this, social responsibility and concern
related to environment is also increasing and thus, hotels, clubs
and pubs are more focused in regards with the sustainability part
of the business. They are required to contribute in the
development of the natural environment.

Continued…
• For instance, while developing sites near hilly areas, all the
natural surroundings should be taken utmost care to ensure
sustainable development practice. Consequently, it can be well-
versed that today there are numerous alterations, current trends
and developments which are happening and influencing the
development as well as growth of the hospitality industry and
its related sectors (Caterer, 2015). Therefore, for the purpose of
ensuring continuous growth, it is vital that all these predicted
trends are envisaged at their early level so that organizations
can gain the first mover advantage.