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RAJASTHAN TECHNICAL UNIVERSITY

KOTA

CONTEMPORARY ISSUES ON HOTEL INDUSTRIES


MASTER OF BUSINESS ADMINISTRATION (1ST YEAR)
SESSION: 2020 - 2021

SUBMITTED BY SUBMITTED TO
NISHA VYAS DR. ASHISH KUMAR
PREFACE

This project is being stemmed to discuss one of the most recent contemporary issues
in the Masters of Business Administration course in the form of series of explained
topics.

The importance of Contemporary issues is really necessary to be aware about the


surroundings and specially for those who want to work on entrepreneurial level.

This project will elucidate some primary attributes of contemporary issues like
Significance of the study, Scope of the study, objective of the study, limitations, etc.

This project will help in accomplishing the business traits like business objectives,
scope, significance, etc.
ACKNOWLEDGEMENT

Every project starts with some motives and every motives are to be accomplished by
certain supports. Throughout making this project I have come across several
informative research papers which widen my knowledge furthermore.

I would like to express my gratitude towards the person who is responsible for
organizing this wonderful initiative, Dr. Ashish Sharma. He is an impeccable mentor
as well as marketing minds.

I am also grateful towards my faculties of MBA for their constant guidance, which
brings an immense amount of confidence for doing my work confidently, and also
my classmates who have been uplifting me and inspiring me all through my course.
SERIAL TOPIC PAGE
NO. NO.
1 Introduction 5
2 Significance of the Study 8
3 Literature Review 11
4 Statement of the Problem 18
5 Objectives of the Study 22
6 Scope of the Study 26
7 Limitations 29
8 Chapter Scheme 31
9 References 41
INTRODUCTION
Indian Economy is considered one of the major components and
to add these we have three different sectors like Agriculture,
Industry and Service sectors the tourism & hospitality sectors
(including hotels and restaurants) has been universally
recognized as the growth of expansion and an engine for
socioeconomic growth all over the world, tourism and hospitality
sectors bring wealth and fortunes to cities and countries. Tourism
and hospitality also employs the local residents. India has
grasped the profits available from this sector. India’s tourism and
hospitality industry now brings billions of dollars into the economy
every year. Hospitality and Tourism are one of the biggest and
fastest-growing sectors has been considered as a vulnerable
industry i.e. in the contrast to other manufacturing, the hospitality
and tourism industry gets more contrived due to any external or
internal blow or distress. Viewed this way, the latest outbreak of
the Corona (covid-19) [1] virus has caused havoc across the
world. This paper will aim to gather the historical data post-
pandemic and will compare with the current crisis and will predict
the future status of impacts of the virus on Indian tourism and
hospitality flows. The Covid-19 pandemic has compact and
prostrate storm to the tourism and hospitality sectors, especially
with the sudden decisions authority administration is suspending
all the entry permits, with the profit-making impact being guessed
to roll and loss of over thousands of crores of rupees. meanwhile
industry chamber CII, also notified that this is catastrophe and
worst disaster ever to hit hard to Indian hospitality and tourism
sector collision with all the world and district and compass-
Inbound, outbound bound, state and national almost all the levels
of the tourism and hospitality verticals – free time-leisure,
entertainment, experience-adventure, legacy, meetings,
incentives and conference, cruise ship, corporate, and niche
products. The entire hospitality and tourism and all the world class
chains hotel, travel booking agents, tour operators/ operations,
high-end restaurants, entertainment venues, and air, land, and
seas have completed hit with biggest disaster pandemic of this
year 2020. In a sign of the corona virus pandemic, CII Tourism
Committee said further on inbound foreign tourism of over USD
28 billion in value terms accounts for an average of 60-65 percent
between October-19 to May-20 has major hit in the Indian
economy and moreover it will be muted for few months. The
Federation of Associations in Indian Tourism & Hospitality
(FAITH) said there must be strong support fund for twelve months
to support basic wages with "direct transfer" to the affected
tourism employees due to major impact and it could render the
people jobless in coming few months. Reports and experts
proposed possible job loss across tourism and allied industries
due to stop by the Covid-19 outbreak across the world.
The world is still coming to terms with the Covid-19 outbreak and
there is no doubt that the pandemic will change the world as we
know it. With the globalized world going into partial or complete
shutdown, the overall impact on human life, economic growth and
businesses is immeasurable, both in the short term and long term
due to the uncertainty as things evolve. While most Economists
and Analysts currently expect the global economy to rebound, by
some measure in the latter part of 2020, the exact timeline cannot
be determined till the virus is contained across the globe. Nearer
home, the Indian hotels sector has been hit hard, grappling with
significantly low demand, with very few future bookings.
Essentially, all transient demand has completely vanished – the
remaining is largely on account of either a few long stay guests,
or hotels having been prescribed by the Government for the
international travellers returning to India. Nothing could have ever
prepared us for the Covid-19-shock and although, the current
crisis is unlike any other we have ever faced, not all is lost. The
Indian hotels sector can recover from this crisis as well, by
adjusting strategies in the near term and preparing for the future.
SIGNIFICANCE OF THE STUDY

