Indian Journal of Applied Hospitality and Tourism Research … · the specific tourism receptive...

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Special Issue: Travel, Tourism & Hospitality - Trends and Issues Vol. 6, January 2014

Indian Journal of

Applied Hospitality and Tourism Research

CONTENTS

Research Papers Shiv Prasad

Vinita Bhatia The Impact of Cultural Attractions and Amenities in

Building Image of a Tourist Destination- A Study of

Tourists Visiting Jaipur

3-9

Antoinette Roeloffze,

Ilze Swart & Carina

Kleynhans

Socio-Demographic Profile of the Hospitality Supervisor in

a changed South Africa Labour Force

10-21

J.R. Roberson, I.C.

Kleynhans & W.J.L.

Coetzee

Quality Management Systems in the Hospitality Industry

22-36

Fayaz Ahamed &

Ms. Vahbiz Cooper World Expo 2020: Heralding Dubai’s Super-Growth – A

Road Ahead

37-43

Kumar Ashutosh Strategic Planning for Effective Hospitality and Tourism

Education: Some Observations and Suggestions

44-51

Mahendra Singh Negi,

Mukul Tiwari & Tripti

Singh

Indian Tourism and Hospitality Industry-Trends and

Development

52-67

Shunali & Manik

Arora Gastronomy Tourism and Destination Image Formation

68-75

Suvidha Khanna &

Nidhi Pathania Travel Motivation, Travel Behaviour and Travel Destination

Choice: A Relationship Framework among Pilgrim Tourists

76-83

Norlida H. M. Salleh ,

R. Othman1, S. H.

Mohd Idris1 & M.

Samsudin

Community Participation in Tourism Development and

Livelihood Sustainability

84-93

Parikshat Singh

Manhas & Parvinder

Kour

E-Learning: An Emerging Trend to Strengthen Hospitality

and Tourism Teaching-Learning Process

94-100

Sherry Abraham,

Victor Anand

kumar& Bushan D.

Sudhakar

Making the Customer feel at Home through Sensory

Marketing: A Study of Shiros Restaurant in Bangalore

101-109

Sunetra Roday, Annu

Pillai & Aparna

Deshpande

Emerging Healthy Food Options offered by the Hotel

Industry

110-120

Rekha Maitra Role of IT in Branding and Positioning of a Hotel: A Case

Study with Special Reference to The Oberoi, New Delhi

121-133

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Indian Journal of Applied Hospitality and Tourism Research

Preface

Rapid changes in the global market conditions and impact of the recessionary phases in the industry has

necessitated need for exploring new opportunities and designing new strategies for managing today’s

challenging environment in Travel, Tourism and Hospitality. Strategies to sustain and achieve desired

target, to create and develop a market for the product and for growth can bring relief from declining hotel

occupancy and tariff along with increased numbers of inbound and outbound travelers.

Indian Journal of Applied Hospitality and Tourism Research is a unique opportunity to share knowledge,

understand and develop new approaches for growth with a precise focus on issues, challenges and trends

and is an expression of our vision of the advancement in Travel, Tourism and Hospitality. The research

papers that investigate and explore the impact of cultural attraction and amenities in building image of a

tourist destination that has a direct impact on the travelers revisit and recommending the destination to

explore, has emerged as a major concern for Tourism Organizations.

The paper on Socio-demographic profile of the hospitality supervisor in a changed South Africa labour

force providing more insight into the professional attitude required by the industry could assist in Human

Resources Management with recruitment and selection of suitable supervisor. Demographics play a vital

role in bringing a variation in the mindset and thinking of people thus motivating for pilgrimage for a

specific destination. Quality Management System in the hospitality industry reveals on varieties of

methods currently in use to measure grading systems in international hospitality industry but lack of

Standard Measurement Instruments are being seen in the Tourism, Accommodation and Food and

Beverage sectors. The impact of forthcoming World Expo 2020 in Dubai is a study about the organizing

events and its impact on its residents along with the environment. The Paper on Indian Tourism and

Hospitality Industry Trends and Development identifies some of the trends affecting tourism and

Hospitality industry.

Availability of trained manpower continues to pose a huge challenge to Tourism and Hospitality Industry

despite the steps that are being taken to create more hospitality professionals. Strategic Planning for

Effective Hospitality and Tourism Education highlights the urgent issues and challenges associated with

the tourism education in the country that needs serious attention.

Food and gastronomical aspects are important attribute that can be used in a destination image building.

Gastronomy Tourism and Destination Image Formation, and Paper on Travel Motivation, Travel Behavior

and Travel Destination Choice are distinctive in its nature and helps in promoting destinations. Emerging

Healthy Food Options offered by the hotel industry is good attempt to explore the major trends followed

by restaurants and hotels providing wellness menus.

Sustainable development survives a nation with social and economic enrichment and this in turn satisfies

the needs & values of all interest groups. And to have this, we must ensure that the environment

conservation traditions of our past, which taught us to respect nature, should be conserved. Paper on

Community Participation in Tourism Development and Livelihood Sustainability discusses factors

influencing participation of local communities in tourism business.

Technology and social media as communication channel for marketing activities has revolutionized

traditional approach to reach tourist around the world. Innovation in Hospitality and Tourism Industry is

always at the forefront of initiating the use of technology for increasing the efficiency and productivity of

the departments. This can be best if learning is initiated and based during the foundation training of the

manpower. E-Learning practices will allow us to connect and communicate, to promote product and

services and generally enhance the quality of services rendered to clients, nationwide and internationally.

Identifying customers and inviting their attention through innovation at all levels of marketing and

repositioning of the business amid global or local competitors is a challenge. The nature of demand and

competition along with technological innovations are the compelling reasons for this transformation. The

case study on Role of IT in Branding and Positioning of a hotel can be beneficial resource for the

academician.

We humbly acknowledge the work of all researchers’ on whose contribution this Journal builds on. We

would like to express our gratitude to all authors for their excellent contribution as well. We would also

like to thank every single person who has assisted in the publication of this Journal. It could not have been

possible without the dedication and enthusiasm of our editorial team and the referees.

Chief Editor

3


The Impact of Cultural Attractions and Amenities in Building Image of a

Tourist Destination- A Study of Tourists visiting Jaipur Shiv Prasad

1 & Vinita Bhatia

2

Abstract An in-depth study of tourist image of a destination helps in providing valuable information for making

decisions about destination marketing. If tourists have positive image of a destination it has a direct

bearing on their revisit and to recommend the destination to others. Rajasthan tourism is an integral

part of Indian tourism and is widely praised for its rich culture, tradition and glorious history. There

are various factors which help in developing a superior image of a destination and some of the factors

are of utmost importance. In this study, the authors have tried to see whether there is any impact of

destination’s cultural attractions and amenities in building its image as a tourist destination. With this

objective, the study was conducted in the city of Jaipur and the respondents were the tourist from

different parts of the world. The authors have also tried to find the relationship between tourist

satisfaction and willingness to revisit or recommend to others. A comparison was also made between

the tourist satisfaction derived from cultural attraction and amenities. Convenience sampling

technique has been used and the data was collected through structured questionnaire.

Keywords: Tourists, destination image, cultural attractions, amenities, satisfaction

Introduction Tourism industry (Raina & Jain, 2004) is concerned with attracting people to destination and they

carry different images of their ideal holiday destination. Destination image is the visitor’s subjective

perception (Chen & Tsai, 2007) of the destination reality. Destination image is defined as an

individual’s mental representation of knowledge (beliefs), feelings and overall perception of a

particular destination (Fakeye & Crompton, 1991).

Lew (1987) defines tourism attractions as all the elements of tourism destination which are attracting

tourists from their place of permanent residence and they refer to the geographic and climate

characteristics of a particular location, activities in which tourists can participate as well as

experiences they are going to remember. Tourism attractions are defined as those attributes of tourism

destination which, with their specific features, attract or motivate tourists to visit particular tourism

destination. Tourism attractions determine direction as well as intensity of tourism development on

the specific tourism receptive area (Kusen, 2002).

The notions of destination image and destination attractiveness are very fluid and intangible, and it is

difficult to construct adequate indicators which would quantitatively describe the level of destination

attractiveness or, in other words, quantify the magnitude of the destination appeal on potential

tourists. Tourism attractions are very heterogeneous category and their essence can be very different.

For example, scenic beauties, night life, interesting historic sites or market ties with the receptive

destination (VFR – visiting friends and relatives) are all examples of tourism attractions, even though

they do not have much in common. (Kresic & Prebezac, 2011).

According to Buhalis (2000) tourism destination consists of six components which are attractions,

accessibility, amenities, activities, ancillary services and available packages. Cultural sightseeing,

friendly people and food are factors which make Thailand as a tourist destination (Henkel, Henkel,

Agrusa, Agrusa, & Tanner, 2006). Hotel rooms, restaurants, convention centers, air service, local

transportation, attractions, cost, climate, safety and security, and city prosperity were chosen to

exemplify the overall attractiveness of the city as a convention location (Fenich, 2001).

In an attempt to measure the tourist attractiveness of destinations, Var, Beck and Loftus (1977) noted

that this is a function of natural, social and historical factors, recreation and shopping opportunities,

1 , Associate Professor, Department of Management Studies, MDS University,Ajmer,Rajasthan, India. Email:

[email protected] 2 Research Scholar, Department of Management Studies, MDS University,Ajmer, Rajasthan, India. Email:

[email protected]

mailto:[email protected]


..... 4


accessibility and accommodation performing above minimum tourist quality standards. A destination

is composed of attractions, facilities, infrastructure, transport and hospitality (Mill and Morrison,

1992). Similarly, Laws (1995) opines that elements which contribute to the attractiveness of a tourist

destination are culture, traditional architecture and amenities like hotels, catering, transport and

entertainment.

Review of Literature Image is the most important aspect of a tourism attraction from a marketing point of view (Lew,

1987). The concept of destination image and destination attractiveness are closely tied and

interconnected and the level of destination attractiveness is largely influenced by the destination

image and vice versa (Kresic & Prebezac, 2011). Tourism image is related with perceived service

quality and satisfaction (Bigne, Sanchez, and Sanchez, 2001). Variables which make up the image of

a destination are heritage, culture and comfortability, commercial attractiveness (Raina & Jain, 2004).

Tourism resources and attractions were identified as one of the important dimensions of destination

competitiveness (Lee & Josiam, 2004). Theoretical and practical, sources have approved that creation

of destination image (Fuchs & Reichel, 2006) depends on the tourists’ service quality and tourists’

satisfaction. Destination image plays important role in behaviours like satisfaction (Bigne, Sanchez,

and Sanchez, 2001). Lee et al. (2005) argued that individuals having a favourable destination image

would perceive trip quality positively, which in turn would lead to greater satisfaction levels. Thus,

we can hypothesize that:

H1: The more favourable the destinations cultural attractions, the higher its image as a tourist

destination

H2: The more favourable the destinations amenities, the higher its image as a tourist destination

Satisfaction has a positive effect on intention to return (Joaquin & Cladera, 2009). A study was

conducted (Cho, 1998) to assess the satisfaction of Korean tourists' with the visit to Australia in terms

of overall satisfaction of experience, intention to recommend Australia to Others, and intention to

return to Australia within the next 5 years. Lee et al. (2005) is of the opinion that individuals who

have a favourable destination image have an intention to revisit and recommend to others. A research

was carried out to (Yuksel, 2001) provide destination managers and marketers with an analytic insight

into how repeat and first-time visitors develop their satisfaction and return intention judgments.

Visitors commonly regard quality of food, quality of accommodation, hospitality and safety as a

reason to come back. Similar study was conducted (Joaquin & Jaume, 2010) to examine the impact of

the satisfaction- and dissatisfaction-based evaluations on both the tourists’ overall satisfaction and

their intention to return to the destination. If a tourist is attracted by a destination (Fuchs & Reichel,

2006) then his perception of a destination will be high and in future he will be interested in visiting.

There is no doubt that if tourists are satisfied with their holiday experience, it is expected that they

will be more likely to continue to return to a destination and/or recommend it to others (Kozak &

Rimmington, 2000). Destination image plays important role in intention to revisit and willingness to

recommend (Bigne, Sanchez, and Sanchez, 2001). Thus, we can hypothesize that:

H3: There is a relationship between tourist satisfaction of cultural attractions in Jaipur and

tourist’s willingness to revisit or recommend to others

H4: There is a relationship between tourist satisfaction of amenities in Jaipur and tourist’s

willingness to revisit or recommend to others

Methodology The study on which this paper is based was carried out in some of the well known hotels of Jaipur.

The research consisted of 126 valid responses and convenience sampling technique was used to reach

the respondents. A specially designed structured questionnaire was administered to see the impact of

cultural attractions and amenities on building image of a tourist destination. It also tries to find the

relationship between tourist satisfaction of cultural attractions and amenities in Jaipur and tourist’s

willingness to revisit or recommend to others. Tourists responded on 5-point likert scale (1= very

dissatisfied; 5= very satisfied), and the responses to the questionnaire were keyed in and analyzed

using the SPSS. Table I illustrates the profile of respondents.

5


Table 1: Profile of respondents Variable Percentage

Nationality

Indian 85.4

Foreign 14.6

Gender

Male 70.7

Female 29.3

Age

21 – 24 years 41.5

25 – 34 years 36.6

35 – 44 years 14.6

45 years and older 7.3

Marital Status

Single 51.2

Married 48.8

Education

Schooling 7.3

Graduate 24.4

Post Graduate 68.3

Occupation

Employed 58.5

Student 31.7

Housewife 7.3

Unemployed 2.4

Monthly income

Under USD 500 19.5

USD 500-USD 600 9.5

USD 600-USD 700 26.8

USD 700-USD 800 7.3

USD 800-USD 900 9.8

USD 900-USD 1000 9.8

Above USD 1000 17.1

Companion

Alone 4.9

Spouse 17.1

Family 31.7

Friends 46.3

Purpose

Leisure 24.4

Health 2.4

Sports 2.4

Business meeting 17.1

Family visit 34.1

Weather/Climate 7.3

Culture 12.2

Results Descriptive Statistics of the Sample reports that 70% were male and 30% were female. Age ranged

from 21 to 55 years and a significant number of the respondents (78%) were between the age of 21 to

34 years. 85% of the tourists were from different parts of India and the remaining 15% were

..... 6


foreigners. There was no major difference in the marital status of the respondents (51% were single

and 49% were married). Most of them were educated and 68% were atleast postgraduates. Very less

(4.9%) travelled alone, 17% with their spouse, 32% with their family, and 46% with their friends.

Most of them came for family visit (34%), leisure (24%) and business meetings (17%). when we talk

about their occupation 58% were employed and 32% were students and very less were housewife’s

and unemployed. There was not much difference in the monthly income of the respondents.

To assess the internal consistency of the data, cronbach alpha was calculated where a coefficient at

0.7 or higher was considered acceptable (Nunnally, 1976). Table 2 exhibits the cronbach alpha of the

values which is good. Mean and standard deviation were also calculated to access the satisfaction

level of the tourist and it was revealed that majority of the tourists were mainly satisfied with the

cultural attractions of Jaipur. They loved the traditional folk dance, dress, music and the rich

Architectural and historical places of Rajasthan. When we talk about the amenities, majority of them

were very satisfied by the accommodation, food and personal safety. Very less were happy with the

state of roads, reason may be the construction work of metros.

Very significant number of tourist had a good image of Jaipur as a tourist destination and they were

enthusiastic about revisiting Jaipur in future. They were also very positive about recommending their

friends and relatives for visiting Jaipur, which offers a variety of cultural attractions and better

amenities.

Table 2: Mean, Standard deviation and Cronbach Alpha

H1: We began our analysis by examining Pearson’s bivariate correlation between Cultural

attractions and Jaipur image as a tourist destination. As shown in the table 3 both our positively

and significantly correlated. The correlation coefficient is 0.461

Table 3: Correlations Cultural attractions Jaipur image

Cultural attractions Pearson Correlation 1 .461(**)

Sig. (2-tailed) .002

N 126 126

** Correlation is significant at the 0.01 level (2-tailed).

In testing H2 Pearson’s bivariate correlation was used to find the relationship between satisfaction of

destinations amenities and Jaipur image as a tourist destination. Both are positively correlated

(p<0.05) (See table 4) and the correlation coefficient is 0.396

Table 4: Correlations

Amenities Jaipur image

amenities Pearson Correlation 1 .396(*)


N 126 126

* Correlation is significant at the 0.05 level (2-tailed).

H3: A significant correlation was found between tourist satisfaction of cultural attractions in Jaipur and

tourist’s willingness to revisit or recommend to others. The correlation coefficient is 0.668 at 99%

level of significance (See table 5).

S. No. Variable No. of Items Cronbach's

Alpha

Mean Standard

Deviation

1 Cultural attractions 8 0.873 4.046 0.6530

2 Amenities 11 0.831 3.622 0.4677

3 Intention to revisit or

recommend

3 0.802 4.012 0.7026

4 Jaipur image 3 0.922 4.256 0.6033

7



Attractions Intention to revisit or recommend

attractions Pearson Correlation 1 .668(**)


N 126 126


The results of H4: indicate that there is a relationship between tourist satisfaction of amenities in Jaipur

and tourist’s willingness to revisit or recommend to others. The correlation coefficient is 0.496 at 99%

level of significance (See table 6).


Amenities

Intention to revisit or

recommend

amenities Pearson Correlation 1 .496(**)


N 126 126


In addition to the satisfaction derived from cultural attractions and amenities, intention to revisit or

recommend and tourist image of Jaipur, we had also collected data regarding the demographic and

travel related behaviour of the tourists. These were not analysed as the scale of the measurement was

either nominal or ordinal. Hence the role of these variables on cultural attractions and amenities,

intention to revisit or recommend and tourist image of Jaipur is being examined separately in this

section using appropriate statistical test such as t-test and Anova. Table 7 presents the outcome of t-

test and Anova which were used to determine the association of satisfaction derived from cultural

attractions, amenities, intention to revisit or recommend and tourist image of Jaipur with the following

variables (1)Nationality (2)gender (3) marital Status (4) Age (5) Education (6) Occupation (7) Income

(8) Companion (9) Purpose. These were the independent variables, Altogether 36 test were performed

to ascertain the association between the two sets of variables. As shown in table 7, out of 12 t-values

only three are found to be statistically significant. Foreign tourists were more satisfied with the

amenities of Jaipur and males were more interested in revisiting or recommending Jaipur as a tourist

destination. Unmarried tourists were more satisfied with the cultural attractions of Jaipur.

Table 7 also reports the findings of Anova, out of the 24 F test values only five are found to be

statistically significant. With respect to the educational qualification, intention to revisit is high in post

graduates, average in graduates and low in tourist who have only completed their schooling. Students

and tourists who are employed show more intention in revisiting and recommending Jaipur as a tourist

destination while housewives and unemployed tourist show less interest. Tourist from a low income

group was satisfied with the cultural attractions of Jaipur and those from a high income group were

satisfied with the amenities. Tourists who came with their spouse, friends and then family were

mainly satisfied with the cultural attractions and tourists who came alone were less satisfied with the

cultural attractions. Table 7: Difference of Means (t) test and Anova

S.

No

Demographic and travel

behaviour Characteristics

Cultural

Attractions

Amenities Intention to

revisit or

recommend

Jaipur image

1 Nationality t= -0.445

Sig.=0.495

(n.s)

t=-0.288

Sig.=0.048

(p<.05)

t= 1.149

Sig.=0.850

(n.s)

t=1.003

Sig.=0.096

(n.s)

2 Gender t= 1.306

Sig.=0.423

(n.s)

t= 2.143

Sig.=0.152

(n.s)

t= 1.763

Sig.=0.041

(p<.05)

t= 1.397

Sig.=0.504

(n.s)

3 Marital Status t= 1.524

Sig.=0.031

(p<.05)

t= -1.249

Sig.=0.222

(n.s)

t= 0.769

Sig.=0.494

(n.s)

t= 0.829

Sig.=.115

(n.s)

..... 8


4 Age F=0.896

Sig.= 0.452

(n.s)

F=0.436

Sig.= 0.729

(n.s)

F=0.282

Sig.= 0.838

(n.s)

F=0.325

Sig.= 0.807

(n.s)

5 Education F=1.483

Sig.= 0.228

(n.s)

F=0.801

Sig.= 0.533

(n.s)

F=2.713

Sig.= 0.045

(p<.05)

F=2.224

Sig.= 0.086

(n.s)

6 Occupation F=1.096

Sig.= 0.363

(n.s)

F=1.866

Sig.= 0.152

(n.s)

F=3.564

Sig.= 0.023

(p<.05)

F=1.536

Sig.= 0.221

(n.s)

7 Income F=2.840

Sig.= 0.024

(p<.05)

F=4.496

Sig.= 0.002

(p<.01)

F=1.794

Sig.= 0.131

(n.s)

F=1.108

Sig.= 0.379

(n.s)

8 Companion F=6.099

Sig.= 0.002

(p<.01)

F=1.335

Sig.= 0.278

(n.s)

F=1.853

Sig.= 0.155

(n.s)

F=2.588

Sig.= 0.068

(n.s)

9 Purpose F=0.356

Sig.= 0.901

(n.s)

F=1.317

Sig.= 0.276

(n.s)

F=0.439

Sig.= 0.839

(n.s)

F=0.542

Sig.= 0.772

(n.s)

Conclusion The study was carried out in well known hotels of Jaipur city. The sample consisted of 126 national

and international tourists who completed a structured questionnaire which contained 34 questions.

The questionnaire included 8 items to measure tourist’s satisfaction of cultural attractions and 11

items to measure tourist’s satisfaction of amenities. Besides these 3 items to measure intention to

revisit or recommend to others and 3 items to measure tourists image of Jaipur were included. Each

item was measured on five-point scale. Tourists were satisfied with the cultural attractions and

amenities of Jaipur but mainly they were satisfied with the cultural attractions of Jaipur. Very

significant number of tourist had a good image of Jaipur as a tourist destination and they were keen

about revisiting Jaipur in future and recommending their friends and relatives for visiting Jaipur.

The correlation between cultural attractions and intention to revisit or recommend was found to be the

highest (p<.01), correlation between amenities and intention to revisit or recommend was at second

(p<.01) and correlation between cultural attractions and Jaipur image was at third (p<.01). The

correlation between amenities and Jaipur image was also significant (p<.05). The outcome of t-test

and Anova were used to determine the association of satisfaction derived from cultural attractions,

amenities, intention to revisit or recommend and tourist image of Jaipur with the socio-demographic

characteristics and travel-related behaviour of tourists.

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Kozak, M., & Rimmington, M. (2000). Tourist Satisfaction with Mallorca, Spain, as an off-season Holiday Destination.

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Socio-Demographic Profile of the Hospitality Supervisor in a changed

South Africa Labour Force Antoinette Roeloffze

1, Ilze Swart & Carina Kleynhans

Abstract The purpose of the research study was to investigate the variables in the socio-demographic profile of

a supervisor currently employed in the hospitality industry in South Africa. As the industry becomes

more competitive there is increased pressure on establishments to adapt their management style to

ensure survival and enhance financial performance. Due to globalisation, demographic shifts and

legislation the industry managing a diverse workforce has emerged as a major concern of hospitality

establishments. The need to find qualified and skilled employees to fulfil the role of supervisors is

assuming high priority. Insight into the socio-demographic profile of a supervisor could assist human

resources management with recruitment and selection of suitable supervisors. Findings help to

identify the age-group that occupies such positions thereby providing more insight into the

professional attitude required by the industry.

Keywords: diversity; generations; hospitality profile; socio-demographic; supervisor

Introduction Providing hospitality is considered one of the oldest professions (Ottenbacher, Harrington & Parsa,

2009) and it is perceived as being people oriented. The atmosphere of a hotel, guesthouse or

restaurant is what makes patrons return. The hospitality industry is an exciting professional field that

offers varied career opportunities. It is also the largest and fastest growing industry in the world

(Walker, 2004). According to Jones and George (2003), many hospitality organisations have come to

the conclusion, that to survive in the 21st century, they will have to adopt a global perspective. Ford

and Heaton (2000) maintain, the modern economy is dominated by service organisations. The

hospitality industry is a diverse industry with a powerful, common dynamic that focuses on the

delivery of quality services and products and the customer/guest’s impressions. An employee in the

hospitality industry needs to have the ability to influence the human experience, by creating powerful

impressions. These include providing the service quality and value that guests expect which, in return

should make lasting impression on the guests (Walker, 2004).

The hospitality industry in South Africa is faced with challenges such as increasing competition -

nationally and internationally - economic recession, downsizing, the need to work smarter and not

necessarily harder and, above all, more discerning guests/consumers. Due to these challenges

hospitality organisations and management are obliged to adapt to a dramatically different work

environment. For organisations to stay competitive they have to provide higher quality and value-

added services and products to their guests/customers. (Burke, 2001). To create a culture of service in

a hospitality organisation, managers need to be able to influence and encourage their employees to

contribute positively towards accomplishing this objective (Rue & Byars, 2004, Burke, 2001).

Supervision that is seen as the first level of management fulfils a significant role in the provision of

quality service and the creation of a service culture within organisation. Thacker and Holl (2008)

confirm that a competitive advantage gained is through people, therefore to achieve this competitive

edge managers have an integral role to play. This implies that the supervisor in the hospitality

industry can be identified as the embodiment of organisational values, a source of feedback and

learning as well as a provider of resources and support regarding the delivery of high quality service

and products (Burke, 2001). According to Elangovan and Xie (2000) a supervisor has to oversee the

activities of the employees report him/her.

Literature Review

Since the 1994 elections, South Africans have referred to themselves as the ‘rainbow nation’. This

nation is composed of people from different races, tribes, languages and religions. This diversity

implies that people perceive and interpret situations differently in the workplace. Due to a variety

1Department of Hospitality Management, Tshwane University of Technology, Pretoria, South Africa

Email: [email protected]


11


these different perceptions and interpretations, hospitality organisations are challenged with managing

a diverse workforce (Smit, Cronje, Brevis & Vrba, 2008).

According to Wood (2006) and Walker and Miller (2010) there has been a growing interest in

‘diversity management’ since the mid-1980s. This concept originated in the United States of

America. The main reason for the increasing interest in diversity management in South Africa is the

changing composition of the labour force, coupled with the legislation spelling out affirmative action

objectives (Smit, Cronje, Brevis & Vrba, 2008). Table 1 illustrates ethnic and gender diversity in

South Africa. Table 1: South African Demographics.

Population

group

Male Female Total

Number % of Male

population

Number % of

Female

population

Number % of Total

population

African/Black 19 472 038 79, 4 20 734 337 79,5 40 206 275 79,5

Coloured 2 188 782 8, 9 2 351 008 9, 0 4 539 790 9, 0

Indian/Asian 626 690 2, 6 648 177 2, 5 1 274 864 2, 5

White 2 227 526 9, 1 2 338 299 9, 0 4 565 825 9, 0

TOTAL 24 515 036 100, 0 26 071 721 100, 0 50 586 757 100, 0

Source: Estimates for South Africa by population group and gender. Mid-Year 2011 (SSA, 2011).

In an organisational context the term ‘diversity management’ refers to a set of evolving philosophies

and practices. These philosophies and practices are concerned mainly with optimal utilisation of a

variety of human qualities, orientations and dispositions to satisfy ethical precepts as well as to pursue

successful business goals. To management of a diverse workforce each individual in the organisation

is regarded as a unique person, with a unique psychological and social personality. However what

management should realise is that these individuals do belong to an identifiable social group. This

group will share specific characteristics with other groups such as gender or colour. The purpose of

effective management of a diverse workforce should be to reach organisational goals through ethical

treatment of individual. Management should be able to capitalise on these differences thereby

ensuring positive organisational performance (Smit, Cronje, Brevis & Vrba, 2008).

The process of profiling involves analysing and/or identifying personality and behavioural

characteristics of an individual based on the work he or she has to perform. An employer is able to

draw conclusions about the individual, in this case the hospitality supervisor, by observing and

evaluating performance (Pistorius, 2005). Hospitality organisations are faced with complex

challenges when it comes to transferring specific knowledge and relevant skills to new supervisors. It

is more difficult to transfer new knowledge and skills when a supervisor occupies a post that does not

really match his/her personality. Generally such a supervisor will require more effort from the

manager than the supervisor that one whose natural abilities are suited for the job (Baron, 2007).

What complicates matching the job with the supervisor is the fact that organisations are expected to

manage an increasingly diverse workforce (Joshi, Dencker, Franz & Martocchio, 2010). Applicable

knowledge and skills required for job performance are crucial to a supervisor as these attributes will

mean that an employee that will be more satisfied, leading ultimately to create a win – win situation.

A supervisor that is not really suited to the job may deliver a reduced level of performance. This is

not an outcome an employer or employee, in this case the supervisor would welcome (Baron, 2007).

Due to strong competition among hospitality organisations, human resource managers have realised

that matching a supervisor to the job is a key factor in improving quality of service and increasing

labour productivity. Unfortunately, the hospitality industry is characterised by a workforce with

relatively low levels of skills. The industry still has the reputation of low labour retention and in some

countries recruiting skilled labour is problematic due to poor working conditions or limited or no

career prospects (Marchante, Ortega & Pagan, 2007, U.S. Bureau of Labour Statistics, 2006-7).

According to Kusluvan and Kusluvan (2000) the hospitality industry needs a well-educated, well-

trained, skilled, enthusiastic and committed workforce, as quality of service in the industry is

inextricably limited to performance.

..... 12


One responsibility of a hospitality supervisor involves understanding guests’ expectations and

meeting these expectations in a very personalised and creative way. It is also a foundation of a

hospitality supervisor to encourage employees to contribute positively towards accomplishing

organisational goals and objectives (Rue & Byars, 2004). The profile of a hospitality supervisor is

multifaceted, comprising capabilities, knowledge, experience, education and personality traits

(Emenheiser, Clay & Palakurthi, 1998). To remain competitive in today’s economic environment and

to change the perception of an industry manned with low skilled employees and increasing staff

turnover, it is imperative to develop a profile of an efficient supervisor. According to Pistorius (2005)

a profile cannot identify a person, but it can reduce the number of candidates for a position. An

employer could be provided with specific information pertaining to the type of individual to be

recruited and possibly selected for the position of supervisor. Profiling a supervisor is crucial,

because knowledge will assist hospitality organisations to recruit and select a candidate who has the

potential to be trained and developed into a worthwhile hospitality supervisor.

The majority of supervisors in hospitality establishments are promoted from within the ranks of

current employees. They are selected on the basis of their performance and experience as well as on

their technical skills. Being promoted to supervisory level is management’s way of showing

appreciation for an employee’s past performance (Rue & Byars, 2004, Kumagai and Kleiner, 1995).

Charan, Drotter and Noel (2001) add that when an employee becomes a skilled individual contributor

who produces good results and demonstrates the ability to collaborate with other people, he/she will

be eligible for promotion to a supervisory level. It has often been considered to be more cost-effective

to develop existing employees into supervisors than to recruit new candidates (Williams & Hunter,

1992).

Gannon (2006) states that in the past there was a tendency for an employee to become a supervisor

and then be promoted to general manager if their immediate supervisor thought highly of them.

He/she looked the part! According to Charan, Drotter and Noel (2001) being promoted from the pool

of current employees sometimes presents a challenge as this individuals thinks that all the hard work

as a contributor to the organisation has finally been recognised. According to Kumagai and Kleiner

(1995) and Charan, Drotter and Noel (2001), when the new supervisor finds himself/herself in a

position of authority he or she is often poorly prepared to assume these responsibilities. The new

incumbent has to acquire additional skills in planning activities, communicating, motivating,

counselling, disciplining and training of employees. Sometimes it is expected that these skills can be

mastered overnight. Thacker and Holl (2008) opine that managerial roles require different

competencies and skills which are unrelated to technical skills. Furthermore a supervisor belongs to a

group of employees that have less formal training in job performance criteria than any other group of

employed people. One reason is that prior to an employee’s promotion to supervisory level, he/she

does not receive special training and preparation for the new job. These responsibilities often have to

be acquired through trial and error (Kumagai & Kleiner (1995).

Research Methodology Research instrument

A performance standard document, based on the concept “leadership pipeline – how to build the

leadership-powered company”, was provided by the one of the main hotel chains in South Africa.

This hotel chain is rated among the fifty top hotel chains in the world and is regarded as the leading

hotel chain in South Africa (Southern Sun, 2010). This performance standard document is used when

training, developing and building skills of their staff. Recruiting employees for management positions

could suggest that the leadership pipeline in a specific organisation is not performing, because internal

training, mentoring and other developmental programmes are not filling the pipeline. A leadership

pipeline model is not a straight cylinder. It bends in six places each of which in return represents a

change in organisational position. For the purpose of profiling the hospitality supervisor a

questionnaire focusing specifically on the passage/bending to “manage others”

(operational/specialists) was developed (Charan, Drotter & Noel, 2001).

Supervisors are measured according to the following performance dimensions: leadership and people

performance; guest and relationship performance; financial and business performance; Management

and operational performance; and innovation and improvement performance (Southern Sun, 2010). In

developing the questionnaire the above-mentioned performance dimensions were considered The

13


questionnaire consists of four sections, namely biographical information; perceived supervisory

experience knowledge and skills with regard to the achievement of organisation’s goals; perceived

expectations of personal performance as a supervisor and required supervisory skills and two open

ended questions. The paper will only focus on the socio-demographic data.

According to Jones, George and Hill (2003:89), Walker and Miller (2010:24), ethics are moral

principles or beliefs that guide individuals in deciding what is right or wrong when dealing with

situations that involve other individuals or groups. For this study, ethical issues are relevant because

for this research process, various individuals from the different hotel chains were contacted and

interviewed and important and valuable information was collected from them. The following ethical

considerations were observed:

To improve the reliability of this process the researcher chose the option of pilot testing (Bradburn,

Sudman & Wansink, 2004).

Pilot Study

The pilot-test would ascertain whether all research questions were realistic and possible to assess

(Berg & Theron, 2002) before the researcher used the final version in the hypothesis-testing situation.

Although the above procedure may appear to be time-consuming, it is likely to produce more reliable

results.

Participants in the pilot-test were ten supervisors from two boutique hotels. As the pilot-test

procedure was not identical to the main study and respondents were given more flexibility, it was very

helpful for the researcher to melt with the focus group after the completion of the questionnaire to

discuss any problems experienced. No difficulties in completing the questionnaire were experienced

and all ten respondents agreed that the questions were clear, logical and relevant to their position as

hospitality supervisors. During the focus group discussion respondents did, however, mention that

supervising employees had changed in recent years. Diversity in the workplace had forcing the

supervisor to modify his/her leadership style to ensure the effective management of employees with

improved organisational efficiency.

Distribution of questionnaire

A self-administered questionnaire was sent via e-mail to a key staff member in the hotel chain who

was responsible for the distribution of the questionnaire. Each respondent had a choice between e-

mailing or posting the questionnaire directly to the researcher or sending it back via the office of the

key staff member who was responsible for the distribution of the questionnaire. Response rates

present a major concern in research studies as a high proportion of sampled respondents do not

respond. Vos, Strydom, Fouche and Delport (2005) add that the response rate to mailed questionnaires

is often around 30%. Failure to complete the questionnaire could be ascribed to the fail that

respondents refuse to do o as it is not compulsory to take part in any survey. Other factors could play

a role. Fear of social isolation, an overload of surveys or privacy concerns are a few reasons (Neuman,

2003).

Data collection

The population chosen consisted of supervisors employed in the hospitality industry in South Africa.

Convenience sampling was used for this study. Respondents who were most available were contacted

first. This process was repeated until the sample reached the desired size (Vos, Strydom, Fouche &

Delport, 2005). In this particular study the sample identified was initially the team of supervisors in

one of the main hotel chains in the Republic of South Africa. A total of approximately 379

supervisors could be involved. After having distributed the questionnaire for a third time due to the

initial low responses the first and second time around, the researcher realised that there would be no

further responses. Only 97 responses out of a possible 379 responses in this hotel chain, were

received. Due to the low response rate, the study was expanded to another six hotel chains in South

Africa. The response rate was still very low and a final number of 141 questionnaires were received.

..... 14


Data analysis

This study was conducted using a quantitative research approach, although a small part of the study

was done using a qualitative approach. The reason for selecting a quantitative research approach is

being able to select answers to questions about relationships from measured variables (Leedy &

Ormrod, 2001). Statistics have two major functions: the first function is to describe what the data

looks like – identifying the centre or midpoint (describing numerical data) and the second function is

to make inferences about large populations. This is done by collecting data from relatively small

samples and then generalising the characteristics to a larger population (Leedy & Ormrod, 2001,

Neuman, 1997). As mentioned the questionnaire for this research study consisted of closed

(numerical data) as well as open-ended questions (textual data). However these two sets of data were

analysed using different methods. Data were analysed with the assistance of a qualified statistician

using IBM SPSS Statistics V20.

Results and Discussion Demographic characteristics concern gleaning information from the population sample to determine

the age group, marital status, gender, race, number of years working in the industry and the level of

education. This information included the age group of supervisors currently in the hospitality industry

in South Africa. It also provides information on gender, educational level and number of years in

each age group.

Age: The age distribution of the participants fell into four age groups. After having analysed the data

of the respondents, the researcher concluded that there has been influx of younger supervisors into

the hospitality industry in South Africa. Seventy two point three percent (72,3%) are members of

Generation Y that were born after 1980. The second largest group of supervisors are between 26 and

35 which represent Generation X with 15,3%. These members were born between 1964 & 1980.

Baby Boomers present as the smallest group with 12,4%. These members were born between 1945&

1964. Hospitality staff is typically diverse with all three age groups being represented (Yu & Miller,

2005).

Furunes and Mykletun (2005) state that current human resource managers in the hospitality industry

tend to favour a younger workforce. The majority of the workforce in the hospitality industry in the

United States is between 18 years old and the mid-30s, which constitute the Generation Y. The

situation is that the younger employees outnumber the older employees. They also contend that the

Generation Y and the Generation X members are willing to work hard, but they demand more than the

Baby Boomers. The job needs to be worthwhile and they have to enjoy it (Walker & Miller, 2012). It

is argued that hospitality managers should try to retain older employees. Having an age-balanced

hospitality workforce is likely to provide organisations with higher and more stable service-quality

levels. The reason for this is that older, more experienced employees will be better able to meet

guest/customer expectations than younger employees, due to experience (Bowen & Ford, 2004).

Geddie and Jackson (2002) confirm that the mature/older employee has a great deal to offer

employers and the business. A major attribute of the more mature employee is that he/she tends to be

satisfied with the jobs. Furthermore they are self confident and their work reflects quality. Harkison

and Poulston (2010) assert that the hospitality industry in New Zealand is primarily a young people’s

industry and the common age for a supervisor is between 20 and 25 years. With Generation Y

employees entering the workforce, management are faces with the ‘glass ceiling’ issue as half of this

generation expect to be promoted in less than two years while two thirds of them expect to move on

from the job they are in within five years (Eisner & Harvey, 2005).

Gender: Distribution with regard to the gender of participants is displayed in Table 2. The majority

of respondents are female with (n = 85) representing 61.6% of the sample. Male (n = 53) respondents

represent 38.4% of the sample. There is a definite tendency towards a larger number of female

supervisors. The number of women entering the labour market increases every year.

With more women in the workforce, the dynamics of a typical hospitality establishment will change

dramatically, with managers having to deal with issues such as work-family conflict and dual - career

couples. Another important issue relating to gender as a dimension of diversity is the ‘glass ceiling’.

This refers to the position of women who still have difficulty of being promoted to higher positions in

the organisation because of their gender (Smit et al, 2008 & Eisner and Harvey, 2005). Studies

15


indicate that female managers in the hospitality industry are unlikely to occupy higher managerial

posts, whereas the male managers stand a better chance of being appointed in senior management

positions (Garavan, O’Brien & O’Hanlon, 2004). According to Smit et al. (2008) men in the USA

occupy 97% of top positions versus South Africa where men hold 87% of top positions.

Table 2: Socio-demographic data on a supervisor in the hospitality industry in South Africa

VARIABLE Frequency (n) Percentage (%)

Age

18 – 35 Years 99 72,3

36 – 45 Years 21 15,3

46 Years and older 17 12,4

TOTAL 137 100

Gender

Male 53 38.4

Female 85 61.6

TOTAL 138 100

Race

White 31 22.3

Black 70 50.4

Asian 20 14.4

Coloured 16 11.5

Other 2 1.4

TOTAL 139 100

Marital Status

Married 49 35.3

Widowed 1 0.7

Divorced 9 6.5

Separated 2 1.4

Never Married 78 56.1

TOTAL 139 100

Grade

Grade 10 8 5.8

Grade 11 8 5.8

Grade 12 115 82.7

Other 8 5.8

TOTAL 139 100

Highest qualification obtained

None 24 18.0

Certificate 37 27.8

Diploma 56 42.1

Higher Diploma or B Tech Degree 9 6.8

Bachelor’s Degree 5 3.8

Honours Degree 1 0.8

Masters’ Degree 1 0.8

TOTAL 133 100

Department/Division

Food and Beverage 30 21.7

Front of House 62 44.9

Housekeeping 19 13.8

Other 27 19.6

TOTAL 138 100

Years

0 – 5 44 31.7

6 – 10 53 38.1

11 – 15 21 15.1

16 + 21 15.1

TOTAL 139 100

..... 16


Race: According to official statistics South Africa has a population of about 50 586 757 people.

Blacks represent 79.5% of the population, Coloureds 9%, Indians and Asians 2.5% and Whites 9%

(SSA, 2011). According to the data in Table 2 the black population has the largest percentage of

supervisors, namely 50.4%, followed by the White population with 22.3%. Asians and Coloureds

represent 14.4% and 11.5%, respectively of the supervisors in the sample. After the elections in 1994,

South Africa adopted a new constitution in which the country redefines itself as a democratic non-

racial society. The Equity Employment Act and Affirmative Action laws were promulgated by the

South African government, and organisations were charged to address imbalances in the workforce

through transformation (Smit et al., 2008).

Marital status: Data indicate that 56.1% of the respondents are not married, followed by the married

group of respondents, 35.3%. Divorced, separated and widowed people represent a lower percentage

of respondents in the sample, with 6.5%, 1.4% and 0.7%, respectively. Marital status of the

employees is a variable that could add to the complicate or simplify the social mix in organisations

(Smit et al., 2008:241). Management need to recognise differences and apply them as strengths in the

organisation. Mohyeldin and Suliman (2003) remark that married employees generally have more

commitments such family and social obligations than non-married employees. Due to these

commitments, they tend to perform better in their jobs, as they are eager to ensure their permanence in

the organisation. They display more interest in organisational investments. Unmarried employees tend

to be more flexible when it comes to changing jobs and organisations. The above-mentioned authors

opine that married supervisors seem to be more committed and act more responsibly than non-married

supervisors. Unmarried supervisors lean towards overestimating employees’ performance to avoid

complaints and confrontation.

