Analysis of Hospitality Provisions in Travel and Tourism Sector Report

This report provides a comprehensive analysis of hospitality provisions within the travel and tourism industry, exploring the interrelationships between hospitality and wider travel and tourism businesses. It examines the implications of integration in the hospitality industry, including horizontal and vertical integration strategies, and their impact on business operations. The report uses the London Marriott Hotel West India Quay as a case study to illustrate hospitality provisions and their role in achieving customer satisfaction. Additionally, it includes the development of a business plan for Avon Travel Holiday, clearly justifying decisions linked to the target market and overall business objectives. The study highlights the importance of hospitality in a globalized and modern world, emphasizing its role in driving growth and success in the travel and tourism sector.

Hospitality Provisions in
Travel and Tour
Industry

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Examining the interrelationships between hospitality and wider travel and tourism
businesses....................................................................................................................................1
TASK 2............................................................................................................................................5
2.1 Analysing the implications of integration in the hospitality industry...................................5
2.2 Impact of integration on hospitality business........................................................................7
TASK 3............................................................................................................................................9
3.1 Developing rationale for the selected project clearly justifying decisions linked to target
market..........................................................................................................................................9
3.2 Developing a business plan for Avon Travel Holiday........................................................11
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................13
Books and Journals...................................................................................................................13
Online........................................................................................................................................14

INTRODUCTION
In the present era of globalisation and modernisation, travel and tourism industry is
showing a rapid increase in its overall growth and development in its performance and
productivity. In lieu of this fact, the aspect of hospitality provision in the concerned industry is
gaining tremendous importance. It has been regarded as the most important phenomenon in the
travel and tourism sector which allows the industry to achieve the leading heights of corporate
success in a very significant and appropriate way (Cant, Strydom and Jooste, 2012). After the
economic crisis in 2008, people across different corners of the world were having a significant
amount of disposable income in their hands which allowed them to spend a considerable amount
of money in the travel and tourism sector in order to attain leisure and comfort time and to gain
immense mental satisfaction. With regard to this context, the said industry lays its prime concern
over rendering premium and standard services to its core customers in an effective and
impressive way and it is because of this reason travel and tourism industry has become the fastest
growing industry across the globe (Geraghty and Torres, 2011).
Therefore, the present study will highlight the crucial and essential aspects of hospitality
provisions in travel and tourism industry in service sector. The report will deal with analysing the
implications of integration to the hospitality industry along with its crucial impact on the such
business operations. Furthermore, the study will also throw light on the interrelationships
between hospitality and wider travel and tourism businesses. For attaining this objective, London
Marriott Hotel West India Quay has been taken. The said hotel is one of the largest and luxurious
five star hotel established in London. The hotel renders fascinating services to its core customers
with a view to achieve a strong and positive brand recognition across the globe. Thus, the report
will help to gain detailed understanding regarding the hospitality provisions adopted by West
India Quay with a view to gain the highest level of customer satisfaction.
TASK 1
1.1 Examining the interrelationships between hospitality and wider travel and tourism businesses
The term hospitality can be described as a generous, friendly and polite gesture of the
hotel industry towards their customers. It mainly focuses on offering exotic entertainment along
with impressive and highly satisfied services to its visitors and tourists either in a social or
commercial way (Minett, 2010). The hospitality industry lays its significant concern over closely
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accomplishing the rising needs, demands and requirements of its visitors in a highly suitable and
effective way. The term tourism, on the other hand can be described as the set of activities of
guests and visitors who are crucially identified as the most important customers. It focuses on
such visitors who usually travel for shorter durations in order to attain comfort or leisure time or
to participate in some corporate or business events (Perrott, 2011).
It is usually interpreted that hospitality sector and tourism industries are often interrelated
with each other. Hospitality industries deals with providing fascinating and impressive services
to the travel and tourism sector which results the concerned industry to be considered as the core
provider of major services to the tourism sector. Whether for attending some corporate events or
to attain maximum comfort and leisure time, individuals from different corners of the world are
spending huge amount of their income and time in travelling across the globe and staying in a
five star hotel to maintain their overall standard of living in a highly significant and impressive
way (Jauhari, 2011). In the 21st century of modernisation, tourists and visitors nowadays focuses
their concern over attaining the maximum and potential benefits of the major services offered by
the hotel in context with the high price they pay for such hotel industry. It is because of this
reason, the provisions and aspects of hospitality sector plays a significant role. By impressively
and politely acknowledging the guests and visitors, helps the hotel to gain maximum level of
customer satisfaction and enjoyment and also benefits the organisation to maintain a competitive
and winning edge in the tough traded global environment (Sharpley, 2013). Apart from this, the
most crucial factors and provisions of hospitality would allow the travel and tourism industry to
maintain a strong brand identity by insisting the customers to visit the hotel over and again.
