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
Throughout the world, sustainability is a growing trend. Consumers are beginning to recognize their contribution to climate change and habitat destruction, and a sense of social responsibility is growing. The tourism industry is no exception. Tourism is responsible for about eight percent of global carbon emissions. A single person flying from New York City to Paris generates 1,812.5 pounds of carbon dioxide according to Sustainable Travel International. So, let’s look at how people are changing their travel habits and how it’s affecting businesses around the world.
In the past few decades, there has been a steady increase in the number of international tourists everywhere, both inbound and outbound. As connections increase due to globalization and advanced technology, more people are traveling for leisure than ever. This increase has shaped a new industry with high growth potential. In recent years, tourists' spending is increasing at a surprising speed, contributing to countries GDP and shaping many travel policies.
- SelectUSA (Date Accessed: 6/1/2017)