Impact Of Internationalization In Hospitality Industry

The hospitality and leisure industry hug a variety of sectors and businesses across hotels, restaurants and restaurants, travel and tourism, gaming, sport and leisure. The sector is reliant on the consumer confidence and business sentiment and is facing rising pressure to deliver innovation, value and quality. Hospitality is that business that helps people to feel welcome, relaxed and to enjoy themselves. It is all about customer service and providing the best quality and experience possible for the customers. (Discover Hospitality, 2012)

The scope of the hospitality industry refers to the range of businesses that provide services and facilities. The hospitality economy is one of the country’s key industries with huge growth prospects in jobs. In employment terms, restaurant are easily the largest sector, closely followed by a pubs, bars and club with the hotel sector growing more slowly, and the contract food service sector holding steady .

The hospitality industry and the tourism industry are the main reason or the key drivers for the growth of service industry in India. Hospitality industry in India is really growing at a fast pace. It is considered as one of the profitable industry.

Tourism and hospitality industry is the leading service industry worldwide in terms of gross revenue and foreign exchange earnings. Also it is one of the among major employment generators across globe.

1).The relationship between Hospitality and Tourism: Tourism and hospitality go hand in hand, the hospitality industry offer services like accommodation, transportation, food and beverage, recreation and leisure. Tourism is the activity by the tourists where they engage in travelling to destinations where they want to experience recreational and leisure activities and most of the time avails of accommodation, food and beverage. The hospitality industry is the supplier of the services for tourism. The meaning of hospitality is providing a safe and enjoyable environment for patrons. It also means responsibly serving liquor, to ensure that patrons do not become unduly intoxicated and subsequently a problem for management, staff and the

In an international environment, firm internationalisation is required to compete with other firms. According to Bartlett and Ghoshal (1988), a firm able to control and manage their operations upon expansion will have more chances of success.

A firm’s initial decision on whether to internationalize or not will be discussed briefly and in a general manner in order to understand the motivation that drives firms abroad in the first place. Factors that combine internationalization theory and franchising as a strategic choice during that process will be discussed in more detail later in this chapter.

Never the less globalisation plays a big role within the internationalisation process of a company. The aspects with the biggest influences can be identified as the drivers of globalisation.

In today’s world there is a widespread trend of global expansion, the borders between markets have become more and more diffused. The number of firms expanding abroad is increasing and internationalization has become a necessity, not only to further a firm’s growth, but also to better handle international competition in its home market.

The United Arab Emirates has achieved great success in developing its hospitality industry and its general economy. The country however is faced with a big challenge of having its local citizens work and feel part of the growing hospitality industry. The biggest part of the problem is that while the hospitality industry should be a social institution that is embedded into the culture of the host country, it is not viewed as such and there are various reasons for that. The current situation is quite worrisome, because the expatriates who make up the biggest percentage of the Emiratis are also the majority of workers in the industry, holding about 91% of all jobs in the public sector. Trying to make the hospitality industry acceptable to the

Consumers vary tremendously in age, income, education level and tastes and they buy an incredible variety of goods and services. Today market place has become very competitive. During the last 20 years hundreds of hotel companies developed new restaurants and hotels around the

Pizza (2011) considers hospitality as an industry that is made up of businesses that provide accommodation, food and beverages, meetings and entertainment to tourists, travelers and the locals. Examples of hospitality organizations include hotels, lodges, guest houses, restaurants and others. Gill and Gill (2011) assert that the hospitality sector is a major service oriented sector in the economy of a nation. It has got a greater contribution in the whole tourism sector in terms of generating revenue as compared to others. In this regard it is very important to make sure that organizations in the hospitality industry are operating efficiently and effectively so as to enable them to generate more income as this would result in the growth of our economy.

Trends In Hospitality Sector Hospitality is all about offering warmth to someone who looks for help at a strange or unfriendly place. It refers to the process of receiving and entertaining a guest with goodwill. Hospitality in the commercial context refers to the activity of hotels, restaurants, catering, inn, resorts or clubs who make a vocation of treating tourists.

The hospitality industry includes enterprises that provide accommodation, meals and drinks in venues outside of the home. These services are provided to both domestic and inbound visitors.

The hospitality industry is one of America’s largest employers where it “currently supports 15.05 million employees – the highest level since 2009” (Mergent, 10). With such a high employment rate, companies work to expand