In the business organisation, travel and tourism help in managing and maintaining the tourists who are generally travel from one place to another. At present, there are different company which are regulating and operating all types of businesses and also provide different travel and tourism services to their travellers. In the hospitality sector, there are various things which includes accommodation, facilities, hotel business, giving entertainment functions or activities, cafes, restaurant, catering, etc. This industry is fast growing in now days because most of the people are visited for the spending holidays, business purposes, events, meetings, sports and events. In this project, PKF hotel specialist which is multinational market leader in the hotel tourism and leisure consulting and associated with audit, tax company and accounting. This will describe about TUI group and the interrelationship among travel and tourism and hospitality industry and significance of combination in hospitality sector. In this project, they will discuss about integration effects on the hospitality business (Abubakar and Ilkan, 2016). This will developing and formulating that justify connection with target market as well as customers. Along with this, planning for hospitality business should be included in functional responsibility which described the structure of firm for maintaining strong relation with the human resource
1.1 Discuss the interrelationships between hospitality and wider travel and tourism businesses
The hospitality sector is one of the most essential service providers for the most international travel and tourism industry, it offers the suitable service by contracting to businesses which accommodate tourists and travellers while they are travelling to other destinations. Tourism can be consider as a entire industry but when it studied deeply it can be seen that there are numerous organizations which are sub divided into small business sectors which is being catered by Hospitality sector only. For an example, if a family goes for a recreational holidays they will contact to the airline and whatever the services are offering by the airline is under the hospitality (Alberti, 2014). They family used stay at hotel, adventurous parks, sightseeing everything comes under the hospitality sector. The PKF Hotel Experts is providing the accommodations for a enjoyable holidays, there are different kinds of accommodation for that are discussed below -
Hotels – It is so obvious when tourist arrive at the final destination their first step is to check in to the hotel where they can find the amenities and unwind the luggage cause they are travelling from hours. So they are looking from a smooth place and it is also crucial to treat them with utmost care cause they are already tired and irritated from the flight. It makes business relationships with most eminent hotels which are good in quality, sale, comforts and services (Bowie and Mariussen, 2016). Accommodation is a fundamental component in a holiday packages that opted by the tourists according to their budget, the one who opt for the lavish residence they spend a good proportion of their income to the hotel and resort to pamper themselves. They seeks for the all the pleasure that they wanted to get, if they come across any kind of issues, then they expect to get rapid response and immediate action to be taken to solve their problems. The hotels has a good support staff for 24 hours, receptionists are always there to help the guests,house keeping, etc. The hotels offers twenty four room service, laundry, gym, spa.
Motels and guest houses – A motel is a essentially a small hotel which is specifically designed for motorway travellers cause after a day a hard core journey the people needed a convenient place to spend their night before they will again start their travel. The PKF Hotel Experts has bond with motels to indulge tourists to give them a peaceful night stay with bed and simple home made breakfast.
Cruise ships - Cruise ships initially originated for the wealthy but these are offered as average costs budget. Companies usually offers long - haul to short – haul cruises. They has a vast selection of quality foods on board, mostly in buffet form.
Camping parks, caravanning and lodges – Camping parks and lodges give people the most pleasant nature holiday and outdoors, it is an activity which becoming increasingly rare as people are surrounded by the technology, so now they shows less interest in nature holiday (Bunakov and Zhukov, 2015). Caravans and family sized motor vehicles are preferred by the groups of people when they are on the century trails. lodges are typically found in wooden area, mountain ranges, ski resort. People are indulge themselves in the lap of nature and adventures.
Interrelation between hospitality and travel and tourism businesses
As it is known as hospitality is a coordination of several chunks, so there are various service providers that who works in travel and tourism industry, whether people are travelling for leisure, business. People are invests a significance amount on the hotels and other things. These small sector business are interrelated with travel and tourism which offers a great deal to the tourists.
Package holidays – Package holidays has a significant role cause the hotel which are included in the package ultimately depends upon the price paid for the package. The PKF Hotel Experts offers a very large range of packages so that people can select their choice of packages. If someone selects for a budget package then they would selected a 3 -star hotel where they would get average service (Dickinson and Norgate, 2014). Hotels has a special agreements with individual travel agents, offering special rates to their companies because they guaranteed to bring customers at their hotels. Travel agents are responsible for the arrangements, when the guests may encounters any problems the travel agent is there to solve their issues.
