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CHAPTER 1-Hospitality is intangible which means it is saleable though not possessing intrinsic productive value. (Ex.Greeting and interaction at a hotel front desk)-Moment of Truth=The experience when the customer comes in contact with anything or anyone that represents their brand. Weather the experience is negative or positive it is established and cannot be taken back.-Hospitality Business Represents; Food,Beverages,Lodging,Entertainment-Most important part of this business is to Take good care of customer.-Agriculture, Manufacturing, and Service are the 3 parts to this market-No tangible product. Product=SERVICE-Large Part of Hospitality= Lodging and food service-Small Part of Hospitality= Recreation, Travel, and Entertainment-Types of Lodging(Which all include sleeping)=Resorts,Inns,Motels,Bed and Breakfast,Mega Hotel, and Exclusive converted castle -In lodging the goal is to SELL ROOMS!, The guest determines the quality and value of the rooms.-Revenue is forever lost when you do not sell a room on any particular night-Food service is a great part of the Hospitality business. WHY? because people are working longer days and do not have time to cook therefore they are eating out more often.-Food service includes; Fine Dining, Casual, Fast food, Fast Casual-Non commercial food service= Schools, Hospitals, Prisons, Corporate Office Buildings-Branding: When you take a known brand(KFC) and place it in a hospital,school, or place of business. What it Does: It is appealing to the public because they know the brand and know what to expect-Fast Food is the largest segment of food service. Why? The convenience factor, you can go through the drive through on the way to work, and eat it anywhere.-Moment of Truth is the most important part of hospitality, if people hear how good their friends experience was, then more people will come and expect the same treatment.CHAPTER 2-Hospitality began as early as Human civilization. The Code of Hammurabi(1750 BC) provides evidence of early hospitality.-1800s Hospitality mainly in Europe and America-Dramatic increase in leisure and business travel during Industrial Revolution. Why? There was significant growth technology as well as economic development, which made manufacturing easier-First Resort hotels were established during the 1800s, build to accomodate the wealthy-Most famous Hotel is the SAVOY hotel in London(still operates today), First U.S modern hotel was the Tremont House in Boston. Palace hotels in the 19th century defined the standards that remain today for luxury hotels.-Ellsworth Statler was the most famous American hotelier of early 1900s; He made moderately priced hotels to accommodate the Middle class.CREATED THE MODERN HOTEL FOR BUSINESS TRAVELERS.-Modern Era Hotel owners: -Conrad Hilton: Hilton Hotels, started 1919, bought Statler chain in 1954 -Ernest Henderson:Sheraton Hotels 1937, fist hotel to company to be on New York Stock Exchange. -J.Willard Marriot: First hotel in 1957, bought Ritz-Carlton chain in 1995-Problems during this time; Hotel locations. Why? people were traveling more by car as highways were being built-Kemmons Wilson developed Roadside hotels at a convenient price; Holiday Inn established in 1992. Became largest hotel chain in U.S after only two decades.-Most hotels are now owned by independent investors, and control brand names based on owners and management contracts-Major hotels now have collections of hotel brands. Why? To fulfill the profit of the parent company, diversify risk in investment, -First American Restaurants; Union Oyster House in Boston(1826), and Delmonicos in New York(1837)-Fred Harvey: Earliest chain restaurant operator, opened restaurant in railroad operator 1876 Topeka, Kansas -White Castle: MOST IMPORTANT, opened hamburger restaurant 1921. Identical Units, Limited menu, and strict sanitation rules-Mcdonalds opens 1948, Ray Kroc convinces Mcdonald brothers to franchise the restaurant and it becomes the largest restaurant brand in the world till this day.-Developments in structure and operations of restaurant industry: Franchising is widespread, industry organized into segments based on price and quality(Fast food - Fine Dining)-Samuel Cunard: Founded Cunard Line(which is a cruise line) 1839, Build famous ships Queen Mary and Queen Elizabeth after merging with White Star line in 1934-The Peninsular and Oriental Steam Navigation Company (P&O) 1843; started leisure cruising-Ship industry could not compete with Airline industry-Ted Arison: Started Carnival Cruise line in 1972, offered trips from Miami to Caribbean. Became the largest cruise line in the world and acquired Cunard and P&O brands.-Theme parks emerged in 16th century. First modern theme parks – Sea Lion Park (1895) with an ocean theme and Steeplechase Park (1897) with a horseracing theme-Disneyland-1955 -Walt Disney World-1971(It is the largest single-site employer of any type in the U.S.)-Brand Heritage: Products and services by an older company may be enhanced by the historical characters of their brand(Mickey Mouse, Donald Duck)-Heritage Tourism: Traveling to museums, historic cities etc. which focus on our past-Industry develops in response to: Social and Cultural Norms, Travel and which cities are popular, Technology advancements -Influence on hospitality industry: Transportation technology, Increase in wealth from industrial revolution.CHAPTER 3-The business of hospitality depends on the customers high expectations, how smart the customer becomes about the product being provided, what the consumer currently wants not only in America but all over the world(globalization).-E-Commerce: Buying goods and services online through Websites, Third party Websites;Social media network advertisements, Telephone reservation systems -E-Hospitality: “Total Solution”, provides distribution, servicing, and support to all hospitality organizations big or small. Offers more amenities and support.-Social Networking: 1.8 billion dollar industry Why? because websites are needed to diversify a company and establish an online presence, companies have the freedom to create content that is unique and inexpensive.-How can Social Networking improve Social Media? I makes sure media is currently up to date, tracks the consumers behavior online(wants), uses youtube as a marketing tool for online tours,services, and amenities.-Other Marketing tools include; Ad Targeting which is categorized based on the


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FSU HFT 1000 - CHAPTER 1

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