The Indian hotels sector is undoubtedly one of the biggest


casualties of the Covid-19 outbreak as demand has declined to
an all-time low. Global travel advisories, suspension of Visas,
imposition of Section-144 (prohibition against mass gatherings),
India like most other countries is on a lock down, the ramifications
of which are unprecedented. Inbound Foreign tourism comes to a
grinding halt and limited scope for quick revival Foreign Tourist
Arrivals (FTAs) into India (particularly leisure travellers) started
softening in February, as the spread continued its unabated
movement to other countries. Following suit, the Indian
Government suspended travel visas (with a few exceptions) till
15th April 2020, which in all likelihood will be extended. Even if it
is not, the paranoia surrounding the events will continue to have a
major impact on travel. Demand from FTAs is not expected to
pick up any time soon. In our opinion, travel bans across the
globe will fully roll down only by the end of the year, even though
such a process will commence much sooner. Furthermore,
majority of the future travel bookings for winter i.e. October-March
– the strong season for our industry - are done in the summer
months, have largely evaporated. Domestic Travel will be key to
the revival With new confirmed cases being reported daily, the
penetration of the Covid-19 virus in India has caused mass
hysteria, the reverberations of which are expected to continue
well into the second quarter of the calendar year 2020. The
current situation is extremely grim, as domestic flights have been
ordered to shut shop from 25th March 2020 and all other demand
segments such as MICE, business, social and sporting events
have been cancelled or deferred indefinitely for the foreseeable
future.

