Strategic Management in Tourism - Essay Example

Strategic Management in Tourism Introduction Tourism for a country brings in the much needed foreign exchange that is welcomed by the government and the related ministries. What it does best is to make the law-makers realize of the tremendous potentials that their country possesses in the wake of tourism and thus an industry of sheer magnitude needs to be in place so that more and more tourists visit each year. The economic impacts in the tourism sector immediately ask for grants, loans and stipends to be given to the people who have an indirect or for that matter direct role in the building up of structures, buildings and pathways – all of which come under the tourist attraction cycle. The hotel industry of the world is a booming market. Such is the related state of affairs that it is taught as a separate discipline in different curriculums of the world. The future growth is predicted by the industry gurus and they know it best when it comes to gain an understanding of the hotel industry and more than that providing luxurious service to the guests globally. (Cooper, 2001) The future of the hotel industry or we might want to rephrase it as the hotel development regime is one that will continue to prosper no matter how trying the circumstances are or how cut throat the competition is, within the realms of comprehension related with care and commitment brought together at the same level. Developments in the Hotel Industry The development of the hotel industry brings with it a certain number of issues as well as limitations. Then again there are some strong aspects which need to be touched upon in the related discussion as well. (Goodwin, 2003) However what is more significant at this stage is to apprise one and all of the developments that have happened in the hotel industry over a specified period of time, one which has seen progress happening at the grass roots levels and small hotels turning into hotel chains on a global level and even exceeding far beyond. The last statement might just look a bit too much but then again there have been some future undertakings of constructing different hotels on the moon, beneath the sea level and on Mars as well. The biggest and the tallest hotels of the world have facilities matching none other. They seem to have everything within their folds. There are still the categories of five star, seven star and so on tagged with them but the amount of amenities and services that these hotels offer is something to write home about. There are the usual services which are provided and which come along as part and parcel of the service pack but then there are certain things which are least expected of a hotel and the same are provided by these hotels which indeed is one of a positive aspect if we look at things that way. The personalized (customized) form of messaging and interaction with each and every customer, no matter he/she is a new one or a repeat customer is something that comes from deep research into the likes and wants of the customers. The internal databases of these hotels must be congratulated for the ease of understanding their clientele and a lot can be written on the subject of technology which seems to be attached with the customized preferences of customers worldwide. A similar example is that of the Ritz Carlton Hotel which remembers even the most minutest of details concerning its customers and makes sure the same are in place when the customer drops in the hotel next time, no matter the hotel site could be anywhere on the globe itself. A lot of praise must therefore go to the deep thinking mindset of the hotel regime and more than that to the technological basis as well. Economic Aspects of Tourism The economy gets a facelift and there are changes in the lines of commerce and industry since the country realizes its true potential elsewhere. Consequently people come to terms with the advancements and technological changes that start to happen within such lands and thus hail the efforts undertaken by the related ministries. It builds a bridge between the different publics which are playing an active role in this impacting cause – tourism development and management within a country. The publics comprise of the locals who would be more than willing to offer hotel/motel services, transport facilities and the like; as well as the foreigners which come towards this region in order to enjoy and learn a bit more about the scenery. Tourism is a vast field that has immense economic advantages. The need is to understand the right kinds of interactivity regimes and reject the negative image and propaganda, however it is wise and in the best interest of building public relations that the government and the authorities always speak unanimously the truth that exists. Shortcomings related with the region and the problems that could happen for the tourists must be educated in advance so that the tourists are given a choice as per their respective undertakings and journeys. (Home, 2002) The effects of tourism on the region are apparent but what it brings to the country’s foreign reserves is important. It opens up the path that lead towards success since the government finds out the cash cow – the tourism industry. The more the efforts and time are spent on making the tourism industry grow and flourish within the country, the better are the results. The most basic of amenities need to be ensured to every visitor so that he becomes a return tourist and thus exponentially increase the chances of having more tourists with each passing year. Special packages are introduced which go down well with the foreign visitors and they go back to their native countries and inform the residents of the benefits that they could avail whilst utilizing the value added deals, coming hand in hand with these packages and special fares. The tourism generating areas also receive a boost since the economic basis of these areas are directly linked with the tourism industry and thus the related policy development and management regimes keep a worthwhile share of these areas whilst drafting the laws and regulations of the tourism industry. This benefits the whole industry as well as gives confidence to the locals who try their best to compete with other regions’ hosts and in the process satisfy the tourists in the best possible form. The whole community indeed