Introduction To The Global Tourism Hospitality Tourism Essay

travel and tourism, lodging, assemble and event management, restaurant and managed service… Walker 2009. On the whole, these components have interrelated nature because they support each other, together aim at a common target: best customer service.

The outstanding characteristics of hospitality and tourism industry are: long working hours and people have to work in shifts. The most important feature of this sector is that it focuses heavily on customers’ satisfaction but it is also intangible and perishable … (Walker, 2009).

As a result, in order to be successful in this highly competitive industry, managers should consider several factors to ensure the success for their hotels, such as: customers focus, understanding of the role of the guest – contact employees; weave a service culture into education and training system (Walker, 2009).

On the other hand, the severity of the market and the economy crisis also encouraged hotel creating the alliance and association to be more successful. For example, Global Hotel Alliance (GHA) is a collection of 15 upscale and luxury regional hotel brands from across the world. Choose from 300 hotels, palaces and resorts in 52 countries around the world, each one reflecting the distinctive culture and traditions of their locations (Walker, 2009). They can gain more profits and saving by sharing the promotions and making chain services between members.

I think in the normal condition, when the social, economic and political environment is stable, hotels tend to compete with each other to expand their markets as well as to generate more revenue. However, when the external environment encounters any changes, such as the recent economic crisis, hotels might want to cooperate to help each other overcome troubles.

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In the future, hoteliers have to deal with several unprecedented issues such as short booking window or develop mobile booking, which never happened in the past (Hotels, 2011). There are more and more new technologies applied in hospitality and tourism to increase productivity and optimize the strategy. The hi-tech equipment will also attract the Y generation who rely much on those devices daily.

Exercise 1

The image Umbrella might symbolize for the square of flat and the speed of opening umbrella. As shown above, Hospitality Industry is a wide segment, which contains many relevant sub – majors. It is even said that under the umbrella of travel and tourism, countless professions are necessary to meet the needs and wants of people away from home (Walker 2009).

All of these majors one by one continually provide customers with necessary services when they are away from home. For instance, people might need a car to travel (Travel and Tourism major’s task), then they might want to book a room at 4 star hotel to sleep (Lodging service). After that customers want to visit a park (Recreation service) and finally they book a table at their hotel to have dinner (Restaurant service).

I think in the future, with the development of technology, people will know more about their options and they might have new desire. Thus there will be more professions under the umbrella of hospitality and tourism and they may attach more closely through electronic devices to each other.

Exercise 2

VIETNAM

Figure 1.The number of tourists from 2008 – 2010 in Vietnam

(Source: General statistics Office of Vietnam)

In the graph, the data of outbound customers in Vietnam was not shown for several reasons. The number of tourist growth significant from 2008 to 2010. There is a slight decrease in inbound data in 2009 around 1.5 millions visitors while the figure of domestic rapidly raised more than 3 millions visitors per year.

In fact, only the data on international visitors to Vietnam are published monthly, and data on domestic and total revenue from tourism is often only reported in the six months of the annual meeting of the industry.

Deputy General Director of the General Statistics Office said Tran Thi Hang, program surveys, national statistics, the new unit every 2-3 years she expenditure survey of international visitors to Vietnam, domestic tourists foreign and domestic travel once.(Chile, 2012). Lacking information might prevent the authorities from making policy plan as well as prediction about the long term and short-term development of tourism and the development of market. As a result, the government might not control the domestic tourism and outbound like taxing, foreign exchange, support the customer’s right, responsibilities of travel agents, hotels ….

AUSTRALIA

Figure 1. The number of tourists from 2008 – 2010 in Australia

(Sources: Tourism Research Australia, 2012; Australian Bureau of Statistics, 2011; Overseas Arrivals and Departures, 2012)

As can be seen, the tourism market of Australia was stable with slight decreases. The total number of tourists in 2008 was 81,495,000 visitors while there were 79,793,000 visitors in 2010. Meanwhile, the number of Vietnam tourism market rose dramatically over a period of 3 years.

In 2008 and 2009, the tourism sector of Australia was influenced slightly by the economy crisis. However, the data of inbound and domestic customers in Vietnam kept increasing steadily. From my perspective, during the difficult time of economy, people want to redirect their destinations to developing countries to save money.

