Marketing Evaluation Essay
Recommend the position in the market.
“Research undertaken by the Tourism Satellite Accounting (TSA) predicts that demand for travel and tourism in India will by an appreciable 8.1 per cent p.a. in the coming decade making it the third fastest growing travel destination in the world” (Bharwani & Mathews, Risk Identification and analysis in the hospitality industry, 2012). India has emerged as an ideal location to embark on a global expansion in the hospitality industry. According to Line and Runyan, in the hospitality segment there have been countless studies that argue that customer service has a direct correlation to employee job satisfaction and productivity, the same is said in the international arena for hospitality (Line & Runyan, 2012, p. 478). As with many of the international hospitality emergent, customer and employee interaction defines the profitability and sustainability of the company. World travelers look for impeccable service with all of the attributes of a bed and breakfast (Olsen, Chathoth, & Sharma, 2001). According to Bhawarni and Butts, “guests actively seek superior quality, customized yet consistent hospitality experiences which integrate a subtle culture specific novelty with a certain acceptable level of service and product quality” (Bharwani & Butt, Challenges for the global hospitality industry: an HR perspective, 2012, p. 155). This sets the standards high for employees and management. In accordance with the standards of the international hospitality brands, Bollman is recommended to pursue a luxury branding for their entry into India. This will entail in depth training and qualification standards. Conduct a market evaluation by researching what companies in the relevant market are providing to employees from a total compensation perspective. Currently India does not have minimum wage set by the government, although this is expected to change in the near future, it does present a challenge for companies wishing to expand into the area. Due to the changes in the international travelers and hospitality consumers into the region India has a shortage of trained and efficient employees. The area is also being impacted due to the aging population, which shrinks the current labor force. This means that the training costs and employee turnover rate is a significant factor in the India market. According to Bharwani and Butt, competitors of this region have begun to put set company policies for minimum wage standards. International companies have implemented competitive pay standards, incentive and benefit programs, productive and safe work environments, and the ability to advance within the company (Bharwani & Butt, Challenges for the global hospitality industry: an HR perspective, 2012, p. 158). Training has also been a key determinant in the success and customer satisfaction with international hospitality companies. The ability of the employees to deliver a luxury and home-like experience to the consumer is the foundation for success in the international arena.
Bharwani, S., & Butt, N. (2012). Challenges for the global hospitality industry: an HR perspective. Worldwide Hospitality and Tourism Themes, 4(2), 150-162. Bharwani, S., & Mathews, D. (2012). Risk Identification and analysis in the hospitality industry. Worldwide Hospitality and Tourism Themes, 4(5), 420-427. Jauhari, V., & Rishi, M. (2012). Challenges faced by the hospitality industry in India: an introduction. Worldwide Hospitality and Tourism Themes, 4(2), 110-117. Line, N. D., & Runyan, R. C. (2012). Hospitality marketing research: Recent trends and future directions. International Journal of Hospitality Management, 31, 477-488. Olsen, M. D., Chathoth, P., & Sharma, A. (2001, April-September). Forces Driving Change in the Hospitality Industry in India. Journal of Services Research, 1(1), 3-21.a