The silver lining to such devastation is that it has brought multiple


representative bodies from Travel, Tourism and Hotels to
collectively make representations to the Government and the
Prime Minister’s Office. As we go to print, in all likelihood the
Government should announce measures to revive and support
the distressed sectors, with specific focus to the hotels sector,
among others. Further in this report, we have highlighted our
recommendations to the Government that will assist in the revival
of the sector. Government assistance in revival of demand will go
a long way in cushioning the blow to the sector, which in our
opinion, should include, in large part, assistance to domestic
travellers. The impact on the Indian hotel sector will be significant
The Indian hotels sector sailed smoothly into January 2020, after
a record year in 2019, with 2020 set to be “even bigger”. The
country first started feeling the ripple effects of the global Covid-
19 turmoil towards the end of February 2020, which worsened in
the beginning of March. Occupancy across hotels in key cities
declined rapidly and as per our estimates has declined by a
staggering 45 percentage points compared to previous year. Such
a steep decline in a such a short period of time has never been
witnessed by the sector. We predict the second quarter of the
year to be the worst hit. Hotels will be unable to drive rates and
may even seek to attract business at deep discounts.
LITERATURE REVIEW
Epidemiological evidences point at the outbreak to have
association with a seafood market in Wuhan, a city in Hubei
province in China. The first case was reported in China (on 12
December 2020), but by the month end in January 2020, the virus
had infected around two thousand people in the country. From the
probable place of origin, the zoonotic transmission began and
spread in countries all over the world. This became possible due
to the virus’s higher tendency of getting transmitted among
human population.
Tourism is termed as a complicated psychological process and
the impacts of SARS are also primarily psychological in nature.
The former SARS outbreak was spread across different countries
including China, Hong Kong, Taiwan, Canada, Singapore and
many more. In terms of the impacts of SARS on hospitality and
tourism, various studies have been published (refer to Table 1).
The tabulated review is based on the select papers that concern
hospitality and tourism in the light of health crises that impacted
the industry to various degrees. To that end, most relevant
studies accessed through databases like Scopus, Google
Scholar, Science Direct were utilised. Although the researches on
varied impactful health crises in tourism and hospitality literature
have been proliferating from past few decades, to compile the
review table only select relevant studies from post-SARS period
were considered.
The impacts of earlier SARS outbreak on hotels in Hong Kong
were severe, so much so that the staffs were asked to take
annual leaves, probationers and contract employees were
terminated, and banks were appealed for loan repayment
deferments for making way to pay for the employee salaries.
Similarly, on the financial front, identified that Taiwanese hotel
stocks performance were acutely impacted during the same
outbreak that triggered panic among shareholders and confirmed
extreme fragility of the hotel businesses toward epidemics and
also signalled at the ominous consequences of future outbreaks.
The confidence building measures among investors and
minimisation of panic and uncertainty, were among some
measures indicated in the study noted several changes that
previous SARS outbreak brought about in China. This involved
increased sense of hygiene at the restaurants, heightened sense
of physical activities and reduction of spitting habits for healthy
surroundings, regularising of temperature examination in schools
and improved health services in hospitals contrasted the
preparedness for SARS outbreak between Thailand and Hong
Kong, and found Hong Kong’s response to be better in containing
the detrimental effects of the disease. They also accentuated on
the framework proposed by Pacific Asia Travel Association
(PATA) to address the eventualities. The framework included
reduction (early warning signs detection), readiness (related
preparedness), responses (operations during eventualities), and
recovery (studier attempts to return to normalcy. More recently
attempted to explore the issue that small enterprises in hospitality
faced during the ongoing crisis and offered preliminary
frameworks through inductive analysis. The exploratory work
resulted in nine theoretical dimensions that revealed the actions
and reactions of hospitality actors toward coping with crisis.
The current pandemic may have similar origin, however unlike
earlier SARS outbreak, the impact has been profound that is still
unfolding in countries like United States, Brazil and. Effects of
pandemic on tourism and hospitality in India are continuing to
become serious with the sector embracing for higher
unemployment rates. The potential job loss in tourism and
hospitality has been estimated at 38 million, which is 70 percent
of the industry workforce. Federation of Associations in Indian
Tourism & Hospitality (FAITH) has doubled the estimates of
losses in India’s tourism sector from earlier INR 5 lakh Crore to
INR 10 Lakh Crore. The pandemic effects will be effectively
visible on the country’s inbound, outbound and domestic tourism,
adventure travel, business travel, and cruise holidays (Dash,
2020). Post lockdown predictions and preparations would need a
better understanding of the current situation. To this end, trends
like “staycations” and “work cat-ions” are being opined by
hospitality practitioners to remain dominant in near future. In the
light of rising corona virus infections in India, government bodies
have assumed multi-layered and multi-pronged approaches,
wherein government at centre invoked ‘National Disaster
Management Act’ and further activated state disaster response
funds for individual Indian states to tackle the rising pandemic.
Aside from initial lockdowns and gradual unlocking of economic
activities, public has been encouraged to ensure social
distancing, practice appropriate hygiene, mask wearing and
avoiding gatherings unless critically needed. For resuming
tourism activities to revive the sector, governments at various
levels have initiated check-ins with relevant COVID-19 negative
reports, encouragement on minimum days stay at hospitality
establishments.
The ongoing pandemic has also taken a serious toll on the
education sector cross the globe. COVID-19 pandemic has
affected 90 percent of the student population globally, with more
than 1.5 billion students from over 190 countries are out of the
schools. The situation remains critical in the higher education as
well, but the colleges are stepping up to the challenge of meeting
the needs of students though online classes. It is worthwhile to
mention that the sectorial education, such as tourism and
hospitality that increasingly depend on practical sessions, are
likely to be affected significantly. The previous SARS outbreak
also placed a strong negative impact on hospitality and tourism
education in Hong Kong. Such educational effects were felt from
Mainland China, Hong Kong, Singapore to even Canada. In
India’s context the tourism and hospitality industry has been
gaining momentum from past several years now, which has
resulted in a major push to education in tourism and hospitality.
Above reflected discussion also typifies the explanation of
adaptive behaviour displayed by the entities in the face of
adversity. In the current context the coping mechanism for both
industry and academia are important to be considered, which
must include pertinent learnings and alternatives for survival
amidst the pandemic and subsequent revival. It must be noted
that unlike before, current pandemic has resulted in plenty of data
that can help decision makers across sectors and may assist in
salvaging the lost momentum. Current review attempted to
synthesise major researches that affected the tourism and
hospitality industry, while it is also important to note that a very
few studies were found to have been conducted in regards to
SARS outbreak in the backdrop of hospitality and tourism
education. Nevertheless, a summary of select studies has been
which may be used as a reference point for future researches.
The tourism industry is an umbrella industry networked with many
other sectors in the economy including hotel, community level
operations, education, financial, agriculture, medical, travel and
transportation, construction, real estate, retail, and vice versa.
Due to the heavy toll of tourism in the country‘s economy, it is
important to review how the reliance of the industry might shape
the recovery of its main sub sectors once the pandemic subsides.
Tourism brings in large amounts of income in payment for goods
and services available, accounting for appreciable component of
