Hospitality Provision in Travel & Tourism Sector: A Detailed Analysis

This report provides a comprehensive analysis of hospitality provision within the travel and tourism sector. It begins by exploring the interrelationships between hospitality and the wider travel and tourism business, detailing various services such as accommodation, passenger transport, and visitor attractions. The report then delves into the implications of integration within the hospitality sector, differentiating between vertical and horizontal integration and discussing their advantages and disadvantages. A case study of Thomas Cook's vertical integration is presented, and the impact of integration on businesses like Accor Hotels in the UK is examined, focusing on market strength and control. Finally, the report outlines the development of a rationale for a selected project, justifying decisions linked to the target market, and develops a detailed plan for a hospitality business, including operational requirements and organizational structure with human resource allocation. The report offers valuable insights into the complexities of the hospitality industry and its integration within the broader travel and tourism landscape.

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Hospitality Provision in Travel & Tourism Sector

Contents
Task 1...............................................................................................................................................2
1.1: Interrelationships between hospitality and wider travel and tourism business....................2
Task 2...............................................................................................................................................5
2.1 Analysis of the implications regarding the integration within the hospitality sector............5
2.2 Discussion of the integration that has influenced the hospitality business............................7
Task 3...............................................................................................................................................8
3.1 Develop a rationale for a selected project clearly justifying decisions linked to target
market..........................................................................................................................................8
3.2 Develop a plan for a hospitality business which includes the operational requirements of
the business’ organisational structure in relation to human resource allocation.......................11
References......................................................................................................................................13

Task 1
1.1: Interrelationships between hospitality and wider travel and tourism business
Hospitality is associated with the activities like reception and entertainment of guests within an
organization involved in travel and tourism, restaurant or food chain, hotels etc for making the
guests feel comfortable and give them full liberty to be accommodated with choices and
preferences. This is certified by the management of the companies involved in hospitality
sectors, as they direct, facilitate and manipulates the guests with their attitudes and behaviours. It
has been identified that hospitality is felicitated in two distinctive areas like providing
accommodation and also foods to guests coming from different culture and background.
According to the researcher’s concept, the services, which are provided by hospitality industry,
are intangible assets and also adhered to be delicate. There have no connotations of fixed
working hours and the operations run on a 24 hour basis. This presents the industry to be
heterogeneous as it can be found that the industry is spitted in to various segments for providing
various comforting amenities to the guests. This makes the hospitality industry to be dispersed in
larger area from urban cities to rural towns in a country (Gerritsen, R., 2014). The PKF hotel
experts, which focus over the hotel, tourism and leisure consultations, can be depicted to be the
prime denomination of travel and tourism sector because of its variety of services they provide to
the guests. It can also be identified that the hospitality industry relies on hourly wages to be paid
to the staffs with shifted hours of working for the staffs to reduce the workload for actively
participating in a 24 hour basis. Therefore, it can be attributed that the travel and tourism sector
must be incorporated with services inclusive to business and travelling mode and also holding of
different meetings, conferences and other events for visitors to be provided with all types of
travelling facilities. Moreover, they also provide travel destinations for visitor’s attractions along
with various services for accommodation and different modes of transport medium for
passengers.
Travel Services Accommodation Services Passenger transport
Different tour
operating services.
Agencies for ticket
Through air
Water transport like
ships, boats, ferry etc.
Hotel rooms
Guest house
provision.

booking.
Retail services for
travelling.
Auto, coaches.
Railway transport like
trains and trams
Apartments
Roadside motels
Holiday resorts
Tourism services Visitors Attractions places Conferences and Events
Travel guide
Tour maps through
online and physical
evidence.
Destination theme
parks
Historical places
Museums
Ancient monuments
and statues
Meetings and
conference places
Incentive travel
Event managers for
specific occasions
Organizers for
exhibitions
The relationship among the hospitality in addition to travel as well as tourism is understood by
explanation of every sort of tourism services also travel that too falls under the hospitality
industry.
 Travelling Services comprises of the services of retail, travel, charter, as well as ticketing.
 Services of Retail Tourism comprises of services of tours also travel for a sole individual
or else a family or maybe a group who are travelling (Getz et al., 2016).Direct services of
tourism are given by the retail service organizations. Tour operators with the agents
involved provide retail services of tourism.
 Group travelling - Group travelling services are only provided for particular places in UK
by the UK’s organizations. Such service and facilities are given to the travellers travelling
in groups for business (Kropinova et al., 2015).
 Charter Service offers services of aviation to any individual or else a group of individuals
regarding travelling to a particular destination. Fly Lea, Air Charter Service Plc etc are
the organizations operating in UK.
Passenger Transportation
 Airline Services- From various destinations in UK also from London easy jet Plc offers
services of aviation in diverse local also international locations.

