COVID-19 Challenges: Hospitality, Leisure, and Travel Industry

This essay examines the multifaceted challenges that the hospitality, leisure, and travel industry faced during the COVID-19 pandemic. It identifies key issues such as decreased GDP, rising unemployment, social stigma, and mental health problems, analyzing both the positive and negative impacts of these issues on the industry. While decreased GDP and unemployment led to opportunities for cost-effective labor and service pricing, they also resulted in reduced consumer spending and productivity. Social stigma and mental health problems negatively affected workplace dynamics and employee efficiency, although they also created opportunities for medical and travel companies. The essay concludes by emphasizing the need for companies to effectively address these challenges to ensure sustainable business practices during and after the pandemic.

Challenges of Hospitality Leisure and Travel industry during Covid19
pandemic
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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
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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
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association between a person or group of people who share certain characteristics and a specific
disease has also been seen during the times of the Covid-19. Along with this, the sickness and
threat of covid-19 also gives rises to the higher mental health problems that leads to negative
impact on the productivity and efficiency level of the employees. It has been and analysed that
the negative impact of social stigma has been mainly seen in the hospitality sector on the
companies such as Hilton Hotel and Holiday Inn as the chances of the workplace conflicts has
been increased because of the social stigma. Along with this, the rising mental disease is also
leading to inefficiency and unproductiveness of their employees in form of larger sick leaves and
absenteeism from the workplace (Coccia, 2021).
Covid 19 pandemic has majorly affected the performance and functioning of the business
dealing in different sectors especially hospitality industry. The main issues which is caused by
Covid 19 includes decrease in GDP rates, increase in unemployement, social stigma as well as
mental health problems. All of these are crucial issues that will lead to have major impact on
business as well as purchasing capabilities of individuals. There is both positive and negative
impact on these issues and it is majorly influence the decision making or strategies of the
business. Covid 19 lead to cause various issues which is positively and negatively affect the
companies of hospitality industry. It has been determined that with the decrease in GDP rates the
overall values of the products and services offered by companies has been improved. Customer
prefer to purchase high valuable products in order to meet with their needs and wants.
Unemployment rates is positively affecting companies as there are more opportunities for
business to hire right skills and capable employees for conducting business practices in effective
and efficient manner. Organisation are conducting different practices with the motive of
overcoming the issues of mental health problems as well as social stigma. This lead to create
positive image in customer mind set about the company. The negative impact of decease in GDP
rate is that it will lead to decline in the sales and profitability of business. Because of high
unemployment rates in market area, people are not able to earn basic facilities and full fill their
needs or wants. This lead to have negative impact on living standards of the people and society.
Social stigma has created major negative impact on individual as well as their behaviour. Due to
discrimination towards particular group of people and individual there is development of
negative attitude and behaviour of the person. Mental health problems has been significantly
increasing due to Covid 19 pandemic. This lead to have negative impact on overall health of a
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person. Due to these negative impact of Covid 19 sales and profitability of the people to
purchase hospitality products and services has been decreasing. It is essential for companies to
successfully and effectively deal with these issues of Covid 19 in order to carry out business
practices in appropriate manner.
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REFERENCES
Books and Journals
Mele, M. and et.al., 2021. An ANN experiment on the Indian economy: can the change in
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Kekre, R., 2021. Unemployment insurance in macroeconomic stabilization. University of
Chicago, Becker Friedman Institute for Economics Working Paper, (2021-28).
O'Connor, R.C., and et.al., 2021. Mental health and well-being during the COVID-19 pandemic:
longitudinal analyses of adults in the UK COVID-19 Mental Health & Wellbeing
study. The British Journal of Psychiatry, 218(6), pp.326-333.
Galbraith, N., and et.al., 2021. The mental health of doctors during the COVID-19
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Sharif, N. and et. al., 2021. The positive impact of social media on health behavior towards the
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Coccia, M., 2021. The impact of first and second wave of the COVID-19 pandemic in society:
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