ABSTRACT
The topic of the study is factors affecting Hotel and
catering industry (A case study of Merry house Idah Igala). The researcher used
both the primary and secondary data in the course of the study. The primary
data was collected through the instrument of questionnaires and observation.
The secondary data was sources through textbooks, journals, magazines and
Libraries. The research design for the study was the survey research. The
population of the study was 82 employees of the establishment. The sample size
of the study was 63 employees derived using the Yaro Yamani formula for the
determination of sample size. A total number of 63 questionnaires were distributed
and returned thereby having a hundred percent return rate. The researcher used
sample percentage and chi-square as statistical tool for the analysis. The
study revealed that the majority of the workers in this establishment are
ignorant on pay determination method which shows that management does not
involve workers in the machinery or the mechanics of payment determination. The
workers role is reduced to that of a rigid adherence to rules and regulations.
The researcher recommended among others that broad personnel policy study be
embraced by employers in the hotel industry.
CHAPTER ONE
1.0 INTRODUCTION
As an important part of service industry, catering and
food service industry is the important carrier of the brand and culture for a
country or region with the characteristics of wide market, extensive influence
and more employment opportunities. A wide variety of catering products and
different styles of food culture has been shaped in the background of different
regions and cultures (Yang, 2009). On the other hand, as one of the six
elements of tourism activities, “food” has been given to attention by tourists.
Catering and food service industry plays an important role in the promotion of
local food features and culture of tourism destination through providing
catering products and services for tourists. Many countries have designed and
developed catering and food brand with own features and style, such as the Beer
Festival of Munich in German, Pickled Cabbage Festival in South Korea, series
unique meal of cactus and corn in Mexico, Samba Carnival and characteristic
barbecue in Brazil and so on. These unique food resources and new product ideas
not only attract tourists from all over the world, but also bring considerable
catering income (Kang, 2010). In recent years, the development of global
catering and food service industry maintains a rapid and healthy momentum of
development (Table 1). According to Fortune Magazine in the United States in
July 2012, three food service enterprises enter the world top 500, including
American McDonald’s Group, the magnate in the snack industry of the world;
British Compass Group, one of biggest food group of the world; and Sodexo
Group, tourism catering service enterprises in France. Rounding out the top 500
enterprises in the United States was Aramark (the international leading
professional company), Yum Brands (the largest network of worldwide
restaurants), Starbucks (the leading retailer and roaster of specialty coffee
in the world) and Darden Restaurants (the most recognizable and successful
brands in full-service dining). These food service groups provide a fast
catering and food service for the consumers from more than 100 countries and
regions all over the world, accounting for about 5% of global market share (Yang,
2009). It can be seen from Table 1 that the convenience has gradually become
the trend of the development of catering market with the rapid development of
economy and society.
In China, catering and food industry shows a steady
and rapid growth with the rapid growth of Chinese economy and increase of urban
and rural residents’ incomes since Reformation and Opening. The retail sales of
hotel and catering services were 5.48 billion Yuan in 1978, exceeded 10 billion
Yuan and reached 11.21 billion Yuan in 1983, exceeded 100 billion Yuan and
reached 117.5 billion Yuan in 1994 and exceeded 1000 billion Yuan and reached
1034.6 billion Yuan in 2006. At the end of 2010, it reached 1764.8 billion Yuan
produced by over 4.9 million catering and food service sites, accounting for
11.24% of total retail sales of consumer goods. For top 100 catering
enterprises, the gross income, the total assets and profit respectively reached
139.58 billion Yuan,
1.1 BACKGROUND OF THE RESEARCH
Hospitality industry is one of the leading industries
in the world; It contributes to prosperity creation and further economic
development of a country; it covers hotel, resorts, and travel as well as
restaurant businesses. These services business are mutually depend increase in
tourism will ultimately lead to improvement in resorts, restaurants, hotel
including travel industries. This study basically concerned with assessing the
strategies of the production planning and inventory control in hospitality.
This will consequently access the extent to which stock can be controlled.
Source: Dennis Oscar. "Humanity and
hospitality" 2011
Since the beginning of recorded time, people have
travelled, and during their travels, have needed shelter. This consequently
encouraged the springing up of some accommodation in form of inns and small
hotels and subsequent larger hospitality suites, to meet such needs. This thus
hospitality is said to be the world’s ‟ second
oldest profession. Just after the civil war in 1970, there was a virtual
absence of hotels and especially, the well-known names in the international hotel industry in
Nigeria. Not until the late 70‟s, during the
oil boom era did Nigeria start experiencing some growth in her hotel industry.
In recent years however, Nigeria hosting of several major international events like the common wealth heads of
government meeting (CHOGM), All African games, carnivals, meeting including the
visits of two American presidents another presidents with their entourage, has
led to the building of several more hotels in Nigeria, especially in the major
cities. This growth is not restricted to Nigeria alone, example, the American
food service industry in 1979 had 110 billion dollars of bussing for meals away
from home and was in fact the third largest industry in the country in terms of
gross retail sales, it employs about 6 million people and had average of 125.
