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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. Bangladesh is one of the emerging economies in the world. It attracts thousands of foreign tourists, especially the businessmen and ready-made garment buyers, every year, which help boost the growth of the hospitality industry. The country's booming hospitality industry has maintained an impressive 34 per cent growth in the first half of the last calendar year. This has happened for the political stability and increased flow of foreign tourists and businessmen. Today, the country's hospitality industry has become very competitive like other countries as couple of new famous brand hotel has recently been added. It is now providing world class service, which is attracting many foreigners to Bangladesh. These hotels in Dhaka earned nearly Tk 1.20 billion in January-June period of 2010 against Tk 894.45 million in the corresponding period last year, the room revenue data of the hotels showed. And the hospitality industry is expected to grow to a new height with four fivestar and one three-star hotels in Dhaka. We are optimistic that the hospitality industry in Bangladesh will flourish further in coming days as the country's economy is growing fast with the increased flow of tourists and businessmen to the country.
Hospitality sector
Accommodation Transportation Tour Operator NTO Food & Beverage Entertainment Recreation & Activities
Name of Industry
Radisson Water Garden GMG Airline The Guide Tours Ltd Bangladesh Parjatan Corporation(BPC) Sublime Restaurant Star Cineplex Fantasy Kingdom
Services, facilities, activities and management system are of these industries are briefly discussed below,
Expanding over seven acres of perfected grounds and gardens with water features, the Radisson Water Garden Hotel Dhaka offers all the services of a hotel with the atmosphere and amenities of an elite resort.
With the other hotel of Bangladesh, Radisson Water Garden is also contributing a lot. In the first half (January-June) of 2010 the Radisson earned Tk 292.45 millions with occupancy rate 88.22 per cent during January-June period.
Features Radisson Water Garden Hotel Dhaka offers various features for the guest. Some of these are,
12. Health club 13. Outdoor pool 14. Steam room. 15. Ballroom(s) 16. Bar/lounge 17. Billiards 18. Coffee shop or caf 19. Elevator/lift 20. Gift shops or newsstand 21. Number of floors: 8 22. Number of suites: 5 23. Restaurant(s) in hotel
1. Swimming pool - outdoor 2. Multilingual staff 3. Parking (free) 4. Safe-deposit box - front desk 5. Sauna 6. Self parking 7. Spa services on site 8. Spa tub 9. Steam room 10. Tour assistance 11. Valet parking
This hotel contributes a lot in the hospitality industry specifically in the accommodation sector.
GMG Airlines is a private airline of Bangladesh, with its head office in the AAA Tower in Nikunjo-2 Dhaka. It is Bangladesh's largest and oldest private airline, operating domestic, regional, and international services, upholding the image of Bangladesh to the world. Its main bases are Shahjalal International Airport, Dhaka, and Hazrat Shah Amanat International Airport, Chittagong.
GMG Airline is currently operating services to different destinations and upholding Bangladesh and her culture. Some of the flight routes of the company are given below,
Country
Bangladesh
Destination
Chittagong - Shah Amanat International Airport Cox's Bazar - Cox's Bazar Airport Dhaka - Shahjalal International Airport Jessore - Jessore Airport Sylhet - Osmani International Airport
India
New Delhi - Indira Gandhi International Airport Kolkata - Netaji Subhash Chandra Bose International Airport
Malaysia
Nepal
Pakistan
Saudi Arabia
Jeddah - King Abdulaziz International Airport Riyadh - King Khalid International Airport
Thailand
It is one of the promising airline industries in Bangladesh, and the GMG is growing so fast toward the development. The GMG is upholding Bangladesh, and her culture in front of the world, at a time the GMG contributing a lot to the tourism and hospitality industry of Bangladesh.
A modern and yet elegant restaurant, Sublime is our hotel's premier restaurant featuring the very best of Bangladesh product with an emphasis on its finest - fresh, tasty, inventive and wholesome cuisine. Sublime is the ideal choice for a superb evening out for any occasion.
The Sublime provides a wide variety of menus, which also include food from Bangladesh. The visitors, stay in Radisson Water Garden, enjoy these food from the restaurant. Visitors, outside the hotel, can also come to enjoy the recipes.