Highest grade of schooling completed: The data show that the majority of respondents are in

possession of a Grade 12 certificate (82.7%), which means that the majority of supervisors in the

sample completed high school. Data further indicate that 5.8% of respondents completed Grade 11

and another 5.8% completed Grade 10. Only 5.8% of the respondents have a level of education below

Grade 10.

Level of education attainment: Data indicate that 42.1% of respondents are in possession of a

Diploma, 27.8% obtained a Certificate and 18.0% have no tertiary qualifications. A very small

percentage of respondents (6.8%) have a Higher Diploma or B Tech Degree. Only 0.8% of the

respondents have an Honours Degree and only one (0.8%) respondent has a Master’s Degree.

Eisner and Harvey (2005) reported that the level of education among employees in America has risen

significantly. The number of employees between the ages 25 to 64 with tertiary education has

doubled from 1970 to 2006. Unfortunately, the hospitality industry still has a reputation for not rating

tertiary qualifications very highly. Hospitality employers tend to rate interpersonal, problem-solving

and self-management skills as more important than education (Raybould & Wilkins, 2005). This

could be the reason for the lower percentage of respondents with a tertiary qualification, such as with

a Higher Diploma/Bachelor’s Degree or an Honours Degree. Managers in hospitality organisations

tend to view a Bachelor’s Degree as irrelevant. Those who have a higher qualification compete for

jobs against those with more experience in industry,, but without a tertiary qualification. The

hospitality industry prefers to appoint experienced employees rather than those employees with a

degree. An employee with a lower level of education but with experience will be able to begin at

supervisory level. The benefit of education showed become evident when an employee wants to

progress to higher levels of management, but research still shows a tendency that career patterns of

managers with or without a degree are similar (Garavan, O’Brien & O’Hanlon, 2004). Further

research indicates that the number of degrees or qualified employees is increasing slowly (Harkison &

Poulston, 2010 and Chi & Gursoy, 2009).

The department/division currently employed: The majority of respondents work in the Front of

House department (44.9%) followed by those who work in the Food and Beverage department

(21.7%). In this study 19.6% of respondents work in other departments, such as maintenance,

reservations, etc and 13.8% of respondents are in the Housekeeping department. A study done by

17


Garavan, O’Brien and O’Hanlon (2004) highlights that supervisors involved in areas such as front

office (Front of House) and restaurant, bar and kitchen (Food and Beverage) are most frequently those

that are promoted to middle management level. One reason given is that operational skills, such as

skills related to customer contact are major considerations when career advancement of supervisors is

considered. This shows that Front of House and Food and Beverage departments play a significant

role in career advancement for supervisors in the hospitality industry.

The efficiency of a hospitality establishment such as a hotel is inextricably linked to the individual

qualities of their employees (Lockyer & Schoarios, 2004). Choi, Woods and Murrman (2000)

maintain that these establishments need to employ a variety of people, to meet, and even exceed

guests’ expectations. Furthermore, the perception of a guest in the hospitality industry of service

quality is directly linked to the morale, motivation, knowledge, skills and authority of the employee

(Lockyer & Schoarios, 2004). Yu and Miller (2005) assert that knowledge and skills required

currently by employees are infinitely more complex than those required previously.

Number of years experience in the hospitality industry: Table 2 indicates that 38.1% of

respondents have worked in the hospitality industry for between six and ten years. The second largest

group (31.7%) of respondents have up to five years’ experience in the industry. Fifteen point one per

cent (15.1%) of respondents have between eleven and sixteen years’ experience while another 15.1%

have more than sixteen years’ experience.

Currently the hospitality industry projects a negative image as employees regard employment in this

industry as a temporary employment option. Hospitality establishments tend to hire low-skilled

employees at entry level and then promote them from within the pool of employees as they gain

relevant skills and experience. Traditionally, the two older generations, Baby Boomers and

Generation X employees embraced the philosophy that a career choice was for life, thereby implying

that they would spend their entire working life in one industry (Josiam, Reynolds, Thozhur,

Crutsinger, Baum & Devine, 2008). According to Harkison and Poulston (2010) employees with a

vocational qualification will take between 9 and 15 years to reach the position of general manager in

the hospitality industry, consequently there are a smaller percentage of the older generations at

supervisory level. With the younger generation, Generation Y having entered the workforce, the

perception has changed. The Generation Y employee is not averse to changing employers within the

industry or even pursuing careers in other industries (Josiam, Reynolds, Thozhur, Crutsinger, Baum &

Devine, 2008). This trend is confirmed by Kotze and Roodt (2005) who maintain that Generation X

employees believe security to be tied to a career, and not necessarily to an organisation. To this

generation each job is a stepping-stone to the next opportunity. The authors add that employee

turnover has increased by 25% over the last five years in South Africa. A survey in 50 countries and

330 organisations employees indicates that Generation Y members plan to resign from their current

jobs within the next two years. Retention of employees is becoming an increasing challenge in the

workforce, both locally and internationally.

Table 3: Cross tabulation of the departments/divisions and generations currently employed in the

hospitality industry in South Africa

Department/Division

Baby Boomers

(BB 46+)

Generation X

(Gen X 36-45)

Generation Y

(Gen Y 18-35)

Total

Food and Beverage

department

Count 1 5 23 29

% within Generation 6.7% 25.0% 23.5% 21.8%

Front of House

Department

Count 6 4 50 60


Housekeeping

department

Count 5 4 9 18


Other Count 3 7 16 26


Total Count 15 20 98 133


..... 18


Supervision which is seen as the first level of management fulfils a significant role in the provision of

quality service and the creation of a service culture in an organisation. Thacker and Holl (2008)

confirm that the importance of competitive advantage is through people, therefore to ensure this

competitive edge managers play an integral role. For this reason the supervisor in the hospitality

industry can be identified as the purveyor (supplier) of organisational values, sources of feedback and

learning, the provider of resources and support regarding the delivery of high-quality service and

products (Burke, 2004).

Managers from the younger generation, Generation Y are gradually filling managerial positions

vacated by Baby Boomers and those from Generation X. The results in Table 3 shows that the two

generations that are most representative in the Front of House department are Generation Y with

51,0% and Baby Boomers with 40.0%. This outcome provides an interesting view on the work

environment of a hospitality establishment as the attitude to work of these two generations differs

completely from each other. According to Geddie and Jackson (2002) the more mature employee

from Baby Boomers and Generation X has a great deal to offer a hospitality organisation. Baby

Boomers and Generation X employees tend to be absent less from work than those from the younger

generation, Generation Y. In their study they report that employees between 20 and 25 years of age

account for more accidents in the workplace than mature employees. One reason could be that an

older employee is more responsible when performing his/her work. These employees will not easily

resign from their jobs. They also tend to experience less job-related stress. The study further

indicates that the more mature employee is dependable, has a positive attitude towards work while

guest relations and quality of work are rated highly. These are important factors as they could

contribute to the level of service delivered to guests. However, the one comment that was made on

the findings was that members of the older generation were not likely to be flexible and/or creative.

A study done by Josiam, Reynolds, Thozhur, Crutsinger, Baum and Devine (2008) in the United

States of America (USA) and the United Kingdom (UK) on the issue of attitude towards work in the

hospitality industry affirms that low-skilled employees continue to be hired at entry level. More

often promotions are sourced within this group of employees after they have gained skills and

experience, thus the high percentage of Generation Y are still found at supervisory level, as these

people gradually fill managerial positions vacated by Baby Boomers and Generation X employees.

The work ethics of the Generation X employees differs from that of the Baby Boomers. Baby

Boomers expect of their managers to give direction and steer them towards organisational goals.

Management is challenged in the workplace by this generation because the former tend to resist

change and they are not highly technologically advanced. Managers need to encourage them to take

advantage of any training opportunities in the workplace (Yu & Miller, 2005). Generation X

members prefer to experience personal satisfaction that is not merely derived from working hard.

They are more independent problem-solvers, self-motivated and self-sufficient and will look for any

opportunity to improve their skills. One can understand why studies indicate a low percentage of

Generation X members at supervisory level as they would work hard to get promoted when the

opportunity presents itself (Yu & Miller, 2005 and Sirias, Karp, & Brotherton, 2007).

Conclusion Hospitality organisations and their management are more challenged today than in the past as there is

an influx of a wider culturally diverse workforce due to demographic changes. Historically the

hospitality workforce comprised of more white males, but today’s workforce has a far wider diversity.

The increase of younger employees, more women and higher qualified employees in the workforce, as

well as the current older employee still working in the industry, create a more complex work

environment than ten years ago. Today’s leaders need to deal with such diversity if they still want to

ensure sustainability in their organisations. Technical skills associated with supervisory level in the

past are not necessarily the same skills essential to perform the duties of a professional and competent

supervisor.

The managerial functions of a supervisor are centred on the daily activities of the departments or units

he/she manages. Time should be spent keeping employees motivated and anticipating the needs and

wants of the guest/customer. Creating a culture of service is a primary function. To be able to

discharge these duties well, a hospitality organisation needs someone with specific competencies

regarding personality, perceptions of the job, as well as a good attitude, sound values and specific

19


characteristics. Competencies are influenced by factors such as age, gender and culture. Therefore

when profiling a supervisor it is necessary to establish that candidates pursuing a career in the

hospitality industry have a profile that matches the requirements of the industry.

The hospitality industry in South Africa is experiencing a major change in their labour market.

Diversity in the workplace became a reality, not only relating to age and sex, but also to generation

and population. A younger generation entered the workforce and more females (Black) are occupying

the position of supervisor. Generation Y has very different job attitudes and work values than the

Generation X and Baby Boomers. Work ethics does change with maturity, but values are more

strongly shaped by generational influences than age alone (Leiter, Jackson and Shaughnessy, 2008).

The younger generation tend not commit to one career. They seem to be more loyal to family, friends

and their colleagues than to the job itself. This could become a challenge to hospitality organisations

as they invest time and capital in training and developing these supervisors.

A hospitality supervisor’s effectiveness is significantly influenced by his/her insight into the job itself.

If the incumbent occupying the position of supervisor is not a good fit this could result in

dissatisfaction or reduced commitment to the job. This, in return could have an influence on the

efficiency of a supervisor as the incumbent would experience greater exhaustion at work because of

the inability to perform as a supervisor. Choices that the supervisor makes regarding his/her work will

be determined by the demands posed by the job. An effective supervisor is the person who spends

time meeting people and building a network of contacts, but being ‘out there’ is not sufficient. The

level of efficiency will be determined by consistent informal communication at all levels in the

organisation. Face-to-face contact with staff of the various departments in the organisation and

reinforcing good results, is one of the principles that supervisors should follow. Willingness to be

flexible and to resolve problems as a team with employees is another principle that should be

followed.

The value of this study should provide hospitality organisations with a better understanding of the

hospitality workforce that is more diverse in terms of race, gender, ethnicity and generation.

Management will understand that each generation has its own views on how values and desires are to

be satisfied. Most of all management need to understand how the above-mentioned views will re-

define the organisational environment and indicate how business operations should be conducted.

If this survey is expanded, a South African socio-demographic profile of the supervisor in the

hospitality industry could be compared with an international or global socio-demographic profile.

One might identify differences in the comparison of the profiles.

Limitations of the Study Limitations to this study must be noted. The data collected for this study, initially started with a team

of supervisors assigned to one of the main hotel chains in South Africa. As mentioned only 97 of the

379 respondents completed the questionnaire. The result was insufficient data to provide an accurate

profile of a supervisor in the hospitality industry in South Africa. Due to a very low response rate the

sample of this study was expanded to other well known hotel chains in South Africa. The final

number of respondents was 141. The sample size is very small in relation to the number of

supervisors in the hospitality industry in South Africa. Studies spanning a number of years could

provide a larger sample size which will enable the researcher to draw inferences with greater

confidence.

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Quality Management Systems in the Hospitality Industry

J.R. Roberson, I.C. Kleynhans1 & W.J.L. Coetzee

Abstract This paper discusses methods currently in use to measure grading systems in the hospitality industry.

Further objectives are to fill gaps in the literature regarding measurement of quality management in

the hospitality industry and to gain an understanding of quality management in the industry. An

assessment of the extensive body of literature on measurement of total quality management systems in

the hospitality industry was conducted through content analysis. The study reveals that a variety of

measurement instruments for quality management exist in the international hospitality industry.

Standard measurement instruments do not exist in the tourism, accommodation as well as the food

and beverage sectors regarding, what is measured and how measurements are done and how scores

are derived.

Key words: Hospitality industry, total quality management systems, grading, benchmark

Introduction In most sectors of the tourism and hospitality industry customers rely on quality management systems

to give them some indication of the level of quality they can expect at a certain price (Kozak &

Rimmington, 1998; Narangajavana & Hu, 2008; Stringam et al., 2010). For South African restaurants,

that form an integral part of the hospitality industry, a nationally accepted grading system does not

exist. It is therefore important to determine what criteria restaurateurs regard as important when

determining the quality of service they choose to provide.

Objectives of the Study The main objective of this study is to determine what total quality management systems exist in the

hospitality industry globally. The variety of quality management systems used in the hospitality

industry will be described and current national and international grading systems employed in the

tourism industry will be identified. Further objectives are to fill gaps in the literature regarding quality

management in the hospitality industry.

Literature Review Even though the tourism industry ranks sixth as a contributor to the global economy, it remains the

largest service sector industry. The first four contributors belong to the merchandise product industry.

They are listed from largest to smallest: fossil fuels, telecommunications, automotive products and

agriculture (Lew, 2011).

The total economic contribution of the tourism industry to the global economy was USD 6 346.1

billion or 9.1% of the total gross domestic product (GDP) in 2011. These figures are estimated to

increase by 2.3% in 2012 (WTTC, 2012b). International tourist arrivals in the world showed a +4.4%

increase equating to 980 million international tourist arrivals in 2011. This is an increase of 41 million

from 2010 (UNWTO, 2012a, 2012b). The UNWTO (2012a) global forecast for 2030 is 1.8 billion

international tourists.

The domestic plus international tourism industry’s impact on Africa’s economy totalled USD 163.9

billion or 8.7 of the gross domestic product in 2011 and this is expected to increase by 3% in 2012

(WTTC, 2012c). In 2011 Africa received 50 million inbound international tourists (UNWTO, 2012a).

This growing number of tourists can be attributed to various factors of which the most significant are

abundant cultural and natural diversity, the growth in source markets and a move to independently

organised travel (Rogerson, 2007).

Statistics on the South African tourism industry reveal that it contributed a total of R328.2 ($32.8)

billion to GDP in 2011 or 11.4% of total gross domestic product. The economic sector of tourism

directly supports 594 000 jobs that equate to 4.5% of total employment figures in South Africa. Total

employment figures, including all jobs, even those that are indirectly supported, total 1 334 000 jobs

1 Tshwane University of Technology, Pretoria, South Africa. E-mail: [email protected]


23


or 10.1% of the total number of employed individuals in South Africa. Visitor exports generated

R82.8 ($8.28) billion or 7.5% of total investment in 2011 (WTTC, 2012a).

South Africa’s business environment will become increasingly complex and challenging, and the

country’s global business environment rating could be pushed down to 54th. The primary factors that

will contribute to this decline are growing inflation as a result of the steep rise in electricity tariffs as

well as the increasing cost of labour. Widespread growing in corruption has a negative impact. The

country’s business environment remains under pressure as a result of gross inequality and high levels

of crime and unemployment. The impact of these macro- changes and challenges on organisations can

be disastrous to the South African economy, if organisations do not respond appropriately. It is

therefore imperative that all sectors of the tourism industry function optimally. The tourism industry

has a major role to play if we are to avoid this scenario (Economist Intelligence Unit Limited).

However, food and beverage statistics for June 2012 (StatsSA, 2012) reveal the following

encouraging figures. The total income contributed by the food and beverage industry increased by

10.8% year on year to a total of R3 419 ($342) million. Restaurants and coffee shops contributed 3%

to the 10.8% increase and showed a total income of R5 900 ($590) million

The restaurant industry as a sector of the tourism industry has the potential to contribute significantly

to the growth of the South African economy, if customer’s needs are fully met. One innovation that

could contribute to improvement in customer service is the implementation of a total quality

management system.

Benchmarking

Benchmarking is a procedure used in the tourism industry that focuses on the quality of products

without considering the process or outcomes ( Ogden, 1998). Contrary to this narrow definition,

benchmarking can also be defined as a comparison of attractions, facilities, infrastructure,

transportation, hospitality and costs in the tourism industry (Jovičić & Ivanović, 2006).

Benchmarking is one of the methods available to a manager when he/she develop strategies to ensure

competitive advantage (Al-Ghamdi, 2005). Competitive advantage is the result from favourable

comparison of the level of efficacy and efficiency that exists among competitors. One of the outcomes

of benchmarking is the implementation of best practice ( Kale & Karaman, 2011; Reid, 2008). If the

process of benchmarking is flawed, the results will lead to misinterpretation of the competitive

position and average performance (Ladd, 2010). Despite these shortcomings benchmarking retains its

advantage in the industry (Kozak & Rimmington, 1998).

A grading system, a form of benchmarking that is commonly used in the tourism industry, can be

designed to compare and measure service delivery and business performance (Kozak & Rimmington,

1998). In a study conducted in Thailand it was found that a significant correlation existed between

improvement in service quality, improved hotel performance and an increase in sales (Narangajavana

& Hu, 2008). A grading system provides customers with an instrument that is able to compare

accommodation providers in the tourism industry (Callan, 1998; TGCSA, 2012b). The findings of

these comparative exercise influence customers’ purchasing decisions and determine whether

customers would recommend the provider to other individuals (Gerdes, Stringam & Brookshire, 2008;

Stringam & Gerdes, 2010; Stringam, Gerdes & Van Leeuwen, 2010). In a study on the expected and

perceived quality in hotel management it was found that guests’ expectations, based upon grading,

among others, were generally higher than their perceptions of quality.

Benchmarking is a cost-effective method available to a manager when formulating strategies to: meet

customer needs better, identify strengths and weaknesses and stimulate improvement that could lead

to a sustainable competitive advantage (Al-Ghamdi, 2005; Kozak & Rimmington, 1998). External

benchmarking is based on a comparison of efficacy and efficiency between competitors while internal

benchmarking is based on a comparison of units in a restaurant.

Johnson (2000) lists seven steps in the benchmarking process.

..... 24


1. Identify the aspects of your restaurant operation that will benefit you most when they have been

benchmarked.

2. Describe the variables which will be used to measure the identified aspects.

3. Select restaurants that are known as leaders in industry.

4. Measure aspects and variables identified by the industry leaders.

5. Compare measurements obtained at your own restaurant with those of leaders in the industry.

6. Develop strategies to improve the operation of your restaurant to surpass that of leaders in the

industry.

7. Implement the developed strategies and set deadlines for achievement of these.

The focus of benchmarking in the restaurant industry is aimed at improving the service provided to

customers (Min & Min, 2011) by implementing the industry’s best practice ( Kale & Karaman, 2011;

Reid, 2008).

Total quality management

The mere benchmarking of quality criteria is not adequate if it is not supported by a total quality

management (TQM) philosophy. TQM relies on the three managerial processes namely, customer

orientation, process orientation and continuous improvement (Hill & Wilkinson, 1995). TQM factors

that are evident in the tourism industry are leadership, guest and market focus as well as information

analysis (Sila & Ebrahimpour, 2003).

As customer or guest orientation is so prominent in TQM approaches, restaurateurs are obliged to take

cognisance of the fact that TQM relies on organisational learning of procedures that in turn focus on

effective operations (Trim & Lee, 2007).

TQM can be defined as: “an organisational culture that emphasises internal integration at the same

time that it demands innovation in the market place” (Breiter & Browen, 1998). Based on an article

by Lewis (1993) service quality can be defined as: “….. quality service encounters (direct interaction

between a service provider and customer) that creates a positive impression and evaluation of the

service. “

The application of TQM in a restaurant will impact positively on the business activities in three main

areas. Ramdeem, Santos & Chatfield (2007) identifies these areas as:

1. Prevention of excessive food and service costs by: accurate meal and staffing forecasts; payment

and cash control; identification of and correction in areas that might lead to problems; trained

staff; effective recovery strategies; and consistent preparation and service techniques;

2. Developing standardised service and preparation performance by implementing: standardised

meal preparation; meeting expectations of customers; successive inspection that includes quality

verification of previous preparation steps; minimum quality specifications for supplies; and

process and preparation checklists;

3. Prevention of product and service failures by: empowering employees; training preparation and

service staff in optimal use of equipment; immediate remedial action following customer

complaints; learning from mistakes; and sharing experiences with colleagues and management.

Hospitality TQM relies on the three managerial processes namely; customer orientation, process

orientation and continual improvement (Hill & Wilkinson, 1995). TQM factors evident in the

hospitality industry are, leadership, strategic planning, human resources, process management,

supplier management, business results, guest and market focus, as well as information analysis (Sila

& Ebrahimpour, 2003). The following elements contribute to TQM in the hospitality industry:

1. Professionalism and skills – customer expectations met by providing error-free service.

2. Attitudes and behaviour – efficient handling of customer orders as well as creating a hospitable

environment.

3. Accessibility and flexibility – easy access to and service needs provided to satisfy variety of

individual requirements.

4. Reliability and trustworthiness – honest employees providing quality food consistently and

maintaining service quality standards.

25


5. Recovery – co-ordination among employees to correct quality lapses and address customer

concerns.

6. Reputation and credibility – service and products in line with image and expectations (Theodoras,

Laios & Moschuris, 2005).

These factors need to be implemented as a unit as implementing them as free- standing entities will

not have the desired results (a quality dining experience). TQM principles are implemented using

improvement tools (statistical process controls), management processes (quality committees) and

measurement systems (cost of quality) (Hill & Wilkinson, 1995). The removal of restrictive and

limiting productivity practices is essential to ensure TQM (Wilkinson & Willmott, 1996). It is claimed

that only 20% of TQM interventions are successful. The high failure rate is attributed to poor

management practices and partial implementation of TQM principles (Hill & Wilkinson, 1995).

In the restaurant industry customers are participants in delivery and consumption of services (Al-

Khattab & Aldehayyat, 2011). Customers form an integral component of the service delivery process.

Customer satisfaction is a result of their perceiving value and quality service that will have a positive

impact on them which in turn leads to repeated support thereby ensuring sustainable competitive

advantage (Al-Khattab & Aldehayyat, 2011; Barber, Goodman & Goh, 2010; Cheng et al., 2012).

As customer or guest orientation features so prominently in TQM approaches, restaurateurs have to

take cognisance of the fact that TQM relies on organisational learning of procedures that focus on

efficient operations and service (Trim & Lee, 2007). TQM depends on an understanding of

customers’ expectations and it is an antecedent to service quality that in turn, is an essential element

in achieving customer satisfaction (Qin, Prybutok & Zhao, 2010). Customer satisfaction can be

equated to expectation fulfilment (Khan, Hussain & Yaqoob, 2012). The perceived value of menu

items influences customer expectations and behaviour (Iglesias & Guillen, 2004). When a service

meets a customer’s expectations he/she will experience the encounter as quality service and feel

satisfied. This situation creates trust and influences future behaviour (Hyun, 2010). Customer

satisfaction / dissatisfaction is the final phase in the five step purchase process described by Iglesias

and Guillèn (2004).

In addition to service quality, an above average dining experience depends on other aspects of quality.

These include price, location, food quality and physical environment (Barber et al., 2010; Hyun,

2010; Qin et al., 2010). In a study on perceptions of quality in the American fast-food industry, taste

of food was rated by customers as the most important indicator of restaurant quality (Min & Min,

2011). In an article Budhwar (2004) maintains that although quality restaurant service is regarded as

the minimum requirement, it does not necessarily ensure success. This view can be linked to the

motivational theory of Hertzberg who sees some factors as hygiene factors that need to be present for

other aspects to act as motivators or drivers of behaviour. This view is supported by Naude and Buttle

(2000) who caution against an overemphasis on quality service while very little proof of a direct link

between customer satisfaction and repeated buying exists. Their study suggests that quality of a

relationship is a more relevant predictor of repeat visits by customers.

However, the importance of service quality that meets customer expectations is undeniable, even

though researchers differ on whether it is a hygiene factor, motivator and/or a primary or secondary

factor in influencing customer behaviour.

A positive correlation exists between service quality and repeat patronage (Barber et al., 2010). If a

restaurant decreases the number of customers lost by 5%, this leads to a minimum increase in profit of

25% (Kotelnikov, 2008).

Customers that have had their needs met by quality service are more loyal and tend to promote

restaurants by word of mouth (AbuKhalifeh & Som, 2012;Stringam et al., 2010). A high correlation

exists between customer satisfaction levels and word-of-mouth reputation (Min & Min, 2011). Other

advantages identified are higher returns to investors, reduction in costs and lower vulnerability to

competitive pricing (Al-Khattab & Aldehayyat, 2011; Narangajavana & Hu, 2008). Peng and Lin

(2009) postulate that quality restaurant service encourages customers to spend more money.

..... 26


Quality scales

Realising the importance of meeting customer quality demands, researchers have developed various

scales to measure service quality. Some of the most prominent scales are reflected in Table 1 below.

Table 1: Service Quality Scales

Scale Dimensions measured

SERVQUAL 1) Tangibility – appearance of physical facilities, equipment, personnel

and information material

2) Reliability – ability to perform the service accurately and dependably

3) Responsiveness – willingness to help customers and provide prompt

service

4) Assurance – Combination of competence, courtesy, credibility and

security

5) Empathy – Combination of access to communication with and

understanding of the customer (AbuKhalifeh & Som, 2012b; Blesic et

al., 2011; Budhwar, 2004)

SERVPERF 1) Tangibility

2) Reliability

3) Responsiveness

4) Assurance

5) Empathy

6) Recoverability (Qin et al., 2010)

SERVICESCAPE 1) Ambient conditions - temperature, noise, odours

2) Spatial layout and functionality - arrangement of furniture, and how

this relates to customer needs

3) Signs, symbols and artefacts – signage and decor creating positive

image or mood (Kincaid et al., 2010)

LODGSERV 1) Reliability

2) Assurance

3) Responsiveness

4) Tangibles

5) Empathy (Stevens et al., 1995)

6) Communication (Cheng et al., 2012)

LODGQUAL 1) Tangibles

2) Reliability

3) Contact - combination of responsiveness, empathy and inspiring

confidence (Getty & Thompson, 1994)

LODGSERV 1) Tangibles - the physical evidence of the service revealed by physical

facilities and appearance of personnel

2) Reliability - consistency of performance and dependability

3) Responsiveness - willingness or readiness of employees to provide

quality service

4) Competence - possession of the required skills and knowledge to

perform the service required

5) Access - approachability and ease of contact

6) Courtesy - politeness, respect, consideration and friendliness of

contact personnel

7) Communication - keeping customers informed in language they can

understand, and listening to them

8) Credibility - trustworthiness, credibility, and honesty

9) Security – protection from danger, risk or doubt

10) Understanding/knowing the customer - making the effort to

understand the customer's needs.

HOLSERV 1) Employees

2) Tangibles

3) Reliability (AbuKhalifeh & Som, 2012b)

TANGSERV 1) Food service - variety of food, variety of beverages, presentation of

food, presentation of beverages and quality of menu

2) Staff – employees’ dress, gender mix and attitude.

3) Ambiance/social - lighting, space, customer characteristics,

heating/air- conditioning, music, seating quality and interior design

4) Cleanliness - interior, restroom, parking area

27


5) Accessibility - location and parking space. (Kincaid et al., 2010)

DINESCAPE 1) Physical surroundings

QFD 1) Service as a process with guests’ expectations measured at every stage

(Crick & Spencer, 2011)

DINESERV 1) Tangibility - parking area, building exterior, dining area, staff, decor,

menu, sufficient space, clean rest rooms, comfortable furniture

2) Reliability - service, prompt correction of errors, dependability,

consistency, accurate checking, accurate execution of order

3) Responsiveness - teamwork, prompt service and meeting special

needs

4) Assurance - knowledge, comfort, confidence, eagerness, willingness

to serve, safety and support

5) Empathy -sensitive to individual needs, attentive to needs,

sympathetic and reassuring, have customers best interest at heart

(Stevens et al., 1995)

+ Emphasis on aesthetic and functional dimensions (Barber et al.,

2010)

Lodging Quality

Index (LQI)

1) Tangibility - reception, uniforms, atmosphere, attractiveness,

congenial surroundings, efficient lighting, interior and exterior well

maintained, cleanliness

2) Reliability - reservations, room ready, equipment working, value for

money

3) Responsiveness – prompt response by employee, information

brochures, problems attended to, efficient room service.

4) Confidence – information supplied on places of interest, respect,

politeness, safe environment, convenient location.

5) Communication – clear tariffs, undivided attention at reception,

guests’ particular needs identified, needs anticipated (Getty & Getty,

2003)

It is impossible to measure hospitality service quality using one single measurement instrument

because the customer is always the ultimate judge of service quality (Al-Khattab & Aldehayyat,

2011). None of these instruments has been in frequent use or become generally accepted.

Cost of total quality management

TQM has cost implications. The restaurant manager needs to balance the actual cost with the expected

financial reward. The cost of quality (COQ) can be expressed as the sum of confirmation and non-

conformation cost (Ramdeen et al., 2007). Conformation costs comprise all the costs associated with

measuring, improving and maintaining quality restaurant service. Non-conformation costs are all

those costs associated with loss and spoilage of products and loss of patronage as a result of poor and

deteriorating standards. Some of these costs are listed in Table 2 (Schiffauerova & Thomson, 2006).

Table 2: Restaurant cost of quality (TCO) categories and factors

Category Restaurant factors

Prevention costs

Recruitment of skilled / qualified employees

Process / food and beverage quality audits

Process/\ menu design reviews

TQM training

Evaluation of food and beverage supplier

Hospitality marketing research

Menu engineering

Restaurant equipment maintenance

Assessment costs

Supply / Preparation/ Service quality audits

Menu item testing

Standardised recipe acceptance

Menu item acceptance

Recipe development

Inspection of ingredients and supplies

Inspection of preparation procedures

Continual supplier verification

..... 28


Internal failure costs:

Food waste

Re-preparation of dishes

Re-testing of menu items

Re-plating

Process/ menu design changes

Production/ service failure analysis

Downtime caused by defective preparation

equipment

Quality lapses caused by defective equipment \

processes

External failure costs:

Food / beverage item recall

Poor customer service

Complimentary meals

Complaint adjustment

Health liability claims

Discount due to defects

Menu item returns

Lost sales / return patronage

Grading systems

The main goal of tourism grading systems is to protect the customer (Callan, 1994). There are strong

arguments in favour of statutory registration of tourism service providers.

The development of grading systems involves a technical and social process (Grundström &

Wilkinson, 2004). The technical and social aspects are evident in the procedure set out by the South

African Tourism Grading Council for the development of a grading system that is as follow (TGCSA,

2012a):

1. Identify key role-players.

2. Develop minimum requirements and grading criteria in consultation with key role-players.

3. Produce a draft set of criteria and distribute this document to role-players in the industry for

comments.

4. Summarise feedback received.

5. Edit the grading criteria and produce a second draft to be distributed to role-players in the entire

industry.

6. Summarise feedback on second draft.

7. A road show should then be undertaken to discuss the proposed grading system with role-players.

8. All final comments from establishments should be captured during the road show.

9. Produce a final document listing minimum requirements and grading criteria.

Research Methodology Content analysis was used for exploratory research. The main purpose of exploratory research is to

develop and clarify ideas, and to formulate questions for further investigation. Existing literature is

perused to find new insights into a problem. Content analysis can be applied to any form of

communication (Adler & Clark, 2011). Content analysis refers to the gathering and analysis of

textual content. Content refers to messages, such as words, meanings, symbols and themes. Text

refers to that which is written, spoken or visualised (Neuman, 2003). When qualitative content

analysis is used, the primary aim is to document the analysis verbally, rather than statistically (Adler

& Clark, 2011). The current scenario was described using secondary data. It is always wise to start a

research activity with collection of secondary data. This approach could save time while still

providing quality data. A search was conducted on the World Wide Web and the following

information was gleaned.

Results Types of global quality management systems

Information on restaurant quality management systems is limited to literature that promotes and

describes systems that are widely used in Europe. Some of these restaurant quality management

systems that are: Michelin, Zagat Survey, Mobil, Three hats, Gault Millau and Gayrot. These systems

are limited as they focus on culinary quality only, and no evidence could be found that they are being

used in South Africa. No research based literature could be found on these restaurant grading systems.

29


The governments of France, Italy, Portugal and Spain, among others, realised just how important

quality service provision was to tourists therefore they implemented a compulsory

classification/grading system (Callan, 1994). In South Africa grading of accommodation

establishments is voluntary and there is no restaurant grading system available. In the quest for TQM,

the National Department of Tourism developed a National Tourism Strategy. In the National Tourism

Sector Strategy 2010 to 2020, Cluster 2.2 Tourism Growth and Development: Supply Side. 2.2.6.

Quality Assurance document, the National Department of Tourism outlines the need to extend

grading or other forms of quality assurance to other sub-sectors of the tourism industry, including

restaurants.

Restaurant quality indicators

In a qualitative study when Michelin star chefs were asked to provide the reasons for success in their

restaurants, they identified the following aspects, listed from most important to least important

(Johnson et al., 2005).

1. Rigour, consistency and attention to detail

2. Teamwork and stability

3. Quality of the dish and service

4. Financial management

5. Stock control

Restaurant quality failure

It is important to note that, if quality failure occurs it does not necessarily lead to customer

dissatisfaction if the restaurant is able to make amends for the mistake. This phenomenon can be

described as the concept zone of tolerance (Lewis, 1993; Qin et al., 2010). Poor quality service is the

gap between perception and actual experience. Five possible gaps have been identified by Budhwar

(2004) as resulting from certain discrepancies (Lewis, 1993):

1. Managers’ perceptions of customers’ expectations incorrect – management unaware of customers’

expectations

2. Customers’ needs not translated correctly into service standards – misinterpreted service quality

standards

3. Service / performance consistency gap – management instructions not implemented

4. Marketing communication on service different from service delivered – promise reality gap

5. Difference between customer expectations and actual experience – perception reality discrepancy

Pun and Ho (2001) identify the problem areas that can lead to quality failures. These three areas are

highlighted by citing restaurant-specific examples in Table 3.

Table 3: Problems leading to quality failures

Problems Restaurant examples

Operational constraints

Oversupply of restaurants / unfair competition

Poor benchmarking / little information on competitors

Expense of maintaining quality

Skilled labour shortage

Uncommitted workforce Resistance to change/failure to implement quality improvement programmes

No contribution to problem resolution

Lack of customer feedback

Absence of guest satisfaction surveys

No records kept and maintaining on customer feedback

Experiencing negative customer feedback

No web page to allow for customer feedback

In summary TQM in the restaurant can be expressed as follow:

Service quality + Food quality + Price/Value = Customer satisfaction = Behavioural intentions

(Adapted from Qin et al., 2010)

..... 30


Grading procedures

According to the World Tourism Organisation grading can be defined as a system, “in which

hospitality establishments of the same type have been conveniently broken down into classes,

categories, or grades according to their common physical and service characteristics and established

at government, industry or other private levels” (Narangajavana & Hu, 2008).

The main goal of tourism grading systems is to protect the customer (Callan, 1994) by allowing the

customer to compare service providers using a standardised measure when deciding on which a

restaurant to dine at (Cser & Ohuchi, 2008; Narangajavana & Hu, 2008). Hatfield and Seiver’s

(20010) study on grading and customer preferences found that participants rated the importance of

restaurant grading as 8.3 (mean) out of ten in the selection or rejection of a restaurant to dine at.

Individual customer decision to dine at a particular restaurant is based on the following factors

adapted from Ingram (1996).

1. Historical customer perceptions

2. Purpose of dinner

3. Account settlement – acceptance of credit card

4. Location of restaurant – access, parking, visibility, traffic conditions, type of neighbourhood

5. Booking source

6. Knowledge of particular restaurant – good food

7. Existing grade

8. Published prices and terms

Implementation of a grading system is associated with positive business results in the hospitality

industry (Johnson et al., 2005; Narangajavana & Hu, 2008; Stringam & Gerdes, 2010). Some

hospitality organisations incorporate grading in their pricing differentiation strategy (Israeli & Uriely,

2000).

A grading system consists of two distinct processes: a registration standard (legal requirements) and a

grading standard (Narangajavana & Hu, 2008). The symbols often used in grading systems are stars,

crowns, diamonds, suns or letters. The development of a grading system involves a technical and

social process (Grundström & Wilkinson, 2004). The technical and social aspects of the procedure for

the development of a grading system are set out by the South African Tourism Grading Council as

follows (TGCSA, 2012a):

1) Identify key role-players.

2) Develop minimum requirements and grading criteria in consultation with key role-players.

3) Produce a draft set of criteria and distribute to the entire industry for comments.

4) Summarise the feedback received.

5) Edit the grading criteria and produce a second draft to be distributed to all parties associated

with the industry.

6) Summarise the feedback received on the second draft.

7) Undertake a road show to discuss grading with role-players.

8) Capture all final comments from establishments during the road show.

9) Produce a final document stating minimum requirements and grading criteria.

In England where the English Tourism Council (ETC), the Automobile Association (AA) and the

Royal Automobile Club (RAC) have harmonised standards, it was found that a single system was

beneficial to businesses and customers (Peng & Lin, 2009). These systems are limited as they focus

on culinary quality only. Furthermore no evidence could be found that they were being used in South

Africa. No research- based literature could be found on these restaurant grading systems. The

researcher will therefore base development of a restaurant grading system on the grading systems

currently in use for the grading of accommodation providers in South Africa.

Accommodation grading

Even though there are numerous organisations that grade hospitality establishments, most of them

consider only facilities and number of services (classification), while only a few assess quality of the

experience or encounter (grading) (Cser & Ohuchi, 2008). For research purposes the Swiss

31


classification is used generally as a basis for comparison, as the Swiss were pioneers in the

development of such a system (Cser & Ohuchi, 2008).

Switzerland

The Swiss Hotel Association has classified approximately 70% of Swiss hotels, emphasising

evaluation of infrastructure, stars are allocated according to levels of standard (Baker, 2004).

South Africa

There are two prominent grading bodies operating in the South African accommodation industry.

They are the Tourism Grading Council of South Africa and the Automobile Association of South

Africa.

The Tourism Grading Council of South Africa (TGSA) grading system classifies accommodation

providers into 6 categories namely, formal service accommodation, guest accommodation, self-

catering accommodation, caravan and camping establishments, backpackers hostels and hotels and

game lodges.

The grading criteria include the rating the quality of each of the following aspects: management,

meals, room service, hotel layout, location, facilities, parking, valet service, housekeeping, porter

service, child care service (TGCSA, 2012b). The following hotel non-accommodation quality specific

criteria could be applicable to the restaurant industry: management, meals location, facilities, parking

and child care service.

The grading process starts with an application to the TGSA. An establishment must meet the

following minimum criteria before it is considered for grading: public liability insurance cover,

appropriate suitable safety and security measures for staff and customers; must be a registered

business; a Health and Safety Certificate; compliance with liquor and tobacco legislation; and

assurance that no unlawful discrimination is practised. TGSA will then conduct a quality standard

review that entails an inspection by an accredited agent. Once this process has been completed a 1 to

5- star grading is awarded to the accommodation supplier.

The Automobile Association of South Africa (AA) will grade an accommodation supplier once an

application form and payment have been received. The level of grading is decided upon by an

endorsement committee after having received an inspection report from an accredited agent.

United Kingdom

In 1992 the hotel industry in the UK was estimated to comprise 27 000 establishments (Callan, 1993).

The major participants in hospitality grading in the UK are: the Automobile Association (AA), Egon

Ronay (ER), the English Tourist Board (ETB), the Good Hotel Guide (GHG), the Guernsey Tourism

Board (GTB), the Isle of Man Department of Tourism (IOMDT), the Jersey Tourism (JT), Michelin

(M), the Northern Island Tourism Board (NITB), the Royal Automobile Club (RAC), the Scottish

Tourist Board (STB), the Wales Tourism Board (WTB), Which? Hotel Guide (WHG) and the

Meetings Industry Association (MIA) (Witthaus, 1999). The range of grades awarded are: 1 – 5 stars,

1 – 5 crowns, 1 – 5 pavilions, 1 – 5 suns, 1 – 5 keys and other grades such as. C, B, B+, A and A+

(Callan, 1993). In 2005 common rating standards were formulated and implemented in England.

This system relies on a 1 – 5 star rating (Manson, 2009). In an article by Manson (2009) she reports

that Mr. B. Cotton the chief executive of British Hospitality Association questions the validity of

grading when customers attach more value to specific brands in the hospitality industry. He does,

however see a need for grading of independent establishments who do not have the benefit of a well-

known brand.

The AA system classifies hotels in to three categories: Hotel, Guest Accommodation and Budget

Hotel / Self-catering. The hotel category is further subdivided into: Hotel, Country House Hotel,

Small Hotel, Town House Hotel and Metro Hotel. The guest accommodation category is subdivided

as follows: B&B, Guest House, Farmhouse, Inn, Restaurant with Rooms and Guest Accommodation.

..... 32


In an effort to promote environmental responsibility the Green Tourism for London organisation

grades hotels on their environmental programmes and actions awarding them a bronze, silver or gold

rating (Walton, 2007).

Austria

The Austrian Hotel Association grades hotels by awarding 1 to 5 stars (Baker, 2004)

Benelux

The Netherlands, Belgium and Luxembourg used to share a grading system, but currently the Dutch

Hotel and Restaurant Association grades hotels by awarding 1 to 5 stars.

Germany

Dehoga, the German Hoteliers Association grades hotels by awarding 1 to 5 stars. If a hotel scores at

the high end of a grade an “S” for superior will be added to its star rating.

Australia

Most hospitality organisations in Australia make use of the Australian Automobile Association

(AAA) grading system (Lee-Ross, 1998). The scheme is voluntary and 1 - 5 stars are allocated

according to a points system.

International

A popular accommodation grading system is the Official Hotel and Resort Guide (OHRG) that is in

use around the world. The rating is done on two aspects; a) the quality of guest accommodation and b)

the extent of hotel facilities. The graded hotels can be classified according to quality levels namely:

Deluxe – Super Deluxe, Deluxe and Moderate Deluxe, First class – Superior First Class, First Class,

Limited Service First Class and Moderate First Class, Tourist – Superior Tourist Class, Tourist Class

and Moderate Tourist Class.

Comparison of grading

The European countries’ grading systems agree on 50%, of criteria whereas the Chinese and Japanese

systems are more divergent. Common criteria found in the various grading systems are: rooms,

sanitation, reception, lobby and public area (Cser & Ohuchi, 2008). A quaint criterion specific to

Japan is “natural hot spring”. The aspects that are applicable to the restaurant industry globally are

therefore, sanitation, comfort, reception.