42 employees in 1995 and yet still needs many additional employees every year.
Nigeria has since seen many important developments and changes in the relative
improvement in the standard of living of a vast majority of working people.
These improvements have come about as a result of many different factors
including greater national productivity, stronger growth of economy, having
more enlightened management and pressures from trade unions. The contributions
made by the hotel and catering industry to this general rise in standard of
living are considerable, providing essential and leisure services, employment
and wealth creation. Hotel development in any country is a detailed process,
requiring a high level of preplanning prior to, during and after construction.
There is still evidence in many places in Nigeria that this pre-planning has
not adequately been carried out, resulting in some hotels that are unable to
meet today’s and tomorrows ever-changing and increasing customer needs,
including the fact that demand far outstrips supply, with major cities like
Lagos having now shortages. Nevertheless, Tourism, of which the hotel and
catering industry is a principal element is said to be a potential growth
sector in Nigeria. The conditions of employment of a large number of the
industry’s staff have not kept pace with those enjoyed by working people
elsewhere, in spite of the technical improvements within the catering industry
itself. The reasons for the slow rate of improvement in the industry’s
condition of employment are considerable including an understandable reluctance
on the part of many proprietors and managers to adjust labour earnings
according to improvements in the industry. Another reason could be that trade
union movements exert little influence in most sectors of the industry, since
moreover most people that make up the industry’s workforce are people who are
not prepared to make a career out of the job. The working conditions of the
industry’s staff are for most cases unattractive. There are intrinsic problems
which are unavoidable such as having to work long evenings and weekends. Other
problems however can certainly be removed or reduced by determined management
action. Such problems are staff reliance on tips, ignorance of workers on
methods of calculating pay and the distribution of service charges, and
management’s reluctance to involve staff in matters that affect their working
lives. Management should therefore evolve a way of bringing out the best in
these groups of ignored members of our workforce. In Nigeria, there are many
organizations that provide catering services and which by their nature can be
termed hotels. It is estimated that there exists about 550 hotels, inns and
commercial guest houses in Nigeria by the year 2008 that employs between 10 and
250 people in line with their sizes. It is said that about 418 – 900 people
were employed in 2003 worldwide.
1.2STATEMENT OF RESEARCH PROBLEM
Nowadays, the tourism industry has great development
and many countries have managed to improve their situation and overcome on
their economic problems, such as low levels of per capita income, unemployment
frequency and a shortage of foreign exchange revenues. Surveys conducted in the
field of tourism revenues and share of tourism in total world trade exchanges
shows that this share has been modest in recent decades and although beginning
in the 1950s, the share of tourism services in total world exports was 3.4%
(Ledesma-Rodriguez, 2004). The world economy in the late 1980s witnessed a
share of over 8% to tourism services in the total exports. In 1990 have spent a
total of 230 billions of dollars in different countries of the world and have
been recorded 425 million tourists in countries of the world. In 2000, 661
million tourists were around the world and in 2007 about 900 million. Year 2008
has been announced 994 billion dollars that this figure is equivalent to 30
percent from world exports of technical and engineering services and the number
of tourists worldwide in 2008, with growth of two per cent over the previous
year has reached to 922 million people. It is expected that the number of
tourists and revenue for this industry will reach to one billion and 600
million, and two trillion dollars respectively in 2020 (Werthner & et
al,2004).
Actually the tourism industry is industry that
nowadays can compete well with industries like automotive and oil. Countries
with tourist attractions regard to the magnificent natural, culture and
civilization, religious and ancient monuments have talents and abilities in
attracting tourists (Lee, & Chang, 2008). The economic impact of the
industry perhaps is one of the most effective reasons of attention and government
attention to tourism in their national development and in fact, the tourism
considered as one from the driving forces of economic growth and development in
countries (Romilly & et al, 1998). While tourism creates a series of new
activities in the community and also tourism is leading to activation of other
economic sectors. Sectors such as transportation, food, fuel and energy,
handicraft and building sectors, which consequently will boost tourism
activities, for this reason, many countries have tried to promote this industry
and provide opportunities necessary to tourism development. Nigeria is a
country of adopting tourism, also it is one of the tourists exporting countries
and always number of outputs of tourists is over the number of inputs in the
country and number of tourist supply with normal passports have a larger share
of total tourist supply (Meraseli,2005).
1.3 OBJECTIVES OF THE STUDY
The researcher embarked on this study to highlight the
economic factors and cultural factors affecting the hospitality industry
basically hotel and catering industry, among others objectives are:
1.To suggest possible ways to overcome the issues of
cultural facing the industry.
2.To analysis the growth and survival of the
hospitality industry amidst the challenges facing them.
3.Evaluate the economic and social contribution of the
hospitality industry to the nation.
4.To promote the hotel and catering industry to the
nation
1.4 SIGNIFICANCE OF THE STUDY
The outcome of this research work will help the hotel
management and the catering industry to effectively manage business for optimal
production and strategies means of handling the economic factors and cultural
issues affecting their industry. Also, this research work will be a tool, an
academic tools in the hands of the students and other researchers too.
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