the world’s exports of goods and services. It also creates
significant opportunities for employment in the service sector of
the economy associated with tourism. These service industries
include transportation services, such as airlines, cruise ships, and
taxis; hospitality services such as accommodations, restaurants
including hotels and resorts; and entertainment venues, such as
amusement parks, casinos, shopping malls, music venues, and
theatres. According to UNWTO international tourist arrivals
(overnight visitors) worldwide grew 4% in 2019 to reach 1.5
billion, based on data reported by destinations around the world.
Based on current trends, economic prospects and the UNWTO
Confidence Index, UNWTO forecasts a growth of 3% to 4% in
international tourist arrivals worldwide in 2020.
The outbreak and spread of covid-19 will affect the tourism
industry most. As countries of the world continue to place travel
restrictions and closure of their borders, cruise companies, hotels
and hospitality industries are facing declining demand and
patronage. For example, in India alone, about 40 to 50% of hotel
reservations have been cancelled. Also, the pandemic is placing
up to 8 million jobs in the leisure and hospitality sector at risk, with
travel crashes and cancellations expected to continue. The
WorldTravel and Tourism Council (WTTC), estimates that more
than 50 million jobs in the travel and tourism sector could be at
risk globally. The pandemic statistics in the Africa continent
according to the UN health agency said 10 countries account for
89% of all reported COVID-19cases in the Africa region: South
African Nigeria, Ghana, Algeria, Kenya, Ethiopia, Cameroon,
Ivory coast, Madagascar and Senegal. COVID-19 is having an
unprecedented impact on the Ethiopian hotel industry. The full
fallout is unknown, as the ultimate scale of the outbreak is yet to
be determined. However, travel restrictions and social distancing
policies have had a dramatic effect on the industry. However, this
review presents to assess COVID -19 impacts on tourism and
hospitality sector in Ethiopia with the aim of suggesting areas that
will require critical intervention as the country struggles with
measures of revitalizing the economy and mitigating the impact of
covid-19 on the Ethiopian economy. The tourism industry is made
up of the following;
a. Hotel and hospitality, this includes lodges, resorts, tourist
homes, guesthouses, restaurant and eatery among others.
b. Transportation services that include air, water, road, rail and
foot.
c. Entertainment services that is casinos, social halls, churches
and mosques.
d. Information services that is travel agencies, tour operators etc.
e. Stakeholders that is shareholders, local community and the
government.
f. Education and research, which is tertiary colleges and
universities.
STATE OF THE PROBLEM
Disaster of covid-19 on tourism and hospitality industry I would
like to focus my study analysis is based on data available from
March 2020. However, as it is an unprecedented impact on the
global economy. tourism and hospitality is coming to the terms
with the coronavirus epidemic [9] and these sectors are struggling
with the effect of the economic slowdown and its big state of
shock at present situation tourism and hospitality has come to halt
with India under lockdown and imposition of section 144, also
cancellation of flights, suspensions and cancellation of entry
permits, visas and shut of tour operators and travel agents, with
this situation anyone will barely do the future booking, the fresh hit
affected in February where the Indian tourist and travellers total
number declined and then latest hit crisis in tourism and
hospitality sectors. Tourism is currently one of the most affected
sectors and UNWTO has revised its 2020 and it’s predicted for
international tourist arrivals and receipts, though its importance
that such prediction is likely to be further revised. Considering the
present situation and develop nature of the circumstances, it is
too early to estimate the full jolt of the COVID-19 on Indian and
international tourism and hospitality. For its initial evaluation,
UNWTO takes the SARS scenario of 2003 as standard,
component in the size and dynamics of global travel and present
interruptions, the environmental spread of COVID-19 and its likely
to have economic impact: •At present, UNWTO approximate that
in 2020 global international tourist arrivals could decline between
25-35%, down from an estimated growth of 2.8% to 3.9% forecast
in early January 2020. This could translate into a loss of US$ 31
to 51 billion in spending by international visitors (international
tourism receipts). Estimates for other world regions are currently
premature given the rapidly evolving situation. It is stated as
Federation of Association in Indian Tourism & Hospitality (FAITH),
the federation represent the entities in the tourism, travel and
hospitality industry, has appealed for an instant relief package
from the government to stay afloat and avoid job losses. Close to
90% percent MSMEs of 52,000 travel agents, 115,000 tour
operators, 15,000 adventure, 911,000 tourist and transporters,
53,000 hospitality and five lakh restaurants are facing the heat
due to lack of cash flows, which said by federation. This industry
recruits an estimated 3.8 crore jobs in this sector. In 2018-19,
handled the business of over 10.5 million foreign tourists, more
than five million visiting NRIs, nearly 1.8 billion national and state
tourist visits, over 26 million outbound travellers. The
recommendation outlined below with Indian state and having with
number of cases increased in this course of time. Figure 6: we
can see in the map the affected states due Covid-19 badly. From
the figure 6, we can see in the map the affected states due Covid-
19 badly, As of May 20, 2020, at least six states-Rajasthan,
Maharashtra, Tamil Nadu, Gujarat, Uttar Pradesh and Delhi had
extended nationwide lockdown till 31st May 2020. NITI Aayog Mr.
Amitabh kant has recognize 15 location including Mumbai, Delhi
and Gujarat as "highest caseload" and said Out of these 15
places, seven districts show extremely high cases in size, like
Pune (Maharashtra), Tamil Nadu, Jaipur (Rajasthan), Indore
(Madhya Pradesh), Ahmedabad (Gujarat), Mumbai (Maharashtra)
and Delhi. Highly increased in caseload places that are "critical" in
the battle against coronavirus pandemic include Vadodara
(Gujarat), Kurnool (Andhra Pradesh), Bhopal (Madhya Pradesh),
Jodhpur (Rajasthan), Agra (Uttar Pradesh), Thane (Maharashtra),
Chennai (Tamil Nadu) and Ahmedabad (Gujarat). During the
coronavirus pandemic lockdown in India and worldwide, tourism
and hospitality has come to a standstill. The shutting down of the
iconic places in India which includes Taj Mahal, Qutub Minar, red
fort entertainment industries, events, temples, mosques and
church which attracted over seven million tourist and visitors. the
lockdown has also led to the closure of pilgrimage sites and
affecting local small businesses and employment thriving around
them and the slowdown is expected to last for a period stretching
from March to till July 2020, its state that toughest part of the
state’s coincides with off seasons, moreover the tourism and
hospitality sectors and will see the cash flows only beginning to
improve in September 2020 and will get standard level by end of
2020. The hospitality industry is facing strain that are currently
having not more than 5-10% these customers are stranded due to
lockdown but on the positive note we have seen many small,
medium hotels extended helping hand to those effected to
coronavirus positive cases in people offering paid quarantine
facilities. The impact on the domestic tourism and hospitality
industry is expected to be severe in the coming days and months,
it will jump to next quarters with the major hit states like
Maharashtra, Gujarat, Tamil Nadu, Uttar Pradesh, Delhi where
the travel is restricted and have suspended major operations the
Indian domestic / foreign traveler is expected to witness a sharp
negative impact by 2020. The problems are witnessed through
lockdown and to maintained social distance and maintaining
distance and other protocol announced by GOI. According to
medical teams and experts the coronavirus pandemic will be
there for minimum 02 years moreover, the fear of travelling and
maintaining social distance and taking the precautions is very
essential by wearing face masks, hotels also have to start with
operational business by looking at the safest zone and other
states. Hotels and restaurants must also take come up with the
survival strategies and plans and look into cut down the cost,
virtualization, orderliness, integration which we can able to tap
domestic market with proper standards and looking the
cleanliness and hygiene in monitoring the guest by checking and
offering quarantine facilities in coordination with medical officers.
OBJECTIVES OF THE STUDY
The purpose of the study is to investigate on the effect, efficiency,
and effectiveness of Hospitality and encourage tourism and grow
the tourism market in India.