Aviation – The aviation industry depends on the hotel accessibility, cause the accommodation is a major variable to their success. They need to monitor the hotels capacity cause they need to organize the time and day to fly towards the destination. Hospitality also present onboard airlines in the form of catering and sleeping arrangements as well. Budget airlines provides food and beverages at extra cost, while high class airlines often offer all inclusive food and beverages to the economic class also. There are some ultra luxurious airlines even has reclining seats which turns into a bed and a silver dining service and a centrally located bar, so clients can easily choose to eat and drink.
Business travel – Business persons opt for the hotels which are most comfortable for their jobs. They seeks for the business centres which are equipped with the Wi-Fi or internet access, meeting rooms and conference hall along with the basic laundry and dry cleaning services. The same goes for catering too, they search for the best restaurants to impress the delegates (Dredge, Airey and Gross, 2014). They make use to money supplied to them by their companies, so they can afford to choose high class restaurants to accompany their luxury.
Visitor attractions – A visitor attraction can be anything, that seems to interesting to the people. Attractions can be man made architectures such as palaces, museums, theme parks, etc. natural attractions like tiger trails, forest. Theme parks are the most popular visitor attractions, some people likes to visit to the historical palaces.
2.1 Analyse the implications of integration to the hospitality sector
Combination is an important which assist in tourism sector so they are doing work together for sharing accessible resources as well as customers. Along with this, hospitality industry mainly focus on managing and maintaining whole integration and usage of all resources in vertical and horizontal manner of combination. The integrated term is very famous in the year of 1990 so each company mainly focus on the main motive is to achieving the economic scale by operating and regulating business at low costs (Guttentag, 2015). There are various number of firm whose main purpose is to increasing business and try to satisfy their customers needs and demand in better manner. Such companies are mainly develop strategies and policies for reaching with set goals and objectives with the assistance of cooperation and coordination in proper way. Along with this, they mainly determining the effective tools and techniques for making appropriate coordination. This can be understand by taking accurate example of TUI group where they are combined with multiple hotels and airline companies. Also this will help in using available resources by making customised and also assist in expanding their business of different countries in effective manner. There are certain ways of TUI groups which are combining with other firms in two parts that are as follows:
Vertical integration – it can be refers as the consolidation in which company purchasing other organisation and engage their provider in the chain of distribution which is called as vertical. It is necessary as that implication of vertical outcome at lower cost and maximising the income level in better manner. Apart from this, TUI group is one of the best example of travel and tourism industry due to this it is better manage and control on distribution chain so they are mainly concentrate on giving effective training and development program for individual and train the people from inside rather than outside employments. Thus, they need to given whole services and facilities at all level of places and they are generally focus on maintaining and managing the standard of services at each location or places (Kropinova, Zaitseva and Moroz, 2015). This will help that no one accept such harmful and dangerous factors which can directly affect on the goodwill. For example, Thomas cook and sons are need to begin their business at various countries and in other places. So this is more powerful brand which help in attracting large number of customers towards their firm services and products. Along with this, they make sure that all the services which are provided by other organisation and their people are feel this and gain experience with other rivals.
Vertical incorporated is that procedure which has different company for enter and merger agreements along with another firm which mainly enter in the chain of distribution. This will help in developing and formulating business operations and reaching with gaining competitive advantages of desired goals and targets. Accor hotels, Marriott international are offering various services from their rivals. This is necessary and useful elements which help in improving market share and gain high profitability (Law and Fong, 2015). In addition to this, vertical integration support in reducing or lowering the value which should be required for performed by each company in better manner. Accorhotels purchased Toronto-based parent organisation of the indulgence Fairmont so this will easily merger. They are mainly focus in increasing the qualities of services which help in providing different facilities to the travellers after integrating in better manner.
Accorhotels and Toronto-based parent organisation of the luxury Fairmont are generating high level of services so they are targetting more audience towards company and achieving desired set goals and facilities in effective manner. It is very useful and beneficial for gaining attention of more customers towards firm services and facilities. This will help in enhancing the brand image and position which create higher goodwill among competitors at large market place. Therefore, this can be said that vertical integration is play an essential role in reaching with competitive advantages in proper manner. Along with this, there are various tools and methods which support firm in combining the services in more successful way at the workplace (Manhas and Tukamushaba, 2015). Such methods and tools are useful for improving and increasing the supply chain administration by updating the effectual techniques and applications within travel and tourism sector.
According to the specific market research, it can be established that Marriott hotel is trying to enter in the new market so by this they are easily focus on new market segmentation with the assistance of vertical integration. Along with this, there are large number of issues and barriers which are available and accessible then this will directly impact on business due to this they are affects on company goodwill and reputation or developing good image of an organisation. This will includes, new market schemes, market investigation, competitions and customers experience in proper manner. Thus, it is essential and necessary for managing and controlling all major operations so this will combined for more successful way.