In addition, besides offering all such major benefits to the travel industries, hospitality
sector renders a positive and strong assistance to its visitors by providing them with exotic and
immensely satisfied services in a highly significant and effective way. The most vital services
provided by hospitality industry to the travel and tour sector usually includes event planning,
cruise line, transportation services and lodging and accommodation (Zainal, 2012). The rapid
increase in the said industry benefits the hospitality sector to develop and grow at an increasing
pace in the hyper competitive international market. Furthermore, these two industries are
crucially and highly interrelated in a manner that both the industries seeks to offer fascinating
and attractive services which usually includes transportation, eating, lodging and accommodation
facilities in a very significant way (Usoro, 2010). Thus, by analysing the interrelationship
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between the hospitality and travel and tour business, it can be interpreted that hospitality
industry is considered as the most significant element of travel and tourism sector. The failure of
such a crucial element would result the stated industry to face a sudden downturn in its overall
growth and performance in the increasingly and fast changing global environment (Abankina,
2013).
The mention diagram clearly helps in attaining effective understanding regarding the vital
interrelationship that exist between the hospitality and travel and tourism sector-
Illustration 1: Relationship between tourism and hospitality sector
(Source : George, 2010)
By effectively analysing the above diagram, it can be interpreted that the improvement and
development in one sector will result the other industry to enhance its growth and productivity in
the international economies. In context with this fact, there exist a strong interrelationship among
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the two industries which provides the tourists and visitors to gain a memorable and lifetime
experience in an impressive way. Contrary to this, the highest time of travelling allow the travel
and tourism industry to increase its total sales productivity and enhance its performance in the
tough trading business environment (Nyaupane and Timothy, 2010.).
With a view to gain a deep understanding regarding the core interrelationship beween the
travel industry in hospitality sector, Marriott West India Quay Hotel has been taken into account.
Marriott West India Quay
It is the most luxurious and the leading chain of five star hotel in London. The company
deals its business in providing exotic and unique services to its customers and operates in around
80 countries across the globe. The fascinating facilities rendered by the stated hotel group
includes lounge facilities, recreation & fitness, dining halls, corporate meetings and events along
with wedding facilities (Hoffman, 2010).
Services of Marriott West India Quay
The hotel offers a wide range of attractive and highly satisfied services which allows it to
gain the customers' attraction from different corners of the country. Some crucial services
rendered by West India Quay are listed below- Resorts and hotels Spa facilities Fitness and yoga centre Food and beverages
 Transportation and lodging facilities
In accordance with this fact, the interconnection between the hotel's hospitality and
tourism business is explained through the below diagram-
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Illustration 2: Interrelationship between hospitality and tourism business in West
India Quay
(Source : Winiarski, 2015)
From the above picture, it therefore becomes clear that West India Quay seeks to
maintain a strong and positive interconnection between its tourism and hospitality activities and
provides the world's best and impressive services to its visitors and guests in a highly significant
way.
TASK 2
2.1 Analysing the implications of integration in the hospitality industry
The term integration reflects the strong and positive combination of major business
functions and operations of two varied entities. It helps the corporate firms to develop and plan a
competitive strategic alliance with a view to maintain a winning edge in the international market
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(Morosan, 2013). Doing this benefits the company to rapidly increase its overall sales and
revenue generation capacity thereby allowing it to multiply its profit in a highly significant and
appropriate way. Furthermore, it also benefits the organisation to give a tough competition to its
core competitors and thereafter helps it to gain a prominent share in the international market.
Usually, the large and multinational companies seeks to adopt the aspect of integration technique
in its organisational structure with a view to expand and enhance its business operations across
the globe (Liu and et.al., 2014). In the 21st century of increasing business competition, the
practice of integration is almost followed by all the large scale corporate entities which enables
them to effectively acquire its competitor firm in such a manner that allows the organisation to
make a wise use of their funding and technological strategies in order to gain a strong brand
recognition. By making the generous and competitive use of advanced technologies, the
organisations nowadays are laying their major concern over minimizing the overall cost of
production techniques and achieving the higher economies of scale in an impressive and
appropriate manner. After the completion of acquisition process, such entities posses the strong
control over the maintenance of exotic distribution networks which helps them to increase their
geographical existence effectively (Ashworth and Page, 2011).
