The size of the hospitality and tourism sector in Russia has grown significantly over the last decade. The events such as the Winter Olympics and country’s first Formula 1 Grand Prix helped Russia to improve its positions on the world tourism market. Many changes have been made since 2010 in the enhancement of facilities and services. These changes helped Russia to strengthen the country’s position worldwide.
Hospitality sector in Russia
In 2013 a lot of tourists visited Russia (approximately 28 million people). Saint-Petersburg took 90 percent of them. Unfortunately, in 2014 the amount of tourist decreased approximately 40 percent. During the economic difficulties the number of operating hotels also significantly
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The first Taco Bell restaurant is opening in Moscow this autumn. It also should be noted that the development of the existing and the arrival of new players in the fast food niche are seriously complicated by the existence of numerous mobile networks such as vagonchikov "Tonar", "crumb-potatoes", "Steff", "People 's Kitchen" and many others, that combine extremely low prices and not always indisputable quality. In contrast, hotel business is more valued in Russia than restaurant sector. Hotel sector is having many difficulties because of low wages. Low quality of service has had a huge impact on the overall image of the Russian hospitality industry, moreover,current economic instability. International hotel companies have a huge impact on developing hospitality industry in Russia. Every year more and more international companies infiltrate to Russia hotel industry. This is primarily due to the lack of experience of Russian companies in the hospitality industry. Their infiltration into the Russian market takes place in various ways: the addition of already built hotels, the absorption of competing hotel chains and the construction of new facilities. There are many international hotels such as: Hilton International, HYATT Hotels Corporation, Capella Hotel Group, Domina Hotels, Four Seasons Hotels and Resorts, Marriot
Tourism is one of the most international industries. Globalisation is the gradual forging of links between groups and societies until they finally reach around the globe in several directions (Smith, D,2006). Globalization is one of the serious challenges facing managers today. It is critical to develop services that are able to satisfy a highly diverse customer base (Ueltschy et al., 2007) Now to keep up with the rising levels of globalization in the hotel industry, there’s a need to understand not only the positive, but also the negative impacts of globalisation. I’ll also talk about the growth and rise of one of the most respected brands in the hospitality industry - the Hilton Hotels. Throughout the evolution of this famous organization, the Hilton has
The hotel industry is a very hard industry to enter into, due to one of the biggest obstacles, which is brand recognition. Right now there are a few large hotel chains that make a large footprint in the market. It is hard for a new entrant to come into the industry and compete with these large hotel chains without bringing something new to the table. Many large chains in the industry dominate the industry due to economies of scale due to franchising.
Globally the tourism and hospitality industry is undergoing and evolving the radical changes. From the past experiences are now advancing at greater pace through faster development of skills and knowledge developed to create and adapt innovation in several ways. Therefore, it is important to have greater understanding of current issues and knowledge in order to cope with future challenges effectively.
Tourism plays a vital role in economic development in most countries around the world. The industry has not only direct economic impact, but also significant indirect and influential impacts. There is agreement among experts that the travel and tourism sector is the fastest growing of global economy. According to the latest UNWTO World Tourism Barometer, international tourism receipts surpass US$ 1 trillion in 2011, growing about 3.8%up from 2010 (WTO, 2012).
The main objective of the company is not only to attract but also to retain staff who are interested to work in the hotel business for the five-star level of high service, taking into account the wishes of clients, and which offers an innovative, dynamic environment and reflects the culture of the local country. To achieve this, Hyatt strives to be a company listening to well-informed and concerned people. Hyatt provides plenty of opportunities at all levels for their employees, which are accompanied by numerous development
If one can experience the riches of this country he has a legitimate opportunity to boast. Ultimately, the country’s government invests money into making it appealing to attract more tourism, further attracting more business. (Karbelashvili, 2015)
Another aspect of impact of tourism on a country’s economy is that it facilitates the expansion of the market of goods and services. Foreigners come to a country willing to spend money on different goods and services, thus increasing the amounts of sales. This is a great chance for producers and service providers to receive larger profits. This concerns not only hoteliers, tour operators, and souvenir shops owners. Public transportation, retail stores of different kind, restaurants, and cafes benefit from international tourism. Obviously, if these industries are in demand, businesses will be expanding. On the one hand, it means that more money is paid to the budget. On the other hand, profits generated by the owners are spent inside the country, affecting almost all the fields of the
A lot of business travellers want to stay in well known hotels like Mariott or Hilton. Only 16% want to stay in individual hotels. So for the industry it is important to have a very good reputation. Of course the people try to get the best price for a room and most hotels have company rates which are below the normal rack rate. Also important for a booking is the location of the hotel and the bonus programs. For 26% of the guests Airline milage is important. So the hotels have to work with airline companies and they want special conditons as well.
Within the luxury tier, many of the players do not actually own the hotels themselves, but instead manage the operation of the business, similar to that of FSH. In the luxury segment, competition for acquiring new management agreements becomes very high as hotel owners make their choices based on the quality and value of a company's management service and most importantly, its brand name. Moreover, guests who choose to stay in luxury hotels are commonly not very price sensitive, and thus it is essential that a hotel distinguish itself amongst its competition by providing value added services as well as maintaining an untarnished, reputable brand name and image.
Today, tourism has become a global phenomenon being widely recognized in both regional and national levels. In fact, tourism is considered as one of the fastest growing sectors in the world economy, thereby being viewed as a potential sector in raising tax revenues, providing employment opportunities as well as promoting economic diversity (Khizindar, 2012). Goeldner and Ritchie (2006) indicate that the significance of tourism has increased considerably through educational institutions such as universities as well as media, which are conduits of spreading the concept of tourism and hospitality .For instance, Saudi Arabia is one of those countries in the Middle East, which is determined to promote tourism for growth and sustainability despite belonging to those nations that have historically built their economies on oil and natural gas (Eid, 2012).
The Ritz-Carlton Hotel Company operates within the upscale & luxury hotel industry. While it could be argued that Ritz-Carlton operates in the more broad and inclusive lodging industry, they offer a highly differentiated product and service and therefore find themselves operating in an exclusive industry alongside very few direct competitors, such as Four Seasons Hotels, HongKong and Shanghai Hotels, and Starwood Hotels & Resorts. Therefore when analyzing this industry I will not be including cheap hotels, motels, lodges, or inns, unless to offer potential substitutes to luxury hotels. In order to assess the attractiveness of the upscale & luxury hotel industry, an analysis of the general environment surrounding the industry must be
The Travel and Tourism industry is still one of the largest single businesses in world commerce and its importance is widely recognized. The tourism industry is now one of the largest sectors earning foreign exchange. In the face of many benefits, many countries have started assigning due weight age to the tourism industry in their national development agenda. Tourism is an industry that operates on a massively broad scale: it embraces activities ranging from the smallest sea-side hotel; to air-lines, multi-national hotel chains and major international tour operators. Originally, non-traditional industries such as tourism emerged as a solution to strike a balance between ecology and industry
Radisson Royal Hotel mainly attracts business and leisure tourists. Unfortunately hotel may lose some of customers because Russia possesses good conditions for recreational and business tourism development. For instance 20 new regions such as the Krasnodar Territory, the Nizhny Novgorod Region, the Novosibirsk Region ets. are developing for business tourism (Strategy Partners Group, 2007). Also Russian government develops such regions as the Stavropol Territory, the Kaliningrad Region, the Rostov Region for Recreational tourism (Strategy Partners Group, 2007).
The theme of this Study Paper is „History of Hotel Sector Development in Riga” .
The theme of this Study Paper is „History of Hotel Sector Development in Riga” .