a) To discuss and examine the study of local domestic


tourism and hospitality growth before the post-
pandemic
b) To study and bring light on current crisis COVID-19
faced by tourism and hospitality sectors
c) To project and analyze the future with few measures
that will assist and overcome the problems in
tourism sectors.
d) It is necessity to look what strategy the tourism,
travel, and hospitality industry will retrieve after
COVID-19-if a vaccine is detected and come across-
and how the tourism sectors can be made reliable in
extremely changed world.

Long term measures are something that heals the sector from
within and builds an inherent resilience to combat any future crisis
of this sort and build the ability to recover in the shortest possible
time.
The impacts and effects of the Coronavirus pandemic across
countries have standstill in many ways, the primary aim of all the
stakeholders locally and state, nation and worldwide would be to
bring back the confidence of the tourists to visit India. In fact, in
the long run, the nation will have a competitive edge in this
respect, at present it has been least affected by the pandemic
compared to other countries affected by the Coronavirus. The
government authorities and private stakeholders should very
subtly publicize this newly acquired credibility for promoting our
tourism and hospitality sector. The government should allocate
sufficient funds for organizing and promoting various activities in
prospective markets through print and non-print media based on
the facts which we receive from the authority to reach the public
sources.
Overall, different destination needs rebranding is very much
needed in this difficult time of crisis also look into the most
affected states with economic support by the government
authorities, looking into the positive elements during this COVID-
19 with information on news and strong widespread policy for use
of social media.
As travel and tourism is in intensive sector, some of the advice
from global institutional structures such as UNWTO and WTTC
clearly stated that measures to protect tourism and hospitality
employee’s retention to swiftly avoid and focus on strengthening
the employee’s skills and development through reskilling and
digitalization skills.
The government authorities is working on the crisis management
action plan and also building trust factors with the tour operators,
we also aim to focus highly on all types of safety protocols and
safety and security measures for the tourists visiting various
places of the country with having proper guidelines, Since the
global tourism fraternity will take some time to get settled after the
pandemic, the Indian tourism and hospitality sectors should focus
more on domestic travelers by marketing and promotion
campaign in coordination with tourism partners.

