Contemporary Hospitality Industry: Trends, Growth, and Economics

This report provides a comprehensive overview of the contemporary hospitality industry, focusing on Premier Inn as a case study. It explores various business types within the sector, including food and beverage, lodging, and laundry services, and examines the functional and operational departments within Premier Inn, such as front office, food and beverage, human resources, housekeeping, and IT. The report discusses the contribution of the hospitality sector to local, national, and international economies, highlighting its role in increasing employment opportunities, GDP, and profitability. It reviews the interrelation of functional and operational departments within the hotel and assesses the influence of licensing and franchising agreements on the global development of the hospitality sector. Furthermore, the report analyzes how global growth, licensing, and franchising development contribute to the economic worth of the hospitality industry and appraises the implications of potential and current trends, such as technology utilization and demand for leisure travel. The report evaluates the hotel's capability to develop products and services that meet current trends, considering external factors like social, technological, economic, and political influences, and concludes with a summary of the key findings and recommendations for future development.

THE CONTEMPORARY
HOSPITALITY INDUSTRY

TABLE OF CONTENT
 INTRODUCTION
 ACTIVITY
 Exploring different types of business within hospitality sector and diverse items and services they offer.
 An examination of range of functional and operational departments within Premier Inn.
 Discussing contribution of hospitality sector to local, national and international economies.
 Reviewing interrelation of functional and operational departments in the hotel.
 Assessing how use of licensing and franchising agreements influence global development of hospitality sector.
 Analysing how global growth, licensing and franchising development contribute to economic worth of hospitality industry.
 Appraisal of implications of potential and current trends in sector.
 Evaluating of capability of hotel to develop products and services that will meet current trends.
 Critically evaluate how external factors impact on trends and development in entire sector.
 Impact of the external factors in the current tends and developments in the business
 CONCLUSION
 REFERENCES

INTRODUCTION
 Hospitality industry refer to set of ventures that has conducted different types of activities, and practices for purpose of enhancing
customer satisfaction level.
 The current presentation will be based on Premier Inn, which falls under the category of leading hotels in the hospitality industry,
UK.
 The study will explain different forms of business within hospitality sector and diverse products & services they offer.
 It will define the range of operational and functional departments within Premier Inn.
 Lastly, the report will also justify the implication of current & potential trends in the sector, with range of specific examples.

Exploring different types of business within hospitality sector and diverse
items and services they offer.
Food and Beverage
LodgingLaundry

Cont..
Food and Beverage-
• This category of ventures within chosen industry provide tasty food items and satisfactory services to guests, according to their needs.
• Restaurants, cafe shops and other places are included in that.
Lodging-
• Another form of business that falls under the same category is current one.
• Fancy hotels, elder and give star hotels, are the best example of lodging venture that provide accommodation services to each customer.
Laundry-
• According to this term, those companies washes and irons clothes for guest that stay in a resort or hotel falls under the list of laundry
ventures, which provide clothes cleaning services.
• They may clean clothes and bedsheets that re-utilize for preparing accommodation facilities to new potential guest.

An examination of range of functional and operational
departments within Premier Inn.
 Front office department-
 Food and beverage service department-
 Human resource department-
 Housekeeping-
 IT department-

Cont.
Front office department-
 This department may work effectively within chosen hotel in term of booking accommodation services according to guest needs.
 They may perform their role with other operational and functional units as well in form of conducting collaborative practices.
Food and beverage service department-
 This operational unit is accountable to collaborate with front office section to prepare meal according to individual guest need and
requirement.
Human resource department-
 They are accountable to hire people on the basis of requirement within each operational and functional section that help to increase
Premier in productivity and improve performance level.
Housekeeping-
 As functional department, this section in the chosen hotel is responsible to assure the cleanliness, aesthetic and maintenance appeal
of all rooms as well as public area in premise.
 IT department-
 The current functional unit conduct collaborative practice with all the section, to make ensure that their systems and software work
well.

Discussing contribution of hospitality sector to local, national
and international economies.
Local-
 At local level, hospitality industry contribute in form of increasing employment opportunities for people, who are finding suitable
jobs for themselves according to their interest level, in the field of hotels and other ventures.
National-
 At national level, sector contribute to increase GDP, which is quite beneficial for continuous growth and success of a nation such as
UK.
 It may support to increase economic growth, even better than last few years or months.
 By consistently growing middle class and maximizing disposable income, sector is witnessing a health and prospective progress for
more than 8.5% of nation's gross domestic profit.
International-
 At global level, hospitality industry contribute to increase profitability and employment as well, which drive the attention of
management toward taking pleasure of increasing market share.

Reviewing interrelation of functional and operational
departments in the hotel.
 The interrelation between functional (housekeeping, human
resource, etc.) and operational departments (front office, IT, and
other) within Premier in plays significant role.
 Their relationship may contribute to increase organizational
productivity and performance level, which is not that easy for any
hospitality firm to do so, appropriately, whether it is small or large.
 Marketing and IT as well as front office relation may contribute to
achieve target aim as they conduct collaborative practices.

