FORCES AFFECTING

HOSPITALITY INDUSTRY
DEVELOPPMENT

v Changes within
supply and demand
 DEMAND

v Changes within population

Age
● Differences between young and old
generation
● Affect travel, recreation, leisure and
spending habits
Culture
● Diversity of culture in society
– (due to ethnic, religion, education background)
– Different view of the hospitality industry
– Affect consumption and participation
within the industry
● Acceptable practices and norms in the
society
– Working women, changing family
composition
Income
● Changing income distribution

Work
● Changing in working pattern – days,
hours
 SUPPLY
v Availability and changes of resources

Land
Location of land, landscape
Amenities and facilities to operate business
Environmental pressure : scarcity to obtain
useable feasible location
Food Supply
Production of food in the area

Labour
Sources of labour : local, expatriate, immigrant
Competency of labour : trained/untrained

Attractions
Nature
Man-made
 Reference

Powers T. and Barrows C.W (2006),

Introduction to Management in the
Hospitality Industry (8th ed) New
Jersey: John Wiley & Sons.