Whole government approach that states are comparatively in a


better stronger position in terms of the spread of the Coronavirus,
both Central and State governments (regional and local) of this
region should highlight on promoting and developing tourism
attractions of this region also need to check the guidelines and
measures particularly with the safest zone to travel in the country
with providing proper awareness and facts to deal with
coronavirus pandemic.
Central government authorities and state and local authorities
have to forecast the significance and grow initially the local
tourism homebound of the community as an immediate effect,
mostly the tourism products related to health, healing, well-being,
ayurvedic and cultural and medicine with the market segments to
the travelers, however, domestic tourism bound towards
attractions, events and festivals will be stable after the Covid-19
pandemic digital media have to play a major role in terms of
promoting domestic tourism in collaboration with the local hotels,
restaurants and tour operators to support the local business and
help in increasing the Indian economy.
Tourism and hospitality sectors stakeholders should re-enforced
and stimulated to rethink the process and systems to perform in a
better way with innovative ideas and cutting down unnecessary
cost, skill training and should lift the new startups with doing right
things at right time and more of technology-based innovations
with low-cost production and delivery and making the process
convenient to the people by promoting and offering discounts on
entry fees in museum or visa entry permits fees.
Financial implications can be in the form of allocating extra budget
to foster tie-ups for mutual publicity with domestic and foreign
tourist associations‟, airlines and hotels. For involvement of state
tourism departments in the hospitality scheme, a list of
destinations with status reports on destination development as
per parameters of destination development scheme of the
ministry; should be invited and destinations selected for
international exposure.
Indian chambers committee of representatives has proposed a
complete GST holiday or offering destination vouchers for
tourism, travel, and hospitality industry for the next 12 months till
the time of the recovery healing happens and urge to ministry to
provide funds from the MGNREGA scheme to support the
salaries of employees and other workers.
Hashtag #India welcomes you back-Develop suitable messaging
and advertising campaigns for tourism and hospitality during the
crisis. Once the crisis weakens, promote India aggressively. The
Incredible India and make in India campaign henceforth must be
driven with planning assistance from industry associations, as
they will be able to give real-time pulse and need of the market
and ready to support recovery.
SCOPE OF THE STUDY
With the coronavirus pandemic has not only brought whole socio-
economic structures into a halt but has challenged the
globalization and global operations of small and medium
business. However, for a rapid and quick recovery and retrieve of
the Indian tourism economy, employment, and business
implementation task, a sustainable and fresh start is necessary in
most of the worsened economic sectors. Normally, an infection
used to attack the unsafe groups with food, health care insecurity
in their lifestyle and they normally used to be the poor of the
society. Ironically, corona infection first attacked the international
travelers and the pandemic was given rise through the travel and
thus has challenged mainly the societies of social class globally
seeing that tourism and hospitality is one of the largest and
fastest-growing industry is affected after coronavirus (Covid-19)
pandemic it is the key donor to the most industries and flow to the
Indian economy. Tourism and hospitality are muted and halt in the
country due to the threat of spreading Covid-19. It is likely to see
that at the peak in cases and possibilities to mark above 75000 in
ending May 2020. The situation should be strategically addressed
and reach to every person with all the possibilities measures
looking at the current Shetty P J Tourism Hospital situations and
to overcome the future threats and ensuring the wellbeing health
of all humans. Therefore, some of the positive recommendation
has to make to overcome this damage occurred by Covid-19
pandemic:
Despite all the challenges it is important to tell positive
communication and news and social media platforms like
WhatsApp, Facebook, Twitter for the awareness of potential
tourists and guests by maintaining international advertising
through the campaign which is a crucial point in promoting Indian
tourism and hospitality industry by making them alert, making
them understand of good practices, using sanitizers, washing
hands for 30 seconds and maintain social distance etc.
Allowing guests to book hotels in modified dates with flexibility
with flexible-rates and can change dates with key strategy to get
hotel bookings and even allow modification of cancellation in
emergencies.
It is always useful to endorse the word Flexibility as the best
promotions for tourism and hospitality which will able to pull up a
lot of guests and help in increasing room revenue by ensuring
strict hygiene policy and making ease availability of hand
sanitizers for guest who checks in hotels and restaurants or take
away.
Due to the present situation of Covid-19, it shows fear of traveling
in city limits needs to attract people with remote places and
accommodation centers which will be a good strategy to attract
tourists like resorts or eco-hotels.
Some of the initiatives from the government could do the
reduction of taxes for certain months for micro and macro level
business owners and also could think to provide interest free
capital loan schemes under legal documentation. •As advised by
WHO and medical experts admire the Indian government for
successful measures and precautions was taken to control the
situation on the accurate and timely decisions with the support of
state government, the country is not in a stage to proceed forward
for the tourism industry as it still need perfect planning
enhancement to reach the earlier stage of tourism and hospitality
industry.
Government is deciding to run some operational industries in the
green zone where positive coronavirus case is less and also
permitting few states to run food processing sectors depends
upon the number of covid-19 cases less in particular zone. The
recommendation outlined by United Nation World Tourism
Organization (UNWTO) have already created several practices
and responded quickly to save the key of the tourism and also
hospitality sectors at present. The special awareness named
"Travel Tomorrow" has become the most regular thread that runs
through the World Tourism Organization's "if we stay at home. We
can travel tomorrow. The hashtag #Travel Tomorrow one of this is
the best message of solidarity and hope through which UNWTO
calls for shared responsibility among travelers and the tourism
sectors around the world to deal with current issues of Covid-19
virus it also further adds the campaign to specify core values of
tourism that constitute the main pillars of the #Travel Tomorrow
campaign as, discovering different cultures, practicing solidarity
and respect, caring for the environment, Countries like Oman,
Germany, Morocco, Mongolia, and Uruguay and as well as cities
as Bogota and Vienna have already executed and endorsed
#Travel Tomorrow thus amplifying the voice of tourism which is
united and to face this unprecedented worldwide challenge and
also ensured after the committee meeting tourism and hospitality
will start with action plan and safety guidelines and will focus on
restarting the tourism and hospitality with all essential plans in the
coming months with safety protocols and discuss further for the
permission to start aviation and hospitality sectors in coming
days.
LIMITATIONS
This study is subject to certain limitations that must be addressed.
Some of them are highlighted here and future directions of
research have been indicated. First and fore most the research is
based on the qualitative analysis that although uses interview
responses from managers or senior personnel, may not justifiably
work toward generalization of the results. Thus with the problem
at hand robust empirical investigations are deemed necessary in
immediate course to study the pandemic’s industry impacts and
make model based estimations and recommendations. However,
this research makes a sturdier point in giving an exploratory
stance to trigger other empirical investigations. The researches
from here can take various variables exhibited as sub-themes and