Table .1 Compare the Employment in tourism by sectors

Vietnam (2010)

Australia (2010)

Direct labour

434, 240

513,900

Accommodation and food services

207,600

232,400

Travel agency and transport

65,800

92,500

Indirect labour

955,350

393,400

Other services

160,840

189,000

Total

1,389,600

907,300

(Source: General Statistics Office of Vietnam, 2011 and Australian Bureau of Statistics, 2011; Tourism Research Australia, 2012)

As can be seen, the total number of people working in Hospitality segment in Vietnam is much higher than the number of Australia (around 1,4 million and 900 thousand respectively). However, the number of direct labour of Vietnam is lower than Australia’s (434 thousand and 513 thousand). On the other hand, Vietnam has more people contribute indirectly to hospitality industry than Australia has (about 955 thousand and 393 thousand).

In my opinion, Vietnamese labour force is much abundant than that of Australia and this matter might lead to both strong points and drawbacks. First of all, as for the advantages, hospitality industry might have cheap labour cost, which save them a lot of expense. However, the labour force in Vietnam is not equal in quality and easy to be replaced.

TOPIC 2 – CURRENT ISSUES FOR THE TOURISM AND HOSPITALITY INDUSTRY

A brief history Four Season Hotel

From a small hotel opened in Toronto, Canada, Four Season Corporation becomes a great international hotel group, which provides the most luxurious and satisfactory services to customers. In this exercise, I would like to outline the development and expansion of Four Season globally.

Canada

In 1961 the first Four Seasons hotel opened at Toronto, Canada by Issy Sharp

England

In 1970, Inn on the Park London (later renamed Four Seasons Hotel London) opened.

USA

In 1976, the Four Seasons officially enter the American market

Maui

In 1990, Four Seasons launched its first tropical resort, in Maui.

Asia

In 1992 Four Seasons started their expansion to Asia with the first hotel opened in Tokyo.

In 2002 Four Seasons entered Chinese market with the hotel in Shanghai.

In May 2008, Four Seasons marked its entry into the Indian market Middle East

In 2000, launched the first hotel in the Middle East (Four Seasons Cairo).There followed a prominent extension in the region.

Four Season Hotel today

As shown above, Four Seasons step by step expand its operation and influences to the international hospitality industry. Nowadays, Four Seasons exist in almost continental and one of the most potential markets is Asia since Asian market is developing and it is going to be the biggest market by 2020 (Amadeus report November 2012) < Hotels 2020: Beyond Segmentation, Report by Amadeus, 2010>.

Evaluation

Currently, with 88 hotels and resorts in 35 countries, Four Seasons has strong reputation, which provides high – level services delivered by well -trained staff. I think that one of the reasons make Four Seasons become distinctive among competitors is the responsibility to bring new experience to customers. For example, Four Seasons is going to introduce the first Around-The-World by Private Jet tour trip, a brand new, unique service to customers (Four Seasons Corporate Newsletter A – September 28, 2012).

Four Seasons Hotel group has huge impacts to the global business world in terms of innovative service and technological progress. For example, Four Seasons Hotels and Resorts has been ranked number one in Digital IQ Index: Hotels report for the appliance of digital platform (Four Seasons Corporate Newsletter B – September 28, 2012).

The main global challenges

Speaking of the global strategies, I believe that proving the “memorable experiences for guests and quality relationships with employees and business partners” (According to Michael D. Johnson, the Cornell Hospitality Hotel School’s dean) and following its living values are two of the major strategies that Four Seasons apply. The living values include: supporting sustainability, building communities and advancing cancer research.

TOPIC 3 – OWNERSHIP AND MANAGEMENT STRUCTURES AND THE ACCOMMODATION SECTOR

Discussion questions

The different hotel ownership options

Hotel ownership options

Advantages

Disadvantages

Owned by a single entity or group that has hired a hotel management company to operate the property

– A qualified and experienced manager operates the properties.

– Hotel owners and management companies might conflict.

– Lower benefit for owners.

A hotel chain

– Existing good reputation, operation manners, staff training.

– Hotel chain has the same standard quality of services and products.

– Require huge initial resources

– The different hotel in chain might compete with each other.

– A major change in hotel chains need a lot of money and time.

