Report: Hospitality Provision in Travel & Tourism Sector, PKF Industry

This report delves into the intricate relationship between the hospitality and tourism sectors, emphasizing their interdependence. It analyzes the role of hospitality in supporting tourism, providing essential services like accommodation, food, and transportation, and facilitating customer satisfaction. The report examines the advantages and disadvantages of integrating these sectors, highlighting both horizontal and vertical integration strategies, and their impact on the PKF industry. It explores how integration affects operational costs, efficiency, and the ability to adapt to market trends. The analysis includes discussions on the impact of integration on quality, standardization, employee adaptability, and market dynamics. The report also addresses the implications of integration on factors such as business travel, conferences, and visitor attractions, along with the significance of promotional activities. Furthermore, it highlights the importance of technology and the need for strategic planning to navigate the challenges and leverage the opportunities presented by integration within the hospitality and tourism sectors. Finally, it concludes with a discussion on the implications of integration on the PKF group, emphasizing the need for technical knowledge among employees and the importance of technology in decision-making.

Hospitality Provision in Travel & Tourism Sector

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P 1.1 Interrelationship between hospitality and tourism sector .................................................3
TASK 2............................................................................................................................................5
P2.1 Implications of integration to PKF industry : ....................................................................5
P2.2 Analyse the impact of integration on PKF organisation : ..................................................7
TASK 3..........................................................................................................................................10
P 3.1 Developing a rational for hospitality industry.................................................................10
P 3.2 Developing a plan for a hospitality industry ...................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

Illustration Index
Illustration 1: Interrelationship between hospitality and tourism industry,.....................................6

INTRODUCTION
In order to define hospitality industry in PKF, it is required to interpret what is it ? This is
one of the fewest essential element of tourism business. Without this, commercial enterprises
does not survive. It assists in to encourage the products' ans services granted by tourism industry.
Furthermore, the inter-relatedness 'tween these both industries also described. There are some
ordinary property attendants to the products and plan of action. There is a brawny impact of
integration on the hospitality industry. Dynamic concept and plan of actions of hospitality
industry is bear on the policies and strategy of tourism business as well(Yusof, Zahari and Ghani,
2017).
TASK 1
P 1.1 Interrelationship between hospitality and tourism sector
Study of interrelation between hospitality industry and tourism industry is very important.
All the divisions of tourism sector is being created by hospitality industry only. Like if a family
plan to go on a tour than if they stay in hotel then hotel comes under hospitality industry, if they
travel through airlines then airlines' comes under hospitality industry. It means w can say that
hospitality industry are act like a supplier of a tourism industry. Tourism industry is incomplete
without hospitality industry. These industries provide facilities to the customers for their
enjoyment and safety. They provide facilities such as accommodation, food and beverages and
so on. Hospitality industries make ensure that all the tourist who are on tour get best of the
facilities with affordable price. The main motive of the tourism industry is to satisfy the
customers who are using their products or services and this aim can be achieved through
hospitality industry only. PKF industries are conducting training and development programmes
to develop the skills and performance of their products(Getz, and Page, 2016.). By this
development, employees are able to handle the complexities and problem with the customers.
The interrelationship can be understood by following points :
 package holidays : hospitality industry plays an important role in package holidays of
tourism industry. Price of the hotels which are giving facilities to the tourists under tour
package is based on the price offered in the holiday packages. Travel agents take
feedback of their tourists who stayed in the hotels(Yusof, Zahari and Ghani, 2017)..

