Numerous job titles and yet a single goal

The Hotel, Restaurant, and Leisure industry offers a grand variety of jobs. However, there exist vast gaps between the different work titles. At the top of the company, there are executives (board members, CEOs’, vice-presidents etc.) who are accountable for risky decisions that will determine the company’s future. A bit lower, there are office workers responsible for the company’s financial exercises. Analysts along with accountants are responsible to analyze financial performance indicators such as occupancy rates in hotels or annual revenues in restaurants and casinos to determine the company’s health.

Besides the officers responsible for the broad performance of the hotel, restaurant or casino, there exist tons of small players on the actual field. Housekeeping managers, front office managers, restaurant managers, casino operations managers, security managers etc. are in charge of even smaller players such as maids, front desk attendants, bellhops, porters, cashiers, chefs, waiters, casino dealers, guards, only to name a few. As mentioned earlier, job titles in this industry vary enormously. However, no matter how different a CEO’s daily task or salary is to a maid’s, they both share a common goal and responsibility. The work of every employee is vital to this industry; it’s the sum of every single person’s work that makes a hotel, restaurant, or casino’s complete success.

New market and expansion of Hilton hotel.(John Kwon)

Hilton Hotels Corporation has put their focuses not only in U.S, but also they put much weigh on the worldwide market. For the first step, they have changed their name “Hilton Hotels Corporation” to “Hilton Worldwide.” Hilton Corporation developing about 900 hotels outside of North America, and most of its hotels are located in main cities of countries through out the world. The recession on 2009 had impact on hospitality industry in U.S, however the hotels outside of U.S had remained undamaged. Hilton Hotel Corporation had 800 hotels and 120,000 guestrooms, and only 15% of that was international hotel. However, today, Hilton International has 45% of its hotels located outside of U.S.

Some of the international hotels have the highest growth market, and it will bring Hilton great advantages, and the brand values foreign customer’s recognitions. Since the world became so connected due to advance in technologies, transportations…etc, it became possible people to travel, easily, conveniently, and faster. Therefore Hospitality business has been forming international strategies. Hilton International is a great example, and the model for expansion of international hospitality business and the new market.

Higley, Jeff, ed. "Asia/Pacific Tops Hilton's Expansion List." Hotel News Now. 29 Sept. 2010. Web. 30 Sept. 2010. <http://www.hotelnewsnow.com/Articles.aspx/4096/Asia/Pacific-tops-Hiltons-expansion-list>.

Hilton and Trump: Successful Entrepreneurs

Two influential leaders in the Hotels, Restaurants and Leisure Industry are Donald Trump and Conrad Hilton. Both of these entrepreneurs pioneered now extremely successful hotel businesses. In 1997, Donald Trump's hotel collection, Trump International Hotel & Tower opened its doors to the world. This was the first hotel of the collection, followed ten years later by the Trump International Hotel & Tower Chicago. Both of these hotels have climbed the ladder of success in regards to the luxury hotel industry. They are adorned with five-star ratings and reviews from such magazines as Conde Nast Traveler, which has rated Trump International Chicago as the "hottest new hotel in North America". In addition to his success in the Hotel Industry, Donald Trump has also made impressive strides in the Leisure Industry. Trump has developed award winning golf courses world and nationwide, such as Trump National Golf Club, Trump International Golf Club and Trump International Golf Links in Scotland.

Conrad Hilton bought his first hotel, the Mobley Hotel in Texas, in 1919 and within the next year, he had earned back his investment, by renovating the hotel and making it more efficient. With his profits, Hilton bought another hotel in Ft. Worth and another in Dallas. By 1925, Hilton had made enough profit to build his first hotel. Although the depression took a toll on Hilton's hotel business, he recovered and by 1937, he was back in the hotel business, buying various hotels along the West Coast. In 1946, Hilton created the Hilton Hotels Corporation and by 1947 it became the first hotel company listed on the New York Stock Exchange. In 1948, with the opening of his hotel in Madrid, Hilton founded the Hilton Hotels International company. By the time of his death, Conrad Hilton owned 185 domestic US hotels and 75 international hotels. Since then, the Hilton corporation has continued to grow and now owns more than 500 hotels worldwide.

http://www.woopidoo.com/biography/conrad-hilton/index.htm

http://www.trump.com/Donald_J_Trump/Biography.asp

Travel Bug Bites Again

This article comments on the fact that travel has begun increasing again, even though the economy is increasing at a much slower rate (nearly half).  “Spending on airplane seats, hotel rooms and rental cars, among other tourism and travel expenses, jumped 3% at an inflation-adjusted annual rate in the second quarter, the government said Thursday, while the economy as a whole grew only 1.6%.” (Murray) This is due in great part to the changes that businesses are making in the recession, a common theme that I have addressed in my previous blog posts.  “Much of the increase is fueled by businesses, which reduced employee travel during the darkest days of the recession and are now once again deploying those road warriors.” (Murray)

This increase is a sign to hotels that their business may be increasing in the coming year, and that they should raise prices accordingly.  However, many businesses are still afraid, and with good reason.  “Room rates… slipped 1% because many hotels remain hesitant to raise prices.” (Murray) Raising prices is a risky endeavor, and if business does not increase as is expected, the hotels could risk bankruptcy, as is already a common theme in the hotel industry.  However, I personally take the increase in spending on travel expenses and other luxuries to be a good sign, and it is definitely a positive occurrence for the hotel, restaurants, and leisure industries.

http://online.wsj.com/article/SB10001424052748704062804575510190736435952.html?mod=WSJ_Hospitality_leftHeadlines

business & government

China's tourism authorities have asked local travel agencies not to promote travel to Japan amid an increasingly tense territorial dispute between the two countries. The pressure between two countries already spread from political to business. The relationship between these two countries is not good for a long time. And this is not the first time that the government problems get the way of business.

