Hospitality and Travel: Introduction
Companies in this segment operate short-term lodging facilities which include hotels, motels, and resorts.
In this segment, companies provide scheduled domestic and international passenger transportation.
The food services segment is composed of companies that provide meals, snacks, and beverages to customers for either on-site or off-site consumption.
The Hospitality and Travel industry is Fragmented. The production in this industry is divided among a few different companies, however, no single firm has large enough share of the market to be able to influence the industry's direction or price levels.
Primary Demand Drivers
- Business and tourist travel
- Strength of the domestic economy
- Efficient operations, because many costs are fixed
- Effective marketing
From the Blog
All-inclusive resorts are known for including the essential amenities of food, drinks, activities, and entertainment, in the booking price. These all-inclusive resorts range from white sand beaches to mountain top retreats. The all-inclusive resort market has been booming during 2021. Due to the pandemic, travelers are more drawn to vacation options in which they are able to stay in one place. Staying in one place removes the stress of planning do-it-yourself activities.
On Monday, November 8, the United States lifted COVID-19 restrictions that kept many international travelers out of the country for 20 months, a possible indicator of the rebound of the international travel industry. As of November 8, the majority of those entering the United States will be required to show proof of vaccination as well as a negative COVID-19 test. The United States is just one of the many countries that will require proof of vaccination upon entry. Other common requirements for travel in a COVID-19 conscious world include a brief quarantine period or a negative COVID-19 test upon entry, although restrictions can vary widely by country. To read a blog post about the United States opening its borders, click here.
- SelectUSA (Date Accessed: 6/1/2017)