major broad themes that accumulated through perspectives
obtained from the industry experts and may operationalize them
in future investigations. Quantitative investigations or even
triangulation studies can bring deeper insights and help enrich
literature. Although studies on SARS and other outbreaks have
happened in past, the extent and enormity of the current
pandemic is comparable to even greater health catastrophes of
past. Thus scales development to study the outbreak impacts,
industry response and change in travel and consumer behavior
are strongly recommended.
Another important limitation that should be addresses is that the
perspectives reported in the study are from India. Several other
themes may surface and some factors manifested from current
research may not apply in other scenarios, which remains a
strand that could be picked in future researches. Random
samples from diverse geographical and cultural setups may
contribute toward newer findings. It is also important to note that
situation is still evolving and the matters that were prominent a
few weeks or months ago may not be as influential now, for
instance the rise and decline in the number of cases and its
varied manifestation in various geographical settings. This
increases the relevance of studies that factor in the temporal
change in the circumstances. Going forward, there certainly would
be need of more dedicated issues dealing with the COVID-19
outbreak for ensuring literature captures its evolution and
recommends practices to mitigate the impacts. One more
limitation in the study is that it mostly takes into cognizance
individuals working in higher positions in hotels with few senior
individuals from academics. The study didn’t consider other stake
holder viewpoints. This leaves a glaring gap for future researches
to consider other players in the leisure industry like travel
intermediaries, airlines, restaurants at destinations, locals at
destinations, other accommodation providers, travel and
hospitality students and even different levels of employees’ etc.
Addressing to these limitations can fill potential lacunae and
improve understanding of scholars and practitioners toward
dealing with the ongoing crisis and minimise future fallouts.
CHAPTER SCHEME
The current work is to designed to examine on subordinate data
produced by various organization and research scholars and data
includes by existing statistics like journals, textbooks, related
literature, articles and information provided by the bureau of
tourism, Department of Industrial Policy & Promotion (DIPP),
newspapers, magazines and internet and discussed the future
prospects of the business. Limitations of learning This is the study
of effect of the tourism and hospitality sectors. The study is also
bounded to go through tourism and hospitality which is playing a
vast role in economy of India and data is the latest. One more
limitation is that the collected data is related to selected key
players of the tourism and hospitality industry. Reach of the study
This paper focuses on data from last year to present and future
models. Get sufficient results from the findings. The
consequences and outcomes examine the contribution of the
tourism and hospitality sectors in the economy of India. This
paper will assist to new researchers/scholars/students of the
tourism and hospitality management in India which will be helpful
in the development of the economy of the country. Review of
Indian tourism and hospitality sectors In India, the central
government and state government have announced separate
tourism plans and strategy seeks to amplify job potential and
development within the tourism and hospitality sectors, foster
economic integration and linkage with various sectors, some of
the states like Andhra Pradesh, Maharashtra, Kerala, Gujarat and
MP are the states where tourism has developed systems and
enable the central government to legislate for tourism and
hospitality development.
As per the reports the proposal is to include in Concurrent list was
circulated to the state governments and discussed at Chief
Ministers' Conference. The majority of the states agreed to the
proposal. Facilitation and strengthening of Indian tourism and
hospitality is the main objective of Ministry of tourism [3]. increase
tourism infrastructure, easing of entry permits system, promise
and pledge of quality aspects and standards in tourism service
providers, forecast of the nation as a 365 days’ of travelers
destination, promotion of sustainable tourism etc. are some of the
plans and policy which need to be constantly worked upon to
increase and ease tourism in India. The “Incredible India 2.0”
initiatives and awareness by the Ministry marks a shift from the
general promotions being undertaken across the world to market
specific promotional plans and content creation. The awareness
covers all the important source markets for Indian tourism and
also takes into account emerging markets with significant
potential. Limited creatives on different Niche products being
produced are being used in the initiatives. Indian tourism plays an
essential pillar and strength of the Make in India scheme. Tourism
plays an important role in a significant economic multiplier and
becomes critical since India has to grow at highly rapid rates and
create many jobs. India offers geographical diversity with worlds
heritage museum, and niche tourism products like cruise ships,
food, sports, eco-tourism, cultural tours and wild life etc.
Incredible India has spurred growth in tourism and even increased
in the job employment [4]. India’s class in the travel and Tourism
Competitive Index (TTCI) [5] of world economic forum progress
from 52nd position in 2015 to 40th position in 2017. Currently
India has improved by another 6 positions and ranked at 34th
position in 2019. the tourism and hospitality industry show to uplift
the expansion of multiple-use infrastructure including hotels,
resorts and restaurants, transport infrastructure (aviation, cruise,
shipping and railways), and even in healthcare facilities some of
the best initiatives are taken by the government of India to
promote medical tourism as below. Shetty P J Tourism Hospital,
The new way classification of entry permits visa "Medical Visa"
has launched by the ministry of home affairs, GOI, which can be
given for specific motive to foreign tourists’ arrival to India for
medical treatment,
The ministry of tourism has incorporated the marketing promotion
of medical tourism as new initiatives and awareness. The
Marketing Development Assistance Scheme (MDAS),
administered by the ministry of tourism, Government of India,
provides financial support and assistance to tourism service
providers. •To lift and improve medical tourism, the government
announced setting up of the National Medical and Wellness
Tourism Board (NMWT), to provide help and support to those
visiting the country for health care need. The boards and ministry
officials, will include other stakeholders such as hospitals, hotels,
medical experts, and tour agents/operators.
United Nations World Tourism Organization (UNWTO) [6] had
selected India as the host country to honor World Tourism Day
2019 on the subject 'Tourism and employment: A bigger future for
everyone'. The purpose of World Tourism Day (WTD) is to foster
awareness among the international community on the importance
of tourism and its social, political, cultural and economic value.
Newly launched the awareness initiatives by GOI “Swachhta” is
declare as a pillar of tourism, as a clean and spotless tourist place
which would be more reliable in the long run which will connect
with tourist and will be considered for financing. considering the
significance of clean and hygiene which started by the ministry of
tourism [8], have administered the Swachhta Action Plan (SAP)
activities through Indian Institute of Tourism and Travel
Management (IITTM), Gwalior in many States/UTs to create
acceptance among tourist travelers, college students and stake-
holders at destination places. The recognition activity covered
1000 tourists, 500 students, and 60 stake-holders at each site
involving activities of awareness on cleanliness, orderliness
amongst tourists, travelers, school students and stakeholders of
places, events centers and known archaeological memorial
statue. As yet 383 buzz have been completed out of allocated 540
activities during 2019-20. Ministry of tourism has discovered 17
iconic sites in the country for development under Iconic Tourist
Sites Development Project and proposes to carry out the
development of these sites in collaboration with various Central
Ministries, State Governments, Urban Local Bodies, Local
Community and Industry players/Private sector.