A franchise

– The products and services have already been developed and have reputation.

– The franchisee used the logo, slogan, marketing and financial assistance of the franchisor to start the business, old market, a network of loyal and low-priced supplies.

– The cost opening a franchise need a lot of money for brand, signage,… If your franchise decides to go through a major change. A franchisee may be required to upgrade facilities and signage, all at your expense.

– Reputation: Name recognition is one of the biggest advantages in purchasing a franchise. If the brand’s reputation suffers for any reason, however, the franchisees also suffer from poor consumer perception.

– Limited growth potential: a franchisee cannot franchise an operation and must look instead to purchasing additional franchises.

City Hotels in Sydney: Shangri-La Hotel, Four Seasons Hotel, Sheraton, InterContinental….

Resort Hotels in Sydney: Old Sydney Park royal, Parramatta Apartments, Park Lodge Hotel, Renaissance Sydney Hotel, Waldorf Apartment Hotel, Waldorf East Sydney, Woolloomooloo Waters Hotel…

Pricing differences for accommodation packages

– The price for Residential Hotels’ accommodation package includes:

+ Room service, maid service, laundry facilities.

+ Cooking facilities, especially for children.

– The price for All Suite Hotels’ accommodation package includes:

+ Room service, maid service, laundry facilities.

+ Separate bedroom and living areas and full kitchen

+ Housekeeping service

+ Food and beverage services are available through room service.

– The price for Resort Hotels’ accommodation package includes:

+ Accommodation with full experiments.

+ Full facilities such as massage and salon treatment, swimming pool, scuba diving, climbing mountains…

+ Food and beverage service or restaurants with many of choices.

– City Center Hotels:

+ Room service, maid service, breakfast.

+ Food and beverage service in restaurants

– Airport Hotels:

+ Room service, maid service, breakfast.

– Motels:

+ Accommodation with full furniture.

– Transient Hotels:

+ Room service, maid service, breakfast.

– Bed and Breakfast.

+ Room service, breakfast.

The typical guest mix of two types hotel

The city centre hotels have certain advantages like:

+ Convenient locations

+ A variety of accommodation rooms

+ Food and beverage outlets depending on demand and customers

+ Facilities like gift shops, swimming pools, spa and sauna …

+ Convention facilities such as conference rooms, convention equipment

The customers of city centre hotels:

+ Corporate individuals

+ The senior corporate groups

+ Leisure customers

+ Convention and/or association groups

+ Tour groups

+ Government and military travellers

+ Regional getaway or weekend travellers.

The city centre hotels have some advantages like:

+ Rooms with full amenities

+ Providing room service, maid service, laundry facilities

+ Full equipped with cooking facilities and recreational facilities for children

Residential hotels’ guest mix might include:

+ Long-term stay guests: military or government employees

+ Leisure travellers or back packers

Compare cruise ships and resort hotels

There are many similarities of cruise ships and resort hotels that make people think cruise is floating resort. Both cruise ships and resort hotels aim at customers who want enjoy a long period holiday. Their infrastructures of cruise ships and resort hotels are the combination of different buildings and facilities inside their areas, such as rooms, restaurants, swimming pool, spa and sauna area, entertains area… Both cruise ships and resort hotels activities rely on climate and season

However, there are many differences between these two kinds of hotels and compare with their expectation to choose the most suitable one for them.

Firstly, the experience between cruise ships and resort hotels is so different. The cruise liner is a passenger ship used for pleasure voyages. An advantage to choosing a cruise line is the unique experience of sailing from island to island(Banks, n.d ). The view from a private balcony on a cruise ship is enough to make anyone feel like a world traveller. Cruise ship spends most of its time on the ocean, customers can entertain many activities which is provided free facilities. It is available both day and night and is generally more engaging than the entertainment that is offered at an all-inclusive resort (Banks, n.d ). The customers can sleep the night away while they are traveling to the next destination, leaving they refreshed to embark on a new adventure(Banks, n.d ). One disadvantage to choosing an all-inclusive resort is that customer will only see one destination(Banks, n.d ). The entertainment at an all-inclusive resort is also usually less diverse than a cruise ship(Banks, n.d ). However, experience of resort might be the favourable climate and wide range of recreational activities(Banks, n.d ). Resort hotels are often located at comfortable climate regions such as beaches, hills or mountains(Banks, n.d ).