Restaurant grading

A restaurateur’s primary strategic intent should be a successful restaurant. According to Min & Min

(2011:288) proper service standards need to be set for the restaurant industry to ensure business

success. A restaurant’s success depends on the successful consideration, implementation and

management of the following factors (Budhwar, 2004; Hyun, 2010; Pantelidis, 2010);

1. Location

2. Food

3. Service

4. Quality

5. Menu

6. Price

7. Atmosphere

8. Management

9. Concept / differentiation and marketing

One can therefore extrapolate that most of these success factors should form part of a restaurant

grading system to ensure that grading becomes a valuable component of any restaurant’s strategic

plan.

33


International restaurant grading

According to the Automobile Association (AA) website in the United Kingdom (UK), restaurants are

graded by awarding Rosettes based on an assessment of an entire meal. Assessment of meals is done

during one or more visits by AA inspectors. The Rosette grading standards are as follows:

1. Rosette – restaurants achieve outstanding standards in the local area. Food is prepared with care,

understanding and skill, using quality ingredients. (50% of graded restaurants)

2. Rosettes – excellent restaurants that achieves high standards consistently. Precision is apparent in

cooking and quality ingredients are selected. (40% of graded restaurants)

3. Rosettes – outstanding restaurants achieving standards and recognition beyond the local area.

Cooking is done with ingredients selected and attention paid to highest quality ingredients. Timing,

seasoning and flavour will be consistently excellent. The excellent menu items will be supported by

intuitive service and a well-chosen wine list. (10% of graded restaurants)

4. Rosettes – top restaurants in the UK and nationally recognised for culinary excellence. These

restaurants are renowned for focused ambition, a passion for excellence, superb technical skills and

remarkable consistency. They combine appreciation of culinary traditions with an intense desire for

further exploration and improvement. (Very few restaurants)

5. Rosettes – top restaurants in the world. They are unique employing chefs with breathtaking culinary

skills to which other restaurants aspire. (A select few restaurants)

Other restaurant grading bodies in Europe and America are:

Michelin Guide / Guide Rouge – 1 to 3 stars awarded by professional inspectors

concentrating on the quality, mastery of technique, personality and consistency of the food

The Good Food Guide – rating out of 10 by public reviews, established in 1951 in the UK.

Best dining experiences are scored, ranging from high-end restaurants to hearty pubs

Gault Millau – 1 to 20 points rated by inspectors and local agents based on the quality of the

food

Le Cordon Bleu – reviews

Georgina Campbell’s Guide – 0.5 to 3 stars awarded by anonymous inspectors

Smulweb.nl – reviews

Egon Ronay’s Guide – 1 to 3 stars awarded by inspectors

Lekker –Netherlands restaurants ranked from 1 to 100

Knoopjelos.nl – 1 to 10 points awarded by inspectors

White Guide – 60 to 100 points awarded by inspectors.

Forbes Travel Guide – 1 to 5 stars awarded by professional inspectors, customers, self-

reporting.

American Automobile Association – 1 to 5 diamonds awarded by inspectors

Zagat –1- 30 points awarded by public review

The Australian restaurant industry can be graded by:

Australian Good Food & Travel Guide – 1 to 5 crossed fork and spoon symbols awarded by

inspectors.

In Pakistan the grading body is:

Food Connection Pakistan – 1 to 5 points awarded by registered users.

Discussion The research findings suggest that a variety of measurement instruments exist internationally. These

measurement instruments differ in the tourism, accommodation as well as the food and beverage

sectors regarding what is measured, how it is measured and how a score is derived. This proves that

an internationally accepted measuring instrument should be developed so that quality will be assessed

in a similar way globally. If consumers have a clear indication of what they can expect, their

satisfaction with the destination will correspond with performance and their level of satisfaction will

be enhanced.

..... 34


Conclusions and Recommendations Standard measurement instruments do not exist in the tourism, accommodation as well as the food

and beverage sectors regarding, what is measured and how measurements are done and how scores

are derived.

This study was conducted to determine which global measuring instruments in quality management

exist to assist the restaurant industry in formulating grading standards that will impact positively on

the quality of service provided to customers. This, in turn, should have a positive economic impact on

the tourism industry. This paper has limitations as an exploratory study, as only secondary data were

used. This issue leaves ample opportunity for further research into the development of suitable

systems to measure quality management in the hospitality industry.

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37


World Expo 2020: Heralding Dubai’s Super-Growth – A Road Ahead Fayaz Ahamed1 & Ms. Vahbiz Cooper2

Abstract Once in every few years the world sees new inventions and experiences various ideologies. It comes

together to mix into each other’s cultures, respect each other’s beliefs and sometimes also adopt

certain values. Every five years and for a period of six months, World Expos attract millions of

visitors. An Expo is wherein all the major inventions e.g. Heinz Ketchup, sewing machines, world’s

first ever Ferris wheel, edible ice- cream cones, air conditioning, ice staking rinks in summer, mobile

phones, disposable dishes and so on; were invented. Expo’s help in creating partnerships among

country and innovates new technologies which the globe enjoys. The World Expo has never been held

in the Middle East, Africa and South East Asia in the history of the event. The UAE is bidding to host

the World Expo 2020 in Dubai under the theme ‘Connecting Minds, Creating the Future’.

The objective of this present study is to understand how the World Expo 2020 is going to impact

Dubai and its residents along with the environment in which it will be set up. The making of this

present study is done using secondary data.

Keywords: World Expo 2020, Tourism and Dubai

Introduction Expo 2020 is a Universal scale registered Exposition wherein investors come from various countries

and invest into one country which brings up the level of employment and helps the country to

progress. Dubai a city that lies in the United Arab Emirates has won the opportunity for holding the

next expo which is going to take place in 2020. Dubai will be celebrating its 50th anniversary of unity

in the UAE along with the expo. Dubai will be holding the expo from 20th October 2020 until 10th

April 2021. Around 25 million people are expected to visit the expo (Bureau International

des Expositions, 2013).

Every registered country gets a maximum of six months’ time to come up with a worldwide theme

that applies to everyone in various societies.

A few of the past held expo themes are:

1) “Industry of all Nations” from London - Expo 1851

2) “Arts and Industry” from Barcelona - Expo 1888

3) "Man and His World" from Montreal - Expo1967

4) "Discovery" from Seville - Expo 1992

5) “Humankind, Nature, Technology” from Hanover – Expo 2000

6) "Better City – Better Life" - Expo 2010 Shanghai China

7) “Feeding the planet, energy for life” Milan, Italy, between 1 May and 31 October 2015

The theme of the winning city for the World Expo 2020 is “Connecting Minds, Creating the Future”.

Once a city has submitted its bid with the Bureau of International Expositions (BIE) the other cities

have to do the same within 6 months. The earliest time for a city to bid itself was 2011 and the latest

was 2014. Izmir of Turkey and Ayutthaya of Thailand submitted their bids to BIE in early 2011

leaving only 6 months for the other countries to bid. The bidding ended on 2nd November 2011, by

which 5 cities had submitted their profiles, with 4 cities namely (Expo Bids 2013) Dubai - UAE;

Ekaterinburg – Russia; Izmir – Turkey; São Paulo – Brazil remaining. On 27 November 2013 Dubai –

UAE grabbed the title of “Host” for the expo 2020. This will be the first time that a Middle Eastern

destination will be hosting the expo (RIA Novosti 2013).

1 Ph d Research Scholar, Faculty of Management Studies, Wisdom Banasthali University.

Email: [email protected] 2 Department of Business Studies, Amity University, Dubai, UAE

http://en.wikipedia.org/wiki/Human


..... 38


Review of Literature

History of the Expos 63 expos have taken place so far. One from each century has been mentioned below

(Bureau International des Expositions, 2013).

The 80’s The first world expo ever took place in London from 01-05-1851 to 11-10-1851. It was held in the

Crystal Palace by Prince Albert and Henry Cole having the theme “Industry of all Nations”. London

during the 1851’s was booming in technology. A lot of new products such as Hi-fi pictures by the

Scottish physicist David Brewster, harden rubber by the American inventor Charles Goody, Viennese

chairs” by the Hungarian furniture-maker Tonet, 1720-kilogram ingot of crucible steel produced by

the Krupp’s plant ; came up in London that attracted about 6 million visitors from all around the

world. London made a profit of about 186,000 pounds which was used to bring up educational

organizations such as Geological Museum, Museum of Science and Natural History, Museum of

Manufactures (known now as Victoria and Albert Museum) and Imperial College of Science.

The 90’s Montreal was the host for the expo from 28-04-1967 to 27-10-1967 organized by Compagnie

canadienne de l' Exposition universelle. This expo was originally to be held in Moscow (celebrating

the golden jubilee of the Russian revolution), but when USSR backed out for some reasons Montreal

was awarded as the winning city.

Montreal’s expo theme was “Man and his World” (borrowed from this book “The Planet of

Mankind by Antoine de Saint-Exupéry”. In order to match this theme, Montreal set up various

pavilions: Man and his Health, Man in the Community, Man and the Ocean, Man and the Space,

etc. Montreal promoted the social and environmental responsibility of the man along with the usual

scientific, technological and industrial progress. A lot of nations participated. - France, gave remains

of Yves Cousteau's underwater research expeditions to the “Man the Explorer” pavilion. The Soviet

pavilion had attracted about 13 million visitors due to the original space capsule in which Juri Gagarin

became the first man to orbit the earth. Netherlands gave a model of Zuider Zee that showed the

advances in land reclamation. Man the Creator pavilion included 180 works of famous painters from

50 national galleries. And last but not the least the Expo was the launch venue of the very famous

IMAX film presentations. Expo ‘67 was overall a successful World Exhibition. Around 50 million

people attended the Expo. Many buildings were removed once the Expo closed, however the

exhibition called Man and His World opened during the summers until 1981.

The 20’s Hanover held the expo from 1-07- 2000 until 31-10-2000. It was designed by Studio d'Arnaboldi /

Cavadini, Locarno and Albert Speer und Partner GmbH. The theme of the Expo was “Human being –

Nature – Technology Energetic and space economy”. It had begun on a very hard note. The BIE had

awarded the Expo 2000 to Hanover in 1990 beating out Toronto by a 21 to 20 vote. Many Germans

were not happy about this and protested until the expo began. 40,000,000 visitors were expected.

Unfortunately, only 18,000,000 people turned up. Nevertheless, the Expo went well and contributed

heavily to the German economy. A new railway station was built, networks of urban roads were

constructed, the tram routes were extended and a third airport terminal was made.

Expo 2000 aimed at creating and presenting solutions for generations to come. In order to accomplish

the aim a new area known as “the thematic area” was made. This area had thematic pavilions (which

concentrated on some of man’s critical difficulties): the Future of Labour, Environment, Health,

Nutrition etc. The Venezuelan Pavilion was made with completely re-usable materials. The pavilion

opened and closed like a flower. The flower petals were placed taking the weather into account. Many

pavilions were built with the planning of environmental and social impact, their effect on the

sustainability of growth. These were first thought of during the expo of 2000.

UAE in other Expos The UAE has an established track record of successfully participating in World Expos. In addition to

its presence at Expo 2012 in Yeosu, South Korea, the country has hosted national pavilions at revious

Expos in Hanover, Germany; Lisbon, Portugal; Seville, Spain; and Shanghai, China.

39


The UAE Pavilion from the 2010 World Expo in Shanghai is now a permanent fixture on the skyline

of Saadiyat Island in Abu Dhabi. With its dune-shaped structure designed by Foster + Partners, who

are designing the Zayed National Museum, the UAE Pavilion attracted almost two million visitors

during Expo 2010. It was voted the most popular international pavilion at that event, and won a range

of awards for its iconic design (Expat Women 2013).

Bids and Bidding Cultural diversity has positioned Dubai as the top pick to host Expo 2020, according to a survey

developed by Alliance Business Centres, a global business server provider that operates over 650

business centres with 15,000 companies worldwide. The survey is based on information from 1,000

executives from the Alliance Business Centres Network (ABCN) across 28 countries in Europe, the

Americas, Asia and Australia. The result of the survey showed that 57 per cent of the participants

(including 570 executives) voted in favour of Dubai, while 18 per cent saw Russia’s Yekaterinburg as

the best candidate to host Expo 2020. Brazil’s Sao Paulo scored 14 per cent of total votes and

Turkey’s Izmir lagged behind with 11 per cent. About 35 per cent of participants said Dubai’s

openness and cultural diversity are the main reasons qualifying it to host the Expo. This was followed

by the emirate’s strategic location as a central tourism and trade hub, its world class infrastructure as

well as its political and social stability, scoring close to 20 per cent each (Dubai Statistics Center,

2013).

Statement of the Problem

Why Dubai? The UAE has the caliber of holding the meetings, conferences and exhibitions of various industries,

and has established a track record of successfully hosting world-class events on a worldwide scale.

From 2006-2010, the country has managed to double the scale of its exhibition infrastructure. Now

more than 1.5 million visitors travel to the UAE annually to take part in over 300 events, including

more than 100 mega exhibitions and conferences. The industry is also important contributor to the

UAE’s national economy, with meetings, conferences and exhibitions providing the second-highest

level of GDP contribution of any country in the world.

With its unmatched infrastructure and connectivity, Dubai, in particular, continues to witness strong

growth in the events sector. Last year, events held in the emirate witnessed a 14 per cent surge in

visitor attendance and five per cent growth in exhibitor participation. During the same period, the

Dubai World Trade Centre contributed 2.5 per cent to the city’s total GDP, positioning the events

sector as a key contributor to Dubai’s growth.

High-profile events in Dubai include an earlier Annual Meeting of the IMF/World Bank, the biennial

Dubai Airshow, a range of World Economic Forum Summits, the Dubai International Film Festival,

Dubai Duty Free Tennis Championships, the Dubai World Championship (a US$7.5m golf

tournament on The European Tour), the internationally renowned Dubai World Cup - and the Dubai

Summer Surprises Festival, the largest event held in the Middle East region, attracting in excess of 2.2

million people.

Dubai is a cosmopolitan city that is inhabited by over 200 nationalities, Dubai is a melting pot of

cultures and a meeting point for peoples from across the globe. Home to just over two million

residents, two-thirds of the city’s population is between the ages of 20-39.

In line with the nationwide focus on comprehensiveness and openness, the city’s unbelievable

diversity has long served as one of its great strengths - helping to attract the best minds from around

the world, who are drawn to this meritocratic environment by the promise of great personal and

professional opportunity - and supporting its ongoing economic growth and diversification (Expat

Women 2013).

Research Objectives The overall objective of the study is to apply a micro approach to evolve an objective method for

analysing Dubai Expo 2020 and specifically intend to identify the opportunities and challenges.

..... 40


The following are the main objectives of the study:

1. To explore the process of Expo 2020.

2. To understand Dubai’s super-growth indicators and to analyze the challenges and

opportunities faced by Dubai Expo 2020.

3. To study the future outcome of the phase of super-growth initiated at Expo 2020.

The Theme The theme of the Expo 2020 has been chosen as “Connecting Minds, Creating the Future”. Dubai

believes that the world is extremely connected in various ways and a new vision of advancement

should be laid out for a common purpose. This theme perfectly portrays the upcoming ambitions of

the societies and shows how World Expos bring together individuals around the world and enable

them to concentrate in a common project. In the society that we live in today a transformed vision of

advancement and growth is required. A single individual, a single country or a single community

cannot make a huge difference, but when all of them work together to achieve a common goal is when

we achieve remarkable success and that is when the society has really advanced. “Future generations

will be living in a world that is very different from that to which we are accustomed. It is essential that

we prepare ourselves and our children for that new world.” - Late Sheikh Zayed Bin Sultan Al

Nahyan (UAE interact 2013).

Expo Live Expo Live is a new idea and a new plan for the global interest of Dubai Expo2020 to bring out

innovation and to create a sustainable development for the future. It is a vision for a transformative

expo that will set clear targets and leave a mark on the lives of the people all around the globe. It

outlines real challenges that inspire countries to collaborate and work together to deliver tangible

results before, during and after the expo. It wants to find the world’s best ideas that are out there and

make them happen. It aims to be a platform full of solutions for some of the challenges of the world

that are excellent in nature but create a boundary to the progress of sustainability.

The Site The site of the Expo is known to be 438 hectare long, and with an open plaza which has been named

as Al Wasl. The meaning of Wasl is “the connection” and is also the ancient name for Dubai. This

site is going to be created by HOK along with Populous and Arup. It is going to be located near the

newly made Al Maktoum International Airport which equidistant from Dubai as well as the capital

Abu Dhabi. The site will be divided into 3 pavilions namely – Sustainability, Mobility and

Opportunity. Various countries will set up their pavilion into the areas that match their growth plan.

Since sustainability is the heart of this Expo the structure is made using photovoltaic panels that act as

shade providers as well as capture more than enough sunlight to create almost half of the energy that

will be used during the Expo on site. Other on site plans includes recycling wastewater, reusing

materials and monitoring the Expo’s carbon footprint.

Other ways by which mobility and sustainability will be maintained is by cable cars inside the Expo

as no private cars will be allowed.

Once the Expo ends in 2021 the three main pavilions – the Welcome Pavilion, the Innovation Pavilion

and the UAE pavilion shall be joined with each other and changed into a National Museum (HOK

2013) and the pavilion grounds will be converted into either a university or a research and

development centre.

The Future

Challenges The challenges that are going to be faced by the Expo are Mobility, Sustainability and Opportunity

which are also the sub themes of the Expo.

Mobility

1. Dubai will need to build a well-organized, environmentally safe and a strong system that will

improve the movement of commodities (goods and services) and individuals around the globe.

2. They will also need to come up with new developments for storage of the goods, especially

perishable goods (food, medicines, etc.) and will have to decrease waste.

41


3. New types of information and communication methodologies should be developed so as to

contribute to the combination if businesses and create new kinds of dealings among various

societies.

4. Dubai will also need to work on developing and launching new low – carbon vehicles and

infrastructures as this will improve the environment.

5. Dubai will not only have to construct and manage the new means of mobility that is eco – friendly

but will also have to train and educate those who will be working with them in the future.

“Effective logistics and transportation systems make the movement of people, goods and services

around the world much easier. As the markets develop and work together, new innovations are needed

to produce more practical solutions.” – Sultan Ahmad Bin Sulayem, Chairman of Dubai Port World.

Sustainability

1. Consuming and distributing new sources of clean water and energy to places where it is not

available or are not developed enough to access it.

2. The resources need to be handled efficiently and effectively so that they are not wasted. This

can be done by relooking into the technologies around and by recycling and reusing the waste

products.

3. Building new infrastructure that helps in production and distribution of various partnerships,

technologies and so on.

4. Introducing new groundbreaking business replicas that encourage affordable schemes.

5. Educating people as to how to conserve and use resources optimally and promoting other

ways as to how one can be sustainable.

“Today substantial advancement in the production, delivery and consumption of water and energy is

becoming increasingly significant. Improving access to natural resources through responsible

conservation and achieve supervision are important areas the world should look at. A transition to

renewable energy is key to global prosperity and climate change mitigation and oil- rich nations must

lead by example.” – Dr. Sultan Ahmad Al Jaber, Minister of State, Chief Executive Officer and

Managing Director of Masdar (Dubai Expo 2020, 2013).

Opportunity 1. Dubai will need to undergo a change in terms of business transactions, introduce

manufacturing units to develop economic growth.

2. New jobs need to be sprung up across all cultures living in Dubai. This would need an out of

the box approach in terms of developing the human potential through trainings etc.

3. Dubai will need to tap trade development with different countries to ensure economic and

financial sustainable growth thereby maintaining a stable financial economy which is crucial

for attracting investments into the country.

Apart from the Sub – themes being the challenges Dubai can also face the challenges in:

To decide how to manage their resources correctly in the narrow time frame of 7 years that

they have got in hand.

As a lot more job opportunities will raise so will the need to select the best of the best. One

small mistake from any of the employees can risk the entire event. Hence Human Resource

Management will need to work hard in selecting the more loyal and hardworking employees.

Benefits Expo 2020 is going to create an economic boom for United Arab Emirates and turn this place into a

location for innovation (Gulf News 2013).

1. Dubai will be spending around $8.1 billion on building the infrastructure and $8.4 billion on

other projects like the expansion of the Dubai metro and various road networks, which will

eventually raise the standard of living of the inhabitants and also attract more tourists.

2. Stocks in Dubai have begun to double in the financial market.

3. Airports will be expanded.

4. Dubai will also build World Trade Centre in Jebel Ali, a national museum and a plan to

connect Dubai World Central to the Al Maktoum Airport metro line.

..... 42


5. The Government has also decided on building a Dubai Expo Headquarters, which will be

known as the largest ever used for a World Expo. Also for the first time in the history of

Expos, visitors from abroad during the Expo 2020 will constitute 70-75 %.

6. New technology will be portrayed in the exposition which will in turn be a major help in

terms of education and economic development and will help the youth of Dubai to get new

visions which will enhance the upcoming technological and economic growth.

7. More than 40,000 small and medium-sized firms have been set up this year which when

calculated results in a 13% increase.

8. Expo will also generate 277,000 jobs (50,000 permanent jobs) (Al Arabiya Network (2013).

9. It is estimated that Dubai will get returns reaching up reach Dh130-140 billion due to the

hosting of the Expo.

10. People from around the world will learn about the culture and heritage of UAE and will see

how all various nationalities stay together in peace and harmony and also how each of their

values, beliefs and thinking gets respected. Along with this the residents of UAE will also

learn the culture and trends of the foreigners

11. The theme of Dubai itself, “Connecting Minds, Creating the Future”, will bring new

partnerships for financial growth which will bring about a sustainable future.

12. A fresh chapter of ideas will bloom from individuals, which will help human talent to be

recognized and thereby developing UAE differently from the rest of the world.

13. Investing in and generating renewable energy in UAE will broaden its energy sources and

increase the security of its supply. These steps will contribute to the UAE’s goal of

transitioning into a knowledge-led and sustainable economy. – Dr. Sultan Ahmad Al Jaber,

Minister of State, Chief Executive Officer and Managing Director of Masdar.

14. “A World Expo in Dubai will attract new opportunities across the region and around the

world, establishing new partnerships and creating a lasting experience for everyone who visits

and participates,” – Shaikh Ahmad Bin Saeed Al Maktoum, President of Dubai Civil Aviation

Authority and Chairman and Chief Executive of Emirates Airline and Group.

15. As the infrastructure is developing, Dubai is also planning to extend its metro line by building

the Purple Line route.

16. Dubai’s Gross Domestic Product is known to boost itself up as Dubai hosts this event. It is

known to amount to a total $23billion US dollar from 2015 to 2021.

Limitations An oil rich nation shall not face major limitations; nevertheless, Dubai just has 7 years to build what

the entire world is looking forward too. Hence, time can be one of the major limitations that the

Expo2020 will face.

Apart from time, the weather of Dubai can be a limitation for the Expo as temperatures reach at the

peak (47 – 48 degrees to even 50 degrees at times).

The Confidence of the Business Bosses Everyone knows about the foresight of the UAE’s leaders. Their vision has put this country

prominently on the world map and Expo 2020 is yet another milestone. We have always believed in

their leadership – Nilesh Ved (Chairman, Apparel Group). We have witnessed Dubai hosting some of

the best events, which have benefitted businesses, residents and visitors and we believe that it is

uniquely poised to host the Expo. – Vipen Sethi (CEO, Landmark Group). Apart from attracting

tourists, the Expo will give rise to trade opportunities as well. This will help expand the reach of local

businesses and enable them to export their wares made in the UAE to the outside world. – Abdulla

Ajmal (General Manager, Ajmal Perfumes).

The Expo will not only allow the world to see the top quality services that Dubai offers but also help

to pioneer new partnerships for growth and sustainability and demonstrate our excellence in health –

care innovations. – Marwin Abedin (CEO, Dubai Healthcare City). Over the past few decades, the

UAE has grown into a vibrant and dynamic nation, an economic powerhouse and a country that

strives to excel. Expo 2020 will be another feather in Dubai’s hat as it is known to have achieved

success in all growth areas. – Dr. Jamil Ahmed (Managing Director, Prime Healthcare Group). We

believe that our different business segments will benefit immensely form the economic surge that

Expo will create. The administrative vision of the UAE government aptly imbibes Dubai’s bid theme

of Connecting Minds, Creating the Future. – Ebrahim Al Abbas (Chairman, Al Abbas Group). Expo

43


2020 will be an opportunity for us to meet people of different cultures, understand different mindsets,

and experience the latest trends in and outside our industry and to learn about new innovations. –

Eugene Mayne (Group CEO,Tristar Transport). By bringing the best minds together in Dubai for

Expo 2020 we will stimulate new ideas that will lead to innovative answers to the world’s concerns,

resulting in a better future for all mankind. – Hussain Al Qemzi (Group CEO – Noor Investment

Group and CEO – Noor Islamic Bank). Dubai’s remarkable world-class infrastructure and central

geographic location make it an ideal place to host Expo 2020. The event will also cement its status as

one of the leading cities in the world, to live in and for business alike. – Dr. Adnan Chilwan (Chief

Executive Officer, Dubai Islamic Bank). Dubai is land of unlimited opportunities and a place for all

organizations and brands to achieve their goals and objectives. Expo 2020 will have positive impact

on all industries and create growth opportunities – Dr. Reem Osman (CEO, Saudi German Hospital

Dubai) (Blogs The National 2013).

Conclusion In conclusion, Dubai is capable enough to be the Host of the Expo as it has the advance technology

and the money supply in order to build an Expo which the world will remember. Dubai also has the

knowledge of how to welcome its guests as most of the revenue Dubai gains is from the tourism

sector and hence Dubai is a professional when it comes to hospitality of its tourists.

In my opinion the Dubai Expo 2020 will be one of the most successful Expo’s ever held as the top

officials of Dubai will be spending the Dirhams wisely and carefully. They will also look into how

they can use the resources of Dubai efficiently and effectively, as one of the sub- theme of the Expo is

sustainability.

As UAE is a multi – cultural country and each one’s religion, values, customs and beliefs are

respected visitors will feel less homesick and will enjoy their stay as they make deals. Partnerships

will also rise among various companies in various countries and Dubai will make a good profit.

References

Dubai Statistics Center - Government of Dubai Expo 2020 Dubai UAE “Book Let” (2013). Retrieved From the Dubai

Statistics Center. http://www.dsc.gov.ae/Ar/Documents/EXPO%202020%20BOOKLET%20English.pdf

RIA Novosti (2013) Russia to propose Yekaterinburg as Expo 2020 venue. Retrieved from the website:

http://en.ria.ru/business/20110802/165518448.html

Al Arabiya Network (2013). NBAD to add 900 jobs ahead of expected Dubai Expo 2020 boom. Retrieved from the website:

http://english.alarabiya.net/en/business/banking-and-finance/2013/12/10/NBAD-to-add-900-jobs-ahead-of-expected-Dubai-

Expo-2020-boom-.html

Gulf News (2013). Counting all the benefits from hosting Expo 2020. Retrieved from the website:

http://gulfnews.com/business/opinion/counting-all-the-benefits-from-hosting-expo-2020-1.1258646

Official Site of the Bureau International des Expositions “Expo 2020 Dubai, First World Expo In The Middle East”

Retrieved from the website: http://www.bie-paris.org/site/en/2020-dubai-uae

Official Site of the Bureau International des Expositions “History of Expos ” Retrieved from the website: http://www.bie-

paris.org/site/en/home/history-of-expos.

HOK (2013) “Design” Retrieved from the website: http://www.hok.com/about/Expo Bids (2013) “Bids for Expo 2020”.

Retrieved from the website: http://expobids.com/2020.htm

Expat Women 2013) “Dubai Has Won The Bid! Fantastic news!” Retrieved from the website:

http://www.expatwoman.com/dubai/monthly_discover_dubai_World_Expo_2020_Dubai_11496.aspx

Expat Women 2013) “Theme” Retrieved from the website:

http://www.expatwoman.com/dubai/monthly_discover_dubai_World_Expo_2020_Dubai_11496.aspx

UAE interact (2013). Sheik Zayed Quotes. Retrieved from the website:

http://www.uaeinteract.com/docs/Sheikh_Zayed_in_quotes/18411.htm

Dubai Expo 2020 (2013) “With leadership comes responsibility” Retrieved from the website:

http://expo2020dubai.ae/en/theme/sustainability/with_leadership_comes_responsibility

Blogs The National (2013). “Business” Retrieved from the website: http://blogs.thenational.ae/#Business

http://www.dsc.gov.ae/Ar/Documents/EXPO%202020%20BOOKLET%20English.pdf



http://english.alarabiya.net/en/business/banking-and-finance/2013/12/10/NBAD-to-add-900-jobs-ahead-of-expected-Dubai-Expo-2020-boom-.html

http://english.alarabiya.net/en/business/banking-and-finance/2013/12/10/NBAD-to-add-900-jobs-ahead-of-expected-Dubai-Expo-2020-boom-.html

http://gulfnews.com/business/opinion/counting-all-the-benefits-from-hosting-expo-2020-1.1258646

http://www.bie-paris.org/site/en/2020-dubai-uae

http://www.hok.com/about/

http://expobids.com/2020.htm

..... 44


Strategic Planning for Effective Hospitality and Tourism Education: Some

Observations and Suggestions Kumar Ashutosh1

Abstract Tourism Education includes professional training in which the participants decide to understand

travel practices in specific areas with the idea of learning something to be applied later in industry. In

exact terms, tourism education is related to learning about distant destinations for smooth functioning

of agencies involved in this industry. In India many schools / universities, vocational/professional

institutions are imparting tourism education at various levels. Due to lack of any regulatory body for

this stream, maintaining quality has become a real challenge.

Keywords: academic institutions, business school, tourism & Travel Management, Industry,

Education.

Introduction Universities and industry, which for long have been operating in separate domains, are rapidly inching

closer to each other to create synergies. The constantly changing management paradigms, in response

to growing complexity of the business environment today have necessitated these two to come closer.

Higher education institutions not only contribute skilled human resources to business, but also in

various intangible ways. The intersecting needs and mutually interdependent relationship requires

identifying means of further strengthening academia-industry partnerships.

Extremely dynamic business world and the rapidly developing knowledge based service economy

have put in an increased demand for professionals to manage the business effectively. And this is

precisely the reason why amongst various other fields of knowledge, desire for acquiring management

qualifications is growing, both amongst the fresh graduates and working executives. The very simple

initiatives can help in bridging the gap between.

1. The skill-gap studies should be looked into while planning new curricula so that students can take

advantage of more placements in their respective sectors.

2. At the same time, the industries must need to help in the related research activities grow through

endowments in chairs so that technology up gradation would help them cut costs.

More such collaborative ventures would pave the way for providing training to students and in

helping design courses which would be relevant to the needs of tourism industry.

Need for Academia-Industry Interface

Academia- Industry Interface could be defined as interactive and collaborative arrangement between

academic institutions and business corporations for the achievement of certain mutually inclusive

goals and objectives. Traditionally, business schools were looking for placements and internships for

their students and the industry for fresh recruits who are well trained and equipped with the right KSA

(knowledge, skills and attitude) to be able to contribute to organization’s growth. Bisoux (2003) has

explored the relationship between academics and industry. He says that corporations are placing

growing emphasis on finding the “right person”. It forces the business schools to think more carefully

on whom they hire, and therefore the role of industry in the entire business school model becomes

important.

Today, the business schools have realized the importance of ‘working closely with employers’ for the

following reasons:

Increasing complexity in academic and business world and constantly changing needs of the

industry;

Increasing criticality of human competence in creating and sustaining competitiveness of the

organizations;

1 Head, Department of Tourism, College of Vocational Studies, University of Delhi, India. Email-

[email protected]


45


Shift in management paradigm of business schools from earlier academic models to revenue

based models. ;

Growing competition for student placements and industry mind-share, with rapid increase in

the number of business schools and hence the management graduates;

Growing pressure from industry to make their fresh inductees productive from day one to

reduce the subsequent training costs. Greenberger (2001) is of the view that organizations

today are looking for trained professionals and students capable of taking decisions. Some of

the training in formative years comes out from business corporations, via collaborative

internships with corporations to enhance learning opportunities to students;

Increasing interdependence between academia and industry to satisfy need for sustenance and

innovation in their respective areas.

Modes of Interface

For the above reasons, Industry rather than just being the customers of business school output today

have become stakeholders and partners in progress. Industry on the other hand has also discovered the

advantages of collaborative learning opportunities. Corporations seek to play increasingly important

role in activities of academic institutions to incubate the talent they need. The shift towards the short-

term performance metrics and shareholders interest has led to a number of changes in conduct of

business, which has translated its effect on business schools.

Beard (1994) has a number of recommendations towards increasing and enhancing academia-industry

interface, which include:

Greater degree of industry-school collaboration to integrate employer’s needs into the

programmes on offer;

Real involvement with industry to allow students to gain valuable practical experience and also to

facilitate development of business;

Improve the programmes by encouraging the participation of a number of guest speakers who can

offer their own practical experiences;

Academic staff should be encouraged to keep their skills updated by undertaking practical

consultancy on regular basis.

Table 1: Indian Tourism at a Glance Foreign Tourism Arrival (FTA) in India 1997-2013

Year FTA in India

( in Millions)

% change over

previous year

1997 2.37 3.8

1998 2.36 -0.7

1999 2.48 5.2

2000 2.65 6.7

2001 2.54 -4.2

2002 2.38 -6.0

2003 2.73 14.3

2004 3.46 26.8

2005 3.92 13.3

2006 4.45 13.5

2007 5.08 14.3

2008 5.28 4.0

2009 5.17 -2.2

2010 5.78 11.8

2011 6.31 9.2

2012 6.58 4.3

2013 ( P) 3.31 2.6

Sources: Tourism statistics at a glance, Ministry of Tourism. Govt. of India

..... 46


Institutes of Travel and Tourism in India

There are a total of 172 training institutes in the area of tourism & Travel Management; 11 of them

are Government promoted ones and 78 of them are affiliated to Universities while the balance are

privately owned/ managed ones.

These institutes have been established with the following objectives:

To impart knowledge and skills to understand in totality the travel and tourism and cargo

industry, its inter-relationships and impacts.

To develop analytical and innovative attitudes to facilitate change and increase the

effectiveness and efficiency of the tourism industry.

To impart comprehensive international travel education of the highest standards

(Sources: Manpower in Tourism Industry Market Pulse report by Ministry of Tourism, Government

of India, 2004 & Rao. G.K., 1996)

There are a number of avenues, through which business schools collaborate with industry. Some of

the commonly used avenues are:

1. Guest Lectures by industry representatives.

2. Suggestions in curriculum and content designing.

3. Executive Education and Management Development Programmes.

4. Joint seminars by academia and industry both for executives and students.

5. Consulting on management and related issues by academia;

6. Academia generating ideas and acting as incubators to new business.

7. Inclusion of industry experts in governing councils and other board of studies.

8. Industry providing financial and infrastructure support to business schools for their development.

9. Funding academic and applied research.

(Source- Hooper, Eilean, Education, communication and interpretation: towards a critical pedagogy in

museums- Greenhill)

To achieve mutual goals academia and industries should interact more with the business schools

concentrating more on revenue-based models, industry orientation in curriculum and collaborative

internships which were never seen earlier.

As the need to help each other grows with globalization, the faculty members now need more output-

oriented approach, consultancy, research projects and training for revenue generation and survival of

their respective centres. We have some good industry-academia collaborations like IGNOU- Travel

industries, DoT KUK- ITDC, General Motors-IIT Kharagpur centre on automobiles, Vodafone

telecom research centre at IIT-K and Railway research centre at IIT Kanpur.

Objectives The primary research has been taken up with following objectives:

To identify the areas where academic institutions include industry participation;

To assess the perceived benefit accrued from this partnership in specific areas and incidences;

Methodology Primary data has been collected from Deans and Directors of 30 Business Schools in India. The

administrators of these business schools were personally interviewed and sent across a structured

questionnaire. They were asked to rate the extent of their business schools collaborating with industry

on 23 listed areas on a scale of 1 to 5. (1 being the lowest level of collaboration/ or the benefit accrued

and 5 being the highest degree of collaboration/ or benefit accrued).

Analysis & Discussion The foremost question that the survey asked from the respondent Deans and Directors of the business

school was on various modes of Academia-Industry interface that they use. Table 1 and 2 depicts the

summary of responses on above. According to the data, guest lectures are the most popular mode of

industry interface. Guest lectures are sessions taken up by executives in addition to classes taken up

by professional teachers. The objective of this is to give students an overview of industry practices

47


and help them relate the theory to real life applications. At IILM, it is mandatory for the instructor to

arrange minimum of six industry sessions in the thirty-two session course. Indian School of Business

and Media (ISB&M) organizes more than 300 guest lecture for MBA students every year.

The second most preferred mode is establishing partnership through training and internships of

students. This method is a self-feeding method. Industry gets a firsthand feel of students in a business

school, thus increasing their placement opportunities and strengthening long term relationship

between the two entities. Involving industry in student training and internships has become mandatory

in business curriculum in Indian business schools. All students have to spend two months with

corporate working on a specific project to gain hands on experience.

There are a number of avenues, through which business schools collaborate with industry. Some of

the commonly used avenues are:

1. Guest Lectures by industry representatives.

2. Suggestions in curriculum and content designing.

3. Executive Education and Management Development Programmes.

4. Joint seminars by academia and industry both for executives and students.

5. Consulting on management and related issues by academia;

6. Academia generating ideas and acting as incubators to new business.

7. Inclusion of industry experts in governing councils and other board of studies.

8. Industry providing financial and infrastructure support to business schools for their development.

9. Funding academic and applied research. (Source- Rao, G. Krishna Ranga (1996), Tourism Education and Training in India, Tourism Recreation

Research, Vol. XX, No.2)

A. Extent of collaboration with the industry

Table 2: The top five modes by which business schools collaborate with industry

S. No. Areas of collaboration Mean score Standard

Deviation

1 Guest Lectures 3.9 0.63

2 Training and Internship of students 3.7 1.10

3 Including industry into Governing Councils

and Board of studies 3.5 1.30

4 Executive Education programmes 3.3 1.70

5 Industry inputs in curriculum designing 3.2 1.40

Table 3: The least preferred modes of collaboration


Deviation

1 Faculty selection 1.5 1.08

2 Joint community development services 1.7 1.30

3 Helping industry in training and selection of

their staff 2.0 1.51

4 Financial support from industry for academic

activities 2.2 1.55

5 Providing incubator services for start up

companies/ ideas 2.2 1.40

The inclusion of executives in the Governing Councils and Board of Studies in business schools is yet

another preferred mode of collaboration. The objective of having industry representation is to include

the latter’s view in governance and other activities of business schools. Adorning these councils with

the known names in industry is perceived to enhance the image and recall value of the institution,

which not only attracts prospective students, donors and other stakeholders but also work in favour of

business schools during ratings and rankings.

Executive Education (long-term management training programmes for working executives) transpires

to be the fourth most preferred mode of academia-industry partnership. Rao and Bowonder (2004)

conducted a study on Management Education in India, which elucidates that there is a fundamental

..... 48


shift in business school offerings away from traditional MBA programmes to more part-time and

executive education programmes. Indian Institute of Management (IIMs) has been extending their

domains to executive education on modular classes to facilitate executives’ involvement and strike

relationship with organizations. XLRI (India) among others have created a Partnership Model with

organizations for Executive Education initiatives. Management Development Institute (MDI), one of

the top business schools in India was established with the prime objective of imparting management

education to executives and government officials. Today, even after expanding itself into other forays,

it still conducts six month to one year National Management programmes (NMP) for company

sponsored executives and civil services officials. These initiatives besides increasing the industry

mind-share also fetch revenue to business schools.

Finally, the business school faculty is slowly integrating the industry’s views into their curriculum.

Miller (1993) identifies significant revisions in curriculum and contents, which are undertaken in

business schools, with an objective of including industry recommendations. Many business schools in

India have been inviting suggestions from industry to update their curriculum and include the topics

of present day relevance. This is done with a view of imparting the knowledge and skills set, needed

by graduating students in constantly changing global business environment.

Table 2 gives a brief summary of the least preferred modes of collaboration. It is clearly evident that

business schools do not wish to collaborate with industry on their internal issues. Faculty & staff

selection, training and development are viewed as in-house activities, where industry’s participation is

not invited.

In view of government’s increased interest in education and the latter being included as crucial issues

in WTO debate, there has been increased spending on development of higher education in India. The

cash rich private institutions are today less dependent on industry for funding and infrastructure

support. They not only have donors but also generate income from consulting, executive education

initiatives to support their functions.

Academia-Industry interface has not been considered through providing of incubator services to

industry for new start-ups by commercializing the ideas given by academic fraternity and helping

corporate grow in initial years. Industry has shown limited interest in including academia into their

strategic decisions regarding new business ideas, decreasing the chances of partnerships in this area.

B. Extent of Perceived benefit from the mentioned partnership methods

Table 4: The highest perceived benefit is from following modes of partnerships


Deviation

1 Joint Seminars 4.3 0.67

2 Case writing 4.3 0.87

3 Guest Lectures 4.2 0.63

4 Management Development Programmes 4.2 0.79

5 Training and Internships 4.1 0.62

Table 5: The least perceived benefit accrued


Deviation

1 Faculty Selection and Induction 1.7 1.34

2 Helping corporate in selection of their staff 2.3 1.83

3 Involvement in student selection 2.7 1.4

4 Outsourcing complete courses 2.7 1.62

5 Joint community development services 2.8 2.02

The second question seeks the respondent’s view on the perceived benefits of various collaboration

modes for their business schools.

Joint Seminars are considered to be an effective mode of not only cross-branding but also

strengthening the academic relationship between business school and the industry. They are an

opportunity for students to gain an understanding of the latest industry trends and industry a chance to

49


gauge the institute and its students for prospective placements. Symbiosis Institute for International

Business (SIBM) organizes regular workshops for students to keep them abreast of latest industry

trends. The respondents perceive this particular mode, as one of the most effective collaboration tool.

Case writing, which is one of the most important aspect of B-school research not only adds to current

knowledge pool but also enhances the learning experience of students. It serves as a benchmark study

for business corporations who are either in same stage of business cycle similar business. Innovations

in management teaching can only be brought about by in-depth understanding of business processes

by academicians and thought leaders. Formal relationship between industry and academia can

definitely add to the research and knowledge generation. Industry, therefore has taken up an initiative

of generating knowledge by funding business and academic research. CII has collaborated with many

business schools to support both academic and applied research initiatives. Though this has been

perceived as one of the best ways of collaboration, considerable steps have not taken up by business

schools in this direction. Case writing and Applied Research, therefore does not figure in the top five

preferred modes of academia-industry interface

Similarly, the Management Development Programmes (MDP) is perceived to be among the top five

most effective modes. MDP, though quite similar to executive education programmes are short-

duration capsule courses, which focus on a particular area or topic. Very few institutions in India are

taking the necessary steps to develop the MDP network, benefiting both academia and the industry.

