Whilst this focus will continue, the implications for economic growth and corporate profits have to lead to a sharp sell-off in equity markets across the globe. The hospitality industry faces labor and human resource challenges including the compression or shrinking of the labor force, union issues and escalating health care and benefit costs among others. African Journal of Hospitality, Tourism and Leisure Vol. As a matter of fact, the industry has been forced to obtain capital at high costs thereby affecting their operations. "Current Issues and challenges of Hospitality and Tourism Industry." The Hospitality Industry and Some of the Personnel Challenges it faces. As such, this unit deals with the skills and knowledge required to develop and monitor a business plan. As much as the industry has a body that can champion for its rights, this has been at the expense of different governments. Some of the challenges faced by the travel and tourism industry include: Taxation. This, Manzo reported, is an issue 78 percent of members identified as being of … What travel restrictions and quarantine measures will impact us? This implies that the industry has to choose between growing their own margins and increasing the number of customers. The restaurant industry in the U.S. alone employs about 14 million workers. Internal customers (job candidates and employees) also have higher expectations for how they will interact with your organization. The hospitality industry is a very vast industry that's faced with many challenges. Dark Tourism. We can wholesomely say that the growth of the tourism and hospitality industry greatly depends on pricing and products. Security of Funding: significant investment is required from the private and public sector for facilities, major infrastructure development and modernizing and … Often, they’re even settling into physically demanding roles. To examine the perceived satisfaction of tourists. May 27, 2019. https://ivypanda.com/essays/current-issues-and-challenges-of-hospitality-and-tourism-industry/. Especially, changes in how they operate to support workers in giving their best effort on an ongoing basis. IvyPanda. Restaurants and hotels usually have a large supply of expensive wine, unlimited food, and high-end equipment. The tourism crisis is the impacts that adding 800 million additional international visitors per year to the tourism industry, not to mention the increase of tourism visits that may take place within national borders. What can you do to meet them head on? That makes for one of the greatest challenges facing the hospitality industry and restaurants. The relationship between tourism and development is one of the issues that have emerged in recent years and this is a major issue that has brought in governments, international bodies and different industry stakeholders. We use cookies to give you the best experience possible. It contains thousands of paper examples on a wide variety of topics, all donated by helpful students. This has mostly been complicated by the emergence of new technologies and trends that need to be satisfied and attended to. However, being aware of the factors can enable people who have invested in this industry to be more proactive and develop adaptive strategies quickly. Cheaper sourcing may be easier in a global economy. (2019, May 27). While those specific industries are more concerned about cyber terrorism, the hospitality business is more focused on preventing data and identify theft.On November 30, 2018, it was reported that Marriott International Inc. faced a breach that exposed the personal information of 500 million customers. All Rights Reserved. The travel industry, therefore, works towards offering products that allow the average tourist or traveler to experience something they have never experienced before. Home / Hospitality / Five challenges facing the hotel industry 30 ... the hotel industry is facing a vast set of challenges. Public violence 3. Failure to comply with all documentation requirements, such as I-9 processing, continues to be a challenge. Risk of food poisoning CAMPFIRE: A Zimbabwean Approach to Sustainable Dev. In this case, there are a lot of emerging issues and challenges in the hospitality and tourism industry that has forced stakeholders to go back to the drawing board and this is what this paper will mainly focus on. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. All businesses, regardless of size, are facing serious challenges, especially those in the aviation, tourism and hospitality industries, with a real threat of significant declines in revenue, insolvencies and job losses in specific sectors. But they can bring a lot of motivation and dedication to the job, especially if they provide adequate training. Improvements in transport and communication e.g. Employers may also want to consider seeking out more WOTC-eligible job candidates to fill out their workforce. Labor shortages are one of the greatest challenges facing the hospitality industry and restaurants. Copyright © 2020 - IvyPanda is a trading name of Edustream Technologies LLC, a company registered in Wyoming, USA. In this case, pricing trends have been changing depending on the product or service but this has had an impact on the number of customers (Kummer, 2010, p. 31). This is because their service expectations are always changing meaning that they need to be matched at all costs. But they do expect to be able to pre-order and pay for their meals on the smart device of their choice whether they are dining at a drive-in or requesting room service at the hotel. Probably not. Innovative technology. Tourism is an economic problem for Jamaica based on the fact that with tourism there comes a possibility of importation of goods and services from other countries and we do not support our own countries produce in the form of service to the tourism industry. Plane ticketing is one of the current issues that the industry has to look at. Copyright © 2020 EF Operating LLC. Intercultural Challenges Facing the Hospitality Industry. Economy Watch. Defining the hotels, catering and tourism sector and the scope of the issues … 1.7 SCOPE OF STUDY Top issues that will influence the global hospitality industry in the year ahead include sustainable development calls for green hospitality, labor cost, multicultural issues and higher education. var e = document.createElement("script") e.type="text/javascript" Some employees can't resist the temptation to steal these items from you. Different countries have enhanced their security measures because of an increase in crime and terrorism activities (Travels, 2009, p. 31). This is because the industry as a whole deals in a wide range of issues and aspects that need to be fully adhered to for customer satisfaction. This labor pool is always available, and businesses can capture thousands of dollars in tax credits for hiring eligible individuals. Identity theft 8. Musasa, G. and Mago, S. 2014. 