Consequently, cruise ships and resort aim at different groups of customers, who have different demand in terms of, experience, services

Case study:

The case study presents the strategy of Royal Hotel about a renovation program. This hotel had a loyal clientele and ranked as a top of the line property.

Hotel do not want to take the risk of losing customers to competitors then managers decided to remain open and keep in operation any rooms or portions of the hotel which did not have to be shut down for construction. Those problems is the cause that the customers complaint about ongoing construction in public areas and hallways, along with the attendant dust, confusion, and noise.

In this situation, some necessary solutions should be given including:

– Isolating construction areas from the rest of the building by signs, advertising background in order to separate the working areas of builders from areas for customers.

– Minimizing the impact of noise, dust, and construction materials.

– Increasing organizational activities, events to disperse the attention of customers from the repairing areas.

– Increasing promotion and other benefits for customers who were affected by the refurbishment.

The conditions needed for the solution include the promotional programs and the budget for negotiation with customers in particular situations. Besides, the renovation program should be speeded up to reduce noise and affects to customers.

TOPIC 4 – ROOMS DIVISION – AN OVERVIEW FROM A GLOBAL PERSPECTIVE

Reading

This article proposes a resort classification system which provide definition stating minimum qualifications for a resort and proposes a classification system based on range and scope of amenities (Brey 2011). However, there are many categorizing resorts made by national governments

About the definition, Focusing on resorts as real estate developments, a definition by Schmitz et al. (2008) requires three primary characteristics: inclusion in master-planned real estate developments, proximity or easy access to significant amenities, and lodging(Brey 2011). In an effort to standardize a diverse group of resorts, the Organization of American States (OAS) placed minimum structural and supplementary requirements to unite individual rating systems throughout the Caribbean (Caribbean Innkeeper 2007). While these clarification activities have successfully served a specific purpose, they lack industry-wide application

As for classification, the first category, destination resort, serve as the primary motivation to visit a destination and have characteristically high levels of service(Brey 2011). Next, intermediate resort, typically located in a rural location, provides a range of activities and amenities that is not as comprehensive as what is found at destination resorts. Lastly, specialized resort, can be found in any location and provide a focused experience around one signature amenity or anchor attribute. We can see the important role of classification its helps the managers can control, evaluate and and make strategy plan for their resort.

The online travel agents bring to the hotel many benefits and drawbacks, they are also important distribution channel to make hotel’s inventory available to global audience. Hospitality providers want to use technology to distribute their inventory directly, it is impossible to deny the role of online travel agent currently. Many hotel bookings are implemented through online travel agents and online tools.

As for advantages, the relationship between hotels and the online travel agents called “LOVE”. Online intermediaries have evolved to cover different models, reach different market. Hotels and online travel agent need each other, hotel need agent to drive demand and agent need hotels to offer services. Both sides need each other, both hotels and the online travel agents develop and rely on each other to develop. However, hotels loss the power to contribute by themselves, they must share more commissions to pay for agent then fewer profitability. That is the reason why hotels “HATE” the online travel agents.

The love – hate relationship seems to be most intense between large hotel group and large online travel agents. Since the large hotel create a monopoly amongst online agents. In general, online travel agents and intermediaries are now essential part of the industry and as for the hotel, an absolute necessity.

Revenue management and sales staff have close relation with each other because they together make decisions regarding rate, accept group business and forecast. However, they can foster better coordination to minimize the misunderstanding and understand thoroughly the other’s main tasks. We understand in some ways that revenue management team include sales and revenue management personnel.

One way to improve group revenue management functions is to expand the collabouration of sales and revenue management personnel, particularly in pricing (Cross, Higbie, and Cross 2009) and forecasting (Milla and Shoemaker 2008).

Revenue management team are responsible for: Whether to accept a group offer and forecast room block utilization to ensure that rooms will be filled or released for sale to transient guests.

Although having the frequency of formal meetings, the two respondent groups are still having certain informal meetings. With regard to formal meetings, the highest mentioned frequencies were daily or one or two times per week. The informal meeting to help communication between the revenue management and sales functions better.