 Shipping Services by means of ships of larger dimensions makes the travellers also the
local people to visit locations. Cruise Service of Thomas Cook may be an examples of
cruise services in UK.
 The Interconnectivity network of railway controls railway Services in UK.
Local people as well as travellers may travel from one destination to another by means of
underground metro.
 The Stagecoach Group helps individuals go from one place to other by services of bus.
Accommodation Services
 Motels are sort of resorts with large lawns where the travellers come also stay for few
days.
 B&B consists of major hotel inn conveniences for example Harry B&B then Websters
etc.
 Resorts are places having larger areas than hotels.
 Villas/Apartments consists of various rooms as in hotels with bigger areas. The people
goes there for relaxation also to stay however the fooding facilities is not so common
here.
 Camping Grounds- There are well developed tents in areas where people would stay for
few days as we as get good accommodation (L.H.N., 2015 ).
Services of Visitor’s Attraction
 Theme Parks might be the Alton Towers, Staffordshire, Thorpe Park, Surrey etc. There
are good attractions for kid, big events might be taking place in theme parks.
 Monuments which are ancient are the structures that looks like large buildings that must
be offering rich as well as cultural heritage in addition togrow the traditions for the
people of UK for example the Tower Bridge London, Stonehenge
Events as well as Conferences
 Meetings- In large spacious rooms that are generally known as the ballrooms should be
used for small group meetings.
 The committees included for sports in London arrange events of Sports.

 Weddings- The wedding planners provide large and spacious as well as wedding rooms
that are decorated well. They also provide the services that are the wedding tables of
Claridge ball room.
Task 2
2.1 Analysis of the implications regarding the integration within the hospitality sector
Vertical incorporation is the consolidating of two organizations that are at various phases of
generation for instance a sustenance maker and the respective chain of different grocery stores.
Level combination is the consolidating of organizations that are measured to be sustainable at a
similar phase of generation. How much a firm possesses its upstream providers and its effects
upon the downstream providers is alluded as per the vertical combination. It can significantly
affect a specialty unit's situation in its respective industry as for cost, separation, and other key
issues, controlling the vertical extent of the firm are a vital thought in corporate technique. The
extension of exercises downstream is alluded to as forward coordination, and development
upstream is alluded to as in reverse reconciliation. The benefits of vertical incorporation have
been given underneat ( Cook, 2014).
This is helpful in diminishing the cost allocating the transportation expense if the normal
possession brings about nearer to the respective geographic vicinity.
 It catches the upward justification and downtrodden effect regarding the net revenues.
 It has expanded hindrances to passage for the respective potential contenders.
 It ought to access downstream circulation channels, which generally would be difficult to
reach also.
 It ought to select better arranging, coordination, and booking too.
It has been understand that the disadvantages regarding the overall assessment are as follows:
 It has the limit adjusting issues.
 It has been engaged with this kind of combination through sustaining the potentiality of
much more higher cost and expense.
 It has diminished adaptability
 It has improved bureaucratic expenses.

 It may advise the organization to change its current providers also.
The case of vertical reconciliation could be the respective travel and tourism company. Thomas
Cook is justified upon the world's biggest organization within the travel and tourism sector. By
owning different travel specialists, inns, carriers, and journey dispatches, this European-based
organization has situated itself within the own particular provider and purchaser of movement
administrations. An explorer could reserve a spot at one of Thomas Cook's movement
organizations, fly on one of its sanction aircrafts, remain in its inns or locally available one of its
voyage transports, and appreciate different visits, flying home utilizing organizations claimed
and incorporated by Thomas Cook. The flat coordination could be the development of the tasks
and the exercises of the organization into other geographic locales or by improving the scope of
items and administrations offered to the present markets. It ought to include the procurement of
other association inside a similar industry. It should likewise be possible with the blast of the
organization items in its present markets (Law, 2015).
The derivation of the advantages along with the disadvantages has been ensured through
identifying the interventions within the hospitality industry are as follows:
 The advantages have been justified are as follows:
 The economies of scale is figured it out
 It offers an extensive variety of items for the clients
 It ought to deal with the business competition by decreasing abundance limit
 It likewise decreases the quantity of players in the business
 Several limitations that can be gathered are:
 It gives high hazard, as the objectives are not possessed the capacity to accomplish it.
 Farfetched net revenue created
 The bureaucratic expenses are extremely high.
The ramification of joining relies upon a portion of the variables, which are featured underneath:
Marking within the networks of hospitality ought to work under some depicted brands, which
goes for various markets. Hilton Hotels for instance will work within the Intercontinental ranges
will's identity going for higher end benefits however; its brand in sufficient the vacations ought
to offer a spending alternative. Estimating arrangements has been judged through the mix has the