 Aviation : budget airlines are the part of aviation. The success of the airlines depends
upon the facilities given by hospitality industries. Airlines should analyse the situation of
accommodation and facilities of food and beverages and bed availability.
 business travel : businessmen are always chosen the luxurious facilities in which they can
get internet facilities and business centres. Today's market force the tourism industry to
provide business facilities to their customers.
 Conferences : it includes exhibition facilities by which customers can view the products
and services before buying it. It is an easy way to attract the customers from over all the
world.
 visitor attraction : it includes the man made creations and natural attractions. Theme
parks are the best way of visitor attraction. Natural attraction means natural parks which
attract the tourists. Many of the theme parks provide facilities of restaurant and cafes on
their own place.
Scope of the hospitality industry and travel industry are wide and vital. It includes travel,
lodging, recreation, meetings, convention, exposition, restaurants and managed services.
Interrelationship can be done through some steps like principals, wholesalers, retailers and
consumers. There are some factors included in these steps such as : principals include attractions,
accommodation providers and transport. Wholesalers include mass market and tour operators.
Retailers include online and multiple call centres. Consumers include leisure, business and
relatives. These both are interrelated and affected by each other. Promotional activities are plays
an essential role in both of the industries. These both industries affect the structure and policies
of their activities(Getz, and Page, 2016.). There are many conflicts exist in interrelationship such
as cultural diversity and environmental changes. The interrelationship can be understand by
following diagram :

Illustration 1: Interrelationship between hospitality and tourism industry,
Source : Interrelationship between hospitality and tourism industry,
2016<https://www.slideshare.net/amarayya-hiremath/hospitality-marketing-ppt>
Scope of the hospitality industry include medical tourism, increasing tourists, communication
technologies and foreign direct investment. It gives best services to their targeted customers and
provide customer satisfaction which make it conquer in the competitive market.
TASK 2
P2.1 Implications of integration to PKF industry :
This is one of the best growing industry in the terms of development. Integration provides
many advantages and disadvantages to the hospitality and travel industries. Advantages are
decrease travelling expenses, reduce transportation cost, solve the complexities, identify the

problems on earlier stage, decrease managing cost, helping in gather the informations, handle the
cost and reduce the transferring cost.
Integration provides many types of advantages but in the other hand it also generates the
disadvantages to the organisation. Disadvantages are difficult to combine different strategies and
policies, difficult to achieve mission and vision because of the different ambitions, difficult to
provide same services at all the level at same time and harm the reputation of industry.
Apart from these, it also harms the small scale businesses. Due to integration small
businesses have to faces many difficulties and issues. It affects the society in negative way
because integration can throughout the small scale businesses from the market. It also affects the
process and activities of hospitality industry(Getz, and Page, 2016.). Integration helps in to
perform better task and increase the work efficiency. It also secures the strategies of the business.
By the integration, company can optimum use of resources available in the organisation. There
are two types of integration exist in the organisation such as vertical and horizontal integration.
Usage of integration may varied upon the needs and requirements. Coordination of the both
industries help organisation to show their best performance and signs of improvement.
Integration is a process to extend the profit margin through development. This is a repetitive
process. By the using of integration strategies, company can extend its product line and product
width either related or non related to the business. Every organisation are accepting the
integration strategy because due to these strategies company can give their best offers and best
quality of the products. It improves the quality and reduce the operating cost as well. Explanation
of integrations :
HORIZONTAL INTEGRATION : it is when two companies combine together, it is where one
industry which provide a product or good takes over another industry who offers similar
products.
VERTICAL INTEGRATION : it is when one industry extend its organisation into a different
variety of areas. In this an industry buy another organisation even if it different level of chain.
There are different approaches in horizontal and vertical integration such as forward, backward
and diversification. First two are the vertical integration and third one is horizontal integration.
Many of the companies are using vertical integration due to negative impact of horizontal
integration. Horizontal integration affect the businesses negatively because it does not add the
values automatically in the existing business. Due to this, company is not able to achieve the

