Session 1

Dr Hadyn Ingram

Aims of the module
Definitions
The environment
Motivations and management
Hospitality and tourism organisations
Structure
Statistics
Summary




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To expose and to help students understand
and analyse:
the nature and extent of the hospitality and tourism
context: breadth and scope
its homogeneous products and heterogeneity
its simplicity and complexity
its systems and people processes
its customers and their needs and wants
its management issues
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Derives from the Latin hospes which is
formed from hostis, which originally meant
to have power.
The hospitality industry covers a wide range
of organisations offering food service and
accommodation. The industry is divided into
sectors including accommodation, food and
beverage, meeting and events [MICE],
gaming, entertainment and recreation,
tourism services and visitor information.
http://en.wikipedia.org/wiki/Hospitality_industry (Accessed 7 June 2012).
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Tourism is travel for recreational, leisure or
business purposes.
The World Tourism Organisation defines
tourism as travelling to and staying in places
outside their usual environment for not more
than one consecutive year for leisure,
business and other purposes.
World Tourism Organisation (1995), UNWTO technical manual: collection
of tourism expenditure statistics, page 14.
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comprised of commercial organisations that
specialise in providing accommodation
and/or food, and/or drink through a
voluntary human exchange, which is
contemporaneous in nature and undertaken
to enhance the mutual well being of the
parties concerned.
(Lashley and Morrison (eds.), 2000:143)

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From Latin com (together) textere (weave)
A weaving together, woven together
(Websters Comprehensive Dictionary, 1971: 28).
Background, circumstances, environment,
frame of reference, milieu, position, setting,
situation, surroundings
(Oxford Compact Dictionary, 1997: 156).
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Interrelated and interdependent networks:
Tour operators, travel agents and tourism
organisations
Travel and transport operators
Leisure, recreation and entertainment venue
Restaurants, bars, clubs and cafs
Hotels, resorts, motels, camping grounds, bed and
breakfast (B&B) establishments and hostels

Source: Kandampully, 2007
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Source: Johnson et al. (2011: 49)
Genuinely hospitable
Reciprocal motives: entertaining others
Vanity: showing off
Profit motive.

Like a doctor or nurse, do you have to care?
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PRIVATE
COMMERCIAL
SOCIAL
Host
Physiological.
Psychological needs
Dealing with strangers
Status and prestige
Making a surplus
Product, market
limitations
Source: Lashley and Morrison (2001:4)
Travel and transport
Accommodation (lodging)
Food and beverages
Entertainment and recreation
Tourism offices or destination management
organisations (DMOs)
Nongovernmental tourism organisations



Source: Okumus, 2010: 23

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Type
Accommodation= hotels, motels, villas, timeshare
Quality
Star rating, market (e.g. Budget)
Size
Small, medium, large (SMEs dominate worldwide)
Geography
Regions
Location
Resort, city centre, rural
Ownership
Independent, branded, franchised

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SIC Codes 2007
55.10: Hotels and similar accommodation
55.20: Holiday and other short stay accommodation
56.10: Restaurants and mobile food service activities
56.21: Event catering activities
56.29: Other food service activities
56.30: Beverage serving activities
79.11: Travel agency activities
79.12 Tour operator activities
79.90: Other reservations service and related activities
82.30: Convention and trade show organisers
92.00: Gambling and betting activities
93.21: Activities of amusement parks and theme parks
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OK, what exactly is the scope of hospitality
and tourism?
With the person next to you, prepare a list
of the different types of hospitality and
tourism organisations
You have 10 minutes to make your list.
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Hospitality and tourism occurs in a place or
venue or destination
Minimalist view: about accommodation, food, drink
and experience
Is hospitality and tourism mere retailing?
Goods and services are consumed in the venue, and
in retailing, goods consumed elsewhere
Managers involved in context of consumption and
the management of consumption, but not in
retailing

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Inseparability (customer participates in service
process)
Simultaneity (services created and consumed at
same time)
Perishability (services cannot be stored)
Tangibility (tangible and intangible components)
Heterogeneity (services vary considerably)
Cost structure (high investment and fixed costs)
Labour intensive (rely on people to deliver
services)

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Free-standing
hospitality
businesses
Hospitality in
leisure venues
Hospitality in
travel venues
Subsidised
hospitality
Hotels Casinos Airports Workplaces
Holiday centres Bingo clubs Rail stations Health care
Quasi hotels Night clubs Bus stations Education
Cruise ships Cinemas Ferry terminals Military
Time-share Theatres Aeroplanes Custodial
Bars Sports stadia Trains Retailers
Restaurants Theme parks Ferries
Attractions
Health clubs
(Source: DrKW, 2001)
(Source: DrKW, 2001)
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SUCCESSFUL
HOSPITALITY
COMPANIES
Fast food Restaurants
Hotels
Pubs
Source: Brotherton (2000: 9)
Arrivals grew by 4.4% in 2011 to 980,000,000
and set to reach one billion in 2012
Receipts exceeded $US one trillion in 2011
Source: http://mkt.unwto.org/ (accessed 7 June 2012)
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Hospitality contributed $30.1 billion in 2007
Tourism contributed 43.7 billion in 2009
(3.9% of GDP)
Forecast in 2020 73.2 billion, supporting
1.2 million jobs. Direct and indirect benefits
158.4 billion, 8.6% GDP and supporting 2.4
million jobs
Source: The hospitality, leisure, travel and tourism Industry, (Covered by
the Sector Skills Council People 1st), Leicester and Leicestershire Sector
Specific Labour Market Intelligence, 7/5/11, accessed 11
th
June 2012
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57% female
45% part time
44% under 30 years of age
Younger, transient workforce
30% bar staff and 40% waiting staff are
students
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Context is complex and not clear-cut
Definitions are confusing
Not well researched
Characterised by SMEs
Operations-centred
Important and growing
Workforce young and transient
People at the heart of the process

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Look at the website
www.peartreeapartments.co.uk and get a feel
for what type of business it is
Salisbury
Where is it?
What is it famous for?
What sort of hotel and tourism market is it?
Be prepared to answer questions and find out
more.
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