receives improvement within their economic levels and the standard of living of these people is directly proportional to the amount of people who usually visit their regions. Speaking from a wholly economic point of view, GDP or Gross Domestic Product, is the single biggest factor that gets better within a country with the tourism industry doing more than its bit to flourish and make a name for its own self on a global front. Firstly, there is a need to define the fundamentals of GDP. (Reichel, 2005) GDP stands for the accumulated money value of all the final goods as well as services which are produced over an annual basis within a specified economy. Now what this means here is that more the number of tourists, the better would be the GDP of the country as it would bring in foreign exchange which will benefit the country in an exponentially increasing form. GDP is an inherent part of economic studies and this gives a clear indication of the situations under which a country is affording the tourism industry. GDP comprises of the consumption features which take care of the domestically provided elements of international trips while there is a separate basis for investment which comes in, in the form of foreign exchange. This investment goes into the building up of infrastructure of the region which is a focal point of tourists and thus improvements come in the way of providing excellence in service and facilities to the visitors with each passing year, globally. What most economic and financial people forget is the fact that GDP also takes care of the government’s share, since it is the primary body which is taking care of the tourism industry and thus it has a huge part in the money that has been earned over a fixed period of time and the traffic that has had happened in the region, courtesy the tourists. Lastly, there is the part of the exports and imports which come hand in hand with the orders that are sent and taken in by the foreigners. Some of them stay behind and strike a deal whilst running their own businesses within their native countries while some form mergers and expand their business which benefits not only the locals but also the government and in the long run, the country. It might just be possible that the tourism industry is a bane and does not bring in the much needed revenues yet the government is sticking to its decision in order to project a soft image of the nation. Then there are the aspects related with terrorism and terrorist strikes which have marred the economic basis of a number of different countries and more so after the 9/11 event. (Norris, 2003) An important facet of GDP is that the higher the share of the tourism industry within the country’s GDP, the more tourists it attracts over a period of one year. This speaks volumes of the responsible role that the economic settings have been enacting on the shoulders of GDP and the government merits all the credit for the investments done in the right direction. The single biggest feature of the high rate of returns on GDP is that it gives the locals a chance to get employed and make a living for their own selves which stands out as a winner issue in the related regards. In the mountainous and hilly areas, getting proper jobs is a problem and this is ably solved by giving the people a chance to express their skills and get jobs as per their own liking in the wake of ever-increasing employment chances coming directly from the wings of the tourism industry which has started to flourish within the country. (Lucas, 2003) The low-wage occupations open up avenues to make people realize that they could offer their family a chance to live their own lives and it also addresses their concerns as far as the downward economic trends are concerned. The stance which needs to be adopted by the government and the tourism authorities should be to banish the seasonality aspect related with the visits to a particular region, unless it is absolutely impossible to tour a place in the opposing season. What this will do is to provide more job opportunities to the people and negate the aspect of hibernating down hills. (Hanna, 2003) Also this would keep the tourism industry’s ball rolling on a year by year basis and thus there would be no ends as far as visitors are related. The Creative Deliverables The future of the hotel industry would also signify that there would be creative avenues related with the designing of varied hotels. They could be available in mid air, as in the form of airship hotels or even beneath the sea level, as the under sea hotels. The capsule hotels are also being planned and it would not be long before we see something totally creative coming out of the minds of the people who have realized the advancements in the hotel development regimes and a lot of it is surely waiting for us to see and feel bewildered about in the coming times. Then there are the issues which are something of a distant plan but still one can understand where the brains of future developments are coming from. (Katchor, 2002) The construction of hotels on the moon and on other planets is something that can amaze an individual endlessly but if the same hotels are being planned and made operational under the sea, in the form of airship and pod hotels, then one can easily predict something to come out of it as far as moon and other planets is concerned in the coming times. A lot of it is still dependent on the distance that is present between our mother earth and the moon as well as the other planets. However, everything seems to be practicable since the science is moving ahead at a fast pace but it is only a matter of time before we witness something truly happening on the moon and the other planets, thanks to the thinking and vision of the hotel development teams and the gurus as we mentioned about them above. (Crouch, 2003) Facilities and Amenities that Tourism brings The facilities that the hotels of present times present are in the form of multi storey swimming pools, roof top helicopter landing, tennis courts in the middle of the building’s structure, multi storey car parking regimes, capsule lifts and escalators, revolving rooms and restaurants, mini golf rooms and so on and so forth. The amenities which are being provided in the top line hotels of the world suggest that there indeed is a lot of development that has taken place in the related ranks and