Issues in Hospitality Management

 Issues in Hospitality Management
 
Table of Contents
Introduction	3
Task 1	3
A) Issues in New Zealand affecting hospitality industry	3
B) Relate the external issues to international hospitality	3
C) Negative impact of issues	4
D) Operational measures to overcome issues	5
Task 2	7
Introduction	7
Techniques	7
Limitation	8
Discussion	9
Recommendation	9
Conclusion	9
Conclusion	9
References	10


Introduction
Hospitality sector is having diversified opportunities in the competitive market. It is necessary for businesses to have better consideration of internal and external factors properly so that issues can be identified in desired manner. Legislations, economic, social and other norms are needed to be framed properly to accomplish the objectives. 
Task 1
A) Issues in New Zealand affecting hospitality industry
There are diverse issues that impact the working of New Zealand hospitality sector. Economic issues are being faced by the businesses because the economic conditions are not stable in New Zealand. Inflation rate is high that also creates an issue in terms of income level and domestic tourism activities has been reduced. Also, the exchange rates are also high that impacts the perception of international travelers(Battour & Ismail, 2016). It is necessary to have control on the economic conditions so that hospitality sector working can be promoted in adequate manner. GDP and other growth ratios are also not stable due to international economic conditions. It also creates an issue in terms of expansion activities of hospitality industry. 
Social issues are also affecting the business growth of hospitality industry in New Zealand. Recently terrorist attack and security issues are being faced by the New Zealand that affects the perception of travelers in negative manner. It creates issue in terms of social values and impacts the development of hospitality sector(Bradley, Elenis, Hoyer, Martin, & Waller, 2017). Other than this, technological issues are also affecting the hospitality industry. Integrated communication software’s used by business are having high cost. Integrated systems adopted by businesses in sector are not offering better engagement that also impacts the performance of hospitality industry in New Zealand.
B) Relate the external issues to international hospitality
It has been witnessed that international hospitality businesses are also facing issues in terms of technological changes. It impacts the work process in negative manner and creates issues properly. Application of technological resources and software’s cost is very high that impacts the financial flow of businesses. Along with this, additional training programs are needed to be arranged by HR of international hospitality businesses(Cetin, Demirçiftçi, & Bilgihan, 2016). Training is required to have proper functionality of technological resources and software’s. It also enhances the overall cost of operations that impacts directly on the business entity. 
International hospitality sector is also facing social issues that impact the overall working of sector. Customer needs at the global platform are changing in rapid manner. Also, cultural values are also different in all nations that create an issue for international hospitality businesses(Clark, Dimanche, Cotter, & Lee-Rosen, 2017). It is not an easy task for businesses to evaluate the diversified customer that have changes in their needs. It is necessary for businesses to ensure about long term development and resolve social issues. Terrorist attacks at different tourism destinations like India and New Zealand also creates an issue for international hospitality sector. Economic conditions at global scale are also not stable that also impacts the operations of the international hospitality businesses. Interest rates and other values are also not stable that also affects the business firm operations in negative manner(Grobelna, 2015). 
C) Negative impact of issues
Hospitality sector of New Zealand is having a various negative impact that affects the overall development of business. Hospitality business success is highly dependent on the service quality so economic conditions need to be reviewed in accurate manner. Application of standards in terms of economic aspects is necessary to consider resolving the issues. If economic conditions are not stable and the exchange rate is high then it will affect the perception of customers. It might affect the overall development of hospitality sector of New Zealand(Jones, Hillier, & Comfort, 2016). Improper consideration of economic values also affects the expansion activities of business. Decision making regarding expansion must be according to economic situations. Also, hospitality services are not according to economic conditions and income scale. It is due to improper consideration of cost management practice. It affects the overall business in negative manner and creates diverse issues. 
Social issues are also aff