Macro trends such as changes in developments require the organizations in the H&T industry to keep redefining their strategic Strategic Management in Hospitality and Tourism chapter strategic management in hospitality and tourism learning objectives contents after reading this chapter. Their primary aim is often not to make profit but to achieve other nonfinancial objectives, such as serving society, protecting the environment, and achieving sustainable tourism development in their regions over the long term. We will analyze and evaluate the context at the industry level in Chapter 3 and in the organizational level in Chapter 4. It should This is because in event that they fail to plan they are planning to fail (Heskett, 1986, p. 9). A food and beverage operator may view the industry as a dining experience with the focus on menu offerings and food service. For example, the Hong Kongbased Shangri La Also in areas which are more distanced from the daily worries of travel agents has UFTAA actively been and still is a spokes-person for the agents interest. legislations, regional and global economic and The following are some closely related, unique The business objectives of smaller hotels may have a different emphases Et es istenftic, taft g` fvirfhi 8< pirbi`t go tai hrgss cgnisteb prgcubt (HC\) go tai grhf`ezfteg` ogr, Ibg`gneb Bg-gpirfteg` f`c Civijgpni`t (GIBC) (;<<8) bgu`treis bgni orgn sirvebi, e`custreis. This growth has not only been observed in developed parts of the world but also in developing parts of the world such as Africa, Asia, and the Middle East. practices, H&T organizations need to have a clear knowledge about strategic management Nfbrg tri`cs suba fs baf`his e` jihesjfteg`s, riheg`fj f`c, hjgkfj ibg`gneb f`c pgjetebfj bresis, sgbegbujturfj tri`cs, sgpaestebfteg` go. The federation was later renamed United Federation of Travel Agents Associations, still known under the same well-established acronym UFTAA. bustgnirs, steoo bgnpiteteg`, tirrgresn, siburety, hjgkfj wfrne`h nujtebujturfjesn, hjgkfjezfteg`, nirhirs f`c fbqueseteg`s, jfkgr sagrtfhi, f`c fcvf`bi tiba`gjghebfj, civijgpni`ts fjj pgsi enpgrtf`t bafjji`his tg tai nf`fhini`t strftiheis go A&S, E` sagrt, tai bg`tixt ft kgta tai e`custry f`c tai grhf`ezfteg`fj jivijs es brubefj eo, g`i es tg iooibtevijy usi f`c fppjy tai strftiheb nf`fhini`t taigreis f`c ngcijs e`, A&S grhf`ezfteg`s. The IH&RA is the only international trade association exclusively devoted to promoting and defending the interests of the hotel and restaurant industry worldwide. In this section, we will examine how such theories and models can be applied in the particular context of hospitality and tourism. Finally, global hospitality and tourism firms such as Intercontinental Hotels, Marriott Hotels, Hilton, McDonalds, and KFC are examples of those that operate in many countries and almost all continents worldwide. The tourism industry is well known and distinguished with a combination of different activities and services that offer transportation, accommodation, food, shopping, attractions, and . CHARACTERISTICS OF HOSPITALITY AND TOURISM ORGANIZATIONS. When we look at the strategy literature in the H&T field, we see that strategy research dates back to the early 1980s, and the focus of these studies was mainly conceptual in nature and concerned with strategic planning rather than strategic management (e.g., Olsen and DeNoble, 1981; Reichel, 1982). Here, the industry structure and characteristics are considered to be of secondary importance. delivered to retail outlets, where they are then sold to customers. Another reason may be that many of the researchers and academics involved in teaching and researching strategy in the hospitality and tourism field have not had a formal training in strategic management but a more generalist hospitality management or business administration background. advantage. The Travel & Tourism explosion of the last three decades has focused government attention on the hospitality sector as never before, bringing in its wake a surge of new regulation and taxation. the industry structure and the unique characteristics of the H&T sector do matter and In this article, we have quickly presented an overview of the hospitality and tourism industry . argument holds across all industrial sectors and not just hospitality and tourism. A typical manufactured good, such as a refrigerator or a television, can be inspected before it is 4. Therefore, similar comments can perhaps be made for the literature in other areas such as marketing, human resources, operations management, and financial management in the H&T field. In recent years, several attempts have been made to review the current level of strategy research in the H&T field. Their views on the external environment, long-term strategies, generic positions, competitive advantages, and allocations of financial and human resources may not be similar to those of large organizations. It is also essential to emphasize that even successful Previously, we examined several unique characteristics of H&T organizations. A notable early study concerning the international dimension is the research of Dunning and McQueen (1981). Et prgcubis gvir 66 pirbi`t go tai wgrjcs hrgss cgnisteb prgcubt f`c. On the other hand, it is often claimed that although different services are offered in H&T organizations, each organization has its own unique characteristics that demand closer inspection when managing H&T organizations. Those who undertake strategy research in H&T typically encounter a view of strategy that is very much rooted in the classical planning perspective, and consequently they tend to overlook the considerable developments that have taken place in the last 30 years. Each of these is often identified as a subsector under the H&T industry. early 1980s, and the focus of these studies was mainly The following section explains and evaluates the unique characteristics of each segment in the H&T industry. As just stated, there can be major differences among hospitality and tourism organizations in terms of their primary activities, size, profit motives, and geographical coverage. TOURISM FIELD. According to Nykiel (2005), product design, market segmentation, Evaluate characteristics and types of H&T organizations. Saisi. UFTAA gets ready to celebrate its 50 years of successful contribution to the Travel & Tourism Industry. Another issue is that given the vast amount of investment made in these organizations, investors and owners often look at very carefully at their return on investment. The Strengths and Weaknesses of the Filipino Character, Cost Accounting Guerrero Answer Key (Chapter 1), Filipino 8 q1 Mod1 Karunungang-bayan, Module for Sec. give (2-3) complete sentences 2. We then question how these characteristics may impact on strategic management practices in H&T organizations.