much of it owes on the shoulders of the people who dreamt of the same at some point in time. What this also means is the fact that the vision and dream is there in the minds of the creators and the innovators who want changes to make things happen in the booming hotel industry that will simply change the way in which this related industry is looked upon at, since time immemorial. This is a complete industry and the demand of respect is such that it wants to be appreciated left, right and center by all and sundry. The hotel developmental regimes have seen that the tasks and processes are being more and more carried out by robots which ensure that the service is timely and up to date within the hotels. The human element is being replaced by these robots which account for quick servicing, one that is hassle-free and available 24/7. The positives of this aspect are in front of one and all since robots are known to make things happen in a whisker and credit for the same must go to the people who thought of incorporating these computer generated robots in the hotels in the first place. (Marco, 2001) The usage of smart card facilities instead of putting in a key in the door lock is something that is a development as far as the hotel industry is concerned. The smart cards have a chip inside which stores all the relevant information related with the guest’s details and the preferences he/she has in accordance with the hotel menus, payment schemes, etc. This is a very smart move and for this reason we know that these cards are known as the smart cards, bringing about a change in the service aspects of a hotel from top to bottom. (Holden, 2003) Then there is the issue of usage of the biometric facilities which suggest that a lot of improvements are being made here as well. The finger prints and related schemes are being used which is a definitive plus point for one and all to understand since the privacy and confidentiality matters are something very close to one’s heart and the guests are not ready to let their precious possessions getting stolen from their rooms when they are away. Within these hotels, there are different rooms where 3D image conferencing facilities are provided thus accounting for huge corporate meetings and the like. This provides a sense of touch and feel for the people who are present in these meetings. The aisles and corridors have interesting areas where people can view the best sights of the town in which their hotel is located and can gain a closer view of the distant landmarks with the provision of various binoculars and focus lenses attached with these binoculars. (Goodson, 2004) Service Standards and Ethical Constructs The service standards within the global hotel chains provide an interesting measure of the revenue that these hotels could earn. Since the guests demand a lot of service measures to be made a part of their stay at the respective hotels, the revenue could exponentially multiply at the hotels where service is of the highest standards. It means that the staff behavior towards the customers/guests is out class and there are no two views about the very same aspect. The global hotel chains have a similar understanding as far as the service standards are concerned and they leave no stone unturned when it comes to a firm grasp of the guests’ needs and wants. The ethical behavior with their own staff is also an interesting debate that has been making the relevant rounds and hotels need to instill the pride and much needed confidence within their own hotel staff so that they could work to their optimum levels and provide for all the services that are needed by the guests and customers. (Smith, 2003) This an happen if the staff knows that their wants and needs are being taken care of in an efficient manner by the hotel management and the top notch within the hotel echelons are doing their utmost to guarantee the very same at all times possible. One must understand that the end result is there for the taking, by the hotel management itself. The revenue would increase and so would the chances of having more and more guests over a period of time within the hotel – thus increasing the rapport amongst the global hotel clan as well as the bonding that it creates with the existing guests and the potential ones who plan to stay in such hotels during their stay at the cities where these hotels are. Revenue management thus needs to be the buzzword when the talk goes out loud of satisfying the customers’ needs by all extents and means. Issue of Revenue Management and Linkage with Ethics in Tourism Industry Revenue management is also known by the name of yield management and it aims to maximize the profits and returns in the wake of the reactions towards consumer behavior and the related patterns that come in proximity of the same. Hotels that make use of revenue or yield management discuss the aspect of computer yield management systems so that profits could be maximized as much as possible. However an important thing here is to understand that these profits are in line with the ethical norms and procedures so that there is an adequate check and balance mechanism with the same. Revenue management objectives can at times, result in differing prices for the customers and guests at the hotels and this would mean that the margin of profits and returns for these hotels is either reduced or increased at different times. What is most important is the manner in which revenue management is made use of by the hotels from an ethical standpoint and how effectively they counter the problems which come in line with the implementation of the two phenomena. (Munt, 2003) Similarly, revenue management objectives could entail the yield to maturity, which is the basis of the exact measurement that is done for the return basis related with the hotel’s bonds that are purchased by the stakeholders and the top management of the hotel. What this technique does is to give the bond holders a fair enough chance to understand the basis of their bond and the workings that go in line with the very same. Role of Government in Legislative Activities The government of the respective country needs to play its active role so that the ethics and legislation aspect is monitored on a continuous basis within the realms of the different hotels – large or small ones alike. More emphasis should be laid on providing value for money for