It is the most experienced and well-equipped tour operator in Bangladesh. This company has been supporting travelers from around the world since 1989. The company provides detailed and up to date travel information, tailor-made itineraries for a wide range of destinations in and around Bangladesh, and reliable logistical services including knowledgeable multi-lingual guides, transport & accommodation facilities. Their services and facilities are developed in collaboration with local communities and in harmony with the environment. Its services include package trips to many exciting and attractive destinations all over Bangladesh, logistical support for individual travel needs as well as experienced guides. The company operates four cruising vessels for exploring many rivers of Bangladesh and experiencing the magical mangroves of the Sundarbans. The company has resort in the lush green hills of Bandarban. it is already a hotspot for local and international guests seeking adventure as well as relaxation.
Star Cineplex is the first and only international standard multiplex cinema theatre in Bangladesh. The Cineplex hosts arrays of modern features like Digital Cinema Sound with Dolby Digital and DTS Sound system, State of the Art Projection Systems with automation, most comfortable and ergonomic stadium seating arrangement in three (3) halls of 262 seats each, aesthetic interior and concession stands packed with pop-corn, soft drinks and wide verities of snacks. The goal is to provide the most modern, comfortable, cinema viewing experience of Hollywood and quality Dhallywood releases for a locally adjusted price for the youth and family centered audiences in Dhaka. It aims to be the highest-value entertainment provider in Bangladesh with integrity & professionalism in every step.
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Fantasy Kingdom brings a little bit of Disneyland to Bangladesh. It is one of the most spectacular amusement parks in the country and has become a great tourist attraction in Dhaka. South Asia had never before experienced an amusement park of such a grand scale and it took the creativity, dedication and commitment from hundreds of workers, artists and sculptors to bring this world of entertainment and thrills to life. Located on the Dhaka-Ashulia Highway, the park is just outside the city center of Dhaka, in a village named Ashulia. Beyond the massive pink walls of the entrance, lies a world of landscaped gardens, walkways, lakes, statues and plenty of adventure rides. The Santa Maria Viking Ship, Giant Plume Ride, bumper cars, Ferris Wheel, giant dinosaur park and the Rollercoaster are just a few of the joy rides that await visitors to the park. Visitors to the park find the rides to be safe and clean and there is ample parking available. The Fantasy Kingdom Park is not only used as a tourist attraction and for fun, but also hosts events, such as the Banglalink Desh Music Festival. This event was in aid of relief for flood victims and was supported by some of the biggest names in the Bangladeshi music industry. Visitors to the Fantasy Kingdom amusement park will also find a four-star luxury hotel that has two hundred rooms, condominiums and its very own resort city. Souvenir shops, merchandise stores and food vendors are all located inside the park. But hopefully the influx of foreigners to the park will boost the tourism industry and economy of the region, so that one day, everyone will be able to enjoy the excitement and adventure of Fantasy Kingdom.
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The Bangladesh Parjatan Corporation (BPC) is a statutory board under the Ministry of Civil Aviation & Tourism of Bangladesh, tasked to promote the tourism industry of the country. It is the National Tourism Organization of the country. The Board of Bangladesh Parjatan Corporation was established for the purpose of,
y
y y y
operating the function of the corporation to promote and develop tourism, provide facilities, undertake measures and carry out all forms of activities connected with or ancillary to tourism. promoting tourist undertakings and to control and regulate tourist installations and services. organizing reception and information facilities in or outside Bangladesh. creating tourism awareness among the people. establishing institutes for instruction and training of potential tourism personnel. publishing tourism publications.
Now the BPC is operating its activities as a National Tourism Organization (NTO) of Bangladesh.
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Management System
The management system is the most important mechanism to direct and control the personnel of the hospitality industry. Effective management give direction by setting goals, allocating tasks and the facilitating, makes it possible for the staff to do their work effectively and efficiently. It is also use negotiation with individuals when there is conflict. Different sector of hospitality industry in Bangladesh go through the system and set their goals. Radisson Water Garden, Sublime Restaurant, GMG airlines, The Guide Tours Ltd, Bangladesh Parjatan Corporation, Star Cineplex and Fantasy Kingdom are also run by their own management system. In the context of these industry some parts of the effective management system are given below,
Acceptability
Data System
Feedback
Recognition
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Acceptability
These hospitality industries in Bangladesh formulate their system in a way that should be acceptable to all personnel in within management. Sometimes the authority of property hires a management company for running the property. Such as Army Hotel Management Institute (AHMI) has hired Carlson hotel group as for managing the operation of Radisson Water Garden Hotel Dhaka.