MDI conducts more than hundred MDPs every year for executives either as open programs and

customized company programs. . It has formal contracts with organizations, which invest in their

human capital through continuous or formal training.

The perceived benefit accrued from having a guest lecture is quite high (though less than collaborative

research initiatives. It is interesting to note that this mode figures on the top in table 1). Administrators

regard these as great value addition to student learning. Similar is the thought for Executive

Education, with perceived benefit score being 3.9, indicating the effectiveness of this tool to build

industry partnerships. Training and internships are also perceived quite high on their effectiveness in

building long term enduring relationship between industry and business schools.

Table 5, gives the overview of those collaboration modes, which are perceived quite low on their

effectiveness. Contradiction arises in the case of inclusion of industry in Councils and Boards of

studies. Though, considered as a preferred partnership mode, (figuring at third rank in Table 2) the

perceived benefit from this is average (3.2). Administrators have varied view of this kind of

association. The remarks by respondents in this study makes it evident that this mode is effective

when the executives actively contribute into institution’s operations and development rather than

playing a passive role of attending scheduled meetings and chairing important events.

The low mean score of benefits of industry involvement in faculty and student selection is definitely

in line with the results in table 3, where this is considered among the least preferred modes. Business

schools have their own policy and rules on recruitment and selection of students and faculty members.

Outsourcing the entire course has been perceived quite low on its effectiveness. Academicians feel

that this particular mode is not able to impart the conceptual underpinnings of the issue, as

practitioners tend to deal with the issue at only the practical level from their own perspectives, thus

reducing the possibility of its general application across situation. Thus practitioners though bring a

different perspective to the class yet do not emphasize upon understanding of basic concepts and

underlying theories.

Though joint community development services and partnerships for providing incubators services are

not preferred interaction modes, they are perceived higher on their effectiveness (3.2 and 3.4

respectively). Both academia and industry are not exploring the right strategy to make this kind of

alliance work towards their mutual benefit.

Conclusion & Recommendations

It is imperative for business schools to bring Academia and Industry closer and build strong

collaborative relationship;

..... 50


Each business school needs to identify the areas where they can build an effective academia-

industry relationship. They need to revisit their mission and academic model to be able to identify

the right Interface mix;

It is not a must that all modes of partnership are equally beneficial to every business school. They

have to work on ‘differential relationship’ mechanism.

Academia and Industry need to take build organic relationships, with long term strategic intent

contributing to growth and development of both the entities;

The research supports that Indian Business Schools have been traditionally using guest lectures as

the most preferred medium of industry collaboration. They are not only considered as a medium

to establish industry networks, by giving latter an experience of institute and the students and

increasing placement opportunities but also add to the learning value for students.

Business schools essentially have collaborated with corporate to provide training and internships

to students. Two-month internships are integral part of business curricula in India with certain

credit assigned. This is seen as one of the best methods of giving students both the theoretical

concepts and their applications and enhancing their ability to relate the two for decision making

purpose;

Executive Education and Management Development Programmes are two important areas where

Indian business schools are foraying. These initiatives on the part of business schools trigger

industry’s interest to collaborate by assisting them in development and training of their human

capital, hence increasing the mind-share and enhancing the image of the business school. This

kind of partnership model is still in initial stages in India, with a need to work on appropriate

strategy for mutual benefit.

Including industry inputs has been perceived quite beneficial by business schools in improving

the quality of output and making them competent of surviving in rapidly changing business

environment. However, not many institutions have been able to work on the right method of

including the industry’s viewpoints into curriculum and structuring the course for student and

corporate benefit.

This research validates the above-mentioned statement that collaborative research is still in the

infancy stage in India. Academicians across regard academia- industry partnership in case writing,

applied research, and problem based consulting as one of the most favoured and value adding

alliances. But these areas are not exploited by business schools, which is not only loosing on an

effective collaborative method but also denying Indian management education of critical and

innovative knowledge and inputs.

One area, which has not been effectively explored by business schools, is Industry participation in

student mentoring. Mentors who are friends, philosophers and guides, are top professionals, who

have willingness to impart knowledge & skills and hence bridge gap between classroom and

marketplace reality. Mentorship as defined by Gupte (2004) is an interaction at the practice level

through project of preferably a small group of seven to eight students with the mentor. This

concept has been necessitated due to rapidly changing industrial needs in the country on one hand

and growing requirement for industry ready individual after education.

Business schools need to evaluate the effectiveness of various modes employed by them

objectively, so that future course of action can be designed with specific goals and well planned

procedures.

Business schools have to move beyond the phenomenon of ‘working with employers’ towards the

concept of ‘working with partners’. The collaboration between the two is dynamic and complex. A

synergistic relationship has to be carved between the business schools and the industry so that both

can benefit and also contribute to enhancing the entire teaching-learning process.

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Management Learning and Education Vol.2 Issue 2

..... 52


Indian Tourism and Hospitality Industry-Trends and Development

Mahendra Singh Negi1, Mukul Tiwari & Tripti Singh

Abstract India is substantial and vibrant country and is at verge of becoming a major global destination.

Tourism and hospitality industry in India is one of the most profitable industries in the country and

credited with contributing a substantial amount of foreign exchange. India's hospitality and tourism

industry had experienced a strong period of growth which is derived by the burgeoning Indian middle

class and high spending foreign tourists with coordinated government campaigns. This paper

identifies some of the trends affecting the tourism and hospitality industry, including globalization,

guests’ safety and security, technology, service and many more along with the new trends in

accommodation sector. Furthermore, the paper attempts to analyze the development of Indian tourism

and hospitality industry through Foreign Tourist Arrivals and Foreign Exchange Earnings of the last

13 years for which Compound Annual Growth Rate (CAGR) has been calculated .Results showed that

the tourism and hospitality sector contributes significantly to the national economy as well helps in

the creation of jobs in the country. The suggestions to the hoteliers include careful analysis of the

current and future trends and application of the proper adaptations, investing in exceptional services

and sustainability of their lodging, as well as utilizing the new technologies and the social networks.

Moreover, the hotel owners should consider the retirees as their potential guests and, finally, they

must seek ways to retain effective, diverse and competent staff.

Key words: Profitable, Services, Development, Tourism and Hospitality

Introduction Hospitality can be term as kindness in welcoming or receiving guests or strangers. It is the most

diverse but specialized industry in the world. It is certainly one of the largest industry employing

millions of people around the globe. Hospitality refers to the relationship process between a guest and

a host, and it also refers to the act or practice of being hospitable, that is, the reception and

entertainment of guests, visitors, or strangers, with liberality and goodwill. Hospitality in other term is

an act or practice of being hospitable. Specifically, this includes the reception and entertainment of

guests, visitors, or strangers, resorts, membership clubs, conventions, attractions, special events, and

other services for travellers and tourists. In the contemporary West, hospitality is rarely a matter of

protection and survival, and is more associated with etiquette and entertainment. However, it still

involves showing respect for one's guests, providing for their needs, and treating them as equals.

Cultures and subcultures vary in the extent to which one is expected to show hospitality to strangers,

as opposed to personal friends or members of one's in-group. Providing hospitality means offering a

welcoming environment to visitors, and the hospitality industry is without doubt a people industry,

Wagen 1999). Hospitality business is closely intertwined with those in travel and tourism industry.

Tourism is travel for recreation or the promotion and arrangement of such travel. Tourism and the

hospitality industry so strongly affect one another that some associations and industry leaders

including the Council on Hotel, Restaurant and Institutional Education (CHRIE), consider the

combined industries of hospitality and tourism as one large industry-the hospitality and tourism

industry (Chon, Sparrowe, 2008). Although hospitality is included as a sector within the tourism

industry but the hospitality is also regarded as an industry in its own since it’s meet the needs of

customer other than tourists.

The hospitality industry in many ways represents the country's growth and prosperity. The standard of

accommodation and the quality and variety of food available in a destination is a significant

component of the impression and image of that place in the mind of the traveler. Indians are becoming

more exposed to the world and therefore are now demanding the finest luxuries even within their

homeland. It is therefore of paramount importance that the hospitality industry keeps revamping and

reinventing itself to ensure that neither the international nor the domestic traveler is disappointed. The

hospitality industry meets the needs of local residents as well as tourist and travelers, whereas the

tourism industry concentrates on the needs of tourists and travelers only. There is an important

connection or network between the hospitality and tourism which is shown in the Figure no. 1 below.

1Assistant Professor, Amrapali Institute of Hotel Management, Haldwani, Uttarakhand, India. Email:

[email protected]


53


Table 1: Sectors of Tourism and Hospitality Industry

Sectors within Tourism Industry Sectors within Hospitality Industry

Accommodation Sector Lodging Operations

Food and Beverage Food and Beverage Operations

Attraction sector Retail stores

Transport Sector Licensed clubs

Tour operator and Travel agent Casinos

Promotion and distribution Specialist Sector Recreational activities

Miscellaneous tourist services and goods sector Reception

Source: Walker, J. (2010), Introduction to Hospitality Management

Fig1: Hospitality and Tourism Network

Source: Kasavana, M., Brooks, R. (2007), Managing Front Office Operations

Hospitality, travel and tourism industry in India is almost three times bigger than the size of

automotive manufacturing industry and generates more jobs than the chemical manufacturing,

automotive manufacturing, communications and mining sectors added together. Hospitality and

tourism sector’s direct contribution to India’s G.D.P is INR2 billion which is almost three times more

than the contribution of automotive manufacturing. Hospitality and tourism’s total contribution

including direct, indirect and induced impacts to G.D.P in country was INR 6.7 billion around 6.4%of

total G.D.P. supporting 39 million direct, indirect and induced jobs in India. Travel & Tourism

generated 98,031,500 jobs directly in 2011 (3.3% of total employment) and this is forecast to grow by

2.3% in 2012 to 100,292,000 (3.4% of total employment), Source Ministry of Tourism, Govt of India.

..... 54


This includes employment by hotels, travel agents, airlines and other passenger transportation services

(excluding commuter services). It also includes, for example, the activities of the restaurant and

leisure industries directly supported by tourists. By 2022, World travel, tourism and hospitality is

forecast to support 327,922,000 jobs (9.8% of total employment), an increase of 2.3% pa over the

period. Figure no. 3 shows the total contribution of travel, tourism and hospitality to employment in

world for the year 2011, 2012 and 2022.

Fig 2: World Total contribution of travel, tourism and hospitality to employment

Source: World Travel and Tourism Council Economic Impact Report - 2012

Tourism is one economic sector in India that has the potential to grow at a high rate and ensure

consequential development of the infrastructure at the destinations. It has the capacity to capitalize on

the country’s success in the services sector and provide sustainable models of growth. In India, the

travel, tourism and hospitality sector is estimated to create 78 jobs per million rupees of investment

compared to 45 jobs in the manufacturing sector for similar investment. Along with construction, it is

one of the largest sectors of service industry in India. Apart from providing employment to a wide

spectrum of job seekers from the unskilled to the specialized, a higher proportion of tourism benefits

(jobs, petty trade opportunities) accrue to women. Thus, the expansion of the tourism sector can lead

to large scale employment generation and poverty alleviation. The economic benefits that flow into

the economy through growth of tourism in form of increased national and State revenues, business

receipts, employment, wages and salary income, buoyancy in Central, State and local tax receipts can

contribute towards overall socio-economic improvement and accelerated growth of the economy.

India needs to tap reap the full potential of a vibrant tourism sector Tourism has the potential to

stimulate other economic factors through its forward and backward linkages with a host of sectors like

agriculture, manufacturing, transport, hospitality, education, health, banking, etc. Expenditure on

tourism induces a chain of transactions requiring supply of goods and services from these related

sectors.

Review of literature The literature review includes the existing research on the scenario of current and emerging trends in

tourism and hospitality. Tourism has an economic impact upon economic and growth and

development (Ivanov and Webster, 2006). The Hospitality industry, geographically dispersed in easily

identifiable different sectors is one of the larger employers in most countries. The globalisation of the

industry has accelerated under the pressures of the “advances in technology, communication and

transportation, deregulation, elimination of political barriers...as well as growing competition in the

global economy (Clarke and Chen, 2007). The growth of tourism in broad refers to the gradual

evolution of tourism which is considered to be factor of the productivity for country’s economy

(Dritsakis, 2004). Tourism and hospitality has been variedly viewed by the sociologists , economists

and others as a cause of development- both material and non material(Kumar Nirmal,2009).Mishra,

R.P Sharma ,S.S and Acharya,Ram (World Tourism, 1981) have evaluated the role and impact of

tourism vis-a vis development in India with reference to forty other countries having various types of

economies and are of considered view that tourism is an important activity in India and the growing

55


importance assigned to tourism depicts the country’s earnestness to attract more and more tourists

from every part of the world. India’s tourism infrastructure is modern and several agencies are

engaged in setting up a sound base for the development of tourism in the country. Maneet Kumar

(Tourism today: an Indian Perspective) discusses various prospects related with tourism development.

He is of the view that tourism and hospitality is also a promoter of employment, goodwill and

friendship among the nations. Tourism has been recognized as one of the major revenue earning

industries worldwide. It is important to note that the concept and scope of tourism have been

progressively changing. Tourism is considered as one of the largest economic activity in the world,

and perhaps the largest in the services sector. It is also one of the fastest growing sectors of the world

economy. Tourism is vital for many countries, due to the income generated by the consumption of

goods and services by tourists, the taxes levied on businesses in the tourism industry, and the

opportunity for employment in the service industries associated with tourism. Tourism has its own

direct and indirect effect on society which is regarded as an effective instrument of country’s

economic development. Government of India also adopted different approaches for promotion of

tourism, which include new mechanism for expediting implementation of tourism projects,

development of integrated tourism circuits and rural destinations, special capacity building in the

unorganized hospitality sector and new marketing strategies to promote India as a brand. According to

Amadeus, “the global hotel industry is driven by globalization, new technology and a new breed of

customers”. The hospitality industry is undergoing a period of extraordinary transformation with

unparalleled opportunity. Branding is increasingly crucial for building credibility amongst travelers

(Ferguson, 2008). A report commissioned by the Amadeus group to learn about the hotel industry

warned that the hospitality industry stands to face major difficulties from online social networking

and emerging new technologies such as bookings through mobile phones. Guests can now easily

exchange views about the “truth” of the hotels through social networking. Quality now more than ever

is given priority. Hotels are under pressure to deliver the highest standards of excellence as the

knowledge and level of exposure of travelers has increased. Mobile booking is expected to become a

common practice and therefore hotels will have to update their technology and communication

systems (Hayhurst, 2008). In recent years, organizations in the hospitality and tourism industry are

undergoing a great deal of disorder as the competitive forces within their business have shifted due to

the pressure of globalization.

Objective The objective of this research is to identify the current and future trends and development effecting

tourism and hospitality sector in Indian tourism industry. The paper also aims to look into the new

developments in this sector and to examine the emergence of new elements in the Indian hospitality

industry.

Data Base and Research Methodology For the data collection secondary sources has been used such as websites of Ministry of Tourism,

Govt. of India, World Tourism Organizations, (WTO), World Travel and Tourism Council, (WTTC).

Annual Reports of Ministry of Tourism, Govt. of India and a report by Market Pulse for Ministry of

Tourism, Govt. Of India has also been taken into consideration. Foreign Tourist Arrivals (FTAs),

Foreign Exchange Earnings (FEEs) data is also been taken for which Compound Annual Growth Rate

(CAGR) has been calculated to analyze the data. The formula used is as follows:

CAGR: - ((End Value/Start Value) ^ (1/Periods-1))-1

Discussion and Analysis of Growth and Development of Hospitality and Tourism in India

India is full of attractions so lots of tourists visit here. Table no. 1 presents the number of Foreign

Tourists Arrivals (FTAs) in India during the period of 13 years i.e. 2000 to 2012 along with growth

rates. Tourism in India has registered a significant growth in recent years. There had been the

remarkable growth from the year 2002 to 2005 in foreign tourist arrival due to the various efforts

made by the Government of India including promoting India through the ‘Incredible India Campaign”

in overseas markets which led to increase in tourism growth about 65% during the period of three

years i.e. from the level of 2.38 million in 2002 to 3.92 million in 2005. For the tourism and

hospitality sector the year 2008-2009 has been a year of challenge and response with a drop seen in

number of foreign tourists due to impact of the global economic crisis out broken of H1N1 influenza

..... 56


and terrorist attacks at the Taj Hotel and other significant locations in Mumbai. FTAs, in India during

the year 2010 were 5.77 million with a growth rate of 11.8 % as compared to the FTAs of 5.16 million

with a growth rate of -2.2 % during the year 2009. The major reason of the growth rate in foreign

tourist’s arrivals in the year 2010 was Commonwealth Games. FTAs in India during 2012 were 66.48

lakhs with a growth of 5.4%, as compared to the FTAs of 63.09 lakhs with a growth of 9.2% during

the year 2011 over 2010.

Table No. 2- CAGR of Foreign Tourist Arrivals (FTAs) in India from 2000-2012

Year FTA (Million) CAGR in %

2000 2.65 0

2001 2.54 -4.5

2002 2.38 -6.3

2003 2.73 14.71

2004 3.46 26.74

2005 3.92 13.29

2006 4.45 13.52

2007 5.08 14.16

2008 5.28 3.94

2009 5.16 -2.27

2010 5.77 11.82

2011 6.30 9.19

2012 6.64 5.4

CAGR from 2000 to 2012 is 7.96%

Source: Ministry of Tourism, Government of India-2012

Tourism also plays an important role in Indian economy and contributes substantially in the country’s

Foreign Exchange Earnings (FEEs) also. Table No. 2 shows the Foreign Exchange Earnings (FEEs)

from tourism in India during the period of thirteen years i.e., from 2000-2012 and also it’s Compound

Annual Growth Rate. As shown in the table no. 2 there is a significantly growth in FEEs after the

launch of Incredible India campaign in the year 2002. FEEs from tourism during the year 2010 were

US$14193 million as compared to US$11394 million during the year 2009 and US$11747 million

during the year 2008.

Table 3: CAGR of Foreign Exchange Earnings (FEEs) in India from 2000-2012

Year FEE(US Million) CAGR in %

2000 3460 0

2001 3198 -7.6

2002 3103 -3.0

2003 4463 43.8

2004 6170 38.2

2005 7493 21.4

2006 8634 15.2

2007 10729 24.3

2008 11747 9.5

2009 11394 -3.0

2010 14193 24.6

2011 16564 16.71

2012 17740 7.1

CAGR from 2000 to 2012 is 7.1%

Source: Ministry of Tourism, Government of India-2012

The growth rate in FEEs in US$ terms during the year 2010 was 24.6% as compared to a decline of

3%in the year 2009 over the year 2008, FEEs from tourism in terms of US$ during 2012 were US$

17740 million with a growth of 7.1%, as compared to US$ 16564 million with a growth of 16.7%

during the year 2011 over 2010. Foreign Exchange Earnings during the year 2000-2012 witnessed a

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CAGR of 7.1 % whereas Foreign Tourist Arrivals during the year 2000-2012 depicts a CAGR of

7.96% as calculated.

Current Trends in Hospitality and Tourism

1. Globalization- Travel and tourism is one of the key sectors of Indian economy and a major earner

of foreign exchange for the country. Over the last decade the industry has posted strong growth riding

primarily on steep growth trajectory of India. According to World Travel and Tourism Council

(WTTC), the Travel & Tourism Industry contributes about 3.1% to India’s Gross Domestic Product

(GDP) with a total value addition of Rs 1.9 lakh crore. The industry generates a direct employment of

1,861,000 and indirect employment of nearly 4,908,500 as per the WTTC figures. The industry was at

cross roads in mid-1990s when a liberalizing economy opened the doors for massive increase in

investment into the sector and rising foreign tourist arrival (FTA) numbers, thanks to the successful

‘Incredible India’ campaign by the government, led it to the higher growth trajectory.

Table 4: Top 10 Source countries for Foreign Tourist arrivals in India in 2012

Source: Bureau of Immigration, Govt. of India-2012

During the 13 years there has been double-digit growth in FTAs, number of hotels and resorts has

multiplied and value addition by the industry has increased at a higher pace than the overall economy.

Globally, an ever increasing number of destinations have opened up and invested in tourism

development, turning modern tourism into a key driver of socio-economic progress through the

creation of jobs and enterprises, infrastructure development and the export revenues earned. Tourism

exports account for as much as 30% of the world’s exports of commercial services and 6% of overall

exports of goods and services. Globally, as an export category, tourism ranks fourth after fuels,

chemicals and automotive products. For many developing countries it is one of the main sources of

foreign exchange income and the number one export category, creating much needed employment and

opportunities for development. Global market trends indicate that long-haul travel, neighbouring

country tourism, rural and ethnic tourism, wellness and health holidays, cultural tourism, spiritualism,

ecotourism, sports and adventure holidays, and coastal tourism and cruises are a few emerging areas

of tourist interest. From a geographic viewpoint, there has been a remarkable rise in Asian tourists,

particularly from China and the East Asian countries. It is essentially a process by which an ever

tightening network of ties that cut across national political boundaries connects communities in a

single, interdependent whole, a shrinking world where local differences are steadily eroded and

subsumed within a massive global social order. Opening of international boundaries by India for the

tourist and well connected airlines and infrastructure has also helped in Globalization of Indian

Tourism and hospitality Industry. The air transport industry, which is located mainly in the

industrialized regions and in the newly industrialized regions is a key determinant in the development

of tourism. It is expanding twice as fast as the general output of the Indian economy. Air transport

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accounts for more than 80% of international tourist arrivals in the country and to move from one place

to another within India. As an internationally traded service, inbound tourism has become one of the

world’s major trade categories. Significant income growth in India and the emergence of a new

middle class has sparked a desire to travel which prevails in times of crisis.

Fig 4: Foreign Tourist Arrivals and Foreign Exchange Earnings during 2012

Source: Ministry Of Tourism, Government of India -2012

Leading hotel brands have pepped up their investments and are in various stages of commencement of

new proprieties in India, both in metro and non- metro cities. Cities such as Hyderabad, Pune, Jaipur

and Chandigarh have emerged as growth markets. The emergence of these secondary and tertiary

cities has led to an aggressive increase in hotel development activity, which was previously dependent

in just five main cities. Another trend that has now emerged in the various major markets is the

growth of micro-markets, especially in the larger cities like Delhi, Mumbai, Chennai, etc, where travel

time has increased.

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Figure 5: Factors for Increase in Foreign and Domestic Tourists Arrivals

Source: India Brand Equity Foundation, 2010

2. Safety and security. The industry’s concern with security has increased greatly due to several

terrorist attacks worldwide, as well as because of tourists’ kidnappings, robberies and assaults.

Security of all types of hospitality and tourism operations is critical and disaster plans should be made

for each kind of threat. Personal safety of guests must be the first priority (Walker, 2010). Increased

security measures exist in all the international airports and most airline companies have upgraded

their security measures by investing millions of dollars. Moreover, they make plans in order to exceed

the requirements of the airline industry through technology advancements (Hall et al, 2003).

Accommodation sector like star hotels and resorts have also installed new security programmes and

hi-tech security devices in their properties for the safety of the guest. A property’s security program

should include certain actions and procedures to prevent or discourage incidents (Ellis and Stipanuk,

1999).Campaigns like “Atithi Devo Bhava” has also helped the locals to promote the safety and

security of foreign tourists among each other. Hotels and other tourist’s attractions places are now

equipped with security gadgets and safety equipments which were not visible few years back.

3. Diversity. The tourism and hospitality industry is among the most diverse of all industries in terms

of employee population and groups of guests. Hospitality and tourism present a unique opportunity to

understand new cultural experiences for both employees and the tourists. It is important for the

personnel to understand and appreciate different cultures in order to enhance the nature of their

cultures. Interactions with tourists of different cultures, religions, races, colours, ages, genders and

sexual orientations. It is for this reason that businesses plying their trade in this industry must

endeavour to train their personnel to appreciate and accommodate people from diverse backgrounds

around the world. Ministry of Tourism, India is looking at diversifying the tourism products by

developing and promoting the nascent/upcoming niche /upcoming products of the Tourism Industry.

As such, diversity not only facilitates easy understanding of different cultural, social and economic

perspectives but enhances the delivery of satisfactory services as well, through communication and

observation (Merchant, 2011). Diversity in the hospitality and tourism industry is enhanced through

visions that promote equal employment opportunities to cater for the different nationalities in the

market. The industry gets to appreciate the world's socio-cultural and economic differences through

the recruitment of people of diverse backgrounds. As such, businesses in this industry need to

establish organizational policies that not only discourage discrimination but also encourage

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intercultural activities such as cultural educational programs and forums. Businesses also should

employ organizational structure that comprise of people from different regions and races and spread

key appointments to qualified staff from across the board.

4. Food and Beverage

The global food service industry is enormous and complex and therefore it is difficult to get any

accurate data to present a world-wide overview. The Food and Beverage sector in each category of

hotel plays a different role. The way in which a luxury hotel plans and strategizes its F&B department

is different from that of a budget hotel. Traditionally while budget hotels, pay little or no importance

to catering, the full-service hotel on the other hand, tend to promote their hotel around a branded

hotel. In the mid-market sector, the conventional hotel-restaurant retains its dominant position,

whereby F&B services are offered as a value added incentive for in-house guests (Clarke and Chen,

2007). Several hotels, both in the luxury and budget sector, opt to outsource their food and beverage

operations. This trend it set to increase as already established brand become a more secure revenue

option and also the hotel then avoids the cost of running a restaurant (Clarke and Chen, 2007). It has

been accepted that a critical hindrance in the future development of the hotel catering sector is the

shortage of food service specialists, who are able to propel the market forward, manage the food and

beverage business efficiently and develop effective marketing techniques. In India while in the UK in

2005, approximately 4.1 billion pounds was spent on dining in hotels, out of the total eating out spend

of 27.6 billion pounds (Clarke and Chen, 2007). Existing hotels are likely to profit from the enhanced

performance of the non-room sources of income such as food and beverages and spa and club

memberships. The supermarket trend has taken hold in India, and now shoppers have the opportunity

to explore good, up and coming food stalls and markets in various places tourist destinations new

innovations in ingredients and equipments are also in a trend to attract the palate of the guest.

5. MICE Tourism

MICE (Meetings, Incentives, Conferences and Exhibitions) tourism is among the greatest revenue

earners in the world (McCabe et al, 2000). India is going the global way and MICE is becoming a

major part of its tourism and hospitality industry. MICE have a potential business segment that will

generate greater number of tourists and higher revenue for the country in the years to come (Koul,

2005). As a sign of the Indian MICE market maturing, the 49th ICCA Congress & Exhibition took

place in Hyderabad, India in October 2010. To achieve this India put together a tremendous bid

backed by the support of the national and state government as well as small and large private

companies (www.iccaworld.com). Several leading hotel chains are looking to MICE as a substantial

non-room revenue source. The government too has realized the potential of MICE tourism and

announced the building of several convention centers across India and also established The India

Convention Promotion Bureau. Its main agenda is to promote India as the chosen destination for

conferences and conventions of any sort as well as to market the country to the World as a destination

for meetings, incentives, conventions and exhibitions and strengthen the brand positioning of

‘Incredible India’ as a MICE destination (www.conventionicpb.org). India with its unique culture,

hospitable people and rich natural heritage is an obvious choice for conferences and exhibitions. It is

an amazing amalgamation of tradition and culture, style and splendour, warmth and feelings, beauty

and nature, comfort and convenience, virtually everything the modern conference organizer or

delegate could expect, for the rewards of success. Large number of resorts, hotels is now providing

international standards with spacious convention facilities and modern business centers and internet

connectivity. Indian conference facilities are today equipped with latest technologies and support

facilities including computerized automation systems, transmission facilities, satellite network

connection etc However in a world of extreme technological advancement bordering on digital

insanity, the power and value of the human touch in maintaining ties cannot be undervalued. It is here

that the Indian hospitality beats all others and emerges as amongst the most preferred global

convention destinations .Today, the country boasts of some world-class convention centers such as

The Ashok, New Delhi, Hyderabad International Convention Centre, Hyderabad, Le Meridien,

Cochin, The Jaypee Palace Hotel, Agra are forerunners in the Indian MICE tourism facilitating both

domestic and International standard of business conventions and conferences. At present there are

different travel divisions within tour corporations and airlines that exclusively target MICE

movement. Several destinations have started to promote MICE products to specialized agencies and to

the corporate world at large. The inbound MICE segment is growing at 15 to 20% annually. It is

estimated that the value of the total global MICE meetings market is in excess of $270 billion.

61


According to industry estimates, the Indian in-bound MICE market in first seven months in 2004 was

$20 million, which is 40% more than the same period last year. India also ranked 27th in the Global

Meetings market. While the business of MICE holds enormous potential for any country there is still a

long way to go for India. At present, in India, incentives are the largest component of MICE, but in

this quickly maturing market, it is only a matter of time that the entire gamut of MICE activities

becomes a popular and important of the industry. India holds only about 0.96% of the worlds’

meetings share. However, the current demand-supply imbalance hampers the MICE market. Due to

lack of availability of quality hotel room and the consequent rising prices, India is often not a feasible

destination for large conferences. “Logistical bottlenecks and lack of appropriate infrastructure” also

create problems and result in making India an unattractive MICE destination (Malkani, 2008).

6. Service.

As global competition and market consumption change the expanding service sector, quality plays an

increasingly essential role in both attracting and retaining service customers (Helms and Mayo, 2008).

Service quality and the degree of satisfaction derived from service quality are becoming the most

important differentiating factors in almost every hospitality environment (O’Neill and Palmer, 2004).

For the hotel industry, the increasing competition and expansion of unique services and convenience

has forced hoteliers to continuously search for the competitive advantage (O’Neill, 2005).Service is at

the top of guests’ expectations, yet few companies offer exceptional service. World-class service does

not just happen; training is important in delivering the service that guests have come to expect

(Walker, 2010). Hotels are increasing their investments to improve service quality and the perceived

value for guests, so as to achieve better customer satisfaction and loyalty, thus resulting in better

relationships with each customer (Jones et al., 2009). Relationship quality has a remarkable positive

effect on hotel guests’ behaviour: it creates positive word of mouth (WOM) and increments repeated

guest rates (Kim et al., 2001). The Cornell Hospitality Industry Perspectives published a report titled

“Making Customer Satisfaction Pay: Connecting Survey Data to Financial Outcomes in the Hotel

Industry” by Pingitore et al, (2010). In this report it is demonstrated that customer satisfaction has

clear linkages to actual financial outcomes. All hoteliers know that in order to survive they need to

attract and retain guests. However, hoteliers also need to know specifically what it takes to satisfy

their guests. The study found, for instance, that guests who experienced outstanding service were

likely to spend more on ancillary items (e.g., restaurant, room service, day spa, recreation facilities) in

subsequent hotel stays. Getting things right is important. Four key performance indicators particularly

affected guests’ evaluations: reservation was accurate, check-in was completed within five minutes,

no problems were experienced during the stay, and no billing errors occurred. Guests who

experienced all four of these performance indicators were most likely to grant the hotel a top

satisfaction rating. As seen in figure 5, satisfaction scores are composed of seven key factors, with the

Guest Room (24%) and Costs & Fees (23%) constituting almost 50% of the importance weight. The

Hotel Facilities factor (19%) represents almost one-fifth of the importance weight, while the Check-In

and Check-Out, Food & Beverage, Services, and Reservation factors constitute the remaining one-

third of importance.

The recruitment and management of people in the hospitality industry is becoming an increasingly

challenging task. So as to meet these challenges and establish a competitive advantage, managers

must provide effective leadership and recognize the significance of developing strong skills amongst

their staff (Go et al, 1996). They must also have financial and commercial management experience to

attain best results in today’s modern hotel set-ups (Gibson, 2004, Burgess, 2007). However it is clear

that whether one trains raw talent or provides stock options for retention, one thing is for sure that

steps need to be taken to reduce the increasing rate of attrition in the industry. With the demand far

exceeding the supply, the government is allowing 100% foreign direct investment thus attracting a

huge international attention. Lured by the 20-25% return on investment, even foreign banks such as

Citigroup, Morgan Stanley and Goldman Sachs are investing in the hospitality sector. The Citigroup

Property Investors has earmarked $350 million for such investments (Hotel Business Review, 2008).

The UK based Intercontinental Hotels Group (IHG) plans to open 20 hotels in India with over 5000

rooms under its brand – Holiday Inn. (Hotel Business Review, 2008)

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Fig 6: Factors driving satisfaction scores

Source: Cornell Hospitality Industry Perspectives, 2009

7. Technology-Technology is a driving force of change that presents opportunities for greater

efficiencies and integration for improved guest services. It plays a crucial role in success of the

tourism and hospitality industry. Technology changes enhance the guest experience by incorporating

acceptability, accessibility, affordability, accountability of the people dealing with tourists and audit

of what has been achieved). Technology has become a tourism business activity in development of

strategic resources and is considered as a tool to increase competitiveness. Effective use of

information technology can make significant operational improvements. Advanced software and

communication tools allow enlarging operational efficiency, for example, orders may be made better,

faster and cheaper. In addition, decision-making through decision support tools, databases and

modelling tools assist the manager’s job. Thanks to expert systems, sophisticated expertise can be met

by any manager (Romanovs, 2000). Technology changes the tourism business rules more specifically.

Information on all tourist services is available virtually from all over the world. Technology on

wireless communication systems enabling voice, text and data communication among employees,

managers, departments and guests is now being adapted by hotels. Comprised of intelligent system

software and lightweight, hands-free or handheld communication devices, these systems allow hotel

staff to deliver the best customer service. Examples of wireless communication solutions for the

hospitality industry include communication badges, food and drinks ordering systems, as well as

devices that allow hotel agents to check-in and check-out guests, process credit cards, print receipts

and program room keys anywhere in or nearby the hotel. Wireless technology results in increase in

staff productivity, reduces response time to satisfy guest requests, improves overall guest satisfaction

and service as well as reduces queues at the reception desk.

Technology and Trends in the development of tourism lodgings and guest room In the past few years there is a certain trend towards developing green lodgings and an increasing

number of hotels worldwide apply policies friendly to the environment. This is due to the fact that

green hotels not only do save money for the owners but they save natural resources as well, by

enhancing the biodiversity, while at the same time they promote environmental conscience to the

guests. Another reason for the development of green hotels is the fact that there are tourists who are

“environmentally sensitized” and even when they travel, they wish to apply resource saving practices

in their everyday life. Organizations that certify the environmental policies of various enterprises,

have conducted researches realizing that on average a hotel of 150 rooms consumes in one week, the

amount of energy consumed roughly by 1.000 households in one year. The basic reason is that people

in their residences are aware of the water and energy cost, but in the hotels the increased consumption

does not influence the rate to be paid by the guests. The possibility of increased consumption is

interwoven with the offered services and luxury. There are some technologies in trend e.g. of water

63


saving that decrease the operating costs. Research’s have shown that the hotels using modern

technologies to save water, consume the one fifth of water per guest in relation to hotels that do not

use them. Most importantly, the guests do not observe any difference in the levels of comfort and

luxury. These saving techniques contribute both in the reduction of water, as well as in the reduction

of energy for the heating of water. Energy efficiency provides hotel owners and operators cost savings

that benefit the bottom line. Efficiency also improves the service of capital equipment, enhances guest

comfort and demonstrates a commitment to climate stewardship. Hotel, restaurants and resorts are

making use of enabling technologies to remain competitive in growing hospitality market.

Accommodation sector are now using automated messaging software which allows hotel to

communicate with guests through SMS and email before, during and after their stay. Targeted and

relevant quality messages enables hotel to minimize no-shows, up sell additional services, reduce

commissions and bring guests back time and time again. Furthermore use of laptops, iPods etc has

given rise to a media Port requirement in guestroom where the guest can simply plug in the gadgets at

the writing desk and it connects to the L.C.D. Products installed in room are more easily available in

India with dealers here who arrange the sampling and import of materials this gives designers a wider

range to work within the hotels. L.C.D T,V has eliminated the need of bulky cabinet in front of the

bed but the space requirement for mini bar and tea/coffee kettle has given challenge to designers to

come up with interesting suggestions like to create the mini bar at the end of the room as a separate

unit ergonomically designed so the guest doesn’t always have to bend down to get drinks .Again

linked to technology , hotels internationally are looking at how a room can light up when a guest

walks in the door, or one touch systems to control all aspects of the room lights , curtains ,L.C.D etc,

at the same time being user friendly , Clever use of space is in new trend , put in the basics then play

with the rest. Rooms now-a-days also have art deco themes, bold colours a bean bag for a chair etc in

their boutique concept. Hotel building are planned as boxes to allow natural air to flow through

thereby making it eco friendly and not requiring central air-conditioning in public spaces one from

another .LED lights are used to make a day white space into a mauve collared space in the night

.Outdoor furniture are used in the open spaces to make them more conductive to the weather

elements. The overall interiors space made the guest feel comfortable. Today, handheld devices

having a display screen with touch input and a miniature keyboard is used for KOT (kitchen order

ticket) generation in restaurants. The hotels are becoming increasingly conscious for the security of its

guest. Keys Hotels launched women only floors in India with video phones in each room to ensure

that the women travelers feel secured and enjoy the hospitality and amenities without any

apprehension. Many international chains have added various amenities such as special hair dryers and

toiletries and operate women-only lounges on the dedicated floor. The usage of electronic key card by

the residential guest has not only enhanced the security measure but has also become a facilitator in

access to guest floors, elevators and recreational facilities. The easy kiosks for check-in, 24x7

automated vending machines for snacks, beverages and other facilities have left the transient traveler

more contented and happy. Besides, direct hotel reservations, the central reservation systems (CRS)

and global distribution systems (GDS) serve as the primary channels of sales for hotel room nights.

The hotels maintaining huge facility have now shifted their focus from revenue management to yield

management by maximizing occupancy and protecting rates variations to optimize the RevPAR. A

majority of hotels now use computers in the areas of reservations, registration, guest history, guest

accounting audit, back office accounting. Similarly, most restaurants are using computerized point-of-

sale terminals and registers that control guest checks, kitchen orders, and guest payments. In addition

such a system stores a great amount of data, which can provide a range of averages, and ratios that can

be used to evaluate such items as menu-mix analysis, average guest check, seat turnover, cost of sales

analysis, and inventory control, to name a few possibilities. Computers have in effect, successfully

removed much of the time consuming drudgery present in a manual accounting system. The analysis

and evaluation of labour productivity, cost control, inventory control, menu costing, budgeting, and so

on can be obtained quickly and accurately from a computer, using software designed for a restaurant

operation. Needless to say, software programs are available for specific business operations within the

hospitality industry, which can assist in the safeguarding of assets, controlling cost, maximizing

profit, and providing information to measure the efficiency and productivity of an operation

Technology adoption is slow in the hotels, but is expected to gather momentum with overall

technology implementation costs coming down and is becoming friendly to use. Also, most of the

hotels are in the process of adopting core hotel solutions, hence investment in the loyalty technology

space seems to take low priority. Traditionally big hotels in India have always been very customer-

..... 64


oriented like the ITC, The Oberoi etc, and are used to provide customized solutions for their regular

guests. Loyalty programmes have been viewed as just another value adds among many other things

that the hotel does. The world has changed a lot and the perception of security also.

8. Demographic changes. The global population is gradually increasing and many retirees have the

time and money to travel and utilize hospitality services. According to the United Nations, population

ageing is increasingly becoming one of the most salient social, economic and demographic

phenomena of our times. The population volume decreases, migration internal and international

increases and age, gender, educational and household structures have all changed in recent years and

will continue to change up to 2020. Demographic change can affect different aspects of tourism. It

impacts directly on tourist demand (volume and structure) and the tourism labour market (number of

workers and their qualifications) and has an indirect effect on jobs within the tourism industry and

tourism services (type and quality of sector-specific and enhancing infrastructure).Overall, the

expected impact of demographic change on demand for holidays can be summarized as slight increase

in demand, shift in the structure of demand with the importance of senior citizens for tourism rising

more rapidly than their share of the population. Demographic changes will lead to shifts in travel

behaviour, resulting in particular from journeys made by people in the age group of 60 to 79 years,

including a higher proportion of journeys abroad and fewer journeys within their country, more air

travel and car journeys, less travel by coach and rail, lower seasonality (fewer summer holidays) and

greater significance attributed to culture, nature and health, with a decline in beach and relaxing

holidays at the same time. Changing lifestyles of the new tourists are creating demand for more

targeted and customized holidays. A number of lifestyle segments- families, single parent household,

“empty nesters”(i.e. couples whose children have left home), double income couples without children

–has become prevalent in tourism, signalling the advent of a much more differentiated approach to

tourism marketing. Low air fares and proper railways and airways connections – leave travel

concession to the employees made them to travel along with their family members.

9. Price-value. Price and value are significant factors to the more perceptive guests of today.

Customers and their perceptions about price have changed. Guests are resistant to paying more

(instead, they prefer to get more for less) and tourism enterprises should take measures in order to

solve this problem. The key word is "value." Value is what you get compared to what you pay. But

how could an hotelier increase value without lowering prices? Indian guest are very concern about

value for money. Changes in consumer behaviour and values provide the fundamental driving force

for the new tourism. The increased travel experience, flexibility and independent nature of the new

tourists are generating demand for better quality, more value for money and greater flexibility in the

travel experience. The top five elements that create value during a hotel stay are:

Guestroom design (size, comfort, room equipment, kitchenette, entertainment, heating /

ventilation / air conditioning, cleanliness).

Physical property - exterior, public space (cleanliness, landscaping, size, architecture).

Interpersonal service (service friendliness, attentiveness, professionalism, personal

recognition).

Functional service (service speed, efficiency, check–in and check–out efficiency).

Food and beverage related services (sanitation, quality, atmosphere, room service.

Market segmentation – as exemplified by eco tourism, medical tourism, rural tourism, cultural

tourism, and cruise and adventure tourism is clearly in evidence and is experiencing a great success.

New niche markets are constantly being identified in an attempt to diversify the industry further.

Future trends of tourism and hospitality

Tremendous growth in the Indian economy is the main reason for the growth in tourism in India.

Though the infrastructure is still a constraint it sustains the current growth and that the government

should invest in infrastructure like transport, accommodation, better roads, health and hygiene, etc. for

the growth of the industry has invested in new technology like CRM tools and state of the art security

systems. In air transport network India has bagged 37th rank for itself. Indian tourism industry is

ranked 5th in the long-term (10-year) growth and is expected to be the second largest employer in the

world by 2019. Today increased tourism in India has created jobs in many sectors. The Indian

Tourism and hospitality industry is based on certain core nationalistic ideals and standards which are:

65


Swaagat or welcome, Sahyog or cooperation, Soochanaa or information, Sanrachanaa or

infrastructure, Suvidha or facilitation, Safaai or cleanliness and Surakshaa or Security. Indian Tourism

Industry has got a major boost because of the booming IT and outsourcing industry with increased

number of business trips made by foreigners to India, who will often add a weekend break or longer

holiday to their trip. They spend more time here in India than almost any other country worldwide.