suggestions for the justified control regarding their valuing approaches to be built up through
vertical mix. It is likewise observed that there ought to be autonomous foundations joining
relationship for finishing with the bigger associations. Control and identification of the market
has ensured the coordination could prompt the few and expansive firms to measure the control
along with the, control of the market. Suppose for instance, the distilleries owning the bars and
bars. This has come about into the couple of bottling works who are controlling the market as
that has valued at 80% regarding the structure of the market.
2.2 Discussion of the integration that has influenced the hospitality business
In this examination there ought to be the assurance of the effect of coordination on Accor
Lodgings business in UK. It is assessed that the reconciliation inside the lodging and the
friendliness associations are finished with the targets of building up the marking power and for
improving the income of the association. It is seen that throughout the previous year’s which has
encountered as the valuation considering around the effect of 10 successful years and high
business organization inside the main 300 more worldwide locations and hotels that have been
stayed consistent. The developments inside the respective chains have kept on developing. The
IHG is the biggest gathering inn network in this sector and in the year 2009, it was overseeing
around 600,000 and much more rooms and goes for including 250,000 along with more rooms in
the following 5 years. On the other hand, Wyndham Hotel has obtained two other brands of the
hotel that is named as International Hyatt. There are a few variables, which affect the friendliness
business of respective Accor Hotels in United Kingdom, the justified linkage of the respective
components with UK by Accor Hotels has been clarified through understanding overall
consequences in maintaining the hospitality (Magnini, 2015).
Market Strength and Control has been appeared that in excess of the value encompassing 2.5
million other small and medium size enterprises doing their business within Europe that contains
more than 60 percent of the business. Therefore, Accor Hotels has derived the importance with
the level incorporation of Swissotel that has helped in building up their sheer nearness and
control over the respective market of hospitality and tourism.
Lessening the aspects of the Autonomous Business the formulation with the level incorporation,
regarding Accor Hotels and they have possessed the capacity to grow their administrations and

item portfolio. These considerations have possessed the capacity to improve their opposition and
remade their image through certain perspectives that are as follows:
Control of Subsectors has ensured about the Accor hotels and this might lead markets along with
other potentiality regarding the clients within the country Switzerland as the respective
procurement of the brands Swissotel.
New types of Possession and Tasks has been empowered as it is seen that there ought to be the
new administration contracts, new establishment assertions and the rent understandings for
Accor Inns to be finished by the administration of the organization. The organization Accor
Lodgings ought to build up the lawful understandings, which the proprietor of the property
regarding the hotels that has contracted with the organization with whom the procurement is
improved the situation dealing with the inn business for a specific expense (Xiang, 2015).
Institutionalization of Administrations has been enabled with the level combination of respective
Accor Hotels; the organization ought to get considerably more comfortable with the items and
administrations. They might create and keep up claim lodging benchmarks and arrangements.
Task 3
3.1 Develop a rationale for a selected project clearly justifying decisions linked to target
market.
In UK it is thought that being a junior consultant I am very happy to grow a cafe close to
Staffordshire that is a famous attraction for visitors. Therefore the hospitality business stages that
are needed to be developed has been provided below
Stage 1- Development
Concept is the initial stage of the plans of the business that is to be developed for a cafe opening.
The sub elements are provided below-
General Idea includes to grow a small cafe in which their personal branded products will be
given to the consumers and also through online services giving the products to consumers may
be efficiently done.

