Socio-Economic Growth: Tourism Impact on The Savoy Hotel, London

This case study explores the contribution of tourism to socio-economic growth and development, focusing on The Savoy Hotel in London as a case study. It begins by defining tourism and its importance, highlighting its role in economic development, job creation, and cultural exchange. The study evaluates the benefits of tourism, such as increased GDP, infrastructural development, and the growth of related sectors like communication and agriculture. It also addresses the challenges faced by the tourism industry, including competition, difficulty in understanding customer needs, security concerns, and high taxes. The research identifies strategies for tourism development, such as conducting thorough research, utilizing digital marketing, enhancing safety, and promoting sustainability. The methodology employs a positivism research philosophy and a deductive research approach, using existing theories and observations to draw conclusions about the relationship between tourism and socio-economic growth.

Hospitality
Investigations

Table of Contents
Introduction......................................................................................................................................3
Research Rationale ..........................................................................................................................3
Literature Review.............................................................................................................................4
Research Methodology....................................................................................................................7
Conclusion.......................................................................................................................................8
Recommendation.............................................................................................................................8
REFERNCES:..................................................................................................................................9
Books and Journals:....................................................................................................................9

Introduction
Hospitality is a broad industry that includes various services like travel and tourism,
lodging, event planning, food and drink service, theme parks. It is seen that tourism contributes a
lot of hospitality industry. It is seen that there are various changes that take place due to dynamic
nature of business. Tourism sector keep track on all such changes and work in an effective
manner (Kim, Lee and Fairhurst, 2017). It is seen that tourism not only contributes to economic
development but also takes care about growth of society. There are various needs and wants of
society that are also taken care by the organisations that deal in tourism sector. The Savoy Hotel
is taken into consideration to conduct this research. It is one of the famous organisation in
hospitality sector. It was first luxury hotel of Britain. It is situated in London, England. It was
established in 131 years ago in 1889 (Savoy. 2021). There are number of services provided by
the Hotel to its customer that helps to engage the customers towards the organisation.
Research Rationale
The topic of the research is to analyse the contribution of tourism in socio-economic
growth. As the sector is growing it is necessary to know and understand the benefits and
importance of tourism. It is seen that the concept of sustainability must be taken care by all the
organisations. As economic growth of an organisation is important but at the same time taking
care of society is important. As the organisation that takes care about the trends of society is able
to achieve success and growth (Aladag and et.al., 2020). There is direct development of nation if
the hotel provides effective services and attracts customers. It is necessary for growth and
development of nation. Along with that there are number of people that like to visit and if they
are provided effective services to them. There is evaluation of benefits and importance of
tourism and their contribution in socio-economic growth. There are several challenges that are
faced by Hotels relating to tourism that are also mentioned and the strategies that must be used
by them are also important part of this research.
Title: Tourism contribution to promoting socio-economic growth and development
Aim: “To analyse the impact of tourism on promoting socio-economic growth and development
of an organisation.” A case study on The Savoy Hotel.
Objectives
 To understand the concept of tourism

 To evaluate the importance and benefits of tourism in socio-economic growth
 To analyse the challenges faced by tourism industry
 To identify the strategies that help in tourism development
Research Questions
 What is the concept of tourism?
 What is importance of tourism in socio-economic growth?
 What are the challenges faced by tourism industry
 What are the strategies followed by tourism sector for its development?
Literature Review
It is a way of collecting secondary data from various sources that are available. In this
already published data is reviewed to analyse information related to the topic of research. The
sources used are articles, books, magazines, newspapers as well as online websites are used to
gather information.
To understand the concept of tourism
According to Meng, Lin and Tzeng, 2020 Tourism is the activity of people that like to
travel and stay at places outside the usual environment. Tourism contributes around £106 billion
to British economy. The purpose of travelling is leisure, business or other purposes. It is seen
that people like to travel as they want change in their lives. As they get bored from normal
routines. There are number of destinations that are beautiful and attract customers. The Savoy
hotel should provides them various services such as spa, pool, gym, entertainment, guide etc. It is
beneficial for them and their growth and success. The task is to attract these tourists and serve
them. As they contribute to GDP of nation. Tourism is dynamic and competitive industry where
several changes take place. The people have their own desires and wants. It is up to the Hotel and
business organisation how effectively they understand the trends in market and serve the
customers. It is necessary to work effectively and know about the trends that are present in
market. There is need to provide them with all the needs and wants of these people. So that they
are able to achieve the target of customers. The tourism sector is focusing towards sustainability
as it will be beneficial for them to use all the resources optimally. This will help in more usage of
resources and environment development as well. A hotel that is able to use all the resources
rationally as well as reduce the wastage is able to gin economies of scale. It is necessary for the

