Business organizations are cutting down on costs with sponsored travels to conferences, meetings and trainings being usually the first to go. Families are also cancelling their holiday travels as these present significant expenses unwise in the face of job insecurities and shrinking currency value. As people and organizations prefer not to travel, occupancy rates have fallen leading to rapidly shrinking revenues that could be barely enough to sustain overhead costs.
Tourism-related businesses are not new to the prospect of crisis and its effects on the industry. War, terrorism and disease outbreaks have severely affected tourism statistics before but the current situation is unique as the effects are immediate but long-lasting. The credit crunch also affects consumer finances while terrorism and diseases only affects consumer confidence. People are easier to convince to take vacations and business meetings when they have the money to spend. The current economic crisis, therefore, calls for an analysis and evaluation of management practices.
This paper aims to determine and evaluate hotel management practices designed to address the current economic crisis. First, the state of the UK hotel industry is presented to enable the reader to know the current conditions. Based on this knowledge, an analysis would then be conducted on appropriate measures to be adapted on the following areas of hotel operations and management: revenue management, cost control and guest satisfaction.
To know the cure for an ailment, one must first have relevant and useful information. Hence, an understanding of the current conditions of the industry is called for before proceeding with the determination of appropriate hotel management practices. In the following, we will be looking into the trends and developments of tourism and its effects on the hotel industry.
As with all other industries, the tourism sector is currently weathering the effects of the