Data System
Data system of the hospitality industry must be controllable and understandable to the personnel of the property. Equipment and system of the data system should be sufficient and easy to access. Such as, GMG airline use the GDS for ticket selling. Radisson Water Garden and The Guide tour ltd also using internet for booking room and selling packages.
Feedback
Each and every personnel, involved in management must be evaluated and awarded. Property should provide reward fot their performance. Sometimes authority provides some percentage of profit to the employee. Such as GMG airline give some percentage of their annual profit.
Recognition
Recognition is another important part of management system. Radisson Water Garden, Sublime Restaurant, GMG airlines give recognition to the personnel who perform better than other. Recognition works as the motivation for doing better work.
Training
As the work of the hospitality industry is most sensitive because personal interaction is highly integrated. Here training is needed for all employees. Radisson Water Garden, Sublime Restaurant, GMG airlines arrange training program for their personnel in home and abroad.
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Marketing function
Marketing function depends on the size of the operation and from where it draws the majority of its business. Marketing function can be organized in four ways. Such as;
Functional departments
Market management
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Functional departments
In this department, functions are divided into people or departments. Here various marketing specialists report to a marketing manager. This is a centralized control.
Regional management
This is a broader concept than functional management. As each region is self-sufficient so it is responsible for its own management. This is decentralized control.
Market management
Market management usually focuses on customer groups. Each group is handled by a separate person. For example the corporate market may be handled by one department, the holiday package market by another and so on.
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Strategic positioning
Positioning has come to mean the process by which marketers try to create an image or identity in the minds of their target market for its product, brand, or organization. In case of hospitality management, positioning is what people think, know or believe about a place. Positioning is mainly obtained by information feeds which help to position an establishment. The main forms of positioning are,
y y y y y y y y y y
The physical presence of the place Interior design layout The recommendations Publicity Advertising Brochures The attitudes and experience of the staff The prices and value offered The ambience The name, slogan, symbol and logo
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The recommendations
In terms of choosing destinations and other tourist facilities, people are more influenced by the recommendations from the friends and family members. Reference group can also be used as a tool of spreading positive word of mouth. Most businesses are built on reputation. Recommendation can play a vital role to build reputation. When several people confirm that they enjoyed the experience of a place and recommend it, it achieves a solid position in peoples mind.
Publicity
Publicity is the deliberate attempt to manage the public's perception of a subject. The subjects of publicity include people (for example, politicians and performing artists), goods and services, organizations of all kinds, and works of art or entertainment. It is a powerful means of creating position for a place or property. Publicity can be generated by a good review of a critic, media reporting of events or offering celebrities stay at cheep rates.
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Advertising
Advertising is a form of communication used to persuade a person to take some action with respect to products, ideas, or services. Most commonly, the desired result is to drive consumer behavior with respect to a commercial offering, although political and ideological advertising is also common. At present, advertising is probably the best opportunity for creating position in peoples minds. Advertising can be conveyed by various media such as newspapers, magazines, television, radio, outdoor or direct mail, websites and text messages.
Brochures
A brochure (also referred to as a pamphlet) is a type of leaflet. Brochures are most commonly found at places that tourists frequently visit, such as museums, major shops, and tourist information. Brochure racks or stands may suggest visits to amusement parks and other points of interest. Another type of brochure is interpersonal brochures, which are brochures based on other people. Then there are pamphlets that you can find in health clinics and hospitals that give help and advice to do with your health. For positioning brochure is one best way to present details of the place.
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The ambience
The part of ambience-music, noise, smell, dcor, and design-should be positioned in a way that it seems comfortable, popular, decorated, elitist, highly visualized. Care is necessary with ambience to make sure that it conveys a perception which fits with the desired positioning.
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Decide if planners have the resources to profitably satisfy what the customers expect.
Not all types of facilities are existed in a particular destination. Some facilities may exist in the place and some have to be developed to meet the customer requirement. In this case, planner may require additional financing and more people or different types of staff.
Develop the services and products / facilities to meet the markets requirement.
This is the phase where strategies come into completion where the procedures will be determined what to happen for the customers in future. Without this step all of the positioning strategies go in vain.
Decide on the key DAB which will give the organization an SCA:
The aim of the positioning strategy is to achieve a discernible advantage for the targeted customer. Customers needs and wants can provide suggestion for DAB decision.