to satisfy the tourists that visit and earning profits. At the same time it is necessary to take care of
the development and growth of society by providing effective and efficient services.
To evaluate the importance and benefits of tourism in socio-economic growth
As per Richards, 2018 Tourism is one the reason for success of various economies. It is
seen that the sector has numerous benefits. This a good source of earning for the nations. It is
seen that the beauty of the destination attract so many people. These tourist are ready to spend
huge amount on travelling for the purpose of enjoyment. At the same time it helps to provide
employment opportunities to various number of people. As there is growth in sector there is need
of skilled employees in nation. Tourism sector provides around 3.8 million jobs in UK. It is seen
that by providing job there is development of nation. It is seen that tourism boost the economic
development and takes care about the social development. As the Hotel is identifies the needs
and wants of customers and they work in such a manner that helps in satisfying the customers. It
is a fact that if sustainability is taken into consideration that no one can stop the development. As
the tourist belong to different religion, places the tourism is a way that helps in cultural
exchanges. People are able to know about various cultures, understand them as well as respect
them. There are infrastructural developments seen due to tourism. As there is development is
places and other infrastructures of the nation, so that tourist like to visit the place. The GDP of
nation increases and that helps in overall development in economic condition of nation. There is
development in all the parts due to flow of money in economy. The tourism sector helps in
development of various sectors such as communication, agriculture, health as well as education.
The growth is supported by the initiatives taken by government to support the tourist of nation.
An organisation work effectively if they are able to attract customers and earn revenue. The
savoy Hotel tries to identify the needs and wants of nation and assures that the tourist get best
services. As they understand that it is a great source of revenue for them and contributes to their
success. This is seen that all the organisations should make efforts to serve the customers. At the
same time the take care that they do not harm society and people living over there. It is seen that
tourism has major role in socio-economic growth of nation.
To analyse the challenges faced by tourism industry
As per the point of view of Lundberg, 2017 It is seen that there are various challenges
that are faced by the organisations that operate in tourism sector. As there is huge competition
present it become difficult to attract the customers and retain serve them effectively. All the

hotels try to provide best services to the customers. So, competition is one of the major challenge
that is faced by the tourism sector. At the same time it becomes difficult to analyse the needs and
wants of customers. As there are different tourists and they belong to number of places. There is
need of good and effective research in order to serve them in an effective manner. As well with
globalisation the standard of people enhances. It is seen that the business organisations have to
identify and provide unique services to the tourists in order to serve them. They have to learn all
the languages as well. The tourist like to talk in their native language. All the employees are
given training in this regard. The tourist face one of the major issue that is related to security of
tourist. There is low security being given to these people and this a challenge faced by them.
There are heavy taxes levied on tourist industry. The high taxes reduce the profitability. It is seen
that there are many challenges faced by them and it is time to understand the nature of challenges
and then take actions and build strategies that will help them to come out of the situation. In
relation The Savoy Hotel they also face these challenges and make efforts to come out of these
situation for their success. It is necessary to deal with them for development of nation and
success of business enterprise.
To identify the strategies that help in tourism development
According to Arbulú, Lozano and Rey-Maquieira, 2017By knowing and understanding
the challenges that are faced by the tourism sector and its organisation. It becomes necessary to
take actions that would help in development of strategies. By conducting proper research about
the tourist and understanding their desires the Hotel is able to attract them. At the same time
digital marketing tools and techniques are effective ways that have good coverage of market and
its customers. So, the use of social media marketing and tools help in development attracting the
customers. The Hotels should focus on providing quality services to the customers in order to
satisfy them. The tourists face various security challenges so these Hotels should enhance the
safety and security of tourists this will also contribute in their success. At the same time
providing them unique services and other additional service will he helpful for the Hotels. It is
seen that not only these services will help. For the development of sector, Government should
take initiatives and then work. As Government has control over all the areas the support the
working and development of tourism sector. They contribute to development of communication,
roads as well as they can help in bringing political stability (AL-hazmi, 2020). They may
develop various strategies that will help in attracting customers. The concept of sustainability is