In this determination, when two or more organisation develop and make large firms so they are form the identical products and services in proper manner. The main output of horizontal combination is developing and formulating new organisation that are generally used for integrating the two popular companies in appropriate way (Minazzi, 2015). For instance, Starwood Hotels & Resorts by Marriott International, price is around 12.2 billion US$ which Marriott over taken so Starwood hotel main motive is to develop and make large organisation in effectively. It is useful and helpful for formulating business which help in increasing success and growth in an effective manner. The firm can take corrective actions and also make decision regarding expansion of business at other nation properly. Thus, it is useful and beneficial for both companies so they can increasing their business operations and create high level of income for providing luxury accommodation and various other services in better way.
Marriott hotel is mainly concentrate on growing their business at another nations and places so that currency can be increased. Thus, it is one of the most useful benefit and advantage of horizontal integration so they are support in increasing higher capabilities and abilities for development of business. It can be analysed that there are different results or outcomes so firm can improving their efficiency at the assorted level. Along with this, Marriott hotel is focus on improving and maintaining their brand image and also developing good picture in all over the different countries. In the context of globalisation, travel and tourism business mainly help in generating high amount of income and revenue with the help of international tourism sector. Therefore, it can analysed that there are large number of disputes and conflicts which can occurs in smoothly running of the business operations and its functions (Neuhofer, Buhalis and Ladkin, 2015). Apart from this, each company have their own vision and mission which should be achieved by them so there are various conflicts and barriers that can be occurred at the time of developing and making effective decision and also take appropriate actions in better manner.
In the current time period, there are various businesses which are merged with another organisation which main motive is to expanding the business operations and functions in effective manner and also develop large firm so that large number of buyers can be attracting towards company services and facilities. As per the globalisation, combination can be observe because it is important for increasing and maximising currency at the international market place. Along with this, hospitality sector is determining as TUI group and Thomas cook combines with large number of companies that includes airlines, cabs, transportation services, restaurants so that travellers can be satisfied and enjoyed with their tours in well defined manner (Sánchez-Ollero, García-Pozo and Marchante-Mera, 2014). Globalisation has directly impact on hospitality sector which help in increasing their income and revenue. Along with this, an organisation can collaborated with other businesses at various nations which help in developing and formulating the company in ascertained way.
2.2 How integrations has directly affected a hospitality business
Integration is one of the useful and helpful method which help in developing business and achieving high level of success and growth within the travel and tourism industry. This is mainly associated with increasing firm income by combining and creating good reputation at the large market area. In addition to this, this will integrating with various abilities and competencies regarding two companies which assist in attracting large number of buyers and also they are gaining attention of more customers in more appropriate manner. Integration and combination is an important factor for each travel and tourism sector which assist in achieving competitive benefits for an enterprise in the market place. This will includes there are various beneficial and useful elements which help company in making high success and growth so they are mainly focus on using accessible resources, fix or set high competitive pricing and on the other hand, using of different tools and techniques in effectively. This can be outlined as various impacts of integration and combination in large organisation within travelling and tourism industry that are described as under:
Cost combination – It can be refers as that vertical and horizontal integrations which provide permit to the company and allow many of the organisation for making accurate decisions regarding effective business operations and its functions in better way (Page, 2014). Also they are spending their time and money at high level for expanding their business operations and activities. In such consideration, there are various factors which are using several resources for providing best quality based accommodation services or facilities in effectual manner so by this they can attracting more visitors and accomplishing company desired goals and objectives in effectively. Along with this, company can take any types of decision or actions with the mutual understanding or make arguments so they can set prices according to travelling and also develop appropriate holiday packages according to their visitors choice and demand. For example, takeover the Starwood Hotels and resorts by Marriott International, which valued is around 12.2 billion US$ which are taking huge effective decisions. In this they are required to take best decision which are related to the business. Thus, it can be analysed that hospitality business are directly affected by integrations.
Technologies – This is another factor which can directly affect on travel and tourism industry through technology combination due to this it will assist each company for developing and making effective decision for adopting creative and innovative techniques according to the frequent change in the large market place (Smith and Puczkó, 2014). There are different firms that includes Accor hotels who are using and adopting this technology and on the other hand, different methods which main motive is to fast growing their business operations and its functions in better manner. They are determining this for developing and making easy communication and interaction and always make connection with their end users and customers. In this, the major effect and impact of technologies will directly creating appropriate coordination between company as well as customers. Also integration are accessible in different areas or locations. Thus, it can be said that techniques and methods are important for improving the growth and success level which help in making decision, carry out new and creative ideas and coordinate with different functions and activities.