the customers and that they are ensured that they are delivered quality and on-time service right at their doorstep. The aspect of mincing more money from the customers is also a problematic issue since the customers complain of being told a solitary figure before they check in to a hotel but are made to pay much more than what was quoted in the beginning. (Barrow, 2005) This is in the name of different levies and taxes which accrue on the part of the customers and are made sure by the hotels that the same are paid by them before they leave the hotel premises. One must understand that this is a matter which must be raised by the authorities at the helm of affairs since no one should be allowed to chop up the bills of the hotels without a solid reason and evidence of the same has to be provided by the hotel management as it is their respective duty to be ethically correct at all times possible. Future Developments at a Glance The future developments happening in the hotel industry suggest that there is a lot of room to experiment and understand the industry itself. This means that the people who are at the helm of affairs, the corporate giants and the chain owners know that what is expected of them in the present era and what wants of current times would become the needs of the coming generations as far as the hotel industry is concerned. They are thus aligning their business strategies and tactics in line with the wishes, needs and wants of the customers more than anything else and this is one aspect which needs appreciation alone and nothing more or nothing less would be surmountable to the cause of development. The coming up of different pod hotels airship chains suggest that the hotel industry is taking the right steps and that too in the forward direction. (Levsen, 2002) These are indeed the hotels of the future and they must be thought of so, since the developmental basis is something which needs to be highlighted here time and again. The pod hotels would look something like a foldable pod which would be placed on stilts and thus taken off to different locations which could be remotely accessible, as and when needed. These pod hotels would be self sustainable and would thus aim to have a series of images on the walls which would be chosen by the guests present within the hotels at any time of the day or night. When the destination where the pod would be unfolded would become as somewhat outdated and out of fashion, the pod hotel would start its journey again and move on to some other place. The technological amazements are there for one and all to see and one can gain so much from the developments that could make a layman feel surprised. (Hall, 2000) Developments for the Coming Times Now we focus our attention on the major aspects of the development of the hotel industry. These include the incorporation of mini supermarkets, cafes, golf playing areas, mini cineplexes, car washing areas, disco party floors, etc. These provide the hotels with the extra tinge of the provision of more and more services to their invaluable guests and it has been seen that the guests really appreciate the different facilities and amenities brought forward by the hotels in the times much like today. There are different areas where people can just sit and enjoy with their friends and family. They can play different games and enjoy and have a good time. (Olsen, 2005) They can eat, drink and share as well as enjoy watching certain games and tricks which are being done by the comedians, cartoons and masked men – a favorite amongst the young ones. There are the playing areas dedicated solely for the kids where they can enjoy and relax. Recommendations for the Future The recommendations with the ethical business behaviors include the publication of annual reports by the hotel management as well as maintaining a link with the different publics that remain in close alliance with the working methodologies of the hotel itself. What is most important here is to have an understanding that no business could achieve revenue increase and solid rapport to be built alongside its working regimes if there is absence of ethical considerations and if morals and values are just being taken care of merely rather than in the practical sense. (Smith, 2003) All said and done, the hotel staff and management must pull up their socks and be more accountable towards the customers and guests as well as towards the different publics which have invested large sums in the working bases of the hotels. Only then would the ethical problems related with the hotels the world over would be resolved. Conclusion In the end, it is significant to understand that the present times have offered one and all so much in the name of hotel facilities that one can really gain an insight of the same as the time passes by. (Whaples, 2007) There is so much more to explore and understand that the human mind feels amazed and overwhelmed with what the hotel industry has achieved in such a quick time. The speed with which these progresses have been made comes as a surprise for one and all because two or three decades back, the hotel industry did not warrant similar feelings and emotions on the part of the guests who stayed and left without the much needed comfort and solace that they came after. (West, 2004) There were always problems and that too in numbers when it came to the provision of the most basic of amenities. The future developments in the hotel industry will surely amaze one and all and one can expect so much more to come out of the coming times that there is a lot of room for surprises and amazing stories. The need is to understand what the human mind can think and envision for him and eventually bring to reality what he considered an arduous deal. It is pertinent to ascertain the exact policies which are being made in line with a country’s tourism industry since this will form the backbone of its own existence. Also it will provide endless opportunities in terms of jobs, exposure to the world and a host of other avenues which come attached with the very same. In addition, the fact that the economic boom that the tourism industry brings with it is certainly an eye-opener for a number of people. (Beirman, 2003) Bibliography BARROW, C. J. (2005). Environmental Management and Development. Routledge BEIRMAN, David. (2003). 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