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The beauty of this industry is that along with tourism, it combines a number of professions in it (Walker, 2007), making it good for the economy and for employment. People stay in hotels because they are far away from their home, or they are living in a country, that is not their home country. When a person thinks about a hotel, it can conjure up exciting images. Hotels are often thought to be busy areas filled with people all around the world, especially business people and celebrities in order to pass their holidays or meetings (Bardi, 2003). The industry hires large number of skilled, unskilled and semi skilled workers to work, and because their work is to provide service, they need to teach some essential points to unskilled labors before hiring (Tanke, 2000). Adventurous people, when travelling, often need luxurious places to pass their traveling times. Because of the in comfort desired by people while traveling, hotel owners and designers tried to make places where people could come and rest without stress. As a consequence they made hotels for the betterment of people traveling from other countries for various purposes (Andrews, 2007). Hotels today are often called “home away from home” and people can stay in them for many different lengths of time, from a few days to many months. EXECUTIVE SUMMARY Hotel America is a mid-sized hotel chain which is one of the top ten hotel chains of America. During the last quarter of 2001, this hotel started to experience a decline in occupancy rate. There are certain factors attached with this decline. It is not just the case of this particular hotel chain. Rather, all the hotel industry is on a decline. The executive leadership hopes to improve the occupancy rate and this report was prepared to analyze the data available and devise the strategies to help the management. An analysis of the data found that there were certain internal factors as well as external factors that contributed to this downturn. External factors included the incident of 9/11 and the recession of America, both of which decreased patronage to hotels, and numbers of people travelling in general. Internal factors included a list of things like negligence of the management to maintain the bathroom or other facilities and to see whether the bed provided was comfortable. Another issue was the rude attitude of the staff which offended the customers. The staff coordination must be to a high standard, and there must be no conflict between the staff members because this will give a bad impression to the hotel customers (Sonnenstuhl, 1990). The location of many of the hotels and the unavailability of suitable transportation also had negative impact leaving many customers were unsatisfied. Special facilities and features were also looked upon. When people live in hotels in countries that they are foreign to, they often look at hotels for long term accommodation, however, the rent must be according to the facilities provided (Robinson, 2009). The most effective point towards a successful hotel is goal congruence (Goldsmith, 2002). Within the location category, the closeness to downtown and commercial areas was what the customer desired. Within the special features category, the presence of restaurants, business lounges and clubs gave a positive impact. Of the communication category the main desires were the provision of facilities like telephone and internet access. Based upon the analysis, this report gives recommendations such as: ensuring proper
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