Tourism in expected to grow further over the next few years due to the changes taking place on the

demand and supply sides. The factors that will account for the further growth of tourism will include

the change in standards of living due to more spending power or disposable income, better education,

long leisure time and aging population. Owing to growth of tourism sector, infrastructure will

improve, competition will increase, new products will enter the market and better services will be

provided. Today, all the major international hotels chains like Holiday Inn, Radisson, Le Meridien,

Hilton, Accor, Choice Hotels, Hyatt and Hilton are present in India and are willing to expand their

business. The emergence of branded budget and economy segment hotels present tremendous

opportunities. The main niche markets (sports, travel, spas, health care, theme parks, cruise ships,

religious travel and others hold great potential and develop rapidly. With all the positive signals,

hospitality industry in India is getting consolidated and has many more opportunities to grow further.

The demand for demand for travel and tourism in India is expected to grow by 8.2 per cent between

2010 and 2019 and will place India at the third position in the world whereas capital investment in

India's travel and tourism sector is expected to grow at 8.8 per cent between 2010 and 2019. India is

also projected to become the fifth fastest growing business travel destination from 2010-2019 with an

estimated real growth rate of 7.6 per cent. India's growing strength in the information technology, bio-

technology, pharmaceutical and manufacturing sectors has prompted a few prominent international

bodies to host trade shows and conventions in the country and similar prominence is also expected in

the coming years. Concept of Green hotels and eco lodgings will be more prominent in nearby future

along with sustainable tourism and destination development. Similarly Food and beverage offerings in

India have evolved and are fast making a mark for themselves. Of late, standalone restaurants like

Indigo, Olive, Hakkasan, Trishna, Zest, and Smoke House Grill, to name a few have raised the bar for

the F&B offerings across major metros. Quick Service Restaurant (QSR) brands like Domino’s, Pizza

Hut, KFC, McDonald’s have huge expansion plans in the next five years which can hold the market.

In India tourism and hospitality accounts for 9.2 % of the total employment which is likely to be

increased in next few years. Tourism and hospitality industry estimates around 77.5 millions job by

2016.An additional employment of 24.5 million (direct and indirect) is likely to be created during

2010-2016. Table 5: Estimated employment in India

Source: Report of the working group on tourism 12th Five Year Plan (2012-2017), Ministry of Tourism, Govt.

of India, 2011

Guests’ virtual and physical social networks will be the best distribution channels in coming future for

the tourism and hospitality industry. Internet, technology is to play a vital role in nearby future. Food

and beverage offerings and hotels is tending to increase in next seven year. The total number of

restaurants could touch 240,000 in year 2020. The mix is likely to remain largely the same; however,

fast food outlets and cafes in the organized sector are likely to grow much faster than the others if one

goes by the stated expansion plan of large chains. The existing accommodation units may not be

sufficient for the targeted number of FTAS and DTVs in 2016. Requirement of additional rooms in

2016 for the targeted growth of tourism during the 12th Five Year Plan are given below:

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Table 6: Requirement of Room in the year 2016

Source: Report of the working group on tourism 12th Five Year Plan (2012-2017), Ministry of Tourism, Govt.

of India, 2011.

Conclusions There is an increase in Indian tourism and hospitality sector in terms of foreign tourist arrivals and

foreign exchange earnings. The trends that are mostly affecting the industry are: the increased concern

with guests’ safety and security, the enhanced diversity in the workforce composition, the importance

of outstanding services leading to additional opportunities for increased revenue, the new technologies

which contribute to improved guest services and enhance competitiveness, the population ageing that

impacts directly on tourist demand and the tourism labour market and the correlation between price

and value which is very important for the perceptive guests of today. In the field of tourism lodgings

development, the trend is an increasing number of hotels applying policies friendly to the environment

which is not only saving money for the owners but also saving natural resources as well hence

promoting environmental conscience to the guests. As per the World Travel and Tourism Council

Economic Report 2012 by 2022, the travel, tourism and hospitality is forecast to support 9.8% of

total employment and requirement of more than 20 lakhs room by 2016 in the country. The future

trends in the hospitality industry include more green and eco-lodgings, intelligent hotels with

advanced technology, guests virtual and physical social networks as a distribution channels,

development of mega hotels as most of the International hotel chains and food outlets are willing to

expand their business in India which is expected to place India at the third position in the world.

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Gastronomy Tourism and Destination Image Formation

Shunali1 & Manik Arora

Abstract Gastronomy is somewhat related to the word culinary which relates to the kitchen or cookery.

Culinary, gastronomic, or cuisine tourism involves learning about food and beverage products and

different styles of cooking. It is about the discovery and enjoyment of different tastes and flavours.

Gastronomy tourism can be used as an easy method of getting knowledge of new cultures and

traditions and local food & beverages are the main motivational factor behind gastronomy tourism. It

has gained recognition in recent years and now-a-days a very high volume of tourists are considering

dining and food as relevant activities during their travels. It has also been realized that food is not

only the source of satisfying hunger but can also be very beneficial in other aspects too. Gastronomy

plays a significant role in creating a quality visiting experience for tourists and, therefore, influences

their revisit intentions and also helps in building destination image. Image is a perception that a

person has for a destination Food or gastronomy is an important attribute that can be used in a

destination image building. Gastronomy tourism helps to promote particular tourist destinations.

Now- a -days tourists are more aware of the cuisine available in their selected destinations. It has

also been observed that the key objective of some tourists to visit a particular destination is to

generally indulge themselves in the local cuisine. For many more, the quality of the cuisine on offer is

an important part of the holiday experience as a whole. Every destination has some type of specialty

food or local cuisine that can attract tourists. Destinations must bear this in mind that they should

offer their best food to tourists so that their local tourism industry gets long term benefits and can

build its image as gastronomy tourism destination. Jammu is on such destination which is offering a

wide variety of gastronomic products with high quality of local ingredients to tourists. Moreover,

these local products have enough potential to build Jammu’s (J&K) image as gastronomic tourism

destination. Thus, the purpose of this study is to find out impact of gastronomy tourism on destination

image building of Jammu as gastronomy tourist destination.

Key Words: Gastronomy, Destination Image, Food Image

Introduction Food tourism is a new branch of tourism that is slowly but strongly affecting the world’s travel

industry. Culinary tourism has not been given much consideration for a long time. Kim, Eves, and

Scarles (2009) found that food tourism and its consumption is at its introduction stage, and is still

establishing its branches but now tourists start realizing that gastronomy is a easy way to get

familiarized with the traditions of a particular destination, and an important medium for cultural

expression (Fieldhouse, 1986). Food has always been a major aspect of overall tourist experience at

particular destination and sometimes good local gastronomic products enhances the overall tourist’s

experiences and become a reason for destination revisit. (Bourdieu, 1984) explained that it increases

both tourists’ culinary knowledge and cultural experience. This clearly indicates that there is an

inseparable relationship between the culinary industry and tourism industry. Tourists enjoy local food,

especially the items that are authentic and traditional in nature (McIntosh and Goelder, 1990). Local

food is one of the basic components of a destination’s attributes, that attract tourists and thus increases

the overall tourist experience (Symons, 1999). Gastronomy to be an important element of tourism and

also found that tourists give great importance to food during travelling and spent a major part of their

expenditure on food. According to (Hudman, 1986) that tourist spent 25 percent of total expenditure

on food and food also have strong impact on decision making of tourists in identifying their option of

location to be visited (Henderson, 2009).Gastronomic products of a destination help to increase the

destination demand (Haven-Tang & Jones, 2006) and ultimately its image. Every destination is now

trying to compete with each other in order to build its destination image (Kotler, Haider and Rein,

1993). Food is one such important element that can be used in the development of a destination

image (Quan & Wang, 2004). Many destinations had already started using food as promotional tool

for building image of the destination (Hjalager & Richards, 2002).Food has strong influence on the

tourists’ experiences at particular destination which further influence their decisions for destination

choice and help in building the image of the destination (Ritchie,Tung &Ritchie,2011). According to

1 Research Scholar, School of Hospitality and Tourism Management, University of Jammu, J & K, India. Email:

[email protected], & [email protected]



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Okumus et al. (2007), cuisine has great potential and it can be used as tool for building destination

image by increasing the number of tourists towards the host destination. In addition to this local food

promotional techniques like tourism web sites, food events, festivals etc showcasing local

gastronomic products also help in promoting food of the destination and thus in turn building the

image of the destination (Hall, Mitchell and Sharples, 2003; Long, 2003; Henderson, 2004).Karim

(2006) found that the food of a destination plays an important role in attracting tourists to visit a

particular destination and thus help in building image of the destination as gastronomic tourism

destination. Bigne et al. (2001) and Lee et al. (2005) found that destination image plays two important

roles in behaviours of visitors firstly it influence the destination choice decision-making process, and

secondly it influence the behaviour of tourist ,their revisit intentions and their willingness to

recommend the same destination to others. Today behavioural intentions are considered as a better

predictor of performance (Chi & Qu, 2008). Hall and Mitchell (2006) found that availability of food

products and related activities hold tourists for a long time in the host destination .Not only they

would like to stay longer but they would like to revisit the destination again and again. Satisfied

tourists were found to have higher tendency to revisit the same destination and provide positive

comments to their friends and relatives (Chen & Tsai, 2007; Yoon & Uysal, 2005) and quality

gastronomic food products have positive impact on behavioural intentions. Chen & Tasi (2007) found

that by knowing the relationships between tourists’ behaviour and its determinants, destination

tourism managers can build destination image and can increase the tourist inflow. In addition,

behavioural intentions are also strongly influenced by tourist satisfaction (Yoon and Uysal, 2005).

Tourist behaviour can be divided into three stages: pre-, during- and post visitation (Kozak and

Decrop, 2009) and if tourist found good quality local ingredients and food at the destination it will

strongly influence their behaviour and in turn destination image. Thus, the purpose of the proposed

study is to find the impact of gastronomy on destination image building.

Background of the Study

Gastronomy Tourism The origin of the term gastronomy cannot be dated back. But according to Scarpato (2002), the word

“gastronomy” was first emerged in a poem published by Jacques Berchoux, a Frenchman in 1804.

Finally, in 1835, the word gastronomy was included and defined in a French dictionary as “the art of

good eating.” Scarparto (2002) further explained that those people, who were involved in food and

drinks in ancient days, did not have any particular skills or professions that were directly related to

food and drinks. According to the Long (2004) culinary tourism is an intentional, exploratory

participation in the ‘foodways’ of an ‘other’- participation including the consumption or preparation

and presentation for consumption of a food item, cuisine, meal system, or eating style considered as

belonging to a culinary system not one’s own. Culinary tourism is a special form of tourism. Special

interest tourism can be defined as travelling by tourists who have a common interest and their need

can be fulfilled at a particular destination (Weiler & Hall, 1992). According to (Beardsworth &

Keil,1997), food reflects human cultures when tourists tastes new local cuisines, they are actually

experiencing a new culture, gastronomy of every destination have different styles of cooking

,flavours, tastes and ingredients which is actually a rear view of the culture, customs and traditions of

the host destination. Furthermore,(Bourdieu,1984) stated that having local food during travelling is

one of the important experience that people have during their visit that not only increase their culinary

knowledge, but also make them aware about the culture of the host destination which further motivate

them to visit the host destination again and again.

Destination Image Destination image means individual’s perception, feelings and knowledge of a particular destination

(Fakeye and Crompton 1991). Bigné, Sánchez and Sánchez (2001) define destination image as the

subjective analysis of reality by the tourist Now-a- days, food and drinks of many countries are used

for building image of the destinations and the process of image building is not limited to urban cities

but many rural areas that are rich in their gastronomy are also building their image as gastronomic

tourism destination (e.g. Hall and Macionis, 1998; Bessie´re, 2001; Sharples, 2003). Studies showed

that food and wine is used to market a destination and help in building the image of the destination, it

is also the expression of the destination which completely express the culture and traditions of the

destination (Cohen &Avieli, 2004; Hall & Sharpies, 2003; Handszuh, 2000; Hjalager & Richards,

2002;Long, 2003; Richards, 2002; Wolf, 2002a).This make food an important source of image

..... 70


building and provides an opportunity to tourist to experience new gastronomic products , food

producers can also get benefit as local food products become an important means of selling the

identity and culture of a destination (Quan & Wang,2003) and in turn building the image of the

destination through its local gastronomic products. Okumusa, Okumusb& McKercher (2005) studied

how two different destinations use food in their destination marketing. They found that when food is

used in destination marketing, the destinations build their own different images. Thus it clearly

indicates that food have strong influence on destination image building and have capability of

building, loyalty among visitors which in turn has a positive effect on the long-term performance and

quality of the destination (Keane 1997; Reichheld and Sasse1990).Sometimes food help in repeat visit

among travelers and Repeat visitation indicates travelers’ satisfaction with the destination, which may

influence their return intentions as well as creating positive word of mouth (Oppermann 1999) the

desire to seek new experiences and new travel destinations can play an important role in explaining

travelers’ intentions to return to a location, (Babuand Bibin 2004; Garcia et al. 2012; Jang and Feng

2007) and gastronomic products of a destination is now becoming the most enjoyable activity in the

destination. Fields (2002) describes that when tourists are experiencing new local cuisines, they are

actually experiencing a new culture he further describes that gastronomy can be a motivator in many

ways like it motivate tourists towards the culture of the destination not only towards the culture but it

also increase visitors motivation towards the local cuisine of the destination and tourists can

strengthen their knowledge of the local cuisine by eating as the locals eat, and exploring new cuisines

and food of the host destination many times encourage their revisit intentions and strongly influence

the image of the destination. Quan and Wang (2004) studied the relationship between tourists’ food

consumption and their visiting experience and found that past food experience could insist tourists to

taste local cuisine again( Ryu and Jang ,2006) If a positive food image is formed in tourists’ mind

they would like to revisit the same destination again. Thus food plays a pull factor for the tourists and

which help in building image of the destination too.

Objective 1) To determine the food image of Jammu.

2) To study the impact of demographic profile of tourists on their perceptions about the food

image of Jammu.

3) To assess the relationship between food image and destination image of Jammu.

Hypotheses and Data Requirement The literature revealed that there exists a relationship between demographic profiles of the tourists on

the image of the destination. Tassiopoulos, Nuntsu and Haydam (2004) studied demographic and

psychographic profile of wine tourists in South Africa order to get information for wine tourism

development in South Africa. Kim (2010) examined the effects of demographics, experience, and

expertise on destination image formation in the ski resort context. The study clearly noticed the

effects of demographics (gender, age, and income), expertise and experience, on destination image

assessments and found that relationships between demographic factors, experience, and expertise,

shows linkages with image assessments. Beerli and Martin (2004) also pointed out that an individual’s

personal characteristics, including demographics and prior experience, affect the formation of an

image , since beliefs about the attributes of a destination depend on the internal factors of the

individuals. Therefore, it can be said that the various Demographic attributes of tourists have an

impact on their perception about food image of any destination and thus holds true for Jammu and

Kashmir too.

H1:-There exists a significant impact of demographic characteristics of tourists on their perception

about Jammu food image

The previous researches point out that many destinations are rich in their food culture and have wide

range of exotic cuisines which further help in building their positive image. Jalis et al (2009) studied

that gastronomy is a relevant source for attracting tourists to Malaysia and was identified as the new

tourism product in Malaysia. In addition, the findings of the study demonstrated that the local

gastronomic products can be a source for boosting the local economy. This also shows that Malaysia

has a positive food image. According to Global Report on Food Tourism (2012) many destinations

like Kazakhstan, Korea, Moscow, Brazil, Georgia etc are rich in their gastronomic products and they

have capability to build their image as positive food image. Jammu and Kashmir is also known for its

71


rich and varied cuisine for all its three regions and thus may have a positive food image among the

tourists. Thus with this backdrop, the following hypothesis is based upon.

H2:-Jammu has a positive food image.

The previous researches have pointed out that the destination image can be developed as a

gastronomic tourism destination. Horng and Tsai (2012) explained that Hong Kong and Singapore do

not have enough natural resources that make tourism experiences more enjoyable, but they have a

good range of food and gastronomic products and strong culture background and with the

combination of tourism and creativity, they can attract large number of tourists and build destinations

as gastronomy tourism destination. Kivela & Crotts (2006) took the example of Hong Kong that its

food is the main focus of the travelers during their visit at that place. So, it can be promoted as a

gastronomy tourism destination. Similarly Jammu and Kashmir is a destination where one can not

only enjoy good weather ,mountains ,and beautiful scenery but it has an immense variety of

ingredients , flavours and exotic food to taste and this will help to build Jammu and Kashmir’s image

as a gastronomic tourism destination.

H3:-Food Image has a significant effect on the destination image of Jammu

Data was collected from primary sources with the help of structured questionnaire, which was

carefully prepared after a thorough review of literature. The survey instrument consisted of four major

sections. The first section contains questions on personal profile of the respondents including gender,

age, occupation, marital status, education, monthly income, purpose of visit and Length of stay in

hotel. Second section comprises 20 statements on food image developed by Karim et al (2011). Third

section deals with 21 statements on destination image was developed by Russell (1980) and later used

by other tourism researchers (Hosany, Ekinci and Uysal, 2006). A five point Likert was used in the

study, representing a range of attitudes from ‘1’ being strongly disagree to ‘5’ being strongly agree to

measure food image & destination image.

The sample for the study was collected from tourists travelling to Jammu region. The sample size was

determined by using the formula given by Krejcie & Morgan (1970). The calculated sample size is

110. . The data were analysed with the help of SPSS (16.0). The mean score has been used to deduce

the opinion regarding food image. Regression equation was framed to find the impact of food image

on destination image and ANOVA to evaluate the effect of demographics on food image.

Results It was revealed from the study that 54 of the sample are males and 70 are females. The maximum

respondents were from the age group of 20-40 years while 42 were below 20 years. The 48 of the

sample are married and the rest representing 76 were single. Out of all the respondents 55% of the

respondents have the monthly income less than 10000. Among the participants of the present

research, nearly 65% of the tourists have visited for the pilgrimage purpose followed by leisure and

business.

According to regression results, the coefficient of determination, R² = 0.049. This implies that 4.9% of

the variation in the food image is explained by the regression and the remaining 95% of the variation

by error. Also, the coefficient of correlation r = 0.2216. The Positive sign shows that there exists a

positive direct relationship between the food image and destination image (r = 0.2216). This implies

that food image has an impact on destination image.

The regression coefficient B = 0.324 shows that the destination image which is a dependent variable

changes by 0.3 units for each unit change in food image which is an independent variable. Thus, it is

found in the study that food image has an impact on the destination image and the value of r² = 0.0491

indicate that about 4.9% change in destination image is due to change in food image. Hence, we can

say that hypothesis 3 of the study is supported by the data.

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Table 1: Regression Output

Multiple R 0.2216

R –square 0.0491

Coefficient of correlation r = 2216

Anova Degree of

Freedom

Sum of

Square

Mean

Sequence

F-Value Significance F

Regression 1 1.081 1.081 6.30127 0.0133

Residual 122 20.937 0.1716

Total 123 22.019

Intercept 2.261 0.460 4.913 2.816

X- variable- Food Image 0.324 0.129 2.510 0.0133

From Table 1, the regression equation as formed is:-

Destination Image = 2.261 + 0.324 (Food Image).

Table 2: T-test for Gender

Gender

Male Female t-test

Food Image 3.499 3.352 1.912

Table 2 represents the t-test for gender of the respondents. Since the calculated value of t (0.1912) for

gender is less than the table value (1.96), the hypothesis that there is a significant difference in the

perception of tourist in relation to food image on the basis of their gender is accepted.

Table 3: ANOVA represents significant difference in Age

Source of Variation Sum of

Square

Degree of

Freedom

Mean

sequence

F- Value

Between Rows (Food Image) 0.0837 2 0.0418 4.7434

Between Column (Age) 0.217 1 0.2170 24.599

Residual 0.0176 2 0.0088

Total 0.3184 5

Table 4: ANOVA represents significant difference in Income.

Source of Variation Sum of

Square

Degree of

Freedom

Mean

sequence

F- Value

Between Rows (Food Image) 0.1560 4 0.0390 0.2391

Between Column (Monthly

Income)

0.1312 1 0.1312 0.8048

Residual 0.6524 4 0.1631

Total 0.9397 9

According to two way ANOVA analysis there is a difference in the food image of a destination

according to age (p=199.50 > 0. 05). Also there is a difference in food image by the level of employee

income. (p=224.58 > 0.05). (Table 3 and 4). Hence on the basis of above discussions we can say that

our first hypothesis (H1) stands accepted.

Table 5 represents the mean score of the food image, since the total mean is 3.41, it signifies that

Jammu is not considered as a gastronomy destination but, its image can be developed as a gastronomy

tourist destination if the tourists are well informed about the local cuisine of the place, quality

ingredients that are used in preparation of food. Further, traditional cuisines should be added in

existing menus of various food counters. Hence, we can say that H2 is not supported by the data.

73


Table 5: Mean Score of Food Image

S.No. Statement Mean Score

1 Add to eating enjoyment 3.68

2 Value for Money 3.53

3 Reasonable Price 2.71

4 Delicious 3.73

5 Well Presented 3.68

6 A lot of traditional menu 3.09

7 Local Ingredients 3.48

8 Nutritious 3.65

9 Variety of food services 3.82

10 Quality of food services 3.79

11 Attractive eating surrounding 3.40

12 Quality Ingredients 2.39

13 Clean Environment 3.73

14 Variety cooking methods 3.19

15 Variety flavours 3.53

16 Information on the food 2.87

17 Easy Access 3.27

18 Halal 3.45

19 Hot & Spicy 3.16

20 Originality and exoticness 3.11

Total 3.41

Conclusion and Managerial Implications The general conclusion in this research is that this research is twofold involving gastronomy and its

linkage with destination image. Moreover, gastronomy has strong influence on how tourists

experience a destination. In addition, gastronomy can also be used to revive the destinations that are

struggling for its image building. Unlike other activities and tourist attractions, gastronomy is

available at every destination with unique features that significantly influence the tourists visiting the

destination. As the results show that there is only 4.9% impact of food image on destination image

since, the study is conducted in Jammu region of J&K state where majority of tourists travel for the

purpose of pilgrimage and it is been seen that people travelling for the pilgrimage, tend to overlook

various factors. But, if we use proper promotional strategies for gastronomy of Jammu region, then

the results can be higher than the present status. It has also been revealed in the analysis that

perception of both male and females are different in terms of the food image.

This study is an evident proof which indicates that beside other factors, food image also influences the

destination image. The managerial contribution of this study will help to create awareness among

local community as it would generate the employment among locals which in turn raise their standard

of living, DMOs, policy makers (as it would result into generation of higher revenue) and hoteliers,

that like various far east countries, places with particular cuisines could be used to promote and build

the image of a destination.

In addition study will be a theoretical contribution to the existing literature and also provides genuine

support to the researcher who would like to work on other parameters related to food image and

destination image in future. As it is evident from the present research that food image has only 4.9%

influence on destination image which implies, there may be other factors which have major influence

on destination image . These variables could also be examined in future and a comparative analysis

can also be made in various other industries.

Limitations of the Study This research study has few limitations like sample size was small and the data is collected from only

Jammu Division of J&K state, although Kashmiri cuisines have its own glory among tourists coming

to the area. The method used in the research in order to collect data is Questionnaire method. Other

methods like group discussions, personal interview, etc. could have also been implemented for better

results.

..... 74


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Travel Motivation, Travel Behaviour and Travel Destination Choice: A

Relationship Framework among Pilgrim Tourists Suvidha Khanna1 & Nidhi Pathania

2

Abstract Pilgrimage motivation is generated through an inner consciousness of an individual having a sense of

faith for a specific pilgrim destination. In this research, the relationship between travel motivation

and destination choice of the pilgrims visiting the major pilgrimage sites of Jammu and Kashmir has

been discussed. Pilgrims are the special tourists whose pilgrim interest is to visit the place where they

can be involved in the religious activities. They are not at all worried by the situations or

circumstances prevailing over there which might include the seasonal variations, natural calamities,

terror incidents etc. The main idea behind pilgrimage is the faith prevailing among the tourists

visiting the destination irrespective of the fact that whether the conditions in the said pilgrim tourist

site are conducive or not for them. Also, different individuals have different personalities and they

behave accordingly. There is generally a disparity of views, perceptions and experiences among

individuals with varying backgrounds. Hence, it can be said that demographics play a vital role in

bringing a variation in the mindset and thinking of people; particularly pilgrims in this case. A large

number of studies have been carried on motivation, demographics and destination choice aspect of

tourists but not much of work has been carried on these variables of tourists visiting the pilgrim sites

of Jammu and Kashmir. With this background, the present research is to evaluate the influence of

tourists’ demographics on their travel motivation and travel choices and also to find out the

relationship between travel motivation and their destinations choice. The statistical tools applied in

this research study are t – test, Percentage Method, Annova, Co-relation and Regression.

Key words: Pilgrimage, Demographics, Motivation, Destination Choice, Faith.

Introduction India is a land of pilgrimage. People travelling for religious purposes have been there from the most

ancient times. Practically, all religions – Hindu, Buddhism, Jainism and Sikhism have their major and

minor pilgrim centres at different places across the country. There are also abundant pilgrimage places

of Sufism, Churches and mosques that are visited by people. Infact, to a majority of domestic tourists

in India, pilgrimage has always been the major motivational factor (S. Vijayanand, 2012). A

pilgrimage has been defined as, “A journey resulting from religious causes, extremely to a holy site,

and internally for spiritual purposes and internal understanding.” (Barber, 1993:1). Now a day’s

pilgrimage is defined differently, and can be considered a traditional, religious or modern secular

journey. The phenomenon of pilgrimage is currently experiencing resurgence throughout the world

with longstanding shrines still attracting those in search of spiritual fulfilment (Digance, 2003).

However, the literature on pilgrimage and religious tourism is still fragmented and lacks synthesis and

holistic conceptualization (Timothy & Olsen, 2006).

Tourists taking part in religious tourism cannot be classified into a single type of tourism, as too many

types of people with a variety of interests participate in religious events, ceremonies, pilgrimages and

processions. Religion as a concept is linked to variety of issues in the tourism research literature, but

is most commonly mentioned in relation to pilgrimage and discussions about the links between

tourism and pilgrimage (Cohen, 1992a, 1992b, 1998; Din, 1989).

Travel to sacred places may be motivated by a number of reasons, ranging from deeply religious to

plain curiosity. Such travel is generally placed within the purely religious domain of pilgrimage or

within the profane and hedonistic pursuits of tourism. While the focus in pilgrimage is on the

association with some sacred and numinous supernatural power and the ability to get closer to it by

1 Assistant Professor, School of Hospitality & Tourism Management, University of Jammu, India.

E-mail: [email protected] 2 Research Scholar, School of Hospitality & Tourism Management, University of Jammu, India. E-mail: [email protected]



77


means of religious practices, tourism is mainly about ‘getting away’ to experience a change. However,

these two forms of travel are interconnected.

According to Rinschede (1992), modern tourism began with the ‘great religious tour’ organized by

Thomas Cook in the mid-19th century. Some scholars take this argument further and describe tourism

itself as ‘spiritual journey’ or a ‘sacred journey’ because it exhibits the ‘spiritual quest’ inherent in

pilgrimage (Graburn, 2001). But there are others who maintain its difference from religious or

traditional pilgrimages. This has generated a lot of debate on similarities and differences between

pilgrimage and tourism. Timothy and Olsen (2006) provide a comprehensive review of this debate,

and therefore instead of repeating it here it would be wiser simply to recognise that these are two

different forms of travel that increasingly overlap in the modern context.

It is generally accepted that people’s religion has been characterised as a key factor that influences

individuals’ behaviours as travellers, as reflected in their “visitation patterns” (Poria et al., 2003).

According to the World Religious Travel Association (WRTA), in 2007 over 300 million travellers

undertook journeys to sacred sites, and the industry size was estimated at $18 billion (Wright, 2007).

Moreover, sites with religious significance continue to attract millions of travellers every year (Jansen

and Kühl, 2008).

Review of Literature Pilgrimage Motivation

Pilgrimage tourism seems to be a newer academic concept but it is certainly not a new phenomenon

(Dallen J. Timothy and Daniel H. Olsen, Eds 2006). Based on pilgrims studies (Ines Hernandez-Avila

1996, S. Vijayanand, 2012) it can be said that a pilgrimage tourist as someone who visits a specific

place out of the usual environment, with the intention of pilgrimage meaning and growth. Without any

overt religious compulsion, this could be religious or non-religious in nature, but within the divine

context, regardless of the main reason for travelling.

There are a range of historical examples of linkages between religion and travel. Sheratt and Hawkins

(1972) characterized Islam as a “vital, vivacious and expanding religion” in which Muhammad’s

migration from Mecca to Medina was the genesis of the rapid spread of Islam throughout the world.

Nolan and Nolan (1992) described the European religious system as being comprised of religious

attractions, pilgrimage shrines (both touristic and non-touristic) and festivals. They highlighted the

interaction between the pious pilgrims and secular tourists acknowledging that “regardless of their

motivations, all visitors to these attractions require some level of services, ranging from providing for

the most basic human needs to fulfill commercial development that rivals the most secular resort.”

(Nolan and Nolan, 1992). Pilgrimage travel is often less prone to economic ups and downs in the

market place. Because faith-based travellers are committed travellers and they tend to save for these

religious experiences and travel despite the state of the economy. Faith travellers tend to have

different motives for travel then the tourists travelling for other reasons. For example, the faith –

based traveller often travels as part of a religious obligation or to fulfill a spiritual mission. Faith

based travel can provide a steady flow of income to a local tourism economy (Crain, 1996).

Travel Destination Choice

According to Pearce (2005), research on travel destination choice has been directed to broadly

referred choice set models in which destination images are seen as the result of the destination

characteristics; i.e. how they are presented and how they are integrated with the social, psychological

factors such as motives and interests. Papatheodoron (2006) stated that destination choice has always

been an important aspect in tourism and there are several factors involved in the influencing of travel

decisions, these factors constitute of culture, travel motivations, finances, previous experiences etc.

(Ankomah, Crompton and Baker, 1996)

Plog (1977) introduced a tourist typology which incorporated travel motivations, travel preparation

and destination choice. He divided the tourist segments into three main types: All centric, mid-centric

and psychocentric. Allo-centric seeks cultural and environmental differences from their norm, belong

to high income group, are adventurous and require very little in the way of tourist infrastructure and

facilities. On the other hand, psycho-centrics seek familiar surroundings, belong to lower income

..... 78


groups and are unadventurous and require a high level of tourist infrastructure and facility. Mid-

centrics are in between the characteristics of psycho-centrics and allocentrics.

Travel Behaviour Schiffman and Kanuk (2000) stated that travel behaviour is behaviour that travellers seek to satisfy

their needs through purchasing a product or a service. Behaviour is affected by many factors that

include psychology factors (perception, learning, personality and attitude) and social factors (culture,

subculture, social class, reference group, family). The behavioural perspective of human personality is

a subjective quality mostly reflected in terms of spatial interaction of man and image formation and its

exposition (Pravin S. Rana, 2004). Xie (1994) indicated that tourists are consumers and tourist

psychology is to explore the psychology and behaviours of tourists. The major factor for travel

behaviour is Travel Motivation and Travel Destination Choice. As it is rightly pointed out by Maslow

(1943) that human motivation relates to the discovering of peoples’ needs and how these needs are

fulfilled, it is important to understand and have adequate knowledge about the motivations influencing

the travel behaviour of tourists since they have a direct impact on decisions that tourists make

(George, 2004) which includes travel destination choice also. Various researchers have analysed

travel motivation in order to conclude a better understanding of travel behaviour (Crompton, 1977;

Huang & Xiao, 2000; Lee, Lee & Wicks, 2004; Law, Cheung & Lo, 2004, Correia, Oom do valle &

Moco, 2007; Saayman, Slabbert & Van der Merwe, 2009).

Demographic Profile

Key demographic factors such as age, gender, income, employment and education are often important

and interrelated determinants of demand which often change over time (Karpati, 2009 Karpati and

Varga and Nabradi, 2010). Weaver et.al. (1994) and Cottrell (2003) found that age was a

discriminating demographic variable that influenced holiday behaviour and destination choices.

Several studies have attempted to examine the relationship between travel motivation and various

socio-demographic variables such as gender, age, educational level, and income. For example

Gitelson and Kersletter (1990) evidenced that females related relaxation, socializing and exploration

as more important than the male respondents. They also found that age was negatively related to the

importance of relaxation, excitement, socializing and exploration. Zimmer et al. (1995) showed that

age, income and education were important predictors of a persons’ desire to travel. Their study also

proved that travelers with higher educational background and more disposable income were more

likely to travel farther from home. Sangpikul (2008) in a study of senior travellers evidenced that

educational level was positively related to travellers’ intentions to travel. Their findings also showed

that relation, seeking knowledge and novelty were more important push motives among travelers with

a higher educational level.

Objectives of the Study The main purpose of this study attempts to study the influence of tourists’ demographics on the travel

motivation and to examine the relationship among travel motivations, travel behaviour and travel

destination choices of tourists visiting pilgrimage sites of Jammu and Kashmir and also to suggest

various steps and measures for providing better services to the tourists so that they can be motivated

in large number towards these pilgrimage sites.

Hypotheses H1: There exists a significant difference in travel motivations on the basis of tourist demographics.

H2: Travel motivations influences travel destination choices.

H3: Destination Choice and travel behaviour are positively related.

H4: Travel Motivation influences travel behaviour of the pilgrims.

Research Methodology The study is empirical in nature that includes the tourists visiting pilgrimage sites of Jammu and

Kashmir. The data is collected through a questionnaire distributed to the pilgrims visiting Jammu and

Kashmir with the aim of getting blessings by the respective deity of the pilgrimage site visiting.

79


Survey Instrument

The survey instrument used in this study is structured one and is a four part questionnaire. The

questions in the first part of the survey asked about the demographic profile i.e. gender, age,

qualification, occupation, marital status, income and travelling pattern. In second part, the questions

regarding travel behaviour characteristics are discussed where the respondents were given 5-pt. Likert

scale to rate their opinion with assigned values 1 being “Not at all important: and 5 being “Very

Important”. In third part of the questionnaire, destination choice attributes are discussed where the

respondents were assigned values 1 being “Not at all important” and 5 being “Very Important”.

Similarly, fourth part of the questionnaire includes the questions about travel motivation with

assigned values 1 being “Never” and 5 being “Always”.

Sampling Unit

The respective respondents were approached at the bus stand, railway station and the airport for their

responses about the pilgrimage sites they are visiting with in Jammu and Kashmir. In total 240

respondents were approached for this study but only 155 useable responses were received leading to

65% (approx.) response rate.

Statistical Techniques used

The statistical techniques used for the analysis of the data include Annova, Percentage Method, t –

test, Regression & Co-relation.

Research Outcomes

Table 1: Demographic Profile of Respondents (N= 155)

S.No. Demographic Variable N Percentage%

1 Gender

a) Male

b) Female

88

67

56.78

43.22

2 Age

a) Below 20

b) 20-40

c) 40-60

d) Above 60

18

78

48

11

11.61

50.32

30.96

7.09

3 Qualification

a) Undergraduate

b) Graduate

c) Post-graduation

d) Professional

e) Ph.D

f) Others

23

50

33

30

10

9

14.8

32.25

21.29

19.35

6.45

5.80

4 Marital Status

a) Single

b) Married

c) Separated

d) Widowed

72

71

01

11

46.45

45.80

0.64

7.09

5 Income

a) Less than 20,000

b) Rs. 20,000-40,000

c) Rs. 40,000-60,000

d) Above Rs.60,000

48

44

47

16

30.96

28.38

30.32

10.32

In table 1, the demographic profile of the respondents is given. It is found that approx. 57% (approx.)

of the respondents are males and the rest 43% (approx.) are females. Almost 50% (approx.) of the

respondents were from the age group 20 – 40 years while 31 % (approx.) were between 40 – 60 years,

12% (approx.) of the respondents were below 20 and approx. 7 % (approx.) of the respondents were

above 60. Almost 32 % (approx.) of the total respondents are graduates, 21 % (approx.) were post

graduates, while 19 % (approx.) were professionals, 15 % (approx.) are below graduation. Likewise

46 % (approx.) of the respondents are single and 45 % (approx.) are married, while 0.65 % were

separated and the rest 7.09 % are widowed. 31 % of the respondents were of the income group less

than 20,000 whereas (approx.) 30 % of the respondents were of the income group Rs.40,000-60,000,

..... 80


28 % of the respondents were of the income group Rs.20,000 – 40,000 and 10 % of the respondents

were above Rs.60,000.

Table 2: t-value for gender

Travel

Motivations

Male (Mean) Female (Mean) t – test

3.574 3.818 -3.224

Table 2 represents the t-test for gender of the respondents. Since the calculated value t0.05 (3.224) is

greater than the table value at 0.05 (1.96), so the hypotheses that there is a significant difference in

travel motivation vis-à-vis tourist demographics on the basis of gender is rejected.

Table 3: Analysis of Variance for Age

ANOVA-age

Source of

Variation SS Df MS F

Between Groups 2.144142 2 1.072071 2.481577

Within Groups 48.81736 113 0.432012

Total 50.9615 115

Table 3 is the ANOVA for the age on travel motivation. The calculated value of F i.e. 2.4815 for v1=

2 and v2=113 at 5% level of significance is less than the table value = 3.15, thus hypothesis that there

is significant difference in travel motivation vis-à-vis demographics on the basis of age is accepted.

Table 4: Anaysis of Variance for Qualification

ANOVA-qualification

Source of Variation SS df MS F

Between Groups 5.22457 5 1.045491 4.580941

Within Groups 34.00572 149 0.228226

Total 39.23318 154

Table 4 is the ANOVA for the qualification on travel motivation. The calculated value of F i.e. 4.5809

for v1= 5 and v2=149 at 5% level of significance is more than the table value = 2.21, thus hypothesis

that there is significant difference in travel motivation vis-à-vis demographics on the basis of

qualification is rejected.

Table 5: Analysis of Variance for Marital Status

ANOVA-marital

status

Source of

Variation SS df MS F

Between Groups 2.13896 3 0.712987 2.902365

Within Groups 37.09423 151 0.245657

Total 39.23319 154

Table 5 is the ANOVA for marital status on travel motivation. The calculated value of F i.e. 2.9023

for v1= 3 and v2=151 at 5% level of significance is more than the table value = 2.6, thus hypothesis

that there is significant difference in travel motivation vis-à-vis demographics on the basis of marital

status is rejected.

81


Table 6: Analysis of Variance for Income

ANOVA-

income

Source

of

Variation SS Df MS F

Between

Groups 2.986891 3 0.99563

4.14774

Within

Groups 36.24629 151 0.240042

Total 39.23318 154

Table 6 is the ANOVA for the number of income ranges. The calculated value of F i.e. 4.1477 for

v1=3 and v2=151 at 5% level of significance is more than the table value = 2.6, thus hypothesis that

there is a significant difference in travel motivations on the basis of income is rejected.

Table 7: Representing Regression between Travel Motivation and Travel Destination Choice

From table 7 the strength of association between the Travel Motivation (X) and Travel Destination

Choice (Y) is found out. Here, the coefficient of determination, R Square= 0.20.This implies that 20%

of the variation in the destination choice of tourists is explained by the regression analysis and the

remaining 80% of the variation is explained by error. i.e. only 20 % of the Travel motivation affects

the travel destination choice. And the regression equation is as under:

Travel Destination Choice = 2.294 + 0.437 TM

The regression coefficient b= 0.437 indicates that a one unit change in the travel motivation in the

pilgrim destination will bring about 0.437 change in the travel destination choice of the pilgrims.

Table 8: Correlation Analysis of Travel Motivations and Travel Destination Choices

Destination

choice

Travel Motivation

Destination Choice

1

Travel Motivation

0.45421

1

Also, Coefficient of correlation, r = 0.454

Here ‘r’ has a positive sign which indicates the direction of relationship between the dependent

variable: travel destination choice and independent variable i.e. travel motivation. This implies that

the travel destination choice of the tourists depend upon their travel motivational factor i.e.

Pilgrimage.

Table 9: Representing Regression-Ship between Travel Motivation and Travel Behaviour

Multiple R 0.214689

R Square 0.046091

Adjusted R square 0.039857

Standard Deviation 0.653414

From table 9 the strength of association between the Travel Behaviour (Y) and Travel Motivation (X)

is found out. Here, the coefficient of determination, R Square= 0.046. This implies that 4.6% of the

variation in the travel behaviour of tourists is explained by the regression analysis and the remaining

95.4 of the variation is explained by error. i.e. about 5 % of the Travel motivation affects the

pilgrimage travel behaviour. And the regression equation is as under:

Travel Behaviour = 2.227+0.282 Travel Motivation

Multiple R 0.452

R Square 0.206

Adjusted R 0.201

Standard Deviation 0.434

..... 82


The regression coefficient b=0.282 indicates that a one unit change in travel motivation will bring

about 0.282 change in the travel motivation of the pilgrims.

Table 10: Correlation Analysis of Travel Motivation and Travel Behaviour

Travel

Motivation

Travel Behaviour

Travel Motivation

1

Travel Behaviour

0.2148

1


Here ‘r’ has a positive sign and the value signifies low co-relationship between pilgrimage travel

motivation and travel behaviour. This also indicates that the directions of relationship between the

dependent variable i.e. travel behaviour and independent variable, i.e. travel motivation which implies

that the travel behaviour of the tourists depends upon their motivation to travel.

Table 11: Correlation Analysis of Travel Destination Choice and Travel Behaviour

Travel

Destination

Choice

Travel Behaviour

Travel destination Choice

1

Travel Behaviour

0.186

1


Here ‘r’ has a positive sign which indicates that the direction of relationship between the dependent

variable: travel behaviour and independent variable i.e. travel destination choice. This implies that as

the travel behaviour of the tourists do depend upon the destination choice that they make, but only to a

small extent.