advantages of value added. Advantages of both integration can be understand by following
table :
Horizontal Vertical
 explore the economy scope
 stretch the management competences
 explore internal process
 increase market power
 increased competitiveness
 control on its process
 raise marketing share
 increase coordination between supply
chain
 decreased cost
Integration provide advantages and disadvantages to the organisation. The best way to gain
advantages is to applying vertical integration in an organisation(Peters and Kallmuenzer, 2018).
Integration needed because it gives the wider range of creativity and innovative ideas in their
existing product. As we all know that tourism industry is nothing without hospitality industry
and the hospitality industry can not gain profitability without tourism industry so integration is
required.
P2.2 Analyse the impact of integration on PKF organisation :
Integration can be affected by various types of factors. It provides help the business by
giving the informations of current and recent trends of the competitive market. Integration must
be conducted in every hospitality organisation to gain higher range of profit. Impact of
integration can be explained by following points :
 quality
 scale of economy
 standardization
with the integration, company can reduce the operating cost at a different level. Hospitality
industries are providing the best quality of products and services due to integration.
Standardization is a very complex process whether standardization of elements would be easy
but standardization of human beings would be very difficult. Through standardization, customers
can get same procedures and environment at any branch(Peters and Kallmuenzer, 2018). It is

very difficult to maintain the same quality at different levels. It is required strict and smart
working rather than hard working. Giving the best quality is not guaranteed in this process. Some
employees disagree about the integration process because they are not adoptable. Adoptable
refers that they are not able to accept the changes in policies or changes regarding to the
environment. It can affect the activities and performance level of an organisation. Impact may be
in positive or negative manner which can be understand by following table :
Positive impact Negative impact
 By the merging, company get a huge
benefits by fulfil the requirements of
the customers.
 It creates the monopoly market by
which customer do not have any choice
to select other market or industry to buy
any product.
 It contributes in growth of the
economy.
 Reduce the operating cost
 decrease the indirect expenses.
 The Best usage of resources
 increase the brand value
 increase the revenue of business
 help in identify the complexities
 flexibility available
 increase work efficiency
 effective productivity (Getz, and Page,
2016.)
 Cost integrations
 deficiency of cognition
 exploitation practical application
Due to integration, workers can not acquire all the data about the product and service which
should be offering to the customers. Because of the deep area and tangled process of various
services and products. It is also struck the performance level of workers and ratio of productivity.
Deficiency of cognition about the environment also cause many exertions to the organisation.

Value area is mostly affected by the integration process. Company is not capable to plan an
effectual strategy of contrary services and products. Efficiency of scale can be achieved through
integration process(Whitelaw, Benckendorff and Jose, 2015.). It identifies the trouble and battle
and then assistance in to puzzle out them. It measures the standard execution and actual action of
an organisation by which company get to recognize about the field or factors which should be
developed and more adjusted. It also assistance the business in modify its organisation into many
states. By variegation, company can enlarge its area and its transmission of statistical
distribution. It helps in to create new ideas and innovations in alive product or in new products.
Company can offer new services in the existing market or can motorboat new product in new
market. Through this, company can gain the client baseborn and customer prospective. Which at
long last increase the profit amount of a PKF group business concern. There is deficiency of
supply technical cognition to the employees in PKF group and that is why it has been secular in
judgement devising process. Technology is the factor which render message about the macro
surroundings in just few seconds. Because of the segregation, the sphere has been deep and vital,
Due to these employees can not get faithful collection because of tangled process and level of
hierarchy exist in an administration. As the result, organisation can not accomplish the verifiable
in occurrent manner. It affects the service quality and productivity overall. Tourism companies
are using plumb approach as well as flat approach(Getz, and Page, 2016.). It affects on : work
operation, on workers and on the method acting in collection education. Integration is also
affected the system of skilled such as effect on the cognitive process and employees of wholesale
stores. The most essential welfare of integration is company gain agonistic benefits.
TASK 3
P 3.1 Developing a rational for hospitality industry
Hospitality industry is one of the best growing industry in the competitive market. In
present time, small businesses are considered these industries to provide services in this sector.
Many companies are trying to emerge in this industry because it contributes a high rate in social
economy. It has created a platform on which micro and small businesses are trying to grow and
expand their business. To develop a rational for hospitality industry is very complex and difficult
process. There are different stages in developing a rational such as : step one is to develop the