Case Study:

The case study describes the new position for Morgan Black in the Coug Inn. The Cougar- Inn is in a remote location near local university, with 150-room full-service property with several medium-sized conference rooms. After observing, Morgan Black found out some problems of the front desk: the check-in process which still in the traditional process and the poor communication between housekeeping and the font desk. Morgan wants to use the automated property management system, however the front desk manager do not think it is worth money

In my opinion, Morgan should consider a number of issues like employee habit, the ability to budget for the system and the adaptation of employees to work with systems. The proposed check-in time of the font desk Morgan need to determine whether the front desk clerks really need more time to arrange check-in. Which the crunch time which because of the reservation process or complex reservation form or poor communication between the parts such as front desk, reservation and housekeeping by the language or the process?

Morgan should present the solutions for the communication issue between housekeeping and the font desk. There is the needed aware of communication between each department. The international language must be English for business and the hotel should have training English and automated property management system. The manager of housekeeping should have rules to encourage staff using English in work. On the other hand, using automated property management system will help to minimize the mistake in communication; the transmitted information will be more accurate. In the easier way, Morgan should hire new employee who can use international business English in workplace.

The final decision requires the participation of the corporate office, the font desk, reservation and housekeeping. The corporate office will control the budgets, who will decide where the money comes and which is worth for investment. The font desk are the staff for a long time and the corporate office needs to give their ideas and advice before any methods are implemented. The housekeeping must concern for understanding their role in new property management system.

Topic 5 – Food and Beverage

The two basic types of beer and three Australian common brands

Beer is generally categorized into types according to the type of yeast used during fermentation. Ales are beers that use top-fermenting yeast, while lagers are those that use bottom-fermenting yeast. The choice of yeast provides the beer different characteristics, which can alter the look and taste of the brew (Richard, 2007 )

The two types of beer are also different in other ways. For instance, ales are fermented in a warmer temperature, which is why it takes a shorter amount of time to ferment. On the other hand, lagers are fermented in moderate temperatures. The warm fermentation temperature also gives ales a nutty or fruity taste.

Ale

Lager

Thousands of years old

Relatively new

Fermented warm

Fermented cold

Top fermentation

Bottom fermentation

Yeast – Saccharomyces cervisiae

Yeast – Saccharomyces Uvarum

Quick brew cycle – as little as 7 days

Longer brew cycle – up to several months

Usually brewed between 59 – 77 degrees F

Usually brewed between 40 and 55 degrees F

Strong, assertive, and more robust in taste

Smoother, crisper, and more subtle in taste and aroma

Served not too cool, usually 50-55 degrees F, 10-14 degrees C, sometimes called “cellar temperature”.

Served cold, usually 40-45 degrees F, 4-7 degrees C.

Table 5.1 The differences between Ale and Lager

(Source: Richard, 2007 ‘What is the difference between an ale and a lager?’)

The two major beer producers

Carlton & United Breweries (CUB) is one of the most iconic beer companies in Australia with our history going back to 1824(Carlton & United Breweries ,n.d,) In 2011, we demerged from our wine arm and became part of the SABMiller group, the second largest brewer in the world. This has allowed us to return to our heritage and core strength as a brewer(Carlton & United Breweries ,n.d,) CUB alcohol beverage sales team services over 17,000 customers across the on-premise and off-premise channels and our national brewing, logistics and sales network delivers to over 20,000 customers including hotels, clubs, liquor stores, restaurants and bars(Carlton & United Breweries ,n.d,)

Victoria Bitter (VB) has long been Australia’s favourite beer, and is specially brewed to deliver full flavour when ice cold, making it the ideal beer for the Australian climate(Carlton & United Breweries ,n.d,) VB is a full flavoured, full strength beer at 4.9%; the gentle fruitiness of the aroma compliments the sweet maltiness in the mouth which in turn balances perfectly with the clean hop bitterness of the finish(Carlton & United Breweries ,n.d,);

Crown Lager is Australia’s premium lager beer(Carlton & United Breweries ,n.d,) It has a creamy fruitiness with a rich, malty mid-palate, bal­anced with the crisp, clean finish of Pride of Ringwood hops(Carlton & United Breweries ,n.d,) Brewed from the finest malt and hops, using CUB’s original and unique strain of brewing yeast, extended storage softens, and rounds out, the flavours produced during fermentation, ALC/VOL: 4.9%(Carlton & United Breweries ,n.d,)