Conclusions and Discussions The purpose of this research study was to determine the influence of tourist demographics on the

travel motivation and to examine the relationship between travel motivation, travel behaviour and

travel destination choice of tourists. The research indicates that there is not much difference in the

motivation of the pilgrims on the basis of gender. Males as well as females are equally motivated as

far as the pilgrimage motivation is concerned. If the pilgrimage motivation of the tourists is

considered on the basis of age, it has been seen that there exists a significant difference among the

perception of tourists visiting the pilgrim sites. It may be because of the fact that the visitors who fall

in the age group of below 20 are keen to visit the pilgrimage sites as they find them very adventurous

in nature and for the pilgrims above the age of 60 years may have some other travel motivation such

as just paying obeisance to the deities at these pilgrim sites. It has been realised that the motivation of

the tourists was not affected by the income, qualification and marital status. It has been found in the

study that there is a positive correlation between the travel motivation and travel pilgrimage

destination choices of the tourists visiting the destination site it is small as (0.45421). Pilgrims just

want to travel the particular pilgrimage destination irrespective of the number of choices they have

and through regression analysis, it has been proved that only 20 % of the travel motivation affects the

travel destination choice. The research also focuses on the regression-ship between travel motivation

and travel behaviour which reflects that there is very high correlation ship between the motivational

factors of the tourists for their travel and behavioural pattern that they follow. The study also signifies

the correlation ship of travel destination choice & travel behaviour of tourists. Though the calculated

value (0.186) shows very small relationship between the two variables, yet the positive sign reflects

that the travel behaviour which tourists follow is somewhat influenced by the destination choice that

they made for their travel. Results from this study provide interesting managerial implications in the

case of tourists visiting pilgrimage destinations.

Limitations and Future Research This research study has few limitations like the study area is limited to the pilgrims of Jammu and

Kashmir only and the results may not be same for other pilgrimage destinations across the world. Also

the numbers of respondents were only 155. A larger sample may affect the results of the research. The

demographic attributes considered in the study were gender, age, qualification, marital status and

income while other attributes like nationality, occupation and travelling pattern of the pilgrims could

83


be added. The research is a study of pilgrimage motivation, travel behaviour and travel destination

choice with the effect of demographics on it. More such dimensions can be added. Likewise,

comparative study of pilgrimage tourists and leisure tourists can be taken for research in future and

for better results.

References

Cohen, E. (1992), “Pilgrimage Centers, Concentric and Excentric”, Annals of Tourism Research, Vol. 19, No. 1, pp. 33-50.

Cohen, E. (1998), “Tourism and Religion, a comparative perspective”, Pacific Tourism Review, Vol.2, pp. 1-10.

Correia, A., Oom Do Valle, P., Moco, C. (2006), “Why People Travel to Exotic Places”, International Journal of Culture,

Tourism and Hospitality, Vol. 1, No. 1 pp. 45 – 61.

Crompton, J.L. (1977), “Motives for Pleasure Vacation”, Annals of Tourism, Vol. 1, No. 4, pp. 408 – 424.

Dallen J. Timothy and Daniel H. Olsen, eds 2006, “Tourism, Religion and Spiritual Journeys”, London and New York:

Routledge.

Digance, J. (2003), “Pilgrimage at Contested Sites”, Annals of Tourism Research, Vol. 30, No. 1, pp. 143-149.

Graburn, Nelson H.H. (1977),Tourism: The Sacred Journey, In Valene L. Smith (Ed.), Hosts and Guests: The Anthropology

of Tourism, pp. 17 -31, Philadelphia, University of Pennsylvania Press.

Huang, A., & Xiao, H. (2000), “Leisure Based Tourist Behaviour: A Case Study of Changchun”, International Journal of

Contemporary Hospitality Management, Vol. 12, No.3, pp. 210 – 214.

Ines Hernandez-Avila. (1996), “Meditations of the Spirit: Native American Religious Traditions and the Ethics of

Representation”, University of Nebraska Press, Vol. 20, No. 3/4 pp.329-352.

Law, R, Cheung, C., & Lo, A. (2004), “The relevance of Profiling, Travel activities for Improving Destination Marketing

Strategies”, International Journal of Contemporary Hospitality Management, Vol. 16, No. 6 , pp. 355 – 362.

Lee, C.K., Lee, Y.K., & Wicks, B.E. (2004), “Segmentation of Festival Motivation by Nationality and Satisfaction”,

Tourism Management, Vol. 25, No.1, pp. 61 – 70.

Nolan, M.L. & Nolan, S. (1992),“Religious sites as tourism attractions in Europe”, Annals of Tourism Research, Vol. 19,

No.1, pp. 68 – 78.

Rana (2004),“Behavioural Perspective of Pilgrims and Tourists in Banaras (Kashi), India”, in Raj. Aparna (ed.) The Tourist

– A Psychological Perspective. Kanishka Pub., New Delhi, pp. 187 – 206.

Rinschede, G. (1992), “Forms of Religious Tourism”, Annals of Tourism Research, Vol. 19, pp. 51-67.

S.Vijayanand (2012), “Pilgrimage Tourism Management Issues And Challenges with Reference to Tamil Naidu”, Asian

Journal of Multidimensional Research, Vol. 1, No.2, pp. 112-127

Saayman, M., Slabbert, E., & Van Der Merwe, P. (2009), Travel Motivation: A Tale of Two Marine Destinations in South

Africa, South African Journal for Research in Sport, Physical Education and Recreation, Vol. 31, No.1, pp. 81 - 94 .

Schiffman, Leon G., and Leslie L. Kanuk (2000), “Consumer Behaviour “, Upper Saddle River, New Jersey:Prentice Hall.

Timothy, D. J., & Olsen, D.H. (2006), “Tourism, Religion and Spiritual Journeys”, London: Routledge.

..... 84


Community Participation in Tourism Development and Livelihood

Sustainability Norlida H. M. Salleh

1, R. Othman

1, S. H. Mohd Idris

1 & M. Samsudin

2

Abstract Langkawi Island is among the top tourism destinations in Malaysia. It is drastically developing as a

tourist destination, especially after being announced as one of the free duty zones in 1987. The rapid

growth of tourism development has improved the local communities’ livelihood. Many of them have

been involved directly or indirectly in the tourism industry/business. In general, this study discussed

factors influencing participation of local communities in tourism business in Langkawi and tried to

point out why some of them do not wish to participate. This study also tried to compare the

sustainability of life between the two communities. From this study, in the context of business, many of

them are sole proprietors who started their business on their own and are doing it full time. Among

the main factors that pushed them to be involved in the tourism business is their passion for business,

earning sufficient income, dream of owning business and the desire to independently make decisions.

The important factors that discourage some of them from getting involved in tourism business are not

enough capital, lack of experience, high financial risk and have no business experience. In terms of

sustainable living comparison, there is no significant difference between those communities that

involved and do not involved in tourism business in terms of human, social and physical assets. While

in terms of financial assets, especially their income and savings, those who are involved in the

tourism business are faring better than those who are not involved. Based on the findings, this study

expects the stakeholders to provide incentives and programs so that more local communities can be

actively involved in the tourism business.

Keywords: Sustainability, Pulau Langkawi, local communities, the tourism industry.

Introduction Tourism industry is a significant industry as it is an agent of economic growth. Most countries

consider tourism industry as a key industry. It requires strategy and development planning in order to

remain efficient in the modern world and to bring more benefits to the country and the local

community in the country (Oakley and Marsden 1984).

The tourism industry in Langkawi has also been proven to be a major revenue earner for the country

in terms of total revenue generated. The Langkawi Development Authority (LADA) (2010) reported

that this industry showed an increase in total revenue collected by 4.9 per cent (from RM6.8 million in

2009 to RM7.1 million).

This achievement is due to the seriousness of various parties, especially the Ministry of Tourism

Malaysia in introducing and promoting Langkawi as a popular tourism destination that should be

visited by both the national (domestic) and international tourists. The determination of the ministry to

promote and develop the tourism industry in Langkawi can be seen when the development plan was

also included in the 6th Malaysia Plan (Malaysia 1991).

The impact of these activities can be seen when the number of tourist influx to Langkawi was always

more than 2.3 million from 2007 through 2010, (Pepper 2010). However, the development of tourism

industry is meaningless if it is not able to reduce the economic gap in the local community. This

problem always occurs in tourism industry that does not get the participation from the local

communities in tourism development. According to a study conducted by Taylor (1995), he found that

community involvement in the current development of the tourism industry is often regarded as the

key to a stable development (sustainable); besides, the community is expected to share some of the

benefits (such as employment and income growth) and cost reduction (due to low wages) among

them.

1 School of Economics Studies, Faculty of Economics and Management Universiti Kebangsaan

Malaysia. E-mail: [email protected] 2 School of History, Politics and Strategy, (FSSK), Universiti Kebangsaan Malaysia.


85


Therefore, there is a need for community participation in the mainstream development. Entries will

not only increase the income of the tourism industry itself, but more importantly, it will spread the

benefits to the local communities (McCool & Martin 1994; Salleh et al. 2011). In the long term this

will indirectly guarantee the sustainability of their lives and enable them to be independent in the

mainstream development of tourism industry (Clayton 1998).

Recognizing the importance of the involvement of local community in the development of tourism

industry, this study aimed to examine the involvement of the community in Pulau Langkawi tourism-

based businesses as well as to point out why some of them do not wish to participate. We also

analyzed the sustainability of their lives. Further discussion of this study is related to the conceptual

framework. This is followed by review of past studies, the methodology of the study, the empirical

findings, conclusion and policy applications derived from this study.

Research Framework Studies of community involvement and impact on sustainable living can be described as follows.

From Figure 1, it appears that the development of tourism industry and community in Langkawi

should be mutually related to each other. This means that the development of tourism industry should

provide some room for the community to be involved. Through community involvement, the benefits

gained will enable the tourism industry to continue developing and flourishing.

Figure 1: Research framework of tourism development, community participation and the impact towards

livelihood sustainability

These assets are nessessary for survival

Human Asset

Social Asset

Financial Asset

Natural Asset

Physical Asset

Proposed Strategies

Development of tourism

Industry

Involve in business related to

tourism industry

Not involve in any business related to

tourism industry

Sustainable Livelihood

Langkawi Island Community

..... 86


However, in reality not all communities are involved in the development of tourism industry through

participation in entrepreneurship and business. This is because capital and the high risk involved in

some cases deter the involvement of local communities (Tosun 2000). Even though some

communities are not involved, the effects of development can still be enjoyed indirectly. Nonetheless,

if they were given an opportunity and support, they will probably venture into this industry.

Based on this research framework, a detailed study tries to accomplish the following objectives:

a) Review the types and nature of the involvement of local communities in the tourism-based

businesses.

b) Determine the factors that influence participation in the tourism-based business.

c) Determine the factors that cause people not venturing into tourism-based business.

d) Compare the sustainable livelihood impact of the two local communities (involved in tourism-

based business versus not involved in tourism-based business).

In assessing the sustainability of life, all the assets (sustainability indicators) owned by the community

will be compared between the two groups discussed. The indicator refers to human, social, financial

and physical (natural asset is not used in this study). Elements of each asset are shown in Table 1.

Table 1: Indicator and Element of Sustainable Livelihood

Indicator Elements

Human Asset Education, training, work experiences, knowledge,

skills/expertise

Social Assets Family relationship/rapport, community

relationship

Natural/Environmental Assets Land, water source, forest products, biodiversity

Physical Assets Transportation, road infrastructure, technology

Financial Assets Savings, credit and loans

Source: Tosun (2000); Ireland et al. (2004); Salleh et al. (2011).

At the end of the study, policy recommendations will be offered as to further encourage community

involvement in the business. Policies will also be presented as to enhance livelihood sustainability of

the community in the study area, namely Langkawi Island.

Literature Review Tourism is one of the important activities especially to the economy (Oakley and Marsden, 1984) due

to the increasing number of tourist arrivals (WTO, various issues). This had encouraged several

countries to develop their tourism industry as a key sector in generating revenue. The selection of this

industry is a right choice, not only because the robustness of the industry to the economic and political

climate (Salleh et al., 2007), but also due to the strong bond of this sector with other sectors

(Briassoulis 1991; Fletcher 1989; Johnson and Moore 1993; Zechariah & Bashir 2004; Mohammad et

al., 2009; Salleh et al. 2012). These sectors include retail, transportation, education, accommodation,

catering, entertainment, sports, recreation, and so on. This association promotes high impact business

chain that ultimately capable of affecting tourism sub-sectors (Summary 1987, Fletcher 1989; Archer

1995; Archer & Fletcher 1996; Henry & Deany 1997; Frechtling Horvath 1999; Surendra 2000;

Kweka et al. 2003; Zechariah & Bashir 2004; Mohammad et al. 2009).

Hence, increased entrepreneurship and formation of new businesses are essential in creating and

maintaining the economy through creation of new employment opportunities, increase the country's

export capacity and economic growth. Here, entrepreneurs and business activities serve as catalysts

for economic development (Gilder 1984; Todorka 2009) as well as guarantors to the continuity of the

economy.

For rural tourism destination, the development of entrepreneurship and tourism-based business should

involve the local community. The involvement of local people in tourism activities are believed to

provide a variety of positive impacts to them. Tourism development is considered as able to

contribute towards the improvement of socio-economic status of the local population and changing

patterns of economic activities in the industry (Garegnani 1970). In fact, to achieve sustainable

development in the area, development should actively involve the local population (Anand & Sen

87


2000). Job opportunities in the tourism business activities should prioritize on the local people in

order to prevent them from being marginalized, remain in the traditional economic activities, and no

process of economic change (Caroline et al. 2000). The failure to do so will result in continuous

poverty ( Ranis et al. 2000) which will eventually led to negative effects of tourism development on

the population, retarding its future success (Andriotis 2005).

Research Methodology This study was conducted in six main business areas in Langkawi Kuah Town, Padang Mat Sirat,

Ayer Hangat, Ulu Melaka, Kedawang, and Bahor, refer to Figure 2. The study’s instrument was face

to face interview using questionnaires with a total of 493 respondents. Half of the respondents are

businessmen/ women and the rests are not involved in any business.

Figure 2: Map of Langkawi Island and the Study Location

Statistical Package for Social Science (SPSS) was the computer package used to analyze this study.

Descriptive statistical analysis is used to assess the demographic profile of the local

residents/respondents in addition to achieve the analysis’s first objective, examines the type of local

community involvement. Mean analysis was used to achieve the second objective which is to

determine factors that encourage and discourage the involvement of local community.

To assess the comparison of sustainability livelihood between the business community and non-

business community, independent samples test (t-test) and analysis of variance (F-test) were

conducted. The null hypothesis for both analysis were as follows: there is no difference in the

sustainability livelihood of the communities that are involved and not involved in the business in

aspects of human, social, physical and financial assets; and as an alternative hypothesis, there is

significant difference between the two groups. For both analyses, the null hypothesis will be rejected

if the critical value for the study is smaller than α = 0.05.

..... 88


Empirical Findings The study began with a discussion of the socio demographic profile of respondents. This was

followed by a discussion of local community involvement, participation motivation factors and

analysis of sustainable livelihood.

Socio Demographic Profile

Socio demographic profile of respondent in this study is shown in Table 2. From the table, 42.8% of

the 493 respondents were men and the rest (57.2%) were female. In terms of race, most of the

respondents (84.58%) were Malays followed by Chinese (13:59%), India (1:22%) and the remainders

were from other races. Majority of the respondents were ethnic Malays because they are the original

inhabitants of the island of Langkawi.

For the respondents’ marital status, 69.37% of the respondents are married. This was followed by

those who are not married which was at about 26.17% and other categories (widow / divorced /

separated) were at about 20%. Majority of the respondents were between 31 to 40 years, representing

31.2% of the sample, followed by respondents aged between 21 and 30 years (29.8%) and 42-50 years

(19.3%). Table 2: Demographic Profile of Respondents

Details Item Total Percentage

(%)

Sex Male

Female

211

282

42.8

57.2

Race Malay

Chinese

Indian

Others

417

67

6

3

84.58

13.59

1.22

0.61

Marital Status Single

Married

151

342

30.63

69.37

Age Below 15

16-20

21-30

31-40

41-50

51-60

61 and above

0

39

147

154

95

44

14

0

7.9

29.8

31.2

19.3

8.9

2.9

Community Participation in Tourism Business The study found that most of the local communities (64.9%) are interested in sole proprietorship as

compared to enterprise business (18.6%). Most of them owned the business due to their own effort

(71.2%), followed by business inherited from their family (13.7%). In terms of business operation,

about 79.2% are managing their business on full-time basis; only 20.8% are doing it on part time

basis. Table 3: Type of Tourism Business

Details Item Total Percentage (%)

Type of Ownership Partnership

Private Enterprise

Do Not Registered

Sole Proprietorship

39

53

8

185

13.7

18.6

2.8

64.9

Initial Ownership Start through their own efforts

Inherit the family business

Buying someone else's business

Other

203

39

12

31

71.2

13.7

4.2

10.9

Business operation Part time

Full time

59

226

20.8

79.2

Factors that Encourage Participation in Tourism Business

As mentioned in the research methodology, the second objective of the study is based on the mean

analysis. The higher the mean score, the more important the factor in influencing the local

communities in getting involve in tourism-based business. From Table 4, there are four main factors

that influence the local communities to be involved in tourism-based business. This is illustrated

89


below. Among the key factors are the attitude/interest in doing business (4.16), followed by the

second factor which is to fulfill the dream of having their own business (4.10), the third factor due to

the reward or income benefit (4.09) and the fourth factor is being independent in decisions making

(4.08). Table 4: Influencing Factors in Tourism-Based Business

Factors Mean Standard

Error

Attitude/interest in doing business 4.16 0.746

To fulfil the dream of owning business 4.10 2.481

Reward or income benefit 4.09 0.756

Being independent in decision making 4.08 0.727

Have an opportunity and it is in accordance with own need 4.04 0.821

Want to take responsibility 4.04 0.761

Want to gain experience 4.02 0.684

Having high self-confidence 4.02 0.748

Need more income for themselves and avoid being unemployed 3.98 0.826

Existence of close relationship with regular customers 3.98 0.738

To give pleasure to my family 3.97 0.789

Proud to be a member of the business community 3.97 0.784

Spirit of perseverance 3.96 0.777

Applying business knowledge 3.96 0.711

Taking advantage of the favourable economic environment 3.94 0.702

To measure own ability 3.93 0.649

Feeling of fun/enjoy dealing with business 3.93 0.741

Have a knowledge /skills 3.89 0.807

Expecting higher profit from business 3.89 0.815

Getting a good acceptance from the community (in terms of job) 3.89 0.713

Underlying business demand 3.87 0.772

Getting encouragement from friends and family 3.84 0.883

Not bound by working hours 3.83 0.923

Get site/premise 3.82 0.899

Want to work in Langkawi which is my hometown 3.81 1.032

Request by family members 3.60 1.052

Want their children to inherit this business 3.56 0.986

Continuing the family business 3.56 1.091

Retired and want a renewal in life 3.25 1.234

Factors that Discourage Participation in Tourism Business

Table 5 shows some of the factors that discourage local community from getting involved in the

tourism-based business. Among these factors are: no start-up capital to start a business (3.74), absence

and lack of experience in running a business (3.58), high financial risk (3.47), no knowledge of the

business (3.44) and fear of failure (3.42). Other factors that cause non-participation in tourism-based

business of the local communities are shown in the table below.

Table 5: Discourage Factors in Tourism Business

Factors Mean Standard

Error

No start-up capital to start a business 3.74 1.003

Absence and lack of experience in running a business 3.58 0.918

high financial risk 3.47 1.158

No knowledge of the business 3.44 1.071

Fear of failure 3.42 1.173

Much work, not enough rest time 3.35 1.202

Economic situation is not good 3.32 1.048

You have no idea what kind of business to start 3.16 1.117

No business networking 3.15 1.136

No friend in business 3.08 1.181

Feeling under-appreciated by society 3.06 1.214

..... 90


Not interested in business 3.02 1.326

Work does not commensurate with the money earned 2.97 1.127

Low income 2.95 1.172

No support from partner 2.82 1.225

Comparative Analysis of Livelihood Sustainability

In general, the development of tourism industry in Langkawi has increased the community’s

livelihood (Salleh 2013). Studies done by Mansfeld 1992; and Scoones 1998; also agreed that tourism

development brings a lot of benefits to the local communities. Additionally, most of them also

believed that people who are involved in tourism-based business gain more benefits as compared as

other people. This study tried to examine whether there is any difference in terms of benefits received

among the two groups of communities (community involved in tourism-based business versus not

involved in tourism-based business). Discussion of the comparative analysis will be based on Table 6.

Comparison will include the aspects of human, social, physical and financial assets.

In terms of human assets, there is no significant difference between the two groups (the p-value of

0.06 > the critical value of 0.05). This means that there is no statistical evidence that the community

involved in the tourism business has a higher level of education as compared to the community not

involved in tourism business.

In terms of social assets, the trust level of the two groups of communities to their family member’s,

neighbors and friends were evaluated. The results showed that there is no significant difference

between the two groups (the p-value of 0.12 > the critical value of 0.05). This is evidenced by the

results of the study where the P value of 0.120 > the value of 0.05. Hence, there is no statistical

evidence that the community involved in the tourism business have a higher level of trust as compared

to community not involved in tourism business.

In terms of physical assets, no significant differences were observed between the two groups’

essential infrastructure and basic amenities except for five items. The items which have significant

difference are road facilities (p-value = 0.008), public transport (p-value = 0.01), hospital or clinic

facilities (p-value = 0.003), prayer facilities (p-value = 0.009) and community centers (p-value =

0.005). The p-value of the five basic amenities was smaller than the critical value (α = 0.05), which

can be interpreted as: there is a difference between the two groups in terms of basic facilities they

received.

However, when financial asset was reviewed, there is a huge difference between the two groups,

especially in terms of income and savings. The average monthly income for the community engaged

in the business is about RM6,746 compared with non-involved community of just an average income

of RM1,155. Statistical analysis also showed that there is significant difference between them (p-

value is 0.000 < α = 0.05). In terms of savings there is also significant difference in which the average

level of annual savings for the community engaged in the tourism business is about RM15, 410 as

compared with community not involved in tourism business, which is only around RM2, 367 (p-value

is 0.001 < α = 0.05). This means that the community involved in tourism business has a higher

amount of savings compared to those who are not involved in tourism business.

The terms of ownership of assets, overall there is a difference between communities involved and not

involved in tourism business. Among the items are home ownership (p = 0.002), shop/stores (p =

0.000), orchard land (p = 0.001), car or van (p = 0.000) and trucks (p = 0.001).

Table 6: Comparative Analysis of Livelihood Sustainability of Local Community

Tourism Business Levene Test Independent sample T-test

Involve Do not Involve

N Mean N Mean F Sig T Df P

Human Asset

Education level 285 5.06 208 4.67 0.86 0.35 1.91 491 0.057

Social Asset

Trusty level 285 1.5 208 1.6 4.42 0.06 1.56 475 0.120

Physical Asset

91


Water supply

Electric

Road

Public phone

Public transport

Hospital/clinic

Retail shop

Prayer facilities

Community center

285

285

285

285

285

285

285

285

285

1.29

1.32

1.38

1.57

1.51

1.43

1.31

1.38

1.50

208

208

208

208

208

208

208

208

208

1.29

1.31

1.25

1.56

1.40

1.27

1.29

1.25

1.34

0.05

0.21

23.7

0.27

7.14

30.7

0.02

18.8

14.5

0.82

0.65

0.00*

0.60

0.01*

0.00*

0.90

0.00*

0.00*

-0.13

0.17

2.68

0.09

1.96

3.04

0.34

2.63

2.81

491

491

486

491

477

490

491

486

484

0.9

0.87

0.008*

0.926

0.050*

0.003*

0.737

0.009*

0.005*

Financial Asset

Income

Saving

285

285

6746

15410

208

208

1155

2367

65.88

14.02

0.00*

0.00*

9.15

3.04

289

294

0.000*

0.001*

Note: * significant at α = 0.05.

Table 7: Comparative Analysis of Asset Ownership

Asset Ownership

Tourism Business

Df P

Conclusion Involve Do not Involve

Yes No Yes No

House 271 14 182 26 1 0.002* Significant different

Shop/store 242 43 96 112 1 0.000* Significant different

House land 212 73 140 68 1 0.086 No different

Orchard land 62 223 73 135 1 0.001* Significant different

Live-stocks 42 243 32 176 1 0.842 No different

Car/Van 274 11 157 51 1 0.000* Significant different

Lorry 46 239 11 197 1 0.001* Significant different

Motorcycle 255 30 194 14 1 0.144 No different

Share 16 269 9 199 1 0.520 No different

Note: * significant at α = 0.05.

Policy Implication and Conclusion This study is related to the discussion of local community participation in the tourism-based business

and its impact on livelihood sustainability. Specifically, the study sought to identify the characteristics

of business operators in Langkawi as well as factors that encourage their participation. The study also

pointed out why a part of the community is not interested in venturing into this industry. At the end,

this study attempted to compare the sustainability of community livelihood between two groups

(community involved in tourism-based business versus not involved in tourism-based business).

The research found that in terms of business, most businesses are in the form of sole proprietorship;

they started the business on their own and are full-time businessmen. Among the key factors that

motivate them to be involved in the tourism-based businesses are: driven by their own passion for

business, the desire to earn adequate money/income, dream of having their own business and the need

to be free (freedom to make decisions). Important factors that refrain some of the community

members from getting involved in business are insufficient capital, lack of experience, unwilling to

bear the financial risk and no business experience.

On the sustainability aspect, there was no significant difference in human, social and physical assets

owned by the two groups of communities. However, in terms of financial assets, the income and

savings of those involved in the tourism-based businesses are much better than those who are not

involved.

Based on the findings of this study, it is expected that the stakeholders can provide some incentives so

that more local communities can participate actively in the tourism industry, directly or indirectly.

Continued business opportunities, financial support, training and advisory services should be provided

to the local community to encourage and enhance their business. From time to time, discussions

between the merchants and the authority body, especially LADA, also need to be carried out in order

to solve or channel any related problems faced. This will also enhance the role of LADA as a body

entrusted with the development of Langkawi and stimulate participation of local communities in

Langkawi’s business activities.

..... 92


Besides that, the education in Langkawi community also needs to be improved; this includes the

provision of basic and advanced skills training. This is because human asset has been proven to

increase revenue, economic growth as well as livelihood sustainability (Ranis, et al. 2000).

Acknowledgement This research was supported by the National University of Malaysia through Research Grant Scheme

GRANT: FRGS/1/2011/SS/UKM/03/17 and PIP-UKM-2013-001.

References

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E-Learning: An Emerging Trend to Strengthen Hospitality and Tourism

Teaching-Learning Process Parikshat Singh Manhas1 & Parvinder Kour2

Abstract Indian tourism industry has been considered at the nascent stage in terms of competiveness with other

countries. The inappropriateness of knowledge and techniques used for teaching in educational

institutes for the new entrants to such industry is one of the causes of dissatisfaction of the students.

To such an advent e-learning process has made the education more interesting and viable as e-

learning induces innovative and interactive training programs containing multimedia projections and

preset test questions that provide immediate feedback to the trainee(s)/students. Considering the

tourism and hospitality education, e-learning techniques serve as a compliment to the teaching

practices. The need for the motivated approach to the learning process especially in tourism and

hospitality sector may serve as a compliment to education process. As it has been found that

Information technology has played a very good role in getting easy availability of information by

simply on one click in any source/search engine, in this way helped a lot in delivery of sourceful

lecture and enhancing the traditional approaches of teachings and learning system by addition of

virtual standards in the learning hours of the curricula. Also it has been found that e learning is one

of the user friendly techniques used for the delivery of any lecture. So the present paper aims to study

the impact of e-learning on students over the traditional learning system in imparting the hospitality

and tourism education in India. Various secondary sources like journals, books and online data has

been used for the analysis. Also the data collected through the primary source in the form of self

structured questionnaire from various hospitality institutions has been analyzed by the usage of SPSS

16.0 by applying factor analysis, mean and standard deviation. It was found that if e learning

techniques are applied in the tourism and hospitality institutes, it enhances student participation,

increases their confidence level in delivering things and it has become one of the best tool of resource

for teachers while delivering the lectures and concludes with, making teacher-student teaching-

learning process a success.

Keywords: e- learning, tourism and hospitality, education, knowledge.

Introduction Information and technology has captured its place in almost every sector. In recent times education

sector has also been affected by both revolutions of technology and communications. E-Learning, as

one of those TAs (Teaching applications), has been introduced to the field of education and has been

used in a teaching/learning setting, and associated with teaching methods and pedagogies, so that,

they come along each other, and were influenced by each other as well (Ahmad Al-Saai, et al, 2011).

Also change in the precedence to coup with the fast pace of development intensifies the role

information technology in hospitality and tourism sector. E-learning concept will not only ease the

core pressure of hospitality and tourism institutions across India but also enhance the effective way of

learning. It also reaches out the employees and creates a virtual environment making the learning

more effective and easy. Many scholars have given the definition of virtual classroom as a way of

presenting the information and concepts to learners in such a way that learners understand and adapt

themselves to the society (Suriyong Lertkulvanich, et. al, 2010). Hence, the basic purpose of e-

learning is to make the aspirants ready for the society of knowledge and learning about policies. In

India the challenge for the institutions and related professionals in the service industry is to upgrade &

update their front-end staffs and to make them ready at the practical grounds. To enhance the

manpower development and participation, motivation techniques are needed to enhance the

interaction between aspirants and teachers. And e-learning techniques and related aids help to create a

virtual environment and hence abet as a motivational factor to the learning process. The mission of

tourism and hospitality management programmes is ultimately to prepare students for the work-place

and to produce industry leaders who are motivated, service oriented and quick-thinking, with a multi-

1 , Associate Professor, School of Hospitality & Tourism Management & The Business School, University of

Jammu, India. Email: [email protected] 2 Ph.D. Research Scholar, School of Hospitality & Tourism Management, University of Jammu, India.




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skills base that allows them to be creative, flexible and adaptable (Sigala et al, 2002). This research

paper aims to study present status of hospitality and tourism education and the impact of e-learning

techniques on hospitality and tourism education in India.

Literature Review Recent technological developments and the spread of the internet are having a notable impact on the

education process: transforming educational curricula, learning materials and instructional practices

(Sigala, 2002). According to Sulcic & Lesjak (2007), e-learning is learning through an electronic

media and TAs (Teaching applications) such as computer programs, video-conference, virtual reality

(virtual classroom), and internet. Also considering the education system, the influence of ICT on e-

learning and e-teaching in the classroom is having a corresponding influence on the working,

occupational, and business worlds as they create and generate new occupations and professions, and

strengthen other ways of dealing with continuing education (A. Bosom, et. al, 2007). E-learning

presents numerous research opportunities for faculty, along with continuing challenges for

documenting scholarship. Innovations in e-learning technologies point toward a revolution in

education, allowing learning to be individualized (adaptive learning), enhancing learners’ interactions

with others (collaborative learning), and transforming the role of the teacher (Olojo Oludare Jethro, et.

al, 2012). As enhancing students’ learning experiences and having the knowledge of the level of their

satisfaction become an important tool in terms not only of accomplishing the mission of the higher

education institution, but also of establishing an efficient institutional marketing effect (Sung Mi Song

and Robert Bosselman, 2011), hence good access to ICT is not only important to improve pedagogy,

it also has an impact on pupil performance (S. G Pedersen, 2006). Also, Dewar and Whittington

(2000) stated that the new technologies provide opportunities for creating learning environments that

enhance learner learning and achievement. Considering the learning perspectives in hospitality and

tourism institutions, web-based teaching and learning call for a serious reconsideration of the

effectiveness, especially in light of increased demand for education and the opportunities for

increased student motivation by new technologies if integrated with knowledge-based design sites,

(Hossein Arsham, 2002). In addition to all these, motivation is of great importance because, as the

research has shown, motivation influences the manner in which students learn. The more motivated a

student is, the better their results will be (Rebecca Oxford & Jill Shearin, 1994). As a consequence, an

e-learner may be seen as someone who is independent and self-motivated, and as having a positive

attitude to learning and the ability to collaborate and cooperate with fellow learners (Alan Clarke,

2004). It is crucial for tourism and hospitality students, soon to enter the global marketplace, to be

exposed to the on-line information resources and the managerial and technological uses of the Web in

context of e-business (Sigala et al, 2002). On the whole previous research supports the e-learning in

education but in terms of hospitality and tourism education the role of e-learning support system is

still a discussion point.

Problem Statement The usage of e-learning systems has influenced the education practices but in terms of hospitality and

tourism education system this procedure is still at the lingering stage. There is a need to motivate and

involve the generation to tourism and hospitality services and employ them to the industry at

professional front. Educomp, Sify, iProf are the most recent examples that are serving the nation with

their most innovative idea of e-learning. But a fact file cannot be determined in terms of hospitality

and tourism education that needs a strategic approach in India. The mere extension of the numbers of

the institutions is not a complete solution to meet the pace of competition and also may not decrease

the gap between the practical approach and perceived approach. Adding a web based curricula may

help the students and aspirants to gain self assessment towards market and attain more and more

knowledge about the industry’s practicality. Hence it may help the students as well as teachers to

approach to the emerging trends in the education system along with creating a virtual image of the

industry and service providing system along with traditional education system in India.

Objectives 1. To study the impact of e-learning on hospitality and tourism learning system.

2. To find out the effect of e-learning on the students capturing and retention.

3. To suggest the strategies for strengthen the academics through e- learning.

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Research Methodology Sampling

The sampling of this research paper took place in the ten government and private Tourism &

Hospitality educational institutions of Jammu and Kashmir i.e. Institute of Hotel Management (IHM),

Srinagar, School of Hospitality and Tourism Management (University of Jammu), Central University

of Jammu & Srinagar as well as Polytechnics of Jammu and Kashmir in order to find out the usage of

e- learning techniques and their impact on teaching learning process. The sample size of 232 samples

was taken from the students of above institutions at graduation and PG Level in the month March

2013. This sample size was calculated with the help of formula given by Krejcie & Morgan, 1970.

Research Instrument

The structured questionnaire is used on the basis e learning aspects after applying the 5-Point Likert’s

Scale instrument.

While as secondary data was collected from published journals, books and articles.

Research Tools

In order to go for the descriptive analysis, the mean, standard deviations were applied. In addition to

this the factor analysis is implemented to find out the factors there loading, Eigen value and to carve

out the factors on the basis of variable correlation matrix.

Data Analysis & Results Table: 1

V. No. Variables Mean Standard

Deviation

V1 Do you think that using power point presentation in lecture delivering

help students to memorize lecture easily. 4.72 0.45

V2 Notes by email and print media are better than hand written notes. 4.14 0.89

V3 Teacher can discuss the topics very well with the help of e –learning 4.38 0.74

V4 It becomes easy for a student to get clear picture about anything with the

help of 3D documentary and power point presentation 4.48 0.67

V5 Do you believe that using marker and board is better than electronic

system? 3.88 1.23

V6 Do you think that video conferencing system has made learning easy for

the students 4.36 0.93

V7 Do you think there is difference in attitude and confidence of teachers

while delivering lecture in e learning system and manual 4.46 0.70

V8 Do you believe that due to e learning it became easy for the student to

get access its material 4.36 0.71

V9 Do you feel that e learning enhances student participation in class 4.42 0.57

V10 E learning is a best tool in exchanging ideas in teaching learning process 4.38 0.71

V11 e- learning make students computer oriented and effective 4.34 0.73

V12 e -learning helps the teacher to communicate the students even outside

the class through internet. 4.46 0.78

V13 e -learning enhances the focus of students in the class 4.52 0.85

V14 e -learning helps to monitor the progress of student easily 4.38 0.93

V15 learners can share notes easily due to e learning 4.68 0.70

*= Mean **= Standard Deviation

Data collection with sample of 232 students took place at J&K state tourism and hospitality education

institutes of PG & UG level in which it was found that 65.51% are males while as 34.48% are female

students. In order to clarify the effect of e-learning on student participation, confidence level,

Teachers Lecture Delivery, teacher Resource, infrastructure and output study material, the descriptive

analysis is applied i.e. mean value and standard deviation which signifies the variance of the data and

helps to understand the effect of e learning in strengthening teaching-learning process which in turn

helps to gain student satisfaction and delightedness. The mean value and standard deviation itself

clears the above statement, as the mean value and standard deviation for the student participation

(F1=4.36*/0.81**), confidence level (F2=4.46*/0.70**), teachers lecture delivery (F3=4.42*/0.66**),

teaching resource (F4=4.72*/0.5**), infra structure(F5=3.88*/1.23**), output Study material

(F6=4.68*/0.70**).

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Table: 2

No. Factor Mean Standard

Deviation

F 1 Student Participation 4.36 0.81

F 2 Confidence Level 4.46 0.70

F3 Teachers Lecture Delivery 4.42 0.66

F4 Teaching Resource 4.72 0.45

F5 Infrastructure 3.88 1.23

F6 Output Study Material 4.68 0.70

Factor Analysis of Data Factor analysis

Factor analysis which is one type of multivariate analysis is used to define the underlying structure

called factors among the variables in the analysis. For the purpose of this study, factor analysis was

used in 11 variables of present study. The result of initial (first run of) factor analysis on eleven

independent variables showed KMO was 0.554 and significance level of Bartlett’s test of sphericity

was 0.00. In addition to this, the rotated factor matrix showed that all the 15 statement/Variables about

e-learning, their role in strengthening teaching learning process in hospitality and tourism education

and so on were adequate and all of 15 variables were resembling or correlating with the e learning in

terms of student participation, confidence level, teachers lecture delivery, teaching resource, infra

structure, output material. This was considered satisfactory as it fulfilled the criteria of KMO >0.5

(meaned factor analysis was suitable to be used for this data analysis) and significance <0.05 (which

indicated sufficient correlations existed among the variables to proceed for factor analysis. (Hair et al

2007).

Factor analysis on student participation, confidence level, teachers lecture delivery, teaching resource,

infra structure, output material. The factor analysis on 15 items measuring effect of e-learning on

student participation, confidence level, teachers lecture delivery, teaching resource, infra structure,

output material was carried out using Varimax rotation with Kaiser normalization and principal

component analysis. These 15 items were initially grouped under SIX different components.

Total variance explained was 24.11% with KMO’s value 0.554. Barlett’s test of sphericity was

significant (p<0.01). The range of loading for each of the loaded items was from 0.612-0.845. Factor

loading 1 to 2 were renamed by researchers as specific student participation, confidence level,

teachers lecture delivery, teaching resource, infra structure, output material representatively. The

factor analysis on 15 items measuring Effect of e learning on teaching learning process of tourism &

hospitality education were grouped under six different components i.e. student participation,

confidence level, teachers lecture delivery, teaching resource, infra structure, output Study material.

Table: 3 KMO & Bartlett’s Test

Kaiser Meyer Olkin Measure of Sample

Adequacy

.554

Bartlett’s Test of Approx. Chi Square 1.0035

Sphericity

df 105

Sig. .000

Extraction Method: Principal Component Analysis

Table: 4 Total Variance Explained

Component Initial Eigen values Extraction sums of squared loadings

Total % of

variance

Cumulative

%

Total % of

variance

Cumulative

%

1 3.617 24.116 24.116 3.617 24.116 24.116

2 1.905 12.700 36.815 1.905 12.700 36.815

3 1.596 10.643 47.458 1.596 10.643 47.458

4 1.401 9.337 56.795 1.401 9.337 56.795

5 1.255 8.366 65.161 1.255 8.366 65.161

6 1.047 6.982 72.143 1.047 6.982 72.143

7 .831 5.538 77.143

..... 98


8 .677 4.514 82.195

9 .652 4.347 86.543

10 .575 3.836 90.379

11 .445 2.966 93.345

12 .393 2.618 95.963

13 .280 1.870 97.833

14 .174 1.159 98.992

15 .151 1.008 100.000

Extraction Method: Principal Component Analysis

Table: 5 Component Matrix

Component

1 2 3 4 5 6

V1 .347 -121 -.299 .451 -.005 .429

V2 .490 -160 .331 .412 -.043 -.152

V3 .520 -.169 .565 .267 -.111 .001

V4 .126 .453 .625 -.270 -.225 -.122

V5 .236 .228 .129 .511 .546 -.091

V6 .576 .442 -.268 -.005 -.275 -.317

V7 .273 .558 -.288 .137 .449 -.304

V8 .668 .302 -.226 -.128 -.235 -.236

V9 .395 .382 .441 .070 -.086 .242

V10 .650 -.324 -.368 -.128 .109 -.110

V11 .592 .099 .007 -.023 .218 .500

V12 .619 -.013 -.300 .036 -.525 .252

V13 .480 .645 .177 -.273 .124 -.203

V14 .677 -.416 .110 -.298 .277 -.119

V15 .243 .363 .041 -.632 .353 .359

Extraction method: principal Component Analysis

Conclusion E-learning is one of the tools to connect the world’s institutions and can be considered as best and

easy way to grab the knowledge. Considering the hospitality and tourism institutions this aspect still

needs to be given a due consideration in terms of learning and teaching prospect. Also it can be

considered a complimentary statement that the e-learning era have finally sunup in India. But its

significance in terms of teaching and learning practices needs to be understood by the institutions as

well as concerned authorities. The study also chains to conclude the fact that that e-learning supports

and provide the students a virtual image of the industry and also help the learners to take an active and

creative part in learning activities through various simulations, role-play, remote control of real world

tools and devices, online master classes, or collaboration with other education providers. On the

whole it can be concluded that e- learning not only provide the knowledge about various related

aspect but also it has also a made the Teaching and learning process easy and affordable. Moreover

the change in trends in education system and learners’ characteristics and issues in the tourism and

hospitality industry in India also supports to the implementation e-learning strategies for the further

development of skills and knowledge ability among students. In addition to this e-learning also

supports the teaching learning practices thus acts as a fundamental aid that makes the teaching and

learning more interesting and easy. Implementing the technology-based learning systems with

classroom delivery practices in hospitality education offer opportunities to provide the amalgamate

support strategies in novel ways.

This paper concludes with the fact that if e learning is applied in the tourism and hospitality institutes

it will lead number of benefits to both demagogues and pedagogues. After analysis part it was found

that the after implementing the e learning tool for the teaching process it increases student

participation in the classroom and enhances the memorizing power of the students as audio visual aids

are the prime source of memorization.

In terms of pedagogy it acts as a tool of easy delivery in the class room while discussing the things or

concepts in the class. The picture cannot be discussed with the students in traditional methods, which

are possible only with the help of audio –visual aids. Secondly it is beneficial for the teachers as the

teachers can have high level of control on the students due to his face to face communication while

99


delivery of lectures through PowerPoint presentation and students gain the maximum interest in the

class because of different colours, sound and fonts used in the PowerPoint presentation.

In short e learning can prove a tool of motivation, confidence, control and participation for both

students and teachers if implemented in teaching and learning process.

Suggestions India has already made its provisional development in terms of e-learning process and even some of

the Indian companies are already primarily working as service providers to the US and Europe. In

contrast to this transformation several Indian companies that have already lined up with some very

innovative offerings in education business like Educomp, Sify, iProf. Also considering the

government’s level in the e-learning, IGNOU (Indira Gandhi National Open University), India’s

largest Open University has set an example as a virtual university for India and also for foreign

countries like Africa by introducing the Pan-African E-learning Network that will go a long way in

alleviating the needs of African nations. Implementing e-learning not only provides the education

opportunities but helps to increase the globalized stratum of training and professionalism. In general

Tourism is experiencing a skills gap and the lack of qualified labour represents together with

increased competition on quality a vicious circle (Jens Friis Jensen, 2001). Need of understanding

such aspect in tourism and hospitality education justify the relevance of development of e-learning

strategies i.e.

