abhishreshthaa

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The hospitality industry consists of broad category of fields within the service industry that includes lodging, restaurants, event planning, theme parks, transportation, cruise line, and additional fields within the tourism industry. The hospitality industry is a several billion dollar industry that mostly depends on the availability of leisure time and disposable income. A hospitality unit such as a restaurant, hotel, or even an amusement park consists of multiple groups such as facility maintenance, direct operations (servers, housekeepers, porters, kitchen workers, bartenders, etc.), management, marketing, and human resources.

The hospitality industry covers a wide range of organizations offering food service and accommodation. The hospitality industry is divided into sectors according to the skill-sets required for the work involved. Sectors include accommodation, food and beverage, meeting and events, gaming, entertainment and recreation, tourism services, and visitor information.

Usage rate is an important variable for the hospitality industry. Just as a factory owner would wish to have his or her productive asset in use as much as possible (as opposed to having to pay fixed costs while the factory isn't producing), so do restaurants, hotels, and theme parks seek to maximize the number of customers they "process".

In viewing various industries, "barriers to entry" by newcomers and competitive advantages between current players are very important. Among other things, hospitality industry players find advantage in old classics (location), initial and ongoing investment support (reflected in the material upkeep of facilities and the luxuries located therein), and particular themes adopted by the marketing arm of the organization in question (such as a restaurant called the 51st fighter group that has a WW2 theme in music and other environmental aspects). Very important is also the characteristics of the personnel working in direct contact with the customers. The authenticity, professionalism, and actual concern for the happiness and well-being of the customers that is communicated by successful organizations is a clear competitive advantage.


Political Environment
“These refer to government policy such as the degree of intervention in the economy.”
The Times of India by Rachna Singh, Jaipur, in a bid to attract international tourists is gearing up with a host of new properties across different segments. [Hospitality Biz India: Dec. 2009]
Hotel industry as well as tourism industry has a basic backbone of the government support without which it won’t be able to sustain the competitive world. Government charges huge amount of tax from the star and luxury category of hotels and thus has a huge impact with the political changes that occur. Any small step taken by the government by changing some law it would seriously affect hotel industry. The hotel industry is getting huge incentives and the state governments are supporting the development of the hotels and their growth. This infact answers the question how are Indian Hotels are planning to expand in the economic crunch time.
The Terror attack on the city’s [ Mumbai ] renowned hotels Taj and the Oberoi’s had brought a concern on the faces of the hoteliers with a substantial drop in foreign travellers to India taking the terror threat into account.

Economic
“These include interest rates, taxation changes, economic growth, inflation and exchange rates. As you will see throughout the "Foundations of Economics" book economic change can have a major impact on a firm's behaviour.” [Online:2010]
Mumbai being the financial capital of India has many foreign tourists arriving with the whole and sole purpose of meetings, conferences etc. thus Hotels in Mumbai try to capitalise on the foreign travellers who are seen to bring more money to spend along with increasing amount of expectations from the hotels. As seen in the recent past the guests are willing to pay for the services they get and the more the guests pay the more would the hotel and the industry would prosper. With the increase in the paying power of the guests the need for the good and luxurious hotels become massive. The per capita income in India also has rose to a new extent enabling the common man to goto luxurious hotels to have a lunch or a dinner.
Economy of India faced one of the most minimal drop in the whole world because of the controlled and sound financial system in the country. This helped hotels to only concentrate on the foreign travellers which had reduced and the local market being stable was much of a relief to the Indian Hotel Industry.
Social
“Changes in social trends can impact on the demand for a firm's products and the availability and willingness of individuals to work.”
Vits being situated near the airport sees the maximum amount of guests who are in for the business meetings and conferences. There are very few FIT guests seen in the hotel as compared to the BTC guests [ Bill to Company Guests ] and the business travellers.
This explains the reason why the hotel could be seen having single room guests or a twin bedroom guests more than the double bedroom guests. Being the Business hotel it has maximum males arrivals compared to female arrivals.
The Vits could also be seen having layover guests many a times which becomes the revenue generator for the hotel in the slack period of time.
Seeing the ratio of the various classes of guests of VITS it could be easily said that the Hotel must strive for the FIT and the group checkins by linking the VITS to the travel agencies in and outside India. This could probably balance the demographic ratio of the arriving guests.
Technological
As said before the technology used in VITS is way below the standards when it comes to Hotel management software and the Mini Bar system. Some Technologies used are quite old and need to be replaced with the new ones in the technological market.
For example: If a hotel used the printed KOT and BOT and the stewards had to give it themselves to each of the departments. It could be substituted with the direct computerized sending of KOT and BOT to the kitchen or the Bar.
Technology always has been seen to have reduced the manpower and the energy required by the people. It would always be a boon to mankind and the technological upgrades would also help to show the advances and the progress of the property.
VITS does not have the wifi installed instead they provide internet connection to every room personally which should be made wifi which would reduce the guest complaints about the in room facilities complaints and thus VITS could find many guests happy and satisfied with a thought of you get what you pay for.
 
Hello Abhijeet, It was an interesting piece of work. I would like to suggest one book that is very much related to this concept and very much interesting while you read. The name of the book is Advertising in contemporary society. Pest analysis is elaborated effectively and which complete explanation.
 
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