Hospitality Provision: Travel, Tourism, and Business Planning

This report explores the interrelationship between hospitality and the broader travel and tourism sector, using PKF hotel experts as a case study. It analyzes the implications of business integration within the hospitality industry, including horizontal and vertical integration, and discusses the effects of integration on business operations, quality, and potential societal impacts. Furthermore, the report develops a rationale for a selected project, justifying decisions linked to the target market, and creates a plan for a hospitality business that includes operational requirements and human resource allocation. The report concludes by emphasizing the importance of customer focus and customized services for achieving growth in the hospitality sector.

Hospitality Provision in Travel and Tourism Sector
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Contents
Introduction.................................................................................................................................................3
LO 1............................................................................................................................................................4
1.1) Discuss the interrelationship between hospitality and wider travel and tourism business............4
LO 2............................................................................................................................................................6
Executive Summary.................................................................................................................................6
Introduction.............................................................................................................................................7
2.1) Analyze the implications of integration to the hospitality industry...................................................8
2.2) Discuss how integration has affected the hospitality business........................................................10
Conclusion.............................................................................................................................................12
Task 3........................................................................................................................................................13
3.1) Develop a rationale for a selected project clearly justifying decisions linked to target market.......13
3.2) Develop a plan for the hospitality business which includes the operational requirements of
business in relation to the human resource allocation............................................................................16
Conclusion.................................................................................................................................................18
References.................................................................................................................................................19
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Introduction
This report deals with the relation between the hospitality as well as the travel and the tourism sector of
the PKF hotel experts and also the ways through which the customers can be attracted by providing them
various services and products. The hospitality sector is one of the major parts of the travel and the tourism
sector. In today’s scenario, the hospitality industry has achieved the growth by handling the customers
coming from the diverse places. They provide them the comforts as well leisure through the satisfactory
services. The importance of the travel and the tourism sector is also increasing with that of the hospitality
sector. The particular plan has been developed which shows that how the new business of Starbucks will
operate in the competitive market.It also focuses on how the integration affects the hospitality business
which helps in analyzing the business strategies. With this also how the pricing strategy affects the
demand is depicted.
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LO 1
1.1) Discuss the interrelationship between hospitality and wider travel and tourism
business.
Topic: The role of hospitality industry within travel and tourism sector.
Date:05-04-2018
Introduction
PKF hotel expert is one of the leading firms in providing hospitality, tourism as well as leisure
consultancy. It is located in 300 locations across 100 countries. It was founded in 1869 and was
the first company offering the consulting services as well as the financial and benchmarking
services (REM Online.com, 2015). They provide quality of services to its clients by providing
unbiased services.
The hospitality industry is one of the parts of the travel and the tourism sector. It is basically
responsible for providing the places for accommodation as well as the foods such as resorts,
hotels and theme parks (Roblchaund, 2017). The main aim the hospitality sector is to engage the
satisfaction of the customers by offering them the best quality of the services. This industry is
one of the highest incomes driven economy in the world (REM Online.com, 2015). With the
globalization, the hospitality sector has also been one of the emerging sectors in the economy. If
the services provided by the PKF hotel experts are found satisfactory to the customers so the
promotion of the business will be done through the word of mouth.
Travel and tourism sector is a part of the activity that the person does for the entertainment
purposes. In today’s world, the travel and the tourism sector has gained an importance as it
provides the satisfactory services to the customers availing the services (Johnson, 2018). The
tourism is based on the small businesses which are served by the hospitality sector. For example:
If the customers traveling to some other city to spend their leisure time so the airlines in which
they are traveling comes under the travel and the tourism sector but the hotel in which they will
stay will come under the hospitality sector (Mok, et. al., 2013).
