Hospitality Industry is now-a-days, one of the major industries in many countries of the world. This comprises operation of hotels, motels, resorts, guesthouses, rest houses, picnic and recreation spots etc. while industrialists, businessmen, professionals, working people and of course tourists are the principal customers. In fact in many countries, hospitality industry is the principal source of foreign exchange earning. Tourism indicates touring activities by local inhabitants and foreign visitors throughout the country. In order to develop tourism many preconditions have to be fulfilled, such as proper infrastructure, abundant, cheap and secured commuter facilities road, rail, water and air abundant, cheap and secured staying places viz. hotels, motels, resorts etc. furnished with recreational and entertainment facilities; abundant and secured tourist spots viz. historical places, beaches, parks, waterfalls, lakes, rivers, hills and hill tracts etc. and lastly a peaceful political and administrative atmosphere in the country.
Hospitality industry and tourism are closely related, one cannot thrive without the development of the other. Hospitality industry cannot march forward without the foreign visitors and tourists, the local inhabitants form only a portion of the customers.
Foreign exchange cannot be earned without influx of tourists and visitors from abroad. On the other hand tourism cannot thrive without first constructing the hotels, motels, resorts, guesthouses etc. So the two sectors are very closely interdependent.
National infrastructure and facilities: No country can develop without necessary infrastructure viz roads, highways and bridges; sea ports and airports; rivers and coastal waters worth navigation; airways and rail roads etc. These infrastructures are essential and should adequately connect the trade-centres as well as all important spots and resorts worth visitation by tourists and the local people.