1991. professional specifically for you? 5 Reasons to Streamline Your Hiring Process, 6 Best Practices to Help You Make Great Hiring Decisions. What is WOTC Screening and How Can it Affect My Bottom Line? In S. Kusluvan (Ed. In this case, the availability of capital has been limited. There is need to stay ahead of customers and this is one of current issues that are facing the tourism and hospitality industry (Mitchel, 2009, p. 12). It should be known that the demand for new facilities has been going up because of an increase in the number of customers. These shifts can be as big as globalization. Adding 800 million visitors a year is the equivalent of adding 8 or 9 Walt Disney Worlds to the tourism industry. Shortages are becoming an issue as the talent pool of suitable candidates shrinks. This paper aims to identify the challenges facing established universities in tourism and hospitality education and to provide insight of how these could be managed in the future. The foodservice sector is also feeling the impact of globalization. Demand for product and services have become increasingly price sensitive and environmentally friendly. Unfortunately, your browser is too old to work on this site. In the meantime, employers should ensure they are complying with existing laws for hiring documented workers. The hospitality industry faces labor and human resource challenges including the compression or shrinking of the labor force, union issues and escalating health care and benefit costs among others. 3 (2); 1-12. ), Managing Employee Attitudes and Behaviors in the Tourism and Hospitality Industry (pp. These factors might have detrimental effects to the industry if not well managed. Reputation management is the best practice for keeping customer satisfaction high and a valuable source of data and insights for future improvement. Tatiana Rokou / 09 Jan 2020 08:08 11168. It’s no wonder business owners and managers in this sector are losing sleep. In this article, we discuss 6 Major Hotel Industry Challenges in 2019 and beyond. The rate at which technology has been evolving and emerging is too fast that if you are left behind, you will likely miss customers. "Current Issues and challenges of Hospitality and Tourism Industry." Different types of security challenges are, 1. The hotel industry is one of the fastest-growing sectors of the world and an integral as well as an indispensable part of the Hospitality industry. The study assessing the challenges of hospitality and tourism industry will be of immense benefit to the federal government of Nigeria, students, individuals and other researchers that wishes to carry out a similar research on the above topic in other to understand perfectly the challenges of hospitality and tourism industry. The rapid growth of the industry has brought in a lot of challenges that need to be solved by all stakeholders. increasing expectations for better quality at lower price from hospitality organizations (Dube and Renagan, 2000 cited in O?Neill and Mattila, 2004) are significant contributors to challenges being faced by the industry. In March of 2017, Amazon debuted its first public demo of drone delivery. There are other challenges that the industry is facing. Novelty is a much-needed element in to… 1. However, these changes are sure to happen slowly. Therefore, simply lowering standards is not an acceptable solution for savvy business owners and hiring managers. They can be as specific as the local economy. And they can be as unpredictable as technology. This means that technology is one of issues that the hospitality and tourism industry has to cope with for long terms sustainability. Case examples are used to identify and describe challenges faced by governments, communities, and the cruise industry. The challenge is, they may not be equipped to fulfill these jobs. We utilize security vendors that protect and ensure the integrity of our platform while keeping your private information safe. Prices are slashed to try to fill empty rooms and flights. … Add in the fickleness of consumer decision-making? Better roads are being constructed leading to the tourist attractions. Retrieved from http://www.economywatch.com/world-industries/tourism/trends.html, Kummer, F. (2010). Many problems may relate to intercultural communication between managers and employees as well as between employees and hotel guests from different cultural backgrounds. Combined with the fact that hospitality is highly competitive and fast-paced, it's no wonder human resources departments encounter myriad … Challenges that facing hospitality include will include operating issues, marketing issues, technological issues and economic issues. The hospitality Industry & the impact of COVID-19 As the effects of COVID-19 spread across the entire world, the primary focus for governments and businesses is the safety of their people. This, Manzo reported, is an issue 78 percent of members identified as being of high importance. 27 May. That makes for one of the greatest challenges facing the hospitality industry and restaurants. Marketing challenges in travel, tourism and hospitality industries of the European and Mediterranean regions. Top 5 Technologies Restaurant Owners Should Know About, Cost of Payroll Fraud: A Problem with a High Price Tag, How to Prevent Hourly Hiring Interview No-Shows. However, customers are more and more selective about spending in alignment with their shifting values. Tourism Industry Trends. IvyPanda, 27 May 2019, ivypanda.com/essays/current-issues-and-challenges-of-hospitality-and-tourism-industry/. An increase in the demand for hotels is something that needs to be attended to because all customers can not be accommodated by one facility since this might compromise the services that they are being given (Bar kin, 2002, p. 23). People want what they want and they want it NOW! Africa's tourism industry has been hard hit by coronavirus lockdowns. In extreme cases, the industry has been forced to develop this skills and talents at huge costs. Modern marketing is a management orientation and a systematic process integrating the techniques used by managers to influence demand. 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