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Image: PKF Hotel expert
Source: REM Online.com, 2015
Interrelationship:
The hospitality industry, as well as the travel and the tourism sectors both, are interrelated with
each other as both works with the same aim of providing the satisfactory services to the clients
by offering the high quality of the products. The hospitality industry is the subset of the travel
and the tourism sector (REM Online.com, 2015). The travel industries have to focus on the
various factors so that the customers can get the satisfactory services. Some of the factors are
boarding, lodging, and hotels. They both provide the excellent services so as to attract the
customers. A PKF hotel expert has looked upon all these factors so that the market share can be
captured. By capturing the market share the tourism sector will lead the economy to achieve the
growth (Malek, 2016). The interrelationship between the travel and tourism as well as the
hospitality sector is explained below:
Communication: The communication is one of the basic relationships between both the sectors
that are travel and tourism as well as the hospitality sector as capturing of the market is totally
dependent upon the good communication skills (REM Online.com, 2015).The way of the
communication decides that whether to book the hotel with the respective client or reject it. So
for the PKF hotel expert, it is necessary to focus mainly on the communication so that the
customers get impressed and agree to avail the services. To make the better communication the
PKF hotel will also conduct the various seminars as well as the tanning sessions so as to the
skills of the employees as well the staff members get enhanced (REM Online.com, 2015).
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Packages relate to Holiday and Travel: Various agencies related to the travel and the
hospitality sectors provide the packages to the customers by keeping in mind the needs and the
demands of the customers. Customers usually prefer those packages which can be easily
accessible by paying the less amount of the price. The discounts and the offers are provided on
the packages to the regular customers (REM Online.com, 2015). The PKF hotel expert provides
various travel offers on the seasonal basis so that most of the customers get attracted and avail
the services. The PKF hotel experts provide various services to its clients such as the:
competitors review, funding solutions as well as the operational reviews.
The travel and tourism, as well as the hospitality services both, are provided by the PKF hotel
experts as the hospitality sector works in accordance with the tourism sector only. The
hospitality industry is the provider of the services which are for the tourism sector (REM
Online.com, 2015). The tourists visiting the hotels may demand the affordable packages
according to their budget. The customers may need the services according to their budgets such
as the lower budget customer may demand the 1 to 3-starhotels while the customers who have a
high amount of the budget available they may demand the 4 to 5-star hotels (Johnson, 2018). The
prices of the hotels offered also depend upon the accommodations such as guests who are
offering for the luxurious accommodations may demand all the amenities such as clubs and bars.
Without the travel and the tourism sector, the hospitality sector cannot exist, this gap occurs as
tourists who are visiting for the fun purposes will not find the place to accommodate. Therefore,
the decline in the customers for the tourism sector, in turn, will reduce the revenue of the
hospitality sector (REM Online.com, 2015).
Conclusion
So, it can be stated that the PKF hotel experts should mainly focus on the demands and the needs
of the customers so that the services offered can be customized accordingly. The hospitality as
well the travel and the tourism sector are related to each other as they both focus on the services
and the customer’s needs. The PKF provides both the personal as well as the professional
services so that the existing business can achieve the growth in the future by satisfying the
customers. Considering the customer first and the products as secondary will enhance the quality
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of the services provided by the PKF hotel expert.
LO 2
Executive Summary
This part explains the overview about the various mergers which have been taken by the companies so
that the overall turnover can be increased and the better services can be provided. The hospitality industry
has achieved the growth in terms of the developments. It also depicts that how the integration of the
companies can impact the business in the global market. The analyses have been conducted by taking the
examples of the recent mergers and the acquisitions which has captured the market in the hospitality
industry. The report has been prepared by taking the secondary data which was provided so that the
understanding about the mergers can be enhanced.
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Introduction
Under this part of the report implications about the integrating of the hospitality industry is
explained with that how this integration affect the business of the hospitality has also been
highlighted. By integrating the hospitality with the travel and the tourism sector the working of
the organizations can go smooth.
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2.1) Analyze the implications of integration to the hospitality industry.