Carlton Draught is a traditional, full-strength lager that is crisp on the mid-palate with a good malt character and smooth full-bodied flavour(Carlton & United Breweries ,n.d,) Clean hop bitterness gives the brew a slightly dry finish. Synonymous with the origins of the brewery itself, Carlton Draught is renowned for tasting as fresh as it did the day it was brewed. And it’s that kind of consistency in taste that’s been important to Australians for generations. ALC/VOL: 4.6%(Carlton & United Breweries ,n.d,)

Miller Genuine Draft is the original easy drinking beer – cold filtered four times for a crisp, smooth and refreshing taste. MGD contains no additives or preservatives. ALC/VOL: 4.7%(Carlton & United Breweries ,n.d,)

Lion is a beverage company that operates in Australia and New Zealand and produces and markets a range of beer, wine, RTDs and spirits(Lion, n.d)

Tooheys New is the classic, easy-drinking Australian lager brewed with no artificial additives and no preservatives(Lion, n.d). Its lightly hopped, malty character delivers the perfect balance of bitter and sweet beer flavours

XXXX GOLD is a refreshing mid-strength beer that continues the great tradition of FOUREX brewing heritage, by being brewed with the finest Australian malt, barley and unique golden cluster hops. XXXX GOLD has a balanced, smooth flavour and body, complimented by mild bitterness and a trace of sweetness from the extra malt.(Lion, n.d)

Hahn premium beer is only as good as its ingredients. That’s why our pioneering team scoured the globe to assemble three special hops, one of which is grown in Germany on the Hersbruck Hills, north of Munich. It’s that unwillingness to settle for anything but the best that makes Hahn Premium.(Lion, n.d)

James Squire is produced by the Malt Shovel Brewery in Sydney. The beer is named after the convict brewer James Squire, who is claimed to have created Australia’s first commercial brewery.The brewery has won various awards including: Champion Australasian Brewery, 2000 and 2003 (Australian International Beer Awards),[14] and Best Bohemian-Style Pilsener, 2008 (World Beer Cup)(Lion, n.d)

The boutique breweries

Boutique breweries :A small brewery, generally producing fewer than 10,000 barrels of beer and ale a year and frequently selling its products on the premises. Also called microbrewery.

Three Australian boutique beers include:

Carlton and United Breweries owned by Foster’s Group – Main Beers: VB, Crown Lager, Carlton Draught, Pure Blonde and Reschs Pilsener

Tooheys owned by Lion Nathan – Main Beers: Tooheys New, Tooheys Old and Tooheys Extra Dry

Castlemaine Perkins owned by Lion Nathan – Main Beers: XXXX Bitter, XXXX Gold, XXXX Light, XXXX Summer Bright Lager

The most popular overseas beers

Heineken is a pale lager beer with 5% alcohol by volume produced by the Dutch brewing company Heineken International.

Aroma: A slight bit of sweet graininess and no hop aroma. As the beer warms up there is more of a malt character present. Again, unlike the almost undrinkable bottle version, the can has the aroma of a nice to style lager.

Appearance: Just like it should be, a light gold colour and crystal clear. Head retention is white and does not persist.

Flavour: Nice and dry, but crisp. There is a definite yeast character that seems to work well with the slight hop bitterness. No hop flavour to speak of. No dactyl, and there is a definite carbonic bite from the carbonation.

Overall: A very drinkable beer that benefits from being packaged in a light and oxygen free can.

Modelo Especial: It is an American lager produced by the produced by Grupo Modelo in 1925

Aroma: Light struck, of course. Other than the skunk, some bready, thin malt profile. Sweet mildly bitter grains, corn.

Appearance: Pale yellow. High clarify. Lots of rising bubbles. No lacing.

Flavour: Better than the aroma. Mild malt sweetness, corn and maybe rice. Some bitter bite at the end

Overall Impression: Very easy to drink, bland and insubstantial

San Miguel Pale Pilsen: produced by San Miguel Corporation from Philippines

Aroma: aroma of malt sweetness, bit of citrus with