1. E-learning should be implemented in Tourism and hospitality institutions as there are a number of

figures and diagrams that needs 3D presentations and that all is possible through e-learning

techniques and tools.

2. Hospitality and tourism industry are services oriented industry which can be explained in the

institutions with the help of virtual films or movies.

3. Intuitions of Tourism and Hospitality should be well equipped with LCD projectors, over head

projectors to make e-learning an effective tool for teaching and learning practices.

4. Focal group discussions with other universities and related intuitions are only possible through the

e-learning tools that need to implement.

5. E-learning tools should be discussed with teachers before teaching and learning process.

6. The Centrally Sponsored Scheme “Information and Communication Technology (ICT) in School”

was launched in December 2004, to provide opportunities to secondary stage students to develop

ICT skills and also for ICT aided learning process (Ministry of Human Resource Development,

Government of India (2013). The same should also be considered and implemented in tourism

and hospitality institutions.

7. The concept of the SMART school could also be a robust in teaching and learning practices of the

tourism and hospitality sector making the education more attractive and effective creating a visual

impact on the students.

Limitations As various other research studies, the current study has some theoretical and methodological

limitations. First, the research was carried out in Jammu and Kashmir and therefore the findings are

geographically bound and are likely to have limited application to other areas. Apart of these

limitations, it is hoped that this study will stimulate further research on such concept of E-learning in

other institutions as well and provide valuable insights for both academics and practitioners for

studying and identifying alternate teaching and learning techniques.

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development/use-of-theinternet-for-enhancing-tourism-and-hospitality-higher-education-in-southern-africa-implic.

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Making the Customer feel at Home through Sensory Marketing: A Study

of Shiros Restaurant in Bangalore Sherry Abraham1, Victor Anand kumar2 & Bushan D. Sudhakar3

Abstract With the proliferation of brands and an overload of marketing communication, the marketplace is

increasingly competitive for the marketers and confusingly crowded for the customers. The consumer

behavior literature identifies exposure-attention-perception as the front end of information processing

for consumer decision making. This in turn affects what consumers comprehend, what attitudes they

form, what they remember and finally, what decisions they make. In this context, sensory marketing

emerges as an approach that appeals to all five senses - touch, taste and smell, not just sight and

hearing – in order to foster a lasting emotional connection between the brand and the consumer that

optimizes purchasing and brand loyalty.

This paper investigates the use of sensory marketing in the hospitality business – specifically, in the

restaurant industries. From the case studies collected for analysis, the paper attempts to draw

generalizations and identify the best practices in sensory marketing for the hospitality industry.

The quantitative method used in this research includes both deductive and inductive techniques. The

deductive method involved study of secondary literature on sensory marketing, its effectiveness and

how the senses may be used to drive sales and customer loyalty. The inductive method involved

administration of an online questionnaire to 20 customers of Shiros – a luxury restaurant specializing

in Far Eastern cuisine in Bangalore. The respondents could answer the questionnaire on a four point

Likert scale. The results of the questionnaire were summarized and analyzed in excel. The results of

the analysis have been presented in graphical format and through weighted average tables. The main

purpose of the questionnaire was to understand the links between quality of customer service and

customer delight and to identify the gaps between customer expectation and reality of customer

service delivered by restaurants in India. The author also interviewed the marketing manager of

Shiros to understand the reasoning behind the creation of its unique ambience.

The study highlights the use of sensory marketing in the restaurant industries, especially by the

leading and iconic brands. The paper compiles a list of best practices in sensory marketing

implementation in hospitality business. The findings provide compelling evidence to include as many

sensory touch points as possible in a brand’s appeal to the customers. The case studies discussed

have shown just how important the senses are in establishing an emotional connection. Sensory

marketing helps to meet the experiential needs of the customer. It is emphasized that the benefit of

sensory branding is to achieve a better brand awareness through multi-sensual experience,

consistency, and effective process that can penetrate consumers’ memories.

Though several studies exist in the area of sensory marketing, studies with an industry focus and

using case analysis are far and few. An industry focus has helped this study to compile industry-

specific findings and the case method has paved the way for an in-depth analysis and relevant

generalizations. This study is an illustration of a powerful marketing tool in the world’s largest and

fastest developing industry.

Keywords: sensory marketing, sensory branding, restaurant industry,

Introduction ‘It is not slickness, uniqueness or cleverness that makes a brand. Its truth’

With the proliferation of brands, the marketplace is increasingly competitive for the marketers and

confusingly crowded for the customers. This scenario makes it essential for marketers to differentiate

their product or service offering apart from those of competitors in meaningful ways. While several

1Department of Tourism Studies, Pondicherry University, India. Email: [email protected]

2 , Department of Management Studies, Pondicherry University, India. Email: [email protected] 3 Department of International Business, Pondicherry University, India. Email: [email protected]




..... 102


differentiators are available in the marketers’ tool kit, an effective differentiator is branding. While

branding has evolved as a marketing science over the last 50 years, a recent development is Sensory

branding which is likely to become an important aspect of the way brands create true points of

difference in an increasingly competitive market. The underlying logic is that appealing to all five is

likely to heighten the brand awareness and strengthen the impression a brand leaves on its audience.

Branding is essentially about building emotional ties between consumers and products. In this process

of branding, when the sensory experiences are employed, it leads to unique sensory perceptions and

powerful retention value. In this paper, a collection of case studies are assembled to probe into the

principles and practices of sensory branding in the restaurant industries. An analysis of these case

studies brings to surface many generalizations which will be of value to marketers wanting to appeal

to all the five senses.

Branding

Branding is another approach to differentiation. A brand is defined as ‘a name, logo or symbol

intended to distinguish a particular seller’s offering from those of competitors (Koehn 2001). It also

embodies the abundant marketing messages connected with the offering and the complex set of

customer expectations that arise from it. Branding refers to the communication effort that aims to

differentiate a product or service from its rivals and to create a positive attitude towards it (HBS

2006). One could make a case that branding is the culmination of efforts to differentiate product or

service. By building a familiar and favourable image for an offering, the marketer has a better than

even chance of becoming the buyer’s first choice among many competitors.

In creating a differentiation, first of all, the brands aim to be memorable, yet mass communication and

commercial messages remain resolutely two-dimensional, that is, they are visual and they have sound.

Yet humans are most receptive, and most likely to form, retain, revisit and reinterpret memory when

all five senses are in operation. Lindstorm (2005) says: Marketers have to go back to the basics and

identify what actually appeals to human beings on an ordinary, everyday basis. Almost our entire

understanding of the world is experienced through our senses. Our senses are our link to memory and

can tap right into emotion.

Need for Sensory Branding Sensory branding is defined as the purposeful design and deployment of the interaction between the

senses in order to stimulate a consumer’s relationship with a brand; and to foster a lasting emotional

connection that optimizes purchasing and brand loyalty (Kahn 2007).

As a consequence of commonplace branding and pervasive branding communication resulting in

information overload for customers, the brands face obstacles such as overexposure, brand

proliferation and cannibalization, higher new product failure rates, diminishing effectiveness of

advertising and product commoditization. In the face of these obstacles, sensory branding provides the

following benefits to a marketer: It

1. Stimulates one’s relationship with brand

2. Allows emotional response to dominate one’s rationale thinking.

3. Offers different dimensions of a single brand.

4. Helps achieve a strong, positive, loyal bond between the brand and the consumer so that the

consumer will turn to the brand repeatedly, and

5. Assists emotional engagement, so that there is a match between perception and reality.

The human body consists of five sensory systems that provide sensations when an external stimuli or

sensory inputs are given. The massive influx of visual stimulus that is encountered everyday in the

marketplace has long dimmed the awareness of and need for integrated other senses. However, other

sensory stimulus - sound, smell, touch, taste - still affect consumer mood and decision making. A

research finding (Lindstrom 2005) revealed that 99 percent of all brand communication today is

focused on two senses: sight and hearing. In sharp contrast, 75 percent of our emotions are generated

by what we in fact smell. Smell is a vital part of our experience but largely ignored in brand

communication. The underlying point is the effect of using the senses as branding tools is magnified

many times when multiple senses are included simultaneously. This total sensory synergy produces a

domino effect. In the way impressions are stored in the brain, if one sense is triggered, it will lead to

another, and then another…a whole vista of memories and emotions can instantaneously unfold.

103


Creating synergy across the senses should be the ultimate goal (Lindstrom 2005). Today, branding has

developed into a 5-dimensional aspect; incorporating all the five senses of taste, sight, touch, sound

and smell. By integrating this approach, an appealing ‘brand’ would be harnessed. The best solution

to gain brand dominance in the market today is multi-sensory branding. A multi-sensory branding

strategy encompasses all the senses. The following table illustrates the human sensory systems and

their significance in brand communication.

Table 1: Sensory systems and their significance to branding

Sense Significance

Sight Most seductive sense

Often overrules the other senses

Colour plays an important role

Sound Connected to mood

Only 4% of Fortune 500 brands use sound online

Role of music is important

Smell Evokes memory, alters mood and influences choice

10,000 times more sensitive than taste

75 percent of human emotions are generated by scent

Taste Sweet, salty, sour or bitter

Hard to introduce but highly effective

Develops linkage in the memory

Touch Skin is the largest organ in the body

Alerts us to a sense of well being or pain

Texture of products and experiences

Marketing and promotion is clearly essential for successful tourism and hospitality development,

however, it is often overlooked or simplistic in nature (Hannam, 2004). Morgan et al. (2002)argue

that conventional tourism marketing tends to focus on confirming the intentions of tourists, rather than

persuading them to consume differently. The paradigm shift in tourist behaviour brings to light the

fact that marketing of tourism products and services has become increasingly complex, being

associated not only with transmitting an image of a place, but with attempting to sell an experience of

a place through relating it to the lifestyle constructs of consumers. Experiential marketing with

sensory appeal is going to be the in-thing in tourism (Williams, 2006).

Experiential marketing was first introduced by Pine and Gilmore (1998) as part of their work on the

experience economy. It has evolved as a response to a perceived transition from a service economy to

one personified by the experiences the tourists participate in. As the delivery of experiential market

offerings involves engaging customers in a memorable way, the destination planners could trigger the

attributes of sensory branding. As tourism sells experiences, memory value is of profound importance.

In this context, until and unless the tourists’ mind set is touched upon with intrinsic values, read

stimulating the five senses, the power of recollection would not be intense. Hence, designing

memorable experiences holds the key, which is definitely achieved through sensory branding.

Analysis of Questionnaire administered to customers of Shiros Restaurant in Bangalore

The restaurant chosen for this research is Shiro’s located in UB city mall in Bangalore city. With a

price level that caters to the rich, its ambience is both unique and attractive. From the interview

conducted with the marketing manager of Shiro’s, it was learnt that all the furniture, the decorations,

even the table settings and pots for plants have been sourced from Far Eastern countries such as

Thailand, Vietnam, Malaysia and Indonesia. This is purposely done to create an ambience of the Far

East since the restaurant specializes in Far Eastern cuisine. Special pains are taken to play Far Eastern

music with staff being hired for the oriental looks. The cooks are imported from Thailand as are the

ingredients for the food served. The music, the lighting, scents used, even staff uniforms all evoke the

Far East and its allure. The manager attributes this, more than to anything else, Shiro’s reputation as

the finest luxury Far Eastern restaurant in Bangalore.

The following section analyses the questionnaire administered to the 20 customers of Shiros. The

customers were first asked as to what brought them to Shiros. Their responses are summarized in

Table 2.

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Table: 2 Reasons for Visiting Shiros

Strongly

Agree Agree Disagree

Strongly

Disagree Weighted

Average Interpretation

Scale 4 3 2 1

The food tastes better than

other restaurants 5 15 0 0 3.3 Agree

I like the atmosphere, the

overall dining experience 20 0 0 0 4.0 Strongly Agree

This restaurant is cheaper

compared to other restaurants 0 0 0 20 1.0

Strongly

Disagree

It is conveniently located 0 0 18 2 1.9 Disagree

The chef here has a very

good reputation 14 6 0 0 3.7 Strongly Agree

The customer service in this

restaurant is superlatively

good

5 15 0 0 3.3 Agree

I love Japanese food. Except

for this restaurant, there are

no other good Japanese

restaurants in Bangalore.

2 18 0 0 3.1 Agree

It can be seen that while the reputation of the chef, the customer service, the quality of the food and

the predilection for Japanese food are reasons for visiting Shiros, the atmospherics have been rated as

the main reason for customers making their visits. This is even though the restaurant is regarded as

being expensive and not very conveniently located. It may be inferred that its atmosphere is its biggest

attraction.

The customers were then asked to list out what they thought of when somebody mentioned Far

Eastern cuisine food to them. Their responses are summarized in Table 3.

Table 3: Connotations of Far Eastern Food

The majority of the customers immediately thought of Shiros when they thought of Far Eastern food.

The restaurant has therefore been able to successfully link its name with its cuisine. This is in spite of

other very good restaurants such as Zen and Edo’s present in Bangalore city and specializing in the

same kind of cuisine. From the literature review identification of product with brand name was found

to be one of the key achievements of a successful marketing program. The answers to the following

questions provides cues on how this was achieved.

The respondents were then asked as to whether the ambience at Shiros reminded them of Far Eastern

countries. Table 4 summarizes their response.

3 2 0 3

92

0

20

40

60

80

100

The country Japan

Zen Restaurant at the Leela Hotel

Sushi / Tempura / Seaweed / Dim

Sun

Edo’s restaurant at the Royal

Gardenia hotel

Shiro’s Restaurant in UB

City

105


Table: 4 Ambience at Shiros

It can be seen that all the respondents unanimously stated that the ambience at Shiros reminded them

of the Far East. The link between brand name and brand recall is thus established with the

atmospherics playing a most important role in achieving this.

The respondents were then asked whether they felt a visit to Shiros was justified in light of the high

prices charged there. Table 5 summarizes their response.

Table: 5 High Prices at Shiros

Strongly


Strongly

Disagree Weighted


Scale 4 3 2 1

The ingredients used in the food are

imported from Japan, so it is bound to

be expensive

1 1 0 18 1.3 Strongly

Disagree

No other Japanese restaurant in

Bangalore can provided me with a

dining experience that is

quintessentially Japanese like Shiro’s

19 1 0 0 4.0 Strongly

Agree

I like Japanese food. I don’t care about

the price 0 2 18 0 2.1 Disagree

I come to Shiro’s to treat myself

specially. That’s why I don’t bother

about the price

0 0 20 0 2.0 Disagree

I like being seen in Shiro’s. I consider

dining at Shiro’s to be a statement of

my status

0 0 1 19 1.1 Strongly

Disagree

No. I do not consider the price worth

dining at Shiro’s 0 0 0 20 1.0

Strongly

Disagree

It is evident that even though prices are high, the majority of respondents felt that their visit was

justified because of the whole dining experience. It is evident that Shiros is able to provide its

customers with a dining experience that is memorable and stimulating. It is this that makes its high

prices justifiable.

The customers were then asked if whether on the basis of their experience at Shiro’s would they visit

a restaurant that stimulates all their senses (sight, hearing, taste, smell and touch) or would they visit a

restaurant for the taste of its food alone. Table 6 summarizes their responses.

It can be seen from Table 6, that all the respondents said that a multi-sensory experience would be far

better enticement to visit a restaurant rather than the reputation of its food alone.

100

0 0

20

40

60

80

100

120

Yes No

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Table: 6 Reasons to Visit a Restaurant

The respondents were then asked about how the colour schemes at Shiros affected their experience.

Their views are given in Table 7.

Table 7. Colour Scheme at Shiros

Strongly


Strongly

Disagree Weighted


Scale 4 3 2 1

The colour scheme at Shiro’s does

not affect me in any way 0 0 0 20 1.0

Strongly

Disagree

I find the colours at Shiro’s to be

soothing and relaxing. 5 15 0 0 3.3 Agree

The colour scheme makes me feel

happy 20 0 0 0 4.0 Strongly Agree

The colour schemes used remind

me in some way of Japan 0 18 0 0 2.7 Agree

The colour scheme is distinctive,

unusual and not commonly found 20 0 0 0 4.0 Strongly Agree

The colour schemes used convey

an impression of luxury,

subtleness, refinement and class

4 16 0 0 3.2 Agree

It is evident that the colour scheme has a strong impact on the customers in terms of making them feel

happy, reminding them of the Far East, soothing and relaxing them and conveying impressions of

luxury, class and refinement. Insofar as the impact of colour is a sensory one, it may be inferred that

the sense of sight does play an important role in the overall sensory marketing of Shiros.

The customers were then queried about the impact of perfumes and fragrances used at Shiros. Their

responses are summarized in Table 8.

It can be seen that the fragrances used at Shiros play an important role in not only stimulating

appetite, soothing the guests but also in evoking the Far East. The brand recall of Shiros may thus be

attributed in large part to the sense of smell that is catered to by the restaurant.

Table: 8 Impacts of Perfume and Fragrances

Strongly


Strongly

Disagree Weighted


Scale 4 3 2 1

They stimulate my appetite 17 3 0 0 3.9 Strongly Agree

They remind me of the Far

East and its cuisine 6 14 0 0 3.3 Agree

They soothe me, make me

feel more relaxed and want 20 0 0 0 4.0 Strongly Agree

100

0 0

20

40

60

80

100

120

I would visit a restaurant that offers a

multi-sensory experience

I would visit a restaurant for its food

alone

107


to spend more time in the

restaurant

There is an overwhelming

smell of food that remind

me at all times that I am in

a restaurant

0 0 2 18 1.1 Strongly

Disagree

The scents used are too

strong. They do not

stimulate my appetite

0 0 0 20 1.0 Strongly

Disagree

They make the restaurant

seem bright, clean and

fresh

3 17 0 0 3.2 Agree

The authors then queried about music played at Shiros.

Table: 9 Impact of Music

Strongly


Strongly

Disagree Weighted


Scale 4 3 2 1

The music is in line with

the branding of Shiro’s as a

Far Eastern restaurant. It

evokes thoughts of the Far

East

14 6 0 0 3.7 Strongly

Agree

The music is soothing,

refreshing, peaceful and

makes me want to spend

more time in the store

7 13 0 0 3.4 Agree

I find the music too soft

and mild. I like more loud

music

0 0 2 18 1.1 Strongly

Disagree

The music is unusual, not

to be found easily and one

of the reasons I visit

Shiro’s

20 0 0 0 4.0 Strongly

Agree

The music complements

and is in line with the

decorations and other

visual elements of the

stores.

3 17 0 0 3.2 Agree

It can be seen from Table 9 that music played at Shiros is important in invoking the Far East to its

customers. Much of the instant brand recall and the dining experience enjoyed by customers at Shiros

may be thus attributed to the sense of hearing.

The responses of customers regarding the food served at Shiros are summarized in Table 10.

It is evident that the food served at Shiros is rated very high and contributes to the overall dining

experience. Customers were then queried if, given a choice, they would choose between Shiros and a

cheaper restaurant. From the answers summarized in Table 11, it can be seen that Shiros has been

preferred.

From table 7 to 10, it is evident that the senses of sight, smell, hearing and taste have all been

stimulated by the ambience of Shiros. When measured against the responses summarized in Table 2 to

6, it is evident that this sensory experience plays an important role in the high rating given to Shiros

by its customers. That Shiro’s is the preferred Far Eastern restaurant of choice can be made out from

Table 11. However, it is not just the food that attracts the customers there, it is the overall dining

experience.

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Table: 10 Impact of Taste

Strongly


Strongly

Disagree Weighted


Scale 4 3 2 1

The food is very tasty and

one of the main reasons why

I visit Shiro’s

6 14 0 0 3.3 Agree

The food is exclusively Far

Eastern and evokes the

country of the Far East and

its cuisine to me very

strongly

8 12 0 0 3.4 Agree

The food is good but not

very differentiated from any

other Far Eastern restaurant

in Bangalore

0 20 0 0 3.0 Agree

There are some Far Eastern

dishes which I can find only

in Shiro’s

7 13 0 0 3.4 Agree

The food is not good. They

seem to spend more on the

décor and ambience than on

improving the quality of the

food

0 0 0 20 1.0 Strongly

Disagree

I am unacquainted with Far

Eastern food. It is an

expensive restaurant, so the

taste of the food ought to be

good. I really can’t judge

0 0 19 1 2.0 Disagree

Table: 11 Choice of Restaurant

Findings There is a general perception that sensory branding is more applicable for the service industry where

there is a varied combination of goods, products, resources, and experience. The case study of Shiros

in this paper reiterates the aesthetic, escapist, educational, and experiential value of multi-sensory

branding for restaurants. To overcome the triteness of restaurant visits, sensory branding is proven to

be immensely useful. Thus sensory branding offers certain clear benefits for marketers and their

brands in the restaurant sector. The concept of sensory branding is likely to become an important

aspect, the hospitality brands would create sensible points of difference in increasingly competitive

markets. Sensory branding holds the key to establish points of differentiation for such brands in global

market. It lends them a definitive identity. More recently there has been a significant development in

the quality of branding by restaurants. The key characteristic of these service brands is that people

deliver them and the quality of the brand experience is entirely dependent on the people involved in

the business process. As a result, the most successful restaurants have invested hugely in people

training and sensitivity programs towards making them aware about the intricacies and implications of

sensory branding.

100

0 0

20

40

60

80

100

120

I would choose Shiro’s I would choose the cheaper restaurant

109


Conclusion Sensory branding needs to be used with the concept of involvement and hence requires segmenting

consumers and profiling them in accordance with their involvement levels. With consumers having

access to a plethora of information, apart from the rapid changes, sensorial appeal will play a vital role

in enticing them towards brands. Surveys show that the sense of smell is probably the most

impressionable and responsive of the five senses. Smells make people reminiscent of certain

memories and it is directed towards their “feelings.” It certainly touches customers emotionally rather

than getting filtered by their brains as most marketing messages are processed. Lack of concrete

theoretical framework is a hindrance to the innovative application of the subjective attributes of

sensory branding in the service industry. The scope of this paper covers all major sectors of

hospitality industry. Even though sensory branding is used in principle by certain highly rated service

brands in the aviation and hospitality sectors it is not devised as a continuous and consistent process.

This paper is directed at being an eye opener for firms in the service industry to continuously realize

and recognize the impact of sensory branding implications.

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Emerging Healthy Food Options offered by the Hotel Industry

Sunetra Roday1, Annu Pillai2 & Aparna Deshpande2

Abstract The aim of this study is to explore the major trends followed by restaurants/ hotel kitchens in Pune

and Mumbai in providing wellness menus and the chef’s role in using locally procured foods

creatively. Literature shows that both the processing industry and the catering industry have

witnessed a significant change giving the caterer an unlimited choice of foods. Awareness, need and

lifestyle factors have created a demand for healthy food and beverage options. The healthy eating

trend has gained momentum because of rising disposable incomes and globalization. Many leading

global hospitality brands are now committed to health and wellness [Raval (2004), Sharma and

Khanna (2012), Basu (2013), Biswas (2013)]. The focus of the research is specifically on cuisine

served in star category hotels and fine dining restaurants. Through the questionnaire, we obtained

information about current and emerging practices being followed in the industry. The findings

suggest that there is a distinct shift in menu items both ordered by and offered to guests in the past

decade. There is growing awareness amongst customers about the role of food and its relation to

lifestyle related diseases. Many customers look for foods which promote health, longevity and

wellness. Smaller portion sizes, attractive dish presentations and exotic foods with additional health

benefits are preferred by guests. The interaction between Executive Chefs and guests has increased.

Some leading global hospitality brands are making special efforts to offer wholesome, attractively

presented meals not only to guest but also to employees. The study also finds that while fresh from

farm to the table is another popular trend in some restaurants, the use of convenience foods and

premixes is on the rise. Although the trend of healthy eating has picked up, yet more efforts are

needed to ensure healthy options for wellness right food choices and practices to retain the nutrients.

Key words: Convenience foods, Lifestyle diseases, Customer awareness, Wellness.

Introduction The food industry, be it the catering industry or the processing industry, is growing at a phenomenal

rate to provide meals to our growing population and is keeping pace with the ever-changing demands

of the people. With rapid developments in science and technology, combined with urbanization and

globalization, it is now possible for the caterer to offer delectable menus featuring novel ingredients

superior in quality and available in food stores all year round. The concept of seasonability of fruits

and vegetables is now passé. As the world economy becomes more integrated and communication

faster, diet transition is inevitable. Globalization has played an enormously important role in the

transformation of food consumption patterns of Indian households, particularly in urban areas. Vast

changes in the Indian social and cultural practices have been brought about by modernization and

influence of the media. Increase in disposable incomes and long hours spent away from home

commuting to work or for long trips, make eating out a necessary part of our daily life. Thus eating

out, besides being a social event, is a matter of convenience whether it is the canteen in an educational

institute, industry, hospital, wayside joint or during travel by any mode of transport. Celebrations,

events and special occasions are on the rise and chefs are faced with the unending challenge of

creating novel delectable spreads (Roday 2010). The ever-increasing market for convenience foods -

tinned, canned, chilled, frozen or vacuum packed presents a whole array of complex operations in

food processing. This weaning away from the traditional fare of yesteryears has caused a shift in focus

from farm fresh produce to partially or totally processed convenience foods, specially packed for

caterers and requiring minimal labour and time to prepare and serve (Roday 2012). While this topic is

widely discussed in magazines and article, actual research on emerging healthy food options in India

is almost non-existent. The trend of eating out has gained momentum, making it necessary to study

whether food served is wholesome, nutritive and acceptable, and whether the industry can face the

challenge of tackling lifestyle related diseases.

1Principal, Maharastra State Institute of Hotel Management & Catering Technology, Pune, Maharastra, India.

Email: [email protected] 2Senior Lecturer, Maharastra State Institute of Hotel Management & Catering Technology, Pune, Maharastra,

India. Email: [email protected] & [email protected]




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Review of Literature Food service professionals have realized that ‘Quality’ is the key word if you are looking at repeat

customers. The overall quality of food served to the customers depends on many factors like the chefs

culinary skills, selection of raw ingredients, the layout of kitchen and placement of equipment to

ensure smooth flow of work. Most chefs agree that efficient systems contribute to less waiting time

for the guest, better quality products and result in higher sales.

Impact of Technology on Kitchens

Like every other department in the hotel industry, technology and innovations have entered the

kitchen and new cooking techniques, novel items on the menu, exotic flavours and styles of

presentation have made their presence felt, and hotels are witnessing visible metamorphosis in the

kitchen (Lokesh 2013).

Pankaj Chaturvedi, CEO Rich Graviss products opines that the spiraling cost of land in urban centers,

shortage of skilled manpower, high labour costs and availability of multifunctional power efficient,

time saving, innovative equipment have all contributed to the shrinkage in sizes of kitchen space.

According to Rajeev Sinha, Executive director, Celfrost Innovation, the kitchen size is diminishing in

the new Food and Beverage outlets, as owners want more covers for customers and are on the lookout

for sleek innovative multi-functional equipment to save on kitchen space. State-of-the-art equipments

and innovative processes are making work more efficient and faster for the kitchen brigade (cited in

Bhandari 2013).

Multiunit ranges with a combination of gas burners, a griddle, a fryer, or steamer with a full length

hood can maximize cooking efficiency and space utilization. Today, chefs have access to latest

equipments with inbuilt hygienic sensors to measure pressure, temperature, flow, etc. which ensures

quality both in terms of nutritive value and food safety of the product.

The food operator is constantly on the lookout for products which are time saving, require less labour,

create minimum wastage but at the same time improve quality of the end product in order to gain

profits and repeat customers.

The availability of healthy fruits and vegetables is on the rise with a compounded annual growth rate

of 5 to 6% heralding in the ‘Rainbow Revolution’, the emphasis being on consumption of large

portions of all brightly collared fruits and vegetables both in India and abroad. However huge post-

harvest losses take place each year which need to be tackled urgently through enhanced marketing and

provision of adequate cold storage facilities( as per survey conducted by ASSOCHAM in 2013).

Major food processing giants are looking at a new concept from farm to freezer cooking, and are

working with local growers to pick and quickly freeze produce generally within 24 hours to retain

natural fresh flavours better and make these frozen products available to restaurants and markets

throughout the year. With the advent of flash freezing technology, frozen foods have entered the

market in a big way and an unbelievable range of products of high quality is available across the

globe all year round.

Customer Awareness and Demands

Very often the customer is better informed about the health benefits of food being served and the

authentic recipe of the product. Many chefs are moving out of their traditional role and come out of

the kitchen to interact with guests (Joy 2012). They need to know more about the food they serve both

in terms of health benefits and basic dietary restrictions for lifestyle related diseases, as well as origin

and authenticity of the recipe. Customers are demanding organic produce and ask questions about

where the food has been sourced from, giving preference to farm fresh local produce.

Trends in the food industry are largely dictated by the demands of the customer. While the trend is

towards smaller portions, the focus is on filling the stomach with flavourful light nutritious foods with

lingering tastes like clear soups and salads (Basu 2012). Awareness, need and lifestyle factors have

created a demand for healthy food and beverage options. People are now making ‘conscious’ efforts

to look good and are understanding the role of right food choices and health. The healthy eating trend

has gained momentum because of rising disposable incomes and the flood of food commodities

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available off the shelf. Healthy food and beverages are fashionable and are an integral part of the

lifestyle of upwardly mobile urban society, and the same is reflected in eating out options as well

(Biswas 2013). As more and more people are becoming health conscious and turning vegetarian,

bakers and confectioners are also concerned and are opting for premixes and ready to use products.

New products which have no added sugar and are less sweet like sugar free whip topping for sugar-

free cakes and desserts, eggless, gluten-free and no trans fats, are being launched by the processing

industry (Nair A 2011).

The international traveler has contributed significantly to this visible change in foods offered on the

menu and cooking techniques introduced by the industry says Pankaj Chaturvedi. Customers have

welcomed the introduction of newer cuisines and ask for items savoured in their trips abroad

(Bhandari 2013).

The quality of the product determines its acceptance and even the level ingredient source is partially

changing. While the Quick Service Restaurant (QSR) operator is looking to source partially finished

products like pizza bases, burger buns, patties, cut-vegetables and readymade sauces, other operators

are stressing on use of locally grown foods and prefer serving authentic cuisine.

Authentic, Sustainably Sourced and Convenience Foods Authentic food is in demand today. Delectable food and sumptuous spreads which are an integral part

of festive celebrations are on the rise. Authentic cuisine takes precedence over innovations and fancy

menu items during the festive season. The lingering aroma, fragrance and taste which stimulate the

taste buds, emanating from traditional fare is something which people staying away from home, be it

for business or profession, relish when served in the right ambience. To the traveler, traditional food is

an integral part of the Indian experience.

Gourmet tourists are interested in knowing the main ingredients, seasonability, regionality, social

practices and rituals food is associated with, and the culture linked to serving such foods. Indian food

is as diverse as its culture and terrain, and plays a pivotal role in food tourism.

With India’s steadily expanding economy and greater exposure to foreign food and beverages, the

growth of gourmet and specialty food products in India has increased dramatically. Gourmet and

specialty food events expose people to the latest developments in nutraceuticals, functional foods, and

other innovative ingredients displayed by the best of domestic and international food industry players

from across the globe on a common platform.

At the same time, hotels are recognizing the tangible benefits from sourcing sustainable foods and are

creating their own sustainable food policies. Customers are demanding sustainably sourced food and

prefer to eat in a sustainable restaurant. Responsible food sourcing is a key element while formulating

the procurement strategy. Some of the measures followed by hotels with sustainable food policies are

using natural food ingredients which are locally grown, reduced use of food additives and sodium, and

serving beverages and desserts with all natural sweeteners (Tuppen 2013).

In the 5th Culinary Congress of the Indian Federation of Culinary Associations (IFCA) 650 chefs from

India deliberated on promoting local cuisine, sustainable food sourcing and using local food

ingredients to make international dishes. Indians today are better travelled and know more about food

due to exposure to satellite television and T.V shows. The eating out culture in India has shown a

dramatic change. There is bound to be change in menus and hygiene standards (Joy 2012).

The global market for organic food products has trebled between 2000 and 2011 with USA, Germany

and France being the largest markets for organic food. Organic foods are gaining popularity and

contribute to save the soil sustainability campaign.

Indian cuisine has a wealth of ingredients and vast diversity of cuisine because of our culture and the

variety of spices available. According to Chef Sudhir Pai; Chefs, entrepreneurs and hotel chains have

created great restaurants where the best of regional dishes of India are served in an authentic manner.

Thanks to the increasing awareness of guests about regional cuisines, there is a demand for newer

authentic cuisines, from around the country quotes Chef Naren Thimmaiah 2013.

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Ayurvedic literature more than 5000 years old indicates that food has evolved in India states celebrity

Chef Sanjeev Kapoor. While spices were treated as medicine, seasonal regional produce was given

prime importance and discipline in eating was enforced. Healthy eating was a part of our culture, and

this authentic cuisine should be preserved. (cited in Chakraborty 2013) Many chefs in leading hotel

chains and entrepreneurs are of the firm belief that this is the right time to promote authentic

traditional Indian cuisine. Indian restaurants are increasing their focus on diets for wellness and

lifestyle by serving ‘Satvik’ food based on the principles of ‘Ayurveda’. The food industry, be it niche

restaurants, main stream restaurants or five star hotels are cashing in on the increasing demand for a

wellness diet by serving healthy and natural menus. (Rawal 2004)

The need for safe wholesome food is well known. A lot of new trends and international practices in

the field of food safety, quality and hygiene in the food sector have come to India but yet many of the

catering staff/ in-charges have not yet heard about these norms and practices or do not follow them. It

is well said that ‘we are what we eat’, and ensuring availability of safe and quality food for the

population is of vital importance for any country (Kumar 2012)

However in a survey conducted in U.S. in 2001, chefs strongly agree that food service professionals

view nutrition as important in menu planning. They did not perceive that the number of customer

requests for modified menu items was increasing or that consumer’s nutrition is an important factor

when selecting a restaurant. Preparation of low fat foods does not require additional work, and that

they can be made equal in taste to foods containing higher amounts of fat. (Johnson 2002) Looking

good by eating healthy food is the new mantra. To meet this growing demand, luxury hotels are

waking up to the concept of organic food, chosen according to yogic principles of healthy eating, and

menus are tailor-made for each guest after a consultation with the hotels ayurvedic or naturopathic

doctors. Ingredients are locally sourced, and are often grown on the hotels own organic farms. (Gupta

2013)

While most convenience foods in the market today are laden with saturated fats, sodium and sugar

and provide little nutritional values, advertising gimmicks like ‘fat free’, ‘low-fat’, ‘low calorie’ etc.,

has to be taken with a pinch of salt (Ganapathy 2012). Chefs need to understand the commodities they

use.

According to Culinary Guru Nita Mehta there is a distinct shift in the choice of bakery products and

many bakeries are offering healthier options to customers such as multigrain breads, whole grain

products, sugar free desserts and lighter frostings with fruits as a garnish in place of whipped cream

(Biswas 2013).

The current and emerging trends also point out to regional Indian cuisines and nouvelle Indian food,

Asian Street food mainly Vietnamese, Malay, Indonesian, Korean, are on the rise globally. Anti-cafés

or chef owner-driven places that look at local availability and offer authentic cuisine are popular.

Healthy eating and organic foods are no longer the boring options on the menu, but gourmet fare with

customers opting for organic thalis and green consciousness along with willingness to pay more for

good healthful options is the trend (Bhatia 2011). Other healthful options apart from nutrients in our

food, are a number of important non-nutritive chemical components called nutraceuticals. They play a

vital role in maintaining optimal health, vitality and longevity. Foods containing nutraceutical in

significant amounts are referred to as health foods. The nutraceuticals marketing is booming with

prebiotics and probiotics, antioxidants and phytochemicals flooding the market in the form of

functional foods and beverages, and dietary supplements (Kalbag 2012). Even hotels and restaurants

are cashing in on this opportunity and have started introducing special menus or healthy menus (Pant

and Thomas 2013). Health foods are considered to be highly beneficial to health beyond their

nutritive value and address specific health concerns. With an increasing number of youngsters

knowing the problems faced by our changing life style, the trend for treatment of lifestyle diseases

like Hypertension, Atherosclerosis, Diabetes, Obesity and Cardiac problems is gradually shifting from

curative to preventive.

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Wellness Initiative by Leading Hospitality Brands A number of wellbeing initiatives have been recently introduced by leading international hotel chains.

The industry has realized that there is a strong correlation been lifestyle related factors such as

obesity , inadequate consumption of fruits and vegetables , lack of regular exercise etc. and the

duration of sick leave and loss of productivity at work. Many leading global hospitality brands are

committed to health and wellness. Hyatt Hotels and Resorts have partnered with The Partnership for a

Healthier America (PHA) to improve the nutritional profile of food menus at full-service managed

Hyatt properties across US and Canada. According to Brian Povinelli Global brand leader, Westin

Hotel and Resorts (Starwood hotels), Westin was the first hotel brand to offer its guest signature

SuperFood RxTM

menus to encourage a healthy lifestyle and this programme has been extended to its

associates around the world. Westin hotels and resorts make the healthiest choices irresistibly

appealing, so guests feeling better than when they arrived (Povinelli B 2013).

The media has played a vital role in bringing about a change in our food habits through food shows

and advertisements. Live demonstrations by Indian and International chefs in magnificent state-of-

the-art kitchen set-ups; give tips to improve culinary skills. Research shows that youngsters prefer in

India more Italian food like pizzas’ and pastas followed by Chinese, and north Indian and south Indian

food (Maindola 2013). Social media also influences ones choice of cuisine and food outlet.

The ongoing deliberations on health foods and wellness menus in hotels world-wide, its link with

customer demands, lifestyle related diseases, developments in food technology and sustainable food

sourcing, and a dearth of such research in the hotel industry of an emerging economy like India,

became the impetus for current study.

Research Methodology The hotel and catering industry is now and will continue to provide a major share of food and

nutrition to the public. This escalating trend highlights the importance of the chefs’ role in providing

healthful food to curb the incidence of lifestyle diseases and implement sustainable practices for a

healthy community and healthy environment. The purpose of this study is to assess whether chefs /

caterers are providing healthful menus and study efforts taken on their part to increase customer

satisfaction.

Objectives The main objectives of this research are:

To study the major trends followed by restaurant/hotel kitchens in providing healthful and

wellness menus to their customers.

To study the creativity of the chefs in providing attractive locally procured healthful food to the

customer without compromising on taste.

To achieve the objectives and to examine the major trends followed in providing healthful foods,

chefs from upper segment catering establishments were selected for the case study. A list of reputed 4

and 5 star hotels, speciality restaurants and caterers from Pune and Mumbai was prepared and a

random sample of 20 hotels (4 and 5 star), 10 speciality restaurants and 10 catering establishments

were selected. Only 50% of the selected sample agreed to participate in the study on condition that the

establishment would not be identified; but responses of chefs would be used for purpose of the study.

Senior chefs from these establishments were contacted telephonically and by emails. The objective of

the study was explained and the chefs were assured that strict confidentiality would be maintained. A

survey was conducted to accumulate responses. A questionnaire was developed with the help of

review of literature and suggestions from experienced managers of upper segment properties in Pune

and Mumbai which was also the basis for framing the parameters. The questionnaire sought

responses in an interactive style and included both open-ended as well as close-ended questions .The

questionnaire comprised of two sections. Section 1 collected personal information about the

participants like education and work experience while Section 2 was drafted for obtaining chefs views

about major trends followed at present and included 20 questions which covered five broad

parameters namely:

Customer awareness and demands.

Reasons for choice of commodities.

Chefs’ perception about nutrition and wellness.

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Emerging trends in foods being served.

Food safety measures followed.

The questionnaire was distributed to chefs from major international hotel chains and to entrepreneurs.

Approximately two third of the chefs were employed while others were entrepreneurs.

A total of 50 questionnaires were distributed and out of which 35 were received. The final sample size

resulted in 33 usable responses.

Sample Design S. No Category Number of

Establishment

No. of

Respondents

Designation

1 4 & 5 Star Hotels 10 18 Executive chef 07

Sr. Sous chef 02

CDP 05

DCDP 04

Total 18

2 Speciality Restaurants 05 08 Director (Chef) 08

3 Entrepreneurs 05 07 Director (Chef) 07

TOTAL 20 33 33

Data Analysis The qualitative approach was used for analysis to achieve results from the research. The method of

structured interview was applied where this allowed for a two way conversation and information was

obtained orally. It is observed from the personal information obtained from table 1 that the maximum

respondents were from management levels who are involved in decision making. The age group

ranged between 28 to 42 years while two respondents were above 60 years. All respondents had a

work experience of minimum 7 years. 94% of the respondents’ have completed a Diploma/Degree in

hotel management.

Findings and Discussions The findings were analyzed based on the following parameters

Customer Awareness and demands

All chefs have opined that today ,the customer is well-informed about health food benefits, recipes

and ingredients used and often pose questions about the authenticity of food served.. All respondents

agree that guests have more food options on the menu.10% respondents opined that customers

demand organically grown foods.

Reasons for choice of commodities

All chefs opined that there is a marked change in the quality of ingredients available today both in

basic and ready-to-use form. Exotic vegetables are available all year round and imported ingredients

are easy to procure. It was found that convenience foods were increasingly popular in international

hotel chains and imported foods were used on a large scale as ready to cook, ready to eat food, ready

to serve beverages and frozen foods. Frozen fish fillets are preferred to fresh fish. Chefs are aware of

food additives in processed foods and that many have high sodium content. 90% chefs were aware

that processed products are less nutritive but preferred using them because of consistency in products,

better quality of finished product, ready availability, cost effectiveness and lesser dependence on

labour for preparation. 80% respondents feel that these foods would not have any side effects on

health in the long run as they are hygienically prepared and stored. The reduction in kitchen space and

labour problems was another relevant finding and the major reason for using convenience foods.

The use of additives such as emulsifying agents, stabilizers, and bleaching agents has increased, along

with the use of food colours, flavouring agents and leavening agents which were already being used

earlier. Premixes have become increasingly popular in the bakery department especially in the bread

and pastry section because of the distinctive flavour and taste which they impart to the product. All

respondents who use premixes prefer them because of consistency in end product and simplicity of

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use. While food colours were used by all respondents, 50 % respondents opined that no artificial

sweeteners or mono sodium glutamate was used in the food.