helpful and contribute to growth and success of tourism sector. By moving towards using
renewable resources and minimising the wastage of resources. It will help in developing the
tourism sector.
Research Methodology
It is a process that is followed by researcher in order to conduct the research in n effective
manner. It is the path that is followed to facilitate the research. It helps to analyse the data that is
collected. There are some steps that are followed by researcher and that are discussed below:
Research philosophy: There are two philosophies of research that are positivism and
interpretivism. In regard to positivism there observations are considered to draw factual
knowledge. Interpretivism is based on interpretation of of elements of study and integrates
human interest. To conduct this research positivism research philosophy is used as the
conclusion is based on observation.
Research approach: There are majorly two types of research approach. It is up to the research
that which approach they want to use. The first one is inductive approach that can be defined as
building new theory and concepts (Dźwigoł and Dźwigoł-Barosz, 2018). On the other side
deductive research is based on existing theories. It is seen that to do this research deductive
research is used as it helps to understand the relations among the variables and draw effective
conclusion.
Research Design: Qualitative and qualitative are two types of research design. In quantitative
research design there is use of graphs and statistical tools in order to analyse the numeric data.
The next is qualitative is not based on any numeric data the theoretical information is analysed.
In this case both the research design will be used.
Data Collection methods: The two ways of collecting the data are primary and secondary.
Primary data is first hand data that is collected by the researcher. It is time taking method of
collecting the data (Nayak and Singh, 2021). On the other side secondary data is second hand
data that is already published. In this case both the data will be used to grab the information. It
generally takes less time to collect the data through secondary resources.
Research strategy: To complete the primary research questionnaire will be used. As it help to
identify the views employees are taken. Literature review is done in order to do the secondary
research.

Sampling: It is method of selecting some of the individuals from overall population. It is not
possible to collect the data from all the employees. So, some employees are selected on random
selection as it helps to know the point of view of these people.
Ethical Considerations: There are some ethics that must be taken care while doing the research.
It becomes necessary to collect authentic information to so the secondary research. At the same
time the researcher must take care about maintaining confidentiality and do not harm any third
party (Ngozwana, 2018). The privacy of data must be maintained and there should not be any
wrong use of the already published information. It is important to take all the ethics into
consideration and working in with full honesty and integrity.
Conclusion
From this research proposal it is concluded that tourism sector helps in socio-economic
growth and development of nation. There is discussion related to tourism sector which is one of
the major part of hospitality industry. It is important for an organisation to assure that they study
about the trends in market and make efforts to change as per the customers. Tourism contributes
to GDP of the nation, helps in infrastructural development as well as provides employment. All
these things help in economic development. All the efforts are done to develop the tourism. A
new concept of sustainability is also working now a days. It is vital to use all the resources in a
optimal manner and this helps in social development as well. There is discussion related to the
challenges that are faced by tourism sector. It is important for tourism sector to use new and
innovative ideas that will help in their success and development of nation. Research
methodology including the ethical considerations are also part of this report.
Recommendation
There are some points that must be considered while doing this report.
 It is important to understand the concept of tourism and know about its contribution in
growth and development of nation. It helps to formulate effective strategies.
 The concept of sustainability must be used by business organisations as it helps in overall
development. At the same time they must provide quality services to customers.
 Digital marketing strategies must be used by the organisation as it helps in attracting
more customers.

REFERNCES:
Books and Journals:
AL-hazmi, N., 2020. The impact of market targeting strategies on tourism services. Management
Science Letters, 10(12), pp.2799-2804.
Aladag and et.al., 2020. Strategy implementation research in hospitality and tourism: Current
status and future potential. International journal of hospitality management, 88,
p.102556.
Arbulú, I., Lozano, J. and Rey-Maquieira, J., 2017. The challenges of tourism to waste-to-energy
public-private partnerships. Renewable and Sustainable Energy Reviews, 72, pp.916-
921.
Dźwigoł, H. and Dźwigoł-Barosz, M., 2018. Scientific research methodology in management
sciences. Фінансово-кредитна діяльність: проблеми теорії та практики, 2(25),
pp.424-437.
Kim, S.H., Lee, K. and Fairhurst, A., 2017. The review of “green” research in hospitality, 2000-
2014: Current trends and future research directions. International Journal of
Contemporary Hospitality Management.
Lundberg, E., 2017. The importance of tourism impacts for different local resident groups: A
case study of a Swedish seaside destination. Journal of Destination Marketing &
Management, 6(1), pp.46-55.
Meng, Q., Lin, M.S. and Tzeng, I., 2020. Relationship between exercise and Alzheimer’s
disease: A narrative literature review. Frontiers in neuroscience, 14, p.131.
Nayak, J.K. and Singh, P., 2021. Fundamentals of Research Methodology Problems and
Prospects. SSDN Publishers & Distributors.
Ngozwana, N., 2018. Ethical Dilemmas in Qualitative Research Methodology: Researcher's
Reflections. International Journal of Educational Methodology, 4(1), pp.19-28.
Richards, G., 2018. Cultural tourism: A review of recent research and trends. Journal of
Hospitality and Tourism Management, 36, pp.12-21.
Online
Savoy. 2021.[Online]. Available through: <https://www.thesavoylondon.com.>