concept, second is market research, third is target market, four is to locate, fifth is scaling, six is
funding and seventh is licensing(Peters, and Kallmuenzer, 2018.).
first stage is to generate idea after this company goes for market research. In this step it
decides their target market with target customer. Then it has to decide the size of the organisation
which consider the investment and licensing factor. The plan in this context is to open a new
business which is in form of a hotel with restaurant. To develop a rational it is necessary to first
develop the plan with the idea generation. Idea would be innovative and creative. After making
plan and it is necessary to research the market. Market research can be done through primary
research and secondary research. These both are the methods to analyse market. It is necessary
before opening a new business. In the primary research, they use different methods of research
such as by using questionnaires or face to face interview and so on. This process start with the
analyse of the demand and supply of a product. It is necessary to maintain the demand ans supply
of the product to maintain the position in the competitive market. In market research they
identify the target customer and target market in which and to whom the product should be sold.
Target market and target customers will be identify by target segmentation. It includes the
customers from all the ages but mainly they consider those who look value for money. The target
market depends upon the geographical location of the country. Segmenting" is a marketing term
for dividing up your audience into groups according to particular criteria. The members of each
group have at least one important factor in common with the other members of the same group,
and that factor sets them apart from all the other groups. Demographic location include different
types of categories such as it includes : Gender, Age, Marital status, Family size, Income,
Education, Religion, Employment status, Citizenship, Language spoken. It includes many other
aspects such as : g e o g r a p h i c , p h y s i c a l / p e r s o n a l h i s t o r y a n d p s y c h o g r a p h i c .
Geographic is simple: it mentions to where people live. Often, that is an essential part in moving
a targeted group. Besides state, location and government, there are some other geographical
lines such as : Area or county and Locality, if rural. Personal history class consider the physical,
surgical features and personal experiences that groups of individuals have in common that may
influence their responses to social marketing. it includes Physical cognition, family unit, history,
Hazard component for diseases or for ethnic conditions, Actual physical and intellectual wellness
status(Peters, and Kallmuenzer, 2018.).

Psycho graphic features are those that sufficient out demographic ones with group's
beliefs and values. Demographics may express about individual's income; psycho graphics
express what individual thinks the authorities should do with taxes. Some psycho graphic
features are Political views consider party affiliation, Beliefs and moral system, Ethnic position,
affecting on such issues as welfare and abortion and so on, Potential religious beliefs and
Environmental consciousness and positions.
P 3.2 Developing a plan for a hospitality industry
Business development plan is very helpful in relation to provide guidance to entity with
the objective as mission, vision and values in terms to product and services. In this way it is
essential to target the customer in the market so that firm can perform its activities in effective
manner. Business development opportunities is the kind of standard approach and it is helpful in
relation to develop the opportunities within the existing accounts and its works as to proactively
targets the new potential customer of the business enterprise (Kelly, 2010). Business
development plan for brewer cafe will be developed in following manner as are-
Executive summery: the arrangement for Brewer bistro will include the better dealing with of
the extensive variety of the tasks that will help in its development and advancement better. This
will include the better assessment of the different elements and components that will bolster a
decent ascent for the café. Likewise, the better evaluation of activities will help in better ascent
in viability of the task that will bolster the better ascent in practical ability of association.
Adjacent to this, it will help in better evaluation of its business ideas, advertise investigation and
distinctive promoting and budgetary arrangement that will help the firm to pick up a decent
availability in showcase approaches that are been trailed by the firm (Lashley and Morrison,
2010). This will assist the Brewer bistro with gaining a market support-ability and have a decent
nature of item and administrations that will help in appropriate treatment of business works by
the cordiality firm.
Business idea: the real idea that is been trailed by the firm is that in cordiality part, nourishment
and drinks plays a profound and vital part in administration of activities that will help in critical
development and improvement of the firm. As Brewer bistro is a cafe cum eatery, it will help in
providing food the need and request of a bigger number of shoppers(Whitelaw, Benckendorff
and Jose, 2015.). This will likewise help in appropriate treatment of business works and will
cause the business association that will help in reasonable treatment of activities that are been