Assessing how use of licensing and franchising agreements influence
global development of hospitality sector.
 It can be said that licensing and franchising contracts are those essential sources that may put positive influence on international
development on hospitality sector.
 It may drive the attention of overall industry and its management to focus on entering into those profitable markets, by following
legal procedure that help to grow rapidly and also provide opportunity to increase profitability even better than last few years.
 By using franchising, a company of hospitality sector may take licence from franchisor to run venture into a new market where they
already exist and then manage business growth productively.

Analysing how global growth, licensing and franchising
development contribute to economic worth of hospitality industry.
 International progress, franchising & licensing development may have
contributed to economic worth of hospitality sector in form of providing
unpredictable benefits in form of increasing employment opportunities,
GDP increment, etc.
 Global growth allows companies to enter into new market, while
franchising development may give them power to do that step appropriately.

Cont..
 Licensing may contribute to economic worth in term of providing way or mode to companies to enter into new market within
similar industry, where they may plan to obtain unpredictable benefits.
 By considering above three concepts, hospitality sector may grow rapidly and also support economy to progress in similar manner,
which is quite essential and beneficial for sustainability.
 Franchising, global and licensing development may play vital role in the context of economic value of overall sector.

Appraisal of implications of potential and current trends in sector.
 Technology utilization is one of those current trends that in the recent time each traveller prefer to adopt appropriately.
 It may drive the attention of individual person toward using technologies for purpose of collecting information related to
accommodation and other hospitality products and services.
 Along with above reason, majority of travellers utilize technologies to gain knowledge related to service that they prefer to utilize
such as travel and accommodation related.
 Demand for leisure travel is the best example of potential trend in the industry that affect current and further practices of ventures
that has been operated under current market.
 It is quite essential for industry and its management to focus on each form of trend that affect the way they may take decision and
implement the same into practical manner.

Evaluating of capability of hotel to develop products and
services that will meet current trends.
 By conducting SWOT analysis, it can be evaluated that Premier inn is able to develop satisfactory services and goods that will meet
current trend.
 It may conduct appropriate market research and make changes accordingly, that contribute to gain the attention of new customers
and retain existing guest, who are able to conduct word of mouth promotion that help firm to build positive brand image in the
market.
 Organization may utilize its strengths, to overcome weaknesses and grab current as well as in the future growth opportunity that aid
to develop satisfactory items and plan related to services that will meet trends appropriately and systemically.
 Skilled workforce is the key strength of company, that consider as its capability, which management utilize to produce and provide
each product and service systematically that appropriately meet trend like technology usage, etc.

Impact of the external factors in the current tends and
developments in the business
 The external factors have a significant impact on facilitating the current trends and developments for the businesses in the
hospitality industry.
 The social factors have a major influence in encouraging the customers to have an experience of these businesses and gain customer
satisfaction.

Cont..
 These factors may provide better assistance to the increase the popularity of these organizations and enhance the overall impact
these have upon the development of the overall hospitality industry.
 The technological advancements in the hospitality industry have motivated the customers to book their trips and stays conveniently.
 This aspect of the business has a crucial contribution in the overall development of the external services which have been provided
by the business to their customers.

Cont..
 The economic stability of certain regions have facilitated the expenditure of customers towards the hospitality sector which has
been a positive factor for the development of these businesses.
 There are different developments in the structure and services with the help of these changes in the economic conditions of the
county which is positive for the business to gain a significant market share in the industry.
 The political environment has a severe influence on the hospitality organizations which creates difficulties for the organizations in
the competitive business environment.
 With the help of appropriate strategies and efforts the hospitality organizations are able to find better solutions which are crucial for
the overall enhancement of these businesses in the industry.

CONCLUSION
 On the basis of above discussion, it has been concluded that hotels, motels and other types of ventures within hospitality industry
has provided quality products to customers and satisfactory services as well.
 By conducting these practices with skilled and talented workforce, they had achieved target aims and objectives, which help to gain
competitive advantages, and also enhanced the ability to develop more satisfactory services and goods.
 Furthermore, by summing up above analysis, it has been summarized that hotel has gained competitive advantages in bulk and
reached desire outcomes in form of implicating current as well as potential trends.

References
 Campos, F., Lima Santos, L., Gomes, C. and Cardoso, L., 2022. Management Accounting Practices in the Hospitality Industry: A Systematic
Review and Critical Approach. Tourism and Hospitality. 3(1). pp.243-264.
 Hassi, A., 2019. Empowering leadership and management innovation in the hospitality industry context: The mediating role of climate for
creativity. International Journal of Contemporary Hospitality Management.
 Kim, J., Kim, S.I. and Lee, M., 2022. What to sell and how to sell matters: Focusing on luxury hotel properties’ business performance and
efficiency. Cornell Hospitality Quarterly. 63(1). pp.78-95.
 Ntounis, N., Parker, C., Skinner, H., Steadman, C. and Warnaby, G., 2022. Tourism and Hospitality industry resilience during the Covid-19
pandemic: Evidence from England. Current Issues in Tourism. 25(1). pp.46-59.