The most commonly used integration strategies includes the aspect of horizontal
integration and the provisions of vertical integration. Horizontal integration reflects the transfer
and ownership of one organisation to the other company in the same industry line. Such process
of integration usually takes place when a large and multinational company strongly wishes to
grow and expand its entire business operation within the same industry line by crucially laying
its concern over acquiring its competitor firm in a very significant way. Contrary to this, vertical
integration can be described as an integration strategy where one organisation acquires the
business operations of the company which usually belongs to a different line of industry. By
effectively analysing the two major integration strategies, the companies thereafter posses the
complete freedom to either opt for horizontal integration or integrate its business functions in a
vertical integration form (Dasgupta, 2016). It therefore, depends totally on the expansion policies
of the business organisation along with their strategic alliance in context with their future growth
and development.
In accordance with West India Quay, the said hotel group lays its attention over
implementing and undertaking horizontal way of integrating its business activities. For this
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purpose, it focuses on acquiring its rivalry resorts and hotels in Mauritius. The cited hotel has
planned and developed an exotic outlet in Mauritius which benefits the organisation to
successfully expand its business activities and gain worldwide exposure within short span of
time. After acquiring its competitive hotels and resorts, West India Quay makes sure that it
attain a positive control over the brand, franchisee, businesses and management of such hotels in
a significant and appropriate way (Fyall and Garrod, 2015). Such a strong business deals allows
the stated hotel to survive long in the dynamic and hyper competitive global world and increase
its international market share thereby gaining a strong and positive market growth in Mauritius.
Apart from this, the provisions of integration allows it to significantly improve and
enhance the company's supply chain management process which creates a direct and huge impact
on the overall productivity and performance of business operations. Supply chain management of
one company may totally differs from other because every corporate entity faces different
business challenges and posses different assets and resources. Therefore, after the completion of
integration process, West India Quay will be strong enough to successfully practice and
implement its supply chain management function of its rivalry firm with a view to gain global
exposure within the standard time frame (Guillet and Mattila, 2010). Apart from this, the
concerned hotel would be effectively able to attract the visitors and tourists from across the globe
which in turn would allow it to increase its profit margin and multiply its sales and revenue in a
systematic and appropriate way.
Hospitality sector is the one of the emerging sector in the today's corporate and business
world. Acquisition of competitor firm will allow the companies to flourish its business
operations in the areas where it tends to seek very low geographical existence. Consequent to
this, small firms finds difficult to expand their business and maintain a competitive edge in the
international market. Ultimately, such small companies suffer because of its failure to gain the
significant advantages arising out of vertical form of integration. However, if a company wishes
to implement such a practice of integration, then it is highly required to get a new board of
director in an appropriate and suitable way (Bray and Macneil, 2012).
2.2 Impact of integration on hospitality business
Integration plays a very important and crucial role in allowing the corporate entity to
make a strategic and winning position in the global marketplace. Integration strategy applied on
large scale basis tends to affect the functions and activities of business operations in a highly
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significant way. Certain large and multinational companies undertake the practice of integration
to achieve higher economies of scale. With regard to this fact, the crucial impact of integration
on hospitality business is explained as follows- Fewer independent firms- Integration strategy highly requires the acquisition and control
of small companies by large organisation either in partial or full manner. By
implementing and undertaking the full acquisition integration strategy, the multinational
companies lays their concern over purchasing all the major assets and related obligations
and liabilities of the acquired firm in a significant and appropriate way (Nair, Russell and
Sadanandan, 2013). Contrary to this, in case of partial acquisition integration strategy, a
very less fraction of the company's share capital is inherited by large scale corporate
entities which generally ranges from 10-30%of the share capital of the acquired entity. Strong control over sub-sectors- The sub-sectors of hospitality industry usually includes
hotels, restaurants, resorts etc. After the acquisition and integration process, the
companies posses a strong and positive control over the new and systematically acquired
business operations. Performing the core activities and essential functions of its important
sub sectors requires immense knowledge and experience and thus is not an easy task.
