Exam 1 Notes from Lecture combined with key concepts from the book Chapter 1 Hospitality enterprises are part of the service industry o It is a people business o Products are intangible ex employee and guest interaction Differs from manufacturing industries where the product is tangible Moment of truth refers to any time a guest comes into contact with something that represents the operation o After it happens it can never be changed General hospitality service offerings o Food o Beverages o Lodging o Entertainment o The economy The service hospitality connection and exciting part Three divisions of the economy o Agriculture o Manufacturing o Service Lodging Industry o Service sector most dominant contributor o Hospitality industry Forecasting the guests service expectations is the most difficult o The guest not the management determines value o A guest room is a perishable product so if it is not sold the revenue is lost The food service industry is growing at a dramatic rate for two reasons o Lifestyle changes among society o An increase in second income families There are many reasons to eat out including to socialize impress someone or for New taste sensations are created when chefs blend different cuisines to produce a romance fusion cuisine Ambiance servicescape o D cor o Sound level o Lighting o Furniture o Dining sounds or school o This trend brings Name recognition Appeal Standards for operation Chapter 2 The Ancient and Medieval World Private clubs are owned and run by its members o Focus is to manage moments of truth Branding taking a known brand and opening that facility in a business hospital o A stone marker called a stela contains the Code of Hammurabi and is displayed at the Louvre Museum in Paris o The Code of Hammurabi Regulations for innkeepers Issues relating to price and license o Romans had a burgeoning hospitality sector o Tourists can visit hospitia guest places in Pompeii Italy o The Silk Road encompassed ancient routes between Europe and Asia Caravanserai caravan houses appeared throughout the region o Japan had a system of rest houses established in the Nara period around 750 AD The Nineteenth Century Hoski Ryokan is the oldest hotel in the world o Hospitality was developed mostly in Europe and the US o The industrial Revolution created new wealth leading to a dramatic increase in leisure and business travel o A route from Britain to Italy called the Grand Tour allowed Americans to visit parts of Europe o Savoy hotel was the first of its kind in Europe and is still open today Powered by electricity and private en suite bathrooms o Swiss hotelier Cesar Ritz who built Ritz Carlton and French cook Auguste Escoffier became the most famous hospitality pros in history o The first US lodging property was the Tremont House in Boston The Modern Era o Most famous American hotelier Statler built the Statler Hotel in Buffalo o Statler hotels offered a full range of services at a moderate price First to offer private bathrooms phones and daily newspaper Targeted the middle class o Hilton built a national chain company with multiple locations and acquired the Statler chain making him the largest hotel operator o Marriott bought Ritz Carlton hotels o Wilson founded Holiday Inn for a cheap roadside family hotel o Henderson Sheraton hotels in Boston First on NYSE Recent developments o Hotel companies control brand names but operate hotels on behalf of owners based on management contracts o Segments when hotels are organized according to price and quality from economy to luxury segment o Major hotel companies have begun to assemble portfolios of hotel brands o Hilton was the first to acquire a major competitor o Starwood Hotels bought Sheraton and eight others o Restaurants First were Union Oyster House in Boston and Delmonico s in NY Fred Harvey opened the earliest chain at a railroad station White Castle was the quick service pioneer Kroc bought the McDonalds brothers rights to their concept and is now the largest restaurant brand in the world Developments Franchising Segments created Acquisition has consolidated Chain restaurant paradigm encompasses concepts in all segments o Cruise Air lines Cunard founded the Cunard Line taking vessels from Britain to the US and merged with White Star Line P O offered voyages with stops in the Mediterranean starting leisure cruising Arison created Carnival Cruise Line The Fun Ships o Theme Parks Bakken amusement park in Copenhagen Denmark Sea Lion Park Steeplechase Park Knott s Berry Farm built a western ghost town Walt Disney founded Disneyland and Disney World which allowed guests to immerse themselves in the imaginary world Perspective o Brand heritage consumer appeal of products and services offered by older companies may be enhanced by the historical characters of their brands o Heritage tourism travel to historic cities ancient ruins museums and other locations that consider our past Chapter 3 Technology and Social Networking o E Hospitality A form of web retailing that features the buying and selling of goods and services on the internet It is an innovative service known as total solutions where distributing servicing and supporting hospitality products to all sizes of organizations in the industry o Social Networking Online communication is more likely to transpire through social media than via email It allows companies the freedom to do creative things online that cannot be done on a web site at a cheap cost Sophisticated targeting and technology This categorizes each individual into a group based on his her o Ad Targeting online behavior o Text Message Marketing Businesses are beginning to text coupons new product info updates and sales this way Sustainability and Green Hospitality o Sustainability capacity to maintain support or endure Sustainability efforts reduce the amounts of resources used through ecological management product design and new technology Triple bottom line Business leaders must be able to balance ecologic economic and social concerns o Green hospitality implement green initiatives in response to demands from the government environmental groups and the public Goal is to improve the ability of business while increasing its positive impact on the environment The linen and towel program guests and housekeeping agree to leave the same towels and linens for use in rooms for multiple days Ethics in Hospitality o Vulnerable issues are employee wages benefits and profits o The challenges involve both
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