Need of knowledge – In this, Intercontinental Hotels Group has been combined with various sources that includes vertical and horizontal. Along with this, they are generally focus on entering in new market place or segment for making their business operations so there are various modifications and changes which has been occurred while making effective strategies and policies of the market. Intercontinental Hotels group was facing different difficulties and various complications at the time of managing and controlling new customers in better manner. It is required and necessary for identifying target buyers who are always take interest in the holiday packages (Standing, Tang-Taye and Boyer, 2014). An organisation is trying to giving appropriate training and development programmes for their staff members so that customers are treated as essential person in proper manner.
Globalisation – In this, Greene king is the best hospitality sector which mainly combining with various organisation but it has different issues and barriers for expanding their business at international level. Along with this, there are various types of globalisation factors present which are directly affect on business operations and activities that includes rules, regulations, culture, terms and conditions which may face various operational complexities while smoothly running of organisation functions and operations (Stephenson, 2014). Green king hotel has facing more difficulties and complexities for making and developing international strategies and policies due to this it is very hard for making the accommodation packages for various nations people.
Quality – There are different effects and impacts of integration on the business in negative as well as positive manner. In this, it is not required for getting growth and success after mergers and acquisition so that there are less possibilities of improving the quality for both enterprise in better manner. Thus, the common relation and connection at the time of doing effective work or conduct tasks which is the major factor for increasing services and qualities in an appropriate way.
Along with this, combination has directly impact on the hospitality sector due to this company are growing their business in fast and better manner, therefore restaurant and hotels are determined for enhancing their business at different nations and countries in effective manner. His can be observed that there are large number of hotels who are providing different services or facilities for tour and their main motive is visiting that includes canteens, cabs, holiday packages and some more so that it will directly contributing in development of economy of the country. Integration is one of the best source for business development and formulation of the nation. For example, TUI is providing various services to their travellers which assist in giving innovative services and facilities in effective costs to them.
3.1 Developing rationale for project which justify decisions linked with target market
It refers to that cafe cappuccino is doing planning for enter in the new market place as in the food and beverage business for analysing success and growth for getting higher advantages and benefits in the sector (Vanhove, 2017). The management has been established after conducting research and surveys so this will help in increasing huge amount of income and revenue and on the other hand, desired economy are smoothly running the whole organisation functions and operations. Along with this, it will assist in motivating and encouraging their employees for best suitable food and beverage with the help of attractive rates so that they will be able to spend more capital for satisfying their buyers needs and demand in an appropriate manner. Thus, Cafe Cappuccino is trying to set their new standard in giving best quality of specific food and beverage to their customers so that they will be satisfying their customers wants or needs and also reach with potential results or outcomes. On the other hand, it can be analysed that each customers is looking for assorted and unique preferences in the food products and they are mainly focus on quality goods rather than concentrate on specific prices. Therefore, Cafe Cappuccino is determining separate class of people that includes high, middle and lower regarding their food items (Xiang, Magnini and Fesenmaier, 2015). This will assist in targetting large number of audience towards company but their major aim is to spend money by upper class or rich people who are buying luxury or expensive goods from their firm. The restaurant are focus on adopting or using accurate tools and methods which help in developing and formulating company so by this they can getting various advantages or market values for growing the industry phase or stage.
Cafe Cappuccino is starting to begin the restaurant at London because it is the best location and place in which large number of people come for travelling and they are spending free time and quality time for acquiring the maximum satisfaction. This is that restaurant which mainly dealing with giving different types of food and beverages in well characterised way. Thus, administration and management is developing effective decision for promoting their business by using several methods and techniques of promotion such as giving advertisement on social media or websites and various other places. Along with this, they are developing appropriate marketing strategies which help in reaching with potential customers and reaching with target people who are willing to purchase their company products and services. They are also implementing different techniques and tools, developing use of sponsorship programmes and they are serving or offering discounts on specific commodities. It should be required for getting more attention of buyers with the help of using effective methods and techniques for targetting large number of customers that can attracted towards firm goods or facilities (Zeng and Gerritsen, 2014).