Failure of such knowledge and experience results the company in designing inadequate
and inappropriate standards and benchmarks. Consequent to this, the companies are not
confident to perform their overall activities and functions regarding their control and
maintenance over such sub-sectors (Teng, 2011). Higher economies of scale- With a view to achieve higher economies of scale, it
becomes mandatory for the company to undertake and implement horizontal integration
strategy in a significant and appropriate way. Doing this allows the company to gain a
strong and positive control over the supply chain management practices of the
competitors firms. By undertaking the concerned strategy of integration, companies are
able to minimize their production cost along with the major transportation cost. But the
advantage of such reduction is attained only if the practice of supply chain management
function of its rivalry firm is effective and appropriate. Apart from this, corporate entities
also focuses on the use of mathematical techniques to minimize their transportation and
cost of production in a very significant way (Law, 2010). All such techniques allow the
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organisations to establish a strong path to supply the goods and services to its target
destination in a cost effective and timely manner.
 Increased market share- The core purpose which allows the large scale organisation to
integrate its business operations either by acquisition or merger involving the increased
need to effectively and successfully expand its international market share within the
standard time frame. In order to handle the increasingly and fierce competition in the
global marketplace, the companies lay their attention over implementing the practice of
integrating its business functions and activities with its rivalry firms. This allows the
corporate entity to acquire strong and deep control over the distribution network and
business activities of its acquired firm (Ariffin and Maghzi, 2012). By effectively making
use of such distribution networks, the companies gains maximum confident in attracting
numerous customers from different corners of the world thereby resulting the
organisation to experience the increased market share in a significant and impressive
way.
TASK 3
3.1 Developing rationale for the selected project clearly justifying decisions linked to target
market
Avon Travel Holiday (a fictitious firm) is planning to develop and launch an exotic resort
and hotel in India which will deal with providing fascinating full range of attractive and
impressive services to its customers from different corners of the world (Liu and et.al., 2014). In
context with this case scenario, the planning details of Avon Travel Holiday is discussed below- Concept- The concerned business entity is focusing to introduce its full service luxurious
resort at Palolem Beach of Goa, India. The services offered to its core visitors will
broadly include resorts, restaurants, spa facilities, fitness centre, bar, transportation
services, water sports and other entertainment and recreational amenities in order to
provide its customers to gain astonishing and lifetime experience in an effective and
impressive way (Ricard, 2014). Market Research- Goa is one of the leading tourist destination in India that seeks to
attract approximately 30000 tourists every year. The Palolem Beach features the basic
amenities and accommodation facilities and it is the highly visited beach in Goa. Also,
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the concerned Beach attracts the tourists and the government policies related to the resort
development are idealistic. Ambiance- Jeevantara Resort will be launched combining the modern and traditional
values of the architectural designs. The ambiance of the cited resort will be relaxing,
impressive, service ascertained and attractive. Culture-The decoration, staff and services of the business unit will be strongly influenced
by the western archaeological arrangements. This will provide the resort to add maximum
value for the business expansion. Functional areas- The business unit will lay its concern over providing a wide and
alternative range of customer services to its visitors. Fitness centre, Spa facilities,
Ayurvedic treatment, water sport services and internal pools will be highly included
(Lundberg, 2011). Flow of customers- The peak season for tourists visit includes the holiday and festive
season which usually ranges from November to January. However, the local visitors
travel the mention location in the season of March to August.
 Sustainability- The company will focus on maintaining sustainable business activities to
expand and flourish its new outlet in India and to avoid the maximum intervention of
government thereby gaining the highest level of customer satisfaction and enjoyment
(Platzer, 2014).
3.2 Developing a business plan for Avon Travel Holiday
In order to develop an appropriate business plan for Avon Travel Holiday, the company
is highly required to take the following aspects into consideration- Target market- The target market of Avon Travel Holiday includes the adventurous and
young travellers who wants impressive services attached to a seaside location and wants
to experience the cultural and heritage value of India. Apart from this, the married
couples also comes under its target market and helps the said company to gain a strong
brand identity across the globe (Eccles and Costa, 2010). Location- Palolem Beach is located in South Goa and is the most visited beach in the said
city. The cited beach provides wide range of exotic opportunities to the hotel and
hospitality industry to effectively and successfully launch its hotel outlet. It is located at a
distance of 8 km from the main city area and the way to airport takes around 20 minutes.
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