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PRICING STRATEGIES
Hotels room rate sets the pricing level for the rest of hotels products as a part of positioning. Price helps to determine customer mix. The rack rate is the regular published room rate. In perfect market, rack rate is based on the following simple sum: Operating costs + capital recovery + profit forecasted number of rooms = PRICE. The fluctuations of demand dictate that different rates apply at different times of the year, month, or even day. Some of the pricing strategies are,
y y y y y y y
Target profit Perceived Value Pricing (PVP) Going rate Price ranging Value-added pricing Price skimming Penetration pricing
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Target profit
Target profit pricing is the amount of net operating income or profit that management desires to achieve at the end of a business period. Management needs to know the required level of business activities to get target profits.
Going rate
Going rate is the current percentage rate of a commission, discount, or interest with the competition. This rate is based on averaging, keeping pace with the competition.
Price ranging
Price ranging is the lowest and highest prices that a given security reaches over a specified period, usually the previous 52 weeks. It is setting a high price for the best suites or rooms ranging down to the cheapest rooms, with each drop in price representing a consequent drop in size views, facilities and extras
Value-added pricing
Value-added pricing is a pricing strategy that attaches value-added features and services to differentiate a market offering and support higher prices, rather than cutting prices to match competitors. To increase their pricing power, many companies adopt this strategy.
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Price skimming
Price skimming is a pricing strategy in which a marketer sets a relatively high price for a product or service at first, then lowers the price over time. It is a temporal version of price discrimination/yield management. It allows the firm to recover its sunk costs quickly before competition steps in and lowers the market price.
Penetration pricing
Penetration pricing is the pricing technique of setting a relatively low initial entry price, often lower than the eventual market price, to attract new customers. The strategy works on the expectation that customers will switch to the new brand because of the lower price. Penetration pricing is most commonly associated with a marketing objective of increasing market share or sales volume, rather than to make profit in the short term.
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Marketing Control
There is no planning without control. Marketing control is the process of monitoring the proposed plans as they proceed and adjusting where necessary. The purpose of control is the development of working culture, easing the interaction between people, smoothing the handle of procedures, and maintaining the service momentum. Control is very necessary for an organization because there is some staff that may be efficient enough but are critical to management.
To make easier involvement in marketing mix by each staff to perform effectively and efficiently. To measure the performance of each element of the marketing mix and take the appropriate action. To have an efficient marketing information system with regular and accurate reporting and a strict timetable. To have a friendly environment for both customers and employees. To offer praise and reward good performances.
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Management control
Management control can be defined as the process oriented to verify the advancement status of the planned objectives and the efficacy and efficiency of the organization through the analysis of the resources, costs and proceeds.
Market control
Senior management accumulates the sales, markets, market share and profitability for market control approach.
Profitability control
As there is a belief that high sales meant high profit so the senior management emphasize on sales and profits. This is a simplistic approach.
Strategic control
It is the best method of management control. In this approach, management monitors and analyzes markets, product mix, market share, sales and profitability constantly using a marketing audit.
Product control
This approach is not always beneficiary for the customer. In case of product control, senior management places more emphasis on the productivity, cost efficiency, and profitability of each line in product mix.
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Marketing director/manager
Usually marketing manager reports to the managing director. He is responsible for fulfilling all the marketing functions to achieve sales objectives. For this reason, he has to coordinate his activities with the finance director, chief accountant, and administration manager. In many hotels, the product managers such as the food and beverage manager, rooms managers etc have equal status and the marketing manager has to liaise with them. A number of personnel work under the supervision of marketing director. Some of them are given below;
Sales director
A sales director is also called sales manager. He is responsible for the whole marketing function in a sales oriented organization.
Operations manager
Operations managers are often called accommodation manager (mainly in the hotel industry) and administration manager. A hotels image mostly depends on this position.
Telemarketing manager
Telemarketing managers responsibility is to back up the direct mail functions, sales promotions, and advertised package offers or to make direct contact with customers to sell particular products.
Conclusion
Finally we can say hospitality means kindness in welcoming strangers or guest. This industry integrates all form of transport, tourism, accommodation, eating, drinking, entertainment, recreation, and activities. It is the world largest employer of the people and a vast consumer of physical resources. Bangladesh is also integrating this industry to the economic sector. For achieving the ultimate success authority should take necessary steps.
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