Table: 1 Change Observed in Commodity Preference and Use

S.No. Parameter Response in Preference %

1 Processed food(frozen foods) 70

2 Processed food( ready to use) 60

3 Processed food (ready to cook) 30

4 Premixes/additives 75

5 Organic food 20

6 Whole grain and multigrain 90

7 Local, farm fresh produce 50

8 Exotic fruits and vegetables 50

Chefs’ perception about nutrition and wellness

Most respondents were aware of the approximate nutritive value of food served to customers in terms

of calories, i.e. high and low calorie foods, sugar and fats and were cutting down on the use of sugar,

salt, Trans fat and fatty foods in the kitchen. However Trans fats were still used by 70% of the

respondents especially in the pastry section and Indian kitchen. Four respondents stated that they use

only butter in place of margarine in the bakery Department. The most popular cooking medium in the

Indian kitchen was sunflower oil. Apart from vegetable oils, vanaspati, butter, ghee and margarine,

the trend is towards healthier option like olive oil, sesame oil, mustard oil and coconut oil. A variety

of other fats and oils are specially used in different preparations to give a distinctive flavour and taste

to authentic foods. Healthy cooking methods such as steaming, poaching, grilling, stir frying and live

counters on buffets are used by all respondents.

There is a significant increase in use of healthy options and functional foods in the menu. Only 25%

respondents stated that foods with special properties and health benefits were offered on the menu or

as a separate menu to guests. Although salads were part of the menu, 90% respondents were not aware

of the non-nutritive health benefits but had included them on the menu for the customers to select

from. It was found that respondent 1 from the Five star category hotels offered flexi-buffet options for

health conscious guests from the set buffet like opting for only cereals and fruits at breakfast or only

soups and salads for lunch. Respondent 1 also has in room dining menus with a low calorie food

section and wellness cuisine offered by the spa. Apart from canned and fresh juices on the breakfast

menu, healthy juice options like wheatgrass, bitter gourd, and cucumber etc are also served by 30%

respondents. Only 42% chefs responded to the question about offering special foods to guests

suffering from lifestyle related diseases like high blood pressure, Diabetes and obesity, stating that

sugar-free and low calories foods in terms of low fat food were on the menu. 15% respondents stated

that foods for other life style related diseases were served on demand.

Table: 3 Some foods with additional health benefits which are being used widely used in all hotels

Group Foods with additional health benefits

Cereals Oats, Wheat bran, barley, wild rice

Fruits Blueberries, Strawberries, Citrus fruits, red grapes, bananas, Olives

Legumes Sprouted moong, desi channa, black eyed beans, black gram, green peas, chickpeas

Miscellaneous Dark chocolate Red wine, Green tea, Fenugreek seeds, Turmeric, Sundried tomatoes, Tofu

Nuts and Oilseeds Flax seeds, olive oil, Grape seed oil, sunflower seeds.

Vegetables Broccoli, Carrots, Onions, Garlic, Bell peppers, Cabbage, Celery, Beans, Zucchini, Cherry

tomatoes, Parsley, Yellow corn, Asparagus, Green romaine, red romaine, Lettuce

Milk Products Yoghurt, Curds, tofu, Low fat milk, cream and cheese.

Emerging trends in foods being served

All respondents except one respondent opined that there is a distinct reduction in the size of portions

served in all outlets which contributed significantly to reduction in overall calories and fat

consumption. Respondent 4 had introduced a special Women’s experience menu in which all portions

served were small and were proportionately priced. Chefs give importance to plate presentations and

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dish presentations even for simple local cuisine. Starters offered on the menu were bite sized. Single

travelers have the option of ordering half a portion instead of a full portion. Small attractively served

portions are displayed on the buffet dessert counter to enable customers to savour all delicacies with

minimum wastage or overeating.

Food safety measures followed

All international chain hotels surveyed were HACCP/ISO certified or had their own in-house hygiene

certification standards.80% establishments were aware of hygiene standards and took measures to

ensure safety of food being served. All commodities were purchased as per Standard Purchase

Specifications and checked for quality. Time and temperature control in storage and preparation areas

was monitored.

Cooking was done as close to time of service as possible to retain maximum nutrients. The buffet

counter was constantly refilled and only required portions were reheated. Frequent reheating and

overcooking was avoided.

All respondents opined that apart from skills and creativity there is a need to include more healthful

options on the menu as guests are demanding organic foods and have good knowledge of foods.

Discussion Literature suggests that the need to promote health and well being is the latest trend in the industry,

and foods to encourage a healthy life style are being promoted in international chain hotels worldwide

along with fitness programs. The importance of good health has been recognized by leading global

hospitality brands and special efforts are being made to offer wholesome, attractively presented meals

not only to guest but also to employees. This study assessed whether chefs / caterers are providing

healthful menus and the efforts taken on their part to increase customer satisfaction, as a case study in

Pune and Mumbai.

The major trends mentioned in the questionnaire are listed below:

Sauté, stir fry or bake instead of frying, no overcooking and repeated reheating avoided.

Brown rice, wild rice, parboiled rice, couscous in salads.

Whole grain and multigrain flours are replacing refined flour.

Sunflower oil is used as the major cooking medium along with olive oil, sesame oil, groundnut

oil, soya bean oil and coconut oil.

Olive vinaigrette and light dressings replace traditional mayonnaise

Ample use of flavourful herbs like tarragon, parsley, leeks, celery, and mushrooms along with

freshly ground pepper and reduced use of cream and butter

Minimal use of Trans fats and margarine and awareness about their ill effects. Margarine is being

replaced by butter.

Increased use of antioxidant rich vegetables and fruits to add colour and texture in salads and

desserts and as a garnish. Preference for fruits with high antioxidant properties black grapes,

pomegranate, blood orange, and berries.

Increased consumption of nuts (flaked, slivered, and roasted) pistachios, peanuts, walnuts,

almonds, hazelnuts, water chestnuts in almost all types of, preparations.

Miniscule assorted garnishes and toppings with assorted tastes, textures and colour to add

interest to monotonous healthy soups. Big, chunky garnishes are passé.

Seeds – flax seeds, caraway seeds, Niger seeds.

Salads – endless healthful combinations of vegetables along with grains, sprouts, mushrooms

and olives, often served warm.

Exotic vegetables being procured locally, are in demand

Chocolates – dark, white and flavoured

Gluten free, sugar free, egg free and Vegan options

This indicates that there is a major transition in choice of commodities, methods of cooking, inclusion

of healthful options and reduction in the use of hydrogenated fats, with more stress on small portions

and attractive presentation of dishes. Although food operators are putting in their best efforts to ensure

that delectable food is offered to guests to suit their palates, they are often unaware about its role in

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promoting good health or how it has been sourced. Some of them are still grossly ignorant about the

food value of the commodities they use to create mouth-watering delights and continue to follow

practices which lead to loss of vital nutrients. Chefs need to understand and put into practice cooking

procedures which retain the food value, for example, cut fruits are displayed on breakfast buffets

immersed in cold water for hours to stay crisp and fresh with little attention paid to leaching losses of

water soluble vitamins and minerals. If a customer orders a dish it is the caterers moral responsibility

to ensure that it contains and has retained the nutrients it is supposed to have, to provide the expected

health benefit.

The study notes that while processed foods and premixes are used by all food operators for many

products, they are especially popular in the bakery department. To achieve distinctive tastes and

textures in pretzels and bagels, and in egg-free mixes and gluten-free mixes for breads are on the

increase. However caterers should refrain from the use of sugar in sugar free products and use of

caustic soda in pretzels and ammonia in ginger bread. There has been an increased use of food colour

in the industry. Colours are added to cold gels and spread on cakes, mousses, and sponges. Use of

fresh fruits to enhance colour in desserts is on the increase.

The study shows that International hotel chains are all set to promote health and wellness packages

which are often clubbed with unique healthy lifestyle amenities. Healthy foods and light menus are

served in small portions. The idea is to allow health conscious guests to eat what they want to, but in

small quantities. Food products which are anti-carcinogenic containing antioxidants and flavonoids

for example blue berries, oranges, nuts, chocolate etc. often form a part of such menus. Salad counters

with healthful options of vegetables and sprouts rich in nutraceuticals like phytochemicals,

antioxidants, anti-carcinogens and pre and probiotics should be offered.

Chefs are re-inventing recipes so that they still taste super-satisfying but are lower in saturated fat and

sodium and higher in fibers. They are aware that foods people crave about and indulge, in need to be

made healthy. While the demand is more from the high end clientele and international tourists, today

the customer wants to avoid heavy Punjabi gravies, thick layers of cheese, a layer of oil or ghee

floating on food and are demanding lighter menus low in calories and saturated and trans fats, no

refined flour, and use of olive oil and healthy oils as a cooking medium. They prefer more of fresh

vegetables organically grown, live warm salads tossed in olive oil in front of the guest and stir fried

and baked dishes on the menu. Whether the vegetables have been properly washed and when they

were cut is another doubt, hence live stations have gained popularity.

Simple practical measures to enhance nutritive value of food need to be followed by the industry like;

Practicing measures to retain vitamins and minerals originally present by not soaking cut fruits

and salad in cold water to retain freshness.

Keeping cut fruits/ salads/juices covered and chilled to prevent oxidation and loss of vitamins A,

B complex and C.

Steeping and sprouting of whole grains and pulses and using fermented products to enhance

nutritive value.

Using whole grain flours to retain maximum B-complex vitamins, minerals and dietary fiber

which are lost during milling.

Making wise choices while selecting commodities to maximize the nutrients consumed and offering

healthy items directly on the main menu instead of keeping a special section for health foods, and the

use of the media to promote healthful food choices will go a long way in ensuring wellness for all.

Conclusion The consumer awareness and interest in healthy eating combined with a rise in the number of meals

consumed away from home and steady rise in incidence of lifestyle diseases, poses a challenge to all

chefs as it is their moral responsibility to serve safe, wholesome meals.

Chefs play an important role in providing safe, healthful food to the masses, which depend on meals

consumed outside the home to meet their Recommended Dietary Allowance (RDA). In addition, the

potential clash between the use of processed food and fresh, locally grown or sustainable produce

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creates a situation where important decision regarding choice of commodities needs to be taken,

weighing all the pros and cons.

It is therefore necessary for chefs to have a better understanding not only of the health benefits and

choice of commodities of processed versus fresh foods, but also cooking and storage procedures to

ensure service of safe, wholesome food which is affordable and cost effective.

Hotels and Restaurants can play a vital role in introducing the trend for treatment of life style diseases

from curative to preventive by giving a boost to those foods which offer additional health benefits, to

address the problem of lifestyle diseases which are rampant today.

This paper builds upon previous research and current studies and articles in addressing this topic and

like earlier research, serves as a building block in our understanding of emerging trends in food

industry towards service of healthful food options. However, because the food and beverage service

industry is vast and diverse food options are offered in India, more in-depth surveys will be needed to

assess whether foods served today help in combating lifestyle diseases.

Reference

Aroor, A. (2012) Nutri-Convenience at Nascent Stage, Food & Beverage News, Vol 4(13): 11-12

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121


Role of IT in Branding and Positioning of a Hotel: A Case Study with

Special Reference to the Oberoi, New Delhi Rekha Maitra1

Abstract Times have changed since the days when conventional marketing was the need of the hour. Day-to-

day discovery of the latest gizmos in the cyber world has brought the revolutionary phenomena of

Online Marketing. An access to Internet via Mobile Phones, Smart Phones, I-Pad, Data traveler and

Wi-Fi has inherited the gala transformation in the arena of innovative global marketing approach.

Not denying the fact that mobile-obsessed consumers have discovered that these hospitality aids are

most convenient and cost-effective to use.

The latest Mantra of Internet/Online Marketing is sustained by effective web-site; the significance of

effective web-site cannot be undermined. Nurturing and proper care of web-site is essential for

boosting its growth and success. Be it service, or a wide range of hospitality products, all are sold via

their attractive web-page layout, where the interactive and user-friendly web-site offers additional

assistance in reaching up to the potential customer. Effective hotel web-site represents its best

features for their guest when they are linked.

In Hotel Industry, an Empty hotel room represents its perishability out here the potential profit is lost

forever. The Hotel Industry combats the loss by equipping the web-site with different tools of

marketing, i.e. ease of navigation, links to appropriate companion sites, facility of interactivity etc.

Hotels are investing huge chunk of marketing budget on making hotel website user friendly. The

platform not only offers the facility of booking by filling up on-site reservation form with the option of

updated and revised room rates, the form effectively reaches to the reservation cell for tapping the

potential guest.

The Oberoi Group, founded in 1934, operates 28 hotels across five countries, one Nile Cruiser and

one Backwater Vessel in Kerala under the luxury ‘Oberoi’ and five-star ‘Trident’ brands. The Group

is also engaged in flight catering, airport restaurants, travel and tour services, car rentals, project

management and corporate air charters. Oberoi Hotels & Resorts is synonymous the world over with

providing the right blend of service, luxury and quiet efficiency. Internationally acclaimed for all-

round excellence and unparalleled levels of service, Oberoi hotels and resorts have received

innumerable awards and accolades. The Group’s commitment to excellence, attention to detail and

personalized service has ensured a loyal list of guests and accolades in the worldwide hospitality

industry.

The Objective of this study is to analyze the significance and usage of Hotel Web-site in Online

Marketing. The idea is to explore the new design element that contributes to effective web-site content

and the activities involved in updating an existing one. The analytical study of web-site will help to

explore the significance of effective and interactive web-site in enhancing the Branding and

Positioning of the Hotel product.

The Hotel industry being a booming sector is growing leaps and bounds. Web-site of hotel is surveyed

in order to judge the effectiveness of 5 Star Hotels web-site The Oberoi Hotel, Sham Nath Marg, New

Delhi is picked up as it is considered as the best hotel brand. The hotel stands evidence in terms of

quality and excellence as a traditional classic hotel, pre and post independence era. Web-site users

and Hotel Sales and Marketing team were interviewed for obtaining the desired result. The opinion of

the user and the web-site development team has been tabulated and presented.

Key Words: Electronic Media, Social Media Marketing, Travel Review Web-sites, Search Engine

marketing

1 Assistant Professor, Department of Hotel Management, Manav Rachna International University, Haryana,

India. Email: [email protected]


..... 122


Introduction An effective online presence in the cyber world turns out to be a magic wand for the sellers as well as

the buyers. The connectivity via web-page helps to understand the consumers in better manner for

being able to sell the products. A few decades ago; the business policies were different from today.

The effective web-sites are blessings in disguise, as this helps in branding and positioning of the hotel.

This further helps to sustain the customer by converting them into client. . Web-sites are door to an

organization and must provide organized and relevant content. (Frost, 2012)

Customers does not need the quality only, they endorse the brand due to its longevity and trust among

its consumers. No doubt, the software giant Microsoft spends up to 10 billion dollars a year on

research and in understanding how the market will move forward. (Yogesh Kochhar, 2013)

In the persistent competition of hotel Industry, it becomes imperative for hotel web-site to offer the

proper information to potential customers, as most of the guest checks the hotel web-site before

booking a hotel. The web-sites have different pages dedicated for their services. Hotels at present

have largely adopted e-commerce to achieve different business goals. (Law1, 2005)

Hotels' managers have adopted the Internet as one of their primary marketing channels to attract

customers while website development has become one of their business infrastructures for online

bookings and transactions. On the other hand, hotels' websites are the main search target for travelers.

Especially for hoteliers, owning a website is an important step in order to increase visibility and brand

familiarity. However, most hotels are not aware of the important of making their websites visible to

search engines and the nature of their presence on the Internet. (Belkhamza, Apr2013,Vol. 18 Issue 1)

According to Pew Internet & American Life Project (2012), 91% of web surfers use search engines to

find information needed. Although this way of search for information may also benefit the hotel

organizations if their information exists in the Internet, it has a negative impact on the name branding

when the hotel does not own a website, or when the website is not well placed or found in the search

engine database. This challenge is increasing as the number of websites and domain names is

dramatically increasing. (Belkhamza, Apr2013,Vol. 18 Issue 1)

The role of IT in branding and positioning of the Hotel has not been discussed specifically in the

existing hospitality literature. The aim of the study is to essentially examine the role of IT in

facilitating the brand and position of the hotel with special reference to The Oberoi, New Delhi.

Role of Various Electronic Media at Oberoi Hotels and Resorts

When it comes to tourism, consumer-oriented marketing lies parallel to other businesses. Apart from

the old-fashioned and sometimes manipulative methods, the new savvy tourists opt to conduct their

travel plans online with good reasons. (Khare, Jun2010, Vol. 17 Issue 2)

The marketing strategy of Oberoi Hotel formulates the presence of its brand to the status quo of being

omnipresent. The hotel web-site takes pride in its pioneer and luxury brand. The web-site also

communicates the details about the National Tourism Award for the best 5 star deluxe hotel in the

country by the Ministry of Tourism, Government of India in 2013.

The volume of information shared online and the number of people looking for information on the

web has grown (Berger & Schwartz, 2011). Networking tools emerged to facilitate communication

between business firms and customers, which resulted to exchanges of information and influence

(Godes, 2011).

Role of Social Media

High traffic on a web-page assures the good number of potential buyers, therefore the hotel assures to

get the customers from the social media as well. Hotel Web-page can be discovered via social media.

The users like the page for sharing the brand experience. Hotel Web-page facilities can be shared and

signed in via different social networking web-sites i.e. LinkedIn, Face book, Twitter, Stumble upon,

you tube and Delicious etc. The option of an email and printing is also available.

123


Role of Travel Review Web-Sites

Travel review web-sites are venues for customers to publish hotel reviews. There is segment of

people, who surf the net for user review prior to purchasing the hotel product; certainly, their decision

are based on the review of recommendation and rejection of the product. Travel review websites

(TRWs) are one of the most popular sources to explore the characteristics of the tourism industry.

Travel review websites are innovative marketing tools for hotels.WOM (Word of Mouth) marketing

theory has evolved with the development of virtual communities and online social networks. Review

of Hotel Oberoi on trip advisor is as follows:

Table: 1(a) Reviews from trip advisor community (n-782)

Traveller’s rating No. of Persons

Excellent 498

Very good 212

Average 54

Poor 14

Terrible 4

Source: (Tripadvisor.in)

Table: 1(b) Reviews from trip advisor community (n-782)

Rating Summary

Location ******

Sleep Quality *******

Rooms *******

Service *******

Value *******

Source: (Tripadvisor.in)

Role of Search Engine Marketing The particular key word helps the website in generating good traffic resulting in enhancing the

ranking of web-site, more the hit, and better are the prospect for good ranking.

One can search the hotel web-site via search engine. Google gets the lion’s share, when one

approaches the search engine with key words. Unique key words of The Oberoi brand assist you in

accessing About 10,600,000 results (0.18 seconds) in Google. All the different links with different

web-site can be accessed via different web-site addresses i.e.

www.oberoihotels.com/images/pdf,www.facebook.com,www.booking.com,ww.zomato.com

www.wego.co.in,www.tripadvisor.in etc.

Effectiveness of Oberoi Web-Site in Boosting the Hotel Product Sale

I hear and I forget. I see and I remember. I do and I understand” This is one of the brainy quotes,

Certainly the Modern and digitally conscious Consumer also believes in the same mantra. They do the

web-surfing followed by web-surveys.

Virtual tour: Virtual tour extends the 360 degree view of the hotel with multimedia effects of sound

effects, music, narration and text. Whenever a visitor clicks on the virtual tour, the varied options are

explored with charming pictorial gallery of hotel’s facilities and amenities The different room icons

present on the web-site offer a glimpse of lavishly decorated hotel rooms i.e. premier room, luxury

suite living room, presidential living room etc. The facility is also being extended for dinning, spa,

pool, lobby, ball room and business centers.

Different Icons of Hotel Web-Site with Brief Description

The Oberoi hotel web-site is well equipped with different icons, which lead the consumer to Hotel

Overview; there are different sub- headings of Room & Suites, Dining, Spa & fitness, Meetings,

Tariff &Policies, Special offers, Reservations, Gallery’s, Awards, Contact us, Directions, Travel

Guide and Experiences etc.

..... 124


Overview of Hotel, Rooms & Suites

A room being the most glittering product is also the highly perishable commodities. This costliest

product has high revenue at stake, therefore it becomes imperative for the hotel to reach to masses.

The sub-heading of Rooms and suites represent the hotel room view at glance with their authentic

features.

The web-link of the hotel represents following features about all the Rooms:

Electronic safe, Mini bar with premium international brands, 2 Line telephone with voice mail, Data

port for internet & e-mail connectivity, Wi-Fi internet access in all rooms and public areas, Electronic

door lock, Personalized butler service, In Room TV offering channels in English, French, German,

Choice of financial and International newspapers, Well-appointed work desk, DVD Player in all

rooms & suites, Non-smoking floor, In-House Guest Directory.

There is wide range of rooms available with the characteristic facet of their own. An Example of

Deluxe Rooms on Hotel Web-site is as follows:

The Deluxe Rooms covering 348 square feet are designed keeping in mind the needs of today’s

traveler. Located on the lower floors of the hotel, the rooms are equipped with all amenities that a

discerning global business or leisure traveler needs. The room offers an abundance of natural light

that filters into the room through a large picture window. An added amenity is the extensive pillow-

menu including Buck wheat pillow, Memory foam pillow, Dual zone pillow and Body pillow as

options to aid sound sleep. The wall to wall carpeting adds elegance to the décor.

The Deluxe room offers an option of a king size or a twin bed and is equipped with a workspace that

constitutes a writing desk and chair.

Similarly the web-page reveals the prominent aspects of Luxury Rooms, Executive Suite, Deluxe,

Luxury and Kohinoor Suites. (Resorts, 2013)

Dining: The web-link offers the overview of dining facilities available in Hotel viz.: Three Sixty,

Travertine, Taipan, Club Bar, The Oberoi Patisserie and Delicatessen picturesque images of the food

outlets with their brief description. The hotel web-page displays the unique and beautiful exhibit of

food and beverage service. For example,

The Club Bar at the Hotel is an ideal venue to relax and meet friends and associates over

beverages and drinks.

Three sixty offers the best of world cuisines and wines and 24 hours In-Room Dining It is

rated amongst one of the best restaurants in New Delhi. Taipan offers cuisines from all

provinces of China and dim-sum menu at the restaurant are must to try.

Spa & fitness: It is one of the best leading luxury spas in Delhi. The Spa offers professionally and

holistic treatments and therapies for refreshing the body with well-being techniques. The Online Spa

Menu consists of fitness facilities i.e. Signature Indigenous Rituals, Massage therapies, Revitalizing

Body Therapies, Skin and nail care etc. The Oberoi Spa experience consists of Ayurvedic Therapies,

Specialty baths, Yoga and Meditation and the Complete Spa Experience. The heated Swimming Pool

offers a tranquil and relaxed atmosphere for the guest. Full Spa Menu can be downloaded in PDF

Version.

Fitness facilities: The Oberoi, New Delhi gymnasium built in an area of 1500 square feet, is equipped

with four tread mills, two cycles, two cross trainers and a complete series of strength training

equipment by Life Fitness. It includes steam rooms and an indoor lap pool with separate sections for

ladies & gentlemen.

The brightly lit gymnasium has a mirrored wall on one side and a glass wall on the other that

overlooks the open air swimming pool. Complimentary Yoga sessions are conducted for the resident

guests every day from 7-8 am.

(Oberoi Hotels and Resorts, 2013)

125


Meetings and Events: The description on the web-page is as follows:

The Oberoi, New Delhi offers the ideal venue for hosting event in luxurious settings enhanced by

gracious hospitality. State-of-the-art equipment coupled with unobtrusive service and professional

expertise will ensure a memorable experience.

From small meeting rooms to large conference halls, it offers a choice of venue for your meetings and

events. The Hotel offers six banqueting rooms that can serve from 25 guests in classroom style to 375

guests for cocktails and receptions. For private meetings and high level strategy meetings, a cocktail

reception, or an elaborate gala dinner, The Oberoi New Delhi offers the expertise to create events that

guests will remember for a lifetime. The 24 hours Business Centre offers four 2-seater Private Offices,

two 6-seater Conference Rooms, three 12-seater Board Rooms and a 16-seater Board Room.

There is an image gallery and virtual tour facility being extended at Meeting web-Page, Every Icon

can be opened in a new Window with enthralling images of the hotel. Virtual tour is an eye tonic for

people who are looking for serenity with state of the art corporate facilities. Assistance page is an

icing on the top. The facility of calling up the Hotel staff is readily available and an e-mail can also be

written for the professional help. The icons are displayed as Call us and Write to us.


Special offers : A little scope of imagination is left with the list of icons displayed on the web-site.

The Special offers prompt the consumer to enjoy the long list of different options, i.e. Oberoi Exotic

Vacations, Oberoi Family vacations, Oberoi Exotic Honeymoon, Business travel plus, Spa retreats.

There is an enormous range of Customized rates i.e. Extended stay rate, Advance Purchase rate,

Oberoi special rate and Breakfast Inclusive Rate.

Extended stay rate is being offered for longer and extended stay rates.

Advance Purchase rate is for early booking and availing special rates for future stay.

The Oberoi special rate offers the flexible rate of the day, designed to meet the flexibility

requirement of today’s travelers.

Breakfast Inclusive rate offers the option of morning with a power-packed breakfast, which can

be chosen from International buffet or a’la carte and the rates are simple and flexible.

On the right hand side of the web-page a reservation page is displayed for making the reservation in

The Oberoi, New Delhi with check-in and checkout calendar for no. of PAX and Rooms.

Figure 1

Check in Check out

Rooms

Persons Per Room


Reservation: The web-page opens with the pull down menu options of Name of hotel, Arrival Date

calendar, Departure date calendar, No. of rooms required and no. of persons per room. There is an

option of Hotel selection, Rooms Rates and Guest Details. A pull down menu also offers an option of

different currency i.e. Indian Rupee, Indonesian Rupiah, Iraqi Dinar, Japanese yen etc. There is also

an option of logging in and registering self in hotel.

Contact us: For making a contact with Oberoi Contact Centre, the address along with telephone and

email is presented .An example is given below:

Oberoi Contact Centre


Telephone: +91-11-23890606

Facsimile: +91-11-23890500

Address: Oberoi Hotels & Resorts, 7, Sham Nath Marg, Delhi-110 054, India (Oberoi Hotels and Resorts)

Tariff Policies: Tariff policies ,which are valid from 01st September 2013 to 15 April 2014 and 16

Apr, 2014 to 31 Aug, 2014 is being displayed on the Hotel web-page with different terms and

conditions displayed for Arrival and Departure Policy, Currency converter, Guarantee Policy,

Cancellation Policy, Child Policy and No-Smoking legislation is displayed effectively ,which is user

friendly.

http://www.oberoihotels.com/oberoi_delhi/meetings/index.asp

http://www.oberoihotels.com/oberoi_delhi/special_offers.asp

..... 126


Figure 2

Room Type

Rates in Indian Rupees valid from 01st Sep 2013 to 15 Apr 2014

Single Double

Deluxe Room 20,000 21,500

Luxury Room 24,000 25,500

Premier Room 29,000 30,500

Executive Suite 37,000 37,000

Special Executive Suite 50,000 50,000

Deluxe Suite 55,000 55,000

Duplex Suite 80,000 80,000

Luxury Suite 65,000 65,000

Curzon Suite 1,00,000 1,00,000

Kohinoor Suite 3,50,000 3,50,000


The Oberoi Experience: The Oberoi reflects the capital city's spirit in a harmonious blend of tradition

and contemporary sophistication. It is ideally located in the city center near shopping, financial and

business districts. Rooms offer a panoramic view of the Delhi Golf Course on one side and of

Humayun's Tomb, Delhi's premier heritage site, on the other. The award winning hotel is ideal for

business travel or leisurely holidays to explore the cultural wonders of Delhi.

The Different icons displayed on the web-site are as follows for the Oberoi Experience; Every

Experience is worth sharing i.e. Old Delhi Tour in a Rickshaw discusses the enchanting experience of

gliding through the narrow lanes of Chandni Chowk, where one can witness the architectural marvels

,the multi-colour facade, beautifully decorated shops, ethnically dressed men and women and hear

voices of hawkers and fragrances emanating from the variety of eating stalls that line these historical

alleys. Duration: 3 Hours, Price: INR 2,500 per person, all applicable taxes are extra.

Experience by Themes select Children

Experience by Hotel select Wildflow er Hall, Shimla in the Himalayas

Suggestive selling is being approached for the potential customers; there is an array of different

options to choose from the hotel web-site viz.: Tea tasting Session at Mittal’s, Spice Market Tour,

Private Cooking Session, and Private Yoga Session by the Pool is also being offered (Oberio Hotels

and Resorts, 2013).

Awards: The hotel has received Certificate of Excellence by trip advisor 2013,Best 5 star deluxe hotel

in the country by ministry of tourism, Government of India,2013, best business hotel in New Delhi by

Business Traveler, Asia-Pacific Travel Awards 2012 Top city hotels in Asia and many more.

Figure 3

Award Awarded By

Best Hotel in New Delhi Destin Asian, Readers’ Choice Awards 2011

Amongst the top 100 Hotels in Asia Condé Nast Traveler, USA, Readers’ Choice Awards 2010

Amongst Top 100 Hotels in the World Institutional Investor, 2009 The World's Best Hotels

Amongst Best Hotels and Resorts (World) Forbes Traveler 400, The World’s Best Hotels and Resorts

2009

Amongst 101 Best Hotels in the World Sunday Times Travel magazine, 2008

Amongst Top 50 Hotels in Asia Travel + Leisure, World’s Best Awards, Readers’ Survey 2008

Best Hotel in New Delhi Institutional Investor, 2007 The World's Best Hotels

Best Business Hotel in New Delhi Asia money, Business Travel Poll 2006

Top Hotels in India (Ranked 3rd) Zagat Survey, Top International Hotels, Resorts and Spas 2005

Apart from the links mentioned above there are many such more links available on the web page such

as Information request, Feedback, Reservation Office, Discover New Delhi, Local Tourist Sites etc.

http://www.oberoihotels.com/oberoi_delhi/awards.asp

127


Results and Discussion Two sets of Questionnaire were developed, one for Oberoi Sales and Marketing team and another for

Oberoi patrons. The questionnaire was filled up by e-mail sent to the hoteliers and a personal

interview was conducted for hoteliers and patrons. The questionnaire is represented through results in

form of responses given by the respondents.

Responses of Questionnaire for Hotel Oberoi

Table 2: Strategy that yields the business for Hotel

A Web-site marketing 40%

B Search Engine marketing by key words 25%

C Word of mouth marketing 15%

D Electronic media marketing, i.e. Radio, Television 10%

E Print Media i.e. Newspaper and Magazines 10%

As the results show that, 40% of business is yielded by web-site marketing, wherein search engine

marketing by key words gets 25%, 15% is the outcome of Word of mouth marketing. Electronic

media and print media results in 10% of total share of marketing.

Table 3: How hotel web—site is updated for different locations?

A Centralized 80%

B Decentralized 20%

The Hotel web-site is updated for different locations centrally, as the web-page design remains

similar, but the blueprint changes with every hotel as well as the image gallery, information about the

rooms, dining facilities and other amenities available in the hotel.

Does the hotel constantly update web-site with latest schemes?

It was asked to S&M persons about the constant up-dating of hotel web-site with latest schemes that

attract the customer to purchase the hotel product, the obvious answer for this question was yes, as the

hotel web-site is constantly updated with latest and special offers about rooms, dining, spa and other

facilities.

What is the source utilized for updating the hotel web-site?

The question of updating the hotel web-site was posed with different options of Operational

departments of the hotel, Sales and Marketing department and outsourced to an agency. The services

are being outsourced for updating the hotel web-site, as the sales and marketing division remains busy

with follow - up and tapping the potential clientele, the head of the operational departments

participate in designing and providing the data, images and other information to the agency hired for

the job.

It is evident from the above figures that maximum expenditure on advertisement is through on line

search engines, logo clothing and promotional material, around 10 – 15 lakhs of rupees are spent on it.

Second in row is expenditure on advertisement Yellow pages /local newspaper, E-mail marketing

campaign, Direct mail campaign, around 1 – 3 lakhs is spent. Lastly expenses on advertisement in on

– line directory is around 5 – 10 lakhs. The figures are huge as the organization believes that it’s

important to create brand image in the market to fetch good business results.

Table 4: Estimate of Expenditure incurred on advertising, sales and marketing activities by Oberoi Hotel

1-3

Lakh

3- 5

Lakh

5-10

Lakh

10-15

Lakh

15-20

Lakh

20-25

Lakh

Exceed

25 Lakh

Don’t

know

Advertising in Yellow

pages /local newspaper

Yes

Advertising in online

directory

Yes

Advertising in on-line

search engines

Yes

E-mail marketing

campaign

Yes

..... 128


Direct mail campaign Yes

Market research Yes

Logo clothing or

promotional items (hats,

t-shirts, pens, notepads

Yes

Table 5: The inputs used while designing Hotel website

A Latest scheme updates

B Festive offers

C Vocal marketing with the help of blogs and vlogs

D Pictures of hotels

E Appealing advertisement campaign

F All Of the above

The question was asked about the inputs used while designing Hotel Web-site, 4 choices were given,

1st was about latest scheme updates, 2

nd was about festive offers, 3

rd was about vocal marketing with

the help of vlogs and blogs, 4th option was about pictures of hotels, 5th option was appealing

advertisement campaign, the hotel uses all the given techniques while designing Hotel Web-Site.

Table 6: In order to understand more about Website Services of Hotel Oberoi, please tell us the hotel’s

role in designing the effective web-site

A Monitoring the social media by having a web-page on all the social networking sites

B Creating customer value online by offering loyalty bonus

C Electronic brochures for awareness

D Creating a site that satisfies the Oberoi’s target audience

E All of the above

Web-site designing requires expertise. It cannot be carried out single-handedly; from software

engineer to web-site designer everyone participates equally for improving it as per the customer

temperament. The contents are provided by hotel, as it reflects the brand.

Table 7: Which of the following best describes the primary business activity of your Hotel via web-site?

A Hotel Rooms

B Retail i.e. Restaurant, coffee shop, bar, banquet etc.

C Health club facilities i.e. spa, gym etc,

D Membership offers

E Other(Please specify)

The primary business activity of Hotel via web-site is Hotel Rooms’ sale. In Hotels, Rooms are highly

perishable commodity. Accommodation being the key requirement of the guest generates the highest

revenue in the hotel, where in the associated sale of other products generates the revenue equal to

revenue of 2-3 rooms. The rooms are exclusively priced between 30,000 to 3, 50,000 rupees.

Therefore, the primary business activity of the Hotel via web-site is Hotel Rooms’ sale for generating

the revenue and subsequently the profit.

Table 8: Travel review websites (TRWs) are popular sources for retaining or losing guest, how does it aid

the hotel?

A Word of mouth advertisement on web-site brings honest review

B Customer loses the faith in brand by reading the negative reviews.

C User reviews help the hotel to improve services

D All of the above

Travel review web-site assists the hotel in retaining the guest by writing positive reviews of the hotel.

Trip advisor enquires about the personal experience of the guest and prompts them to share their

personal experience. Sometimes, the negative feedback of the customer generates negativity in other

potential customer therefore the travel review web-sites generates positive as well as the negative

impact for hotel.

129


Table 9: Are these options available online?

Information available on Website State Yes or No

A City tours, Airport pick up Yes

B Type of rooms with Range of Room Prices Yes

C Meal plans with Choice of menus No

D Health club Membership No

E Business Centre Usage, Meeting space options No

The next question was about different features of Hotel Oberoi. The web-site being the face of hotel

offers most of the information online, i.e. city tours which has been discussed in our research report

under the Oberoi Experience Headings, which offers Old Delhi Tour in a Rickshaw, Tea tasting

Session at Mittal’s, Spice Market Tour, Private Cooking Session, and Private Yoga Session by the

Pool.

Table 10: How key words used in web-site help in enhancing the popularity of the hotel?

A Helps the website to generate high traffic

B Results in high ranking of the web-site

C Increases the number of visitors to the web-site

D The hotel gets more customers, which help it to grow quickly

E All of the above

The next question was how the key word used in web-site helps the hotel in enhancing the popularity

of the hotel and in return strength brand positioning. If the key words used in hotel web-site matches

with the search engine, it automatically leads the searcher to the web-site. The key words also help the

website to generate high traffic, it also results in high ranking of the web-site, and the increased

number of visitors to the web-site brings more footfalls creating awareness about the brand value. The

appropriate key-word helps the hotel to get more customers, which helps the hotel to grow more

quickly.’ Therefore, the key words help the hotel to enhance the brand image of hotel.

Why does the hotel invest in Web-site marketing?

The Hotel invests in web-site marketing and to promote the Hotel Products i.e. Hotel Rooms, Food

and Beverage service. The brand Web-Site serves as an Electronic Brochure, which includes the latest

and the current offers. Most of the consumers buy online products, where as even more use the

Internet to gather information either online or offline. Thus, the importance of web-site cannot be

undermined in building a stronger brand.

Questionnaire for Oberoi Patrons

One set of questionnaire was asked to be filled by frequent Oberoi patrons. The exercise was carried

out via sending e-mails and by meeting the guest to know the choice of buying their favourite brand

products. The questionnaire was designed keeping Internet user guest in mind. The guest, who Access

the Internet for buying or surveying the Hotel were specifically asked to answer the questionnaire.

50 Tourist as respondents were asked to fill the questionnaire:

The survey shows Electronic media has become a new channel for advertising and enhancing public

relations. The new ways of extending attractive customer services fosters the new method of

distributing the Hotel room product via Internet marketing, which further reduces the manifold cost

of sales & marketing division. People choose the different resources before zeroing down on a

property ,the resources opted by tourist are varied ,but amongst all of these Web-site marketing has a

high ranking and it emerges as the most powerful tool.

..... 130


Figure 4: The resources used for surveying a good/reasonable/attractive/branded hotel accommodation

for self/friend/relative

Figure 5: How would you like to book a room for yourself?

Hotel web-site ushers as the preferred mode of booking. The person, booking the room, gets to see the

colourful images of Hotel Facilities, Attractive layout of packages, its associated brands. All the

promotional tools play an important role in drawing the customer to a Hotel by offering them specific

information. Web-site becomes an ancillary source of information.

All relevant information that may help the customer to take appropriate decision regarding booking

like facilities, options along with costs with clarity regarding taxes , if any, location , map, distance

from station /airport, meals facility, assurance about cleanliness, booking cancelation procedure,

payment mode, medical facilities, charges for additional facilities etc……

On the basis of the responses obtained from the respondents it was found that 85%of the respondents

agree that Internet booking via Oberoi web-site is user-friendly, offers step-by step helpful

information for the new users as well making them learn how to gather information. 15%people

disagree, as they may be unskilled and untrained to handle computers, which is a major obstacle /

hindrance. There was a segment of guest, who uses the Web-site for Survey only, where as they opt

for booking via other tools, i.e. Telecalling, Walk-In etc.

Figure 6: Is Internet booking on Oberoi web-site user-friendly?

0 5

10 15 20 25 30 35

0 5

10 15 20 25 30 35 40

Series1

0

50

100

YES NO

131


Table 11: What makes you endorse the brand Oberoi Online?

Parameters No. of responses(50) Percentage

Due to its longevity in the market 12 24%

Offers interactivity and have website address

easy to remember.

14 28%

Allow for online booking and revise room

rates easily on the website

14 28%

Include a virtual tour of the property 10 20%

The responses clearly show that Oberoi patrons value the services offered by Oberoi hotel which

includes interactivity on the web site and easy to remember web link. It also has resulted in maximum

hotel room booking on internet via web site. Certainly Oberoi brand has been in market since early

1900s has been consistent and always improving in service standards. That’s why people endorse this

brand and would like to remain associated with the brand.

Table 12: What is your favourite mode of selecting the hotel product before buying?

S. No. Parameters No. of Responses (50) Percentage

A Yellow pages /local newspaper 5 10%

B On-line directory 5 10%

C On-line search engines 30 60%

D Market research 10 20%

Before buying any product, guest prefers to carry out survey; i.e. guest look for luxury hotel and make

a market research to find out which hotel offers value for money. Most favourite method is to obtain

the information via search engine, as it offers varied options to explore .The online directory and

yellow pages/newspaper advertisement gets the less response as the new generation likes to explore

everything online rather than opting for the conventional marketing.

Table 13: Please indicate which Oberoi products you would most likely to buy online?

Parameters No. of Responses(50) Percentage

A Hotel Rooms 18 36%

B Food & Beverage services 16 32%

C Health club facilities i.e. spa, gym etc, 10 20%

D Membership offers 6 12%

Guest were asked about the Oberoi product that they would like to buy online ,the two options

emerged, one was to buy Hotel Rooms and another was to buy Food &Beverage Service. Hotel rooms

and Food and beverage service being the key requirement of the guest is being booked/ purchased

online.

Table 14: In the past 3 months number of times guests visited hotel Oberoi’s web-site for buying product?


a Never 0 0%

b Once 5 10%

c Twice 15 30%

d Thrice 20 40%

e Four times 10 20%

Guest were asked the number of times they have surfed hotel web-site for buying online product, the

answers varied as per the category of guest depending upon their requirement of booking a hotel

room, moreover Oberoi being a business hotel, it is frequented more as compared to leisure travellers

they visit the web-site twice or thrice only.

Table 15: Which is a convenient and economical way for booking a hotel accommodation?


a Via hotel web-site 30 60%

b Via travel portal web-site 20 40%

..... 132


Convenient and Economic way for booking a hotel accommodation is visiting the hotel via Hotel

web-site than visiting travel portal web-site, as surcharges are levied on travel portal web-site,

therefore hotel web-site is preferred mode of booking.

Table 16: Please rate the contents of Hotel Oberoi Web-site

Rating Agree Neutral Disagree

Web-site is consistent with company image Yes

Web-site is creative and interesting Yes

Web-site is informative and memorable Yes

Web-site is original and believable Yes

Web-site is relevant and influential Yes

Conclusion Our research studies explore the experience of Indian customers and their satisfaction in deriving the

desired information from websites. The study concludes that the Indian customer is influenced by the

service convenience attributes of online travel firms. However, the consumers place less importance

on the trust and security aspects in financial transactions, than on other service attributes of online

travel websites. If the services offered by these websites are increased coupled with display of

relevant information about destinations, the Indian customer would be encouraged to visit these

websites and use them for vacation planning.

When it comes to tourism, consumer-oriented marketing lies parallel to other businesses. Apart from

the old-fashioned and sometimes manipulative methods, such as travel agents’ suggestions, the new

savvy tourists opt to conduct their travel plans online with good reasons.

Hotel Web-sites are way to increase the profitability, which has many advantages such as Web, is a

low-cost tool alternative to paper brochures or press releases sent in overnight mail. Second, Product

Information is often updated in company databases, so web-page content is always current. Finally,

the web can reach new prospects, which are searching for particular products.. Websites are important

platforms for hotel Internet marketing. Website content can directly influence customer preferences

and decisions. The case study based on The Oberoi hotel has strengthen the facts that hotels believe

web site is a strong and powerful tool to have a wide and popular Brand image along with

strengthening its existence in the market.

Limitations No research study is complete without mentioning the limitations/ constraints. The survey conducted

certainly had some limitations as interviewing customers was a challenging aspect keeping in mind

the availability of time with them. Secondly people were not very open in discussing their preferences

and their pre – purchase surveys.

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