The main purpose of this company is to making appropriate marketing strategy which is used for establishing good image and build reputation for creating better position in the large market place. An organisation mainly focus on adopting different marketing strategies and policies for achieving competitive benefits or advantages in better manner. Therefore, Cafe Cappuccino is mainly concentrate on different concepts and approaches which will help in making more awareness for target customers in appropriate way. This will assist in leading towards inflows of customers as well as satisfy their buyers towards innovative products and services. Along with this, an enterprise is identifying and recognising the most effective and accurate values or advantages in different opinions which representing curiosity of customers which directly impact on their buying behaviour and attitudes in better manner (Bowie and Mariussen, 2016). This should be required in cafe cappuccino which have excellent services or facilities and also best quality based food items which are necessary for transferring buyers in one time into loyal or regular ones in efficient way. In addition to this, the administration and management of cafe cappuccino mainly concentrate on each buyers who will satisfying all needs and demand towards food and beverages according to their investigation and collecting data or information so that it can be analysed that most of the people are admiring Asian, Chinese and continental foods for accomplishing their needs and requirements in effectively. This restaurant is adopting and using advance approaches and concepts which main motive is to designing and giving different additional services or facilities in an appropriate manner.
3.2 Develop a plan for a hospitality business in relations to human resource allotment
Cafe cappuccino is the food and beverages company so that it can be analysed that there are various opportunities for market which increasing their income and gaining benefits in effectively. The company managers can concluded that economy is enhancing that this will emerging the profit and income of the customers due to this people are spending their money in food and beverage, they are mainly focus on those managers who are suggested that it should set standard of the restaurant for the people who are looking for more tasty food items with effective quality and they are not concentrate on the price. It can be considered that cafe cappuccino mainly focused on upper and middle class people who are lavish their life style which have beneficial for value of effective market in growing sector (Alberti, 2014). Along with this, there are certain business operations which required for taking accurate actions or activities that are described as under:
Stage 1: Development
This restaurant is that place where people are checked in spending more time for pleasant from other nations and this will make them feel happy with their delightful enrich tastes of food and beverage which serve or offer the conceptual services or facilities to their customers that is not easy or simple. The main goal and objective of this firm is that they have skilled and experienced employees which offer healthy and hygienic food and beverage and low cost of goods with high quality standards that offer competitive benefits or advantages.
Stage 2: Design
Ambience – Customer's are generally demanding for expensive and luxurious interiors which offer them innovative and creative food items which satisfied them and tranquil pleasure. For developing and making impressive customers ideas and thoughts which putting effective decision for staying for long time period.
Culture – Culture is identified for restaurants and cafes so that management required to making efforts for developing and building effective culture, employees of the restaurants such as managers, waiters, managers are the face of business so this is required that they should be well trained and perform good behaviour towards other person (Alberti, 2014).
Functional area – Cafe cappuccino mainly focus on operational and functional which help in communicating with their customers with the assistance of different sources such as online booking, payment services, etc.
Stage 3: Operations
It is that stage which described about dedication which implement and design for specific part of planning and organising. Cafe cappuccino will carry out different advantages and benefits regarding restaurants so as per this result they are achieving high success and growth in better manner (Bunakov and Zhukov, 2015). Functional and operational strategies are used in increasing profitability and productivity of the company.
Recruitment – It is an essential procedures which is required for performing to skilled and talented person and experienced holder who have capability to supply efforts for the company which help in achieving desired goals and targets. Cafe cappuccino is mainly concentrate on identifying suitable candidate who can manage and maintain the restaurant services or facilities in effective manner. So they can conduct recruitment procedures in achieving desired goals and targets.
Staffing – This is essential for deciding the job profiles which can bring out selecting effective candidates (Abubakar and Ilkan, 2016). For doing this, they can organise appropriate training and development programmes for increasing abilities and capabilities of chefs, cleaners, waiters and receptionists and their managers so that they can perform their work for getting high success.
Legislation – It is very essential for determining the legal laws in the restaurants that includes conflicts with authorities issues, staff members rights and customers.
From the above described report it can be analysed that travel and tourism help in managing and maintaining the tourists who are generally travel from one place to another. The hospitality sector is one of the most essential service providers for the most international travel and tourism industry, it offers the suitable service by contracting to businesses which accommodate tourists and travellers while they are travelling to other destinations. Along with this, hospitality industry mainly focus on managing and maintaining whole integration and usage of all resources in vertical and horizontal manner of combination. Integration and combination is an important factor for each travel and tourism sector which assist in achieving competitive benefits for an enterprise in the market place. Thus, Cafe Cappuccino is trying to set their new standard in giving best quality of specific food and beverage to their customers so that they will be satisfying their customers wants or needs.
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