The integration in the organization is done with the main focus on the increasing the economies
of scale by reducing the operating cost. To save the money for the long run, this is the best policy
(Mok, et. al., 2013). With the integration, the hospitality services will be provided in the better
and the economic way to the customers such as the Starwood Hotels was taken over by the
Marriott so now the services will be enhanced (Johnson, 2018). The integration can be done in
two ways:
Horizontal Integration: Horizontal integration is that where the organizations from the two
different industries come together and integrate to form the big company (Business Case Studies,
2018). This is basically done to maximize the amount of the profit by increasing the area of the
customer (Booker, 2018).
Vertical Integration: The Company is said to be vertically integrated when the company buys
another company from the chain of distribution or buys the supplier of its own company
(Jurevicius, 2013). This integration focuses on enhancing the skills of the interior employees
rather than hiring the external workers (Business Case Studies, 2018).
Implications of integrating into the hospitality industry:
The services of the hotels or the restraints should remain the same even after integration
otherwise it will impact the brand loyalty as well as the goodwill of the organization. For
example, The Starwood Hotel has been taken by the Marriott international so the services should
remain same of the Marriott otherwise the risk of losing the customers persists (Johnson, 2018).
The integration may also leave the bad impacts on the society as when the two big, as well as the
strong companies, merge together so there are always the chances that only the one will survive
which have the strong market share. This may increase the unemployment rate in the economy
by throwing the small companies out of the market (Mok, et. al., 2013).
The conflicts of the interests can also be attained while integrating as if two companies like
Blackstone and Hilton integrate so there exists the conflicts as both of them works with different
vision as well as a mission which in turn may affect the decision-making process of the
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organization. Globalization also plays the important role in the travel and the tourism as well as
the hospitality sector (Mok, et. al., 2013). Most of the revenue of the country is earned by the
international tourists as compared with that of the local tourists (Johnson, 2018). Major revenue
generator is the tourism sector as compared to that of the hospitality sector as the hospitality
sector is succeeded by the travel and the tourism sector.
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2.2) Discuss how integration has affected the hospitality business.
The integration of the organizations has affected the hospitality business in the many ways.
Through integration, the current situation can be predicted. The dynamic environment has made
the managers of the organization to reframe the policies accordingly (Malek, 2016).
Impacts of the Integration:
Quality: The process of the integration does not focus on the quality of the product. As,
employees of the organization do not follow instructions given by the new managers of the
organization so that may impact the hierarchical process of organization. The managers basically
focus on providing the quality services to its clients by analyzing the demands. For instance, the
Intercontinental Hotels Group has acquired the Kimpton Hotels and resorts so the workers of the
Kimpton Hotel may not follow the instructions given by the managers of the Intercontinental
Hotels Group.
Scale Economy: The operating cost can be reduced with the integration of the organizations. If
the Blackstone a private equity firm takes over the Hilton, at the initial stage the investment to
acquire the hotel is 26 Billion US$ but in future, the benefits will increase (Cohen, et. al., 2014).
This will increase as the investment firm has taken over the hotel so with the rise in the equity
prices so the revenue of the Hilton will also increase (Cohen, et. al., 2014).
The integration has also impacted the functions of the organizations as integrating of the two
competitors provides the better services to its customers. The best quality of the services will
increase the number of the customers visiting the organization. For instance as when the two
competitors Marriott hotels acquired Delta Hotel so the services will enhance and the monopoly
can be created in the market by leading the market share which in turn also reduces the number
of choices for the customers. When the strategies, as well as the policies, will be applied in the
organization's integration process so the efficiency, as well as the effectiveness, will be increased
by delegating the authority (Cohen, et. al., 2014). The cost, as well as the expenses of both the
organizations, will be reduced and hence the revenue and the profitability will increase.
Optimally utilizing the resources by the Marriott hotel will increase the overall performance of
the organization and will also bring the innovative ideas in the organization.
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So, the integration of the various businesses will help in providing the quality service with the
help of diversifying business in the other countries as well (Mok, et. al., 2013). New services will
be provided which in turn will increase the transparency in the organization as well as will lead
to the sustainable success (Malek, 2016).
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