Objectives of this small hospitality business are provided below:-
 Establishing their personal branded products also providing it to the local consumers of
Staffordshire UK.
 Serving consumers with developed products at an economical price with high quality
 Introduction of online services like delivery of the cafe’s own products.
 In the preliminary year of starting the café, aim is to make 10 percent of sales.
Business Vision of this small cafe shall be establishing and growing image of the brand in the
upcoming 3 years of starting by better products quality also vigorous system of online delivery.
Market Research is an important thing for evaluating the inner also the exterior atmosphere of
the place where the business shall operate. For segmentation besides recognizing the target
market it is vital. The tools used can be the Analysis of PESTLE , Porters Five Force analysis,
analysis of industry, Segmentation Targeting and Positioning or BCG Matrix.
Target Market may be recognized by means of segmentations like geographic, demographic,
psychographic, behavioural segmentation. Planning of products also services in accordance to
the geography where the business shall start is needed for a small café to operate (2010). Based
on the population of the region where the business shall start the demographic segmentation shall
be carried out. On the other hand based on the likings also the products demand in the cafes
present in that specific region and other parts of UK the behavioural segmentation is made.
Location is Staffordshire UK that is taken as one of the best visitor attractions because of the
theme parks in there and this makes chance of attracting potential consumers for the new
business to grow.
Scale- The size of the market is relatively large.
Funding for this café is done by taking bank loans or from friends, relatives or members of the
family.
Products or Services of the small café includes coffee, pastries, cakes, shakes etc and services
may be home delivery services, online services like delivery of products purchased online or free
Wi-Fi services.

Stage 2- Design
Ambience of cafe- Infrastructure of the café must be attracting and decorated also the social
environment must be healthy besides the good service style. Level of noise should be maintained
with less temperature within the café and also soothing lights with gentle music to be developed
for the consumers to enjoy the ambience.
Culture and Climate within the café - Staffs of the café must be polite to their consumers and
also be disciplined, should have proper dressing sense and should serve the consumers in
inappropriate way. They must try to meet the needs of the consumers.
Brand may be established with widely below and above the line promotion, which needs to be
made for services and also products.
Interior must be made with pictures of various coffee beans with the photos of the people who
comes to cafe and enjoys with their families or friends. The decoration must be with art pictures
as they contribute in making good image of café in the minds of the customers (Dickinson et al.,
2014). The walls are decorated with beautiful paintings, a clock in good condition may be a
grandfathers clock besides light colours. There must be soothing lights matching with the
interiors that must be hanged from ceilings which creates a romantic ambience. The dimensions
of the furniture including tables are well decorated also of good colours to attract consumers.
The curtains must be colourful too. The crockery should also be planned accordingly.
Exterior must be decorated in such a way that the gate of the café must be well decorated with
flowers or any other things that attracts consumers.
Functional Areas that the cafe must include is the distribution, human resources, marketing and
sales. For the growth of coffee within the cafe distribution of local and raw materials must be
done which generates need of selection of professional chefs also waiters those shall be evolving
coffee of high quality besides providing good service to the consumers (Vanhove,2017). There
must be evaluation of the sales statistics and based upon that in compared to other companies
reports should be made.
Customer Flows must be great in targeting consumers like young couples or else aged adults.

Customers having personal needs are to be developed by the cafe to ensure the surviving of the
café in long run.
Sustainability may be accomplished by appropriate branding also giving the consumers products
of good quality at an affordable rate.
3.2 Develop a plan for a hospitality business which includes the operational requirements
of the business’ organisational structure in relation to human resource allocation
The hospitality business chosen for study is opening of a small cafe in Staffordshire located in
UK. Hence it is required that the operational necessities must be studied for the growth also
opening of the small café (Stephenson,2014). The operational necessities are known and also
applied according to the human resource structure. Therefore the operational plans are provided
below:-
Stage 3- Operation
Staffing for this new cafe comprises of manager, supervisors, operations, HR,F&B and
marketing also finance officers.
Specialist Qualifications may be the NVQs, BTECH, Edexcel or any other degrees of University
as people come from various backgrounds.
Cultural Diversity and conflicts resolution
The cultural diversity is mostly as the staffs come from various backgrounds that raises personal
conflicts and communication is also another problem. Need of team work is essential to resolve
conflicts (Zeng et al.,2014). After opening the cafe cultural program should be introduced to
avoid conflicts.
Rules and procedures of Recruitment must include telephonic round also personal interviews on
one on one basis with candidates.
Compliance with Legislation