Taj Mahal (UP)


Fatehpur Sikri (UP)
Ajanta (Maharashtra)
Ellora (Maharashtra)
Humayun Tomb (Delhi)
Qutab Minar (Delhi)
Red Fort (Delhi)
Colva Beach (Goa)
Amer Fort (Rajasthan)
Somnath (Gujarat)
Dholavira (Gujarat)
Khajuraho (Madhya Pradesh)
Hampi (Karnataka)
Kaziranga (Assam)
Kumarakom (Kerala)
Mahabodhi Temple (Bihar)
Shimla (Himachal Pradesh)

In India, we have many states which are observed as vital tourist


destination as per the allocation of domestic tourist arrival in India
during 2018 was 1854 million (revise) as compared to 1657
million in 2017, with an increasing rate of 11.9 %. As per the
reports available the number of Indian national departure from
India during 2018 was 26.29 million as compared to 23.94 million
in 2017, and register a growth rate of 9.8% India place in the Asia
pacific region as below:
Share of India in tourist arrivals 5.01%
India ranking in tourist arrival 7 place (As per RBI estimate):
Year-wise domestic tourist visits to states/UT during 1991-2018.
It presents the statistics on domestic/ local tourist visit to diverse
States and UTs during the years 1991 to 2018.

It has been a stable increase in domestic tourist visits, with


annual growth rate of domestic/local tourist visits to all States/UTs
from 1991 to 2018 being 12.61%. The foreign tourist visits
overtake to have been growing over the years, there was
decreases in the years 1992, 1998, 2001, 2002, 2009, and 2012.
The year 2018 observed a rise and widening of 11.9% in
domestic tourist visits over the year 2017 whereas the visits by
foreign tourists record a growth of 7.4% over 2017.during last 13
years have been registering a highly increasing and expand in the
trend.

Year-wise foreign tourist visits to states/UT during 1991-2018.


Shetty P J Tourism Hospital it appears the data on foreign tourist
visit to diverse States and UTs throughout the years 1991 to
2018. There has been a steady increase in foreign tourist visits,
with the mix annual growth rate of foreign tourist visits to all
States/UTs from 1991 to 2018 being 12.61%. The foreign tourist
visits to have been growing in large size over the years, there was
a down fall in the years 1992, 1998, 2001, 2002, 2009, and 2012.
The foreign tourist visits to all States/UTs during 1991 to 2018
observed a CAGR of 8.6%. Figure 3: Year-wise yearly growth rate
from 1991-2018. From the following graph, it appears out that
data of foreign tourist visit to States/UTs throughout last 13 years
has recorded an increasing trend in overall, excluding for slight
declines in foreign tourist visits in the years 2009 and 2012. The
below chart shows the percentile share of the top 10 States/UTs
in terms of domestic tourist visits and Foreign tourist visits in
2018.

Share of top 20 states/UT in India number of domestic visit in


2018. As Figure 4; above chart of top 20 ranks of diverse
States/UTs in domestic tourist visits throughout 2018. In which 5
States in domestic tourist visits in 2018 were Tamil Nadu (385.9
million), Uttar Pradesh (285.1 million), Karnataka (214.3 million),
Andhra Pradesh (194.8 million) and Maharashtra (119.2 million)
with their particular shares being 20.8%, 15.4%, 11.6%, 10.5%
and 6.4%. These 5 States consider for about 64.7% of the total
domestic tourist visits in the country. Share of top 20 states/UT in
India during foreign visit in 2018. In above chart it is registered as
foreign tourist visits in 2018, the top 5 States/UTs is Tamil Nadu
(6.1 million), Maharashtra (5.1 million), (3.8 million), Delhi (2.7
million) and Rajasthan (1.8 million), with their respective shares
being 21.0%, 17.6%, 13.1%, 9.5% and 6.1% These 5 States/UTs
accounted for about 67.3% of the total foreign tourist visits to the
States/UTs in the territory.
REFERENCE

1. https://www.researchandmarkets.com/rep
orts/5013570/impact-of-covid-19-on-the-
hospitality-industry
2. https://www.ncbi.nlm.nih.gov/pmc/articles
/PMC7528873/
3. https://www.longdom.org/open-
access/the-impact-of-covid19-in-the-indian-
tourism-and-hospitality-industry-brief-
report.pdf
4. COVID-19 Impacts on the Indian Hotel Sector
by HVS (PDF)

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