For this kind of situation, how should business man deal with it? On one hand, there are the government rules. We cannot directly fight over it. On the other hand, there is the profit we can get from the tour to Japan, in this case.

I think for most of the business men, they will choice to following the government rules, especially in China. Personally, I don't think that any government issue should affect on business. We should have a free market, a free business. 

http://online.wsj.com/article/SB10001424052748703860104575507473962289634.html?mod=WSJ_Hospitality_leftHeadlines

The James Hotel-An emerging competition

“In the realm of hospitality, The James defines luxury liberated from tradition”. This quoted statement is the slogan of the emerging luxurious hotel company “The James”. The James opened their first doors in downtown Chicago four years ago. This 297-room hotel offers modern and sophisticated designs at midlevel prices. Downtown Chicago is mainly made up of Marriotts, Sheratons, and Hyatts. Therefore, the introduction of a modern and stylish hotel at reasonable prices put a big competition pressure on the bland hotel chains.

The James opened their second “boutique hotel” this fall in SoHo, New York. “When the James Hotel opens its doors this fall in SoHo, on the corner of Thompson and Grand, many things will be shiny and new” stated a Wall Street Journal reporter. The Hotel industry took a hit with the recession. However, collected data shows strong improvement from those past two weak years and predicts even better for the year to come. However, with the new emerging competition, hotel companies (both luxury and mid-level ones) must renovate their establishments since The James Hotel provides luxury at midlevel prices.

Source: http://online.wsj.com/article/SB10001424052748703720504575377321936169274.html?KEYWORDS=new+hotel

Singapore Casinos Could Rival Las Vegas by 2010

http://online.wsj.com/article/SB10001424052748703649004575436743057042602.html

Singapore has opened 2 new casinos and is slowly beginning to attract the majority of Eastern hemisphere gamblers to their country.  People prefer to gamble closer to home, and the sudden increase in gambling in Singapore is expected to rival that of Las Vegas in the coming 2 years.  Not only could this affect the revenue in Las Vegas, but it could shift the entire gambling and casino industry.  There will be more demand for casinos in Singapore, as well as an increased level of tourism and revenue from the casinos.  This could also inadvertently affect the hotel industry, because there will be a greater demand for hotels as more and more Eastern Hemisphere gamblers flock to Singapore’s casinos. 

Although Las Vegas will most likely continue to thrive, "instead of the [Eastern Hemisphere] player making two or three trips to Las Vegas in the year they may make only one trip and the other two trips may be more closer regionally." (Andy Nazarechuk).  This is also a further testament to the importance of easy access in all aspects (hotels, restaurants, and leisure).  People want convenience- they don’t want to travel hundreds of miles to enjoy themselves.  Shifts in the location of different amenities will cause shifts in the location of tourism and market.  

Investors go loco for fro-yo

Pinkberry Inc. is a frozen yogurt chain that was founded in January of 2005. It was founded in Los Angeles, California but has since expanded to own and run seventy three stores in California and New York. Pinkberry has become an increasingly popular desert and snack parlor since 2005, growing to a multi franchise company. In October of 2007, the venture capitol firm Maveron backed Pinkberry with $27.5 million in funding. For the first half of 2009, Pinkberry was also ranked on Vitrue's Top 25 Most Social Restaurants, along with other popular franchises such as McDonalds and Starbucks. In addition, Pinkberry has also found it's way into pop culture, making appearances on popular television shows such as Gossip Girl and appealing to the celebrity crowd.

Frozen Yogurt is an emerging trend in the Hotels, Restaurants and Leisure Industry. In addition to Pinkberry, other notable frozen yogurt companies are Mr. Yogato's, Yogurberri, Berri Good and Red Mango. Red Mango is Pinkberry's main competitor, with it's new expansion plan to open 550 stores throughout the US.

The arrival of the Frozen Yogurt trend created a significant competition not only between the various brands, but also between other desert places. The growing popularity of frozen yogurt has had an effect on the emergence of new ice cream parlors and desert brands. In a sagging economy, companies such as Pinkberry and Red Mango seem to not be suffering, but rather flourishing. Investors and venture capitalists alike are continuing to push money into the frozen yogurt industry, and they are reaping the rewards. In five years, Pinkberry has moved from a small company to a multi-national franchise. The emergence of companies such as Pinkberry and Red Mango has people wondering, is frozen yogurt the new ice cream?

http://blogs.wsj.com/venturecapital/2009/04/23/investors-sweet-on-frozen-yogurt-chain-pinkberry/?KEYWORDS=pinkberry

Burger King's possible change of hands

Burger King Holdings Inc., the second largest hamburger-chain, is facing a possible sale. The last time this incorporation experienced a change of hands was in 2002, when Bain Capital LLC and Goldman Sachs Capital Partners bought the company for about $1.5 billion. Today, the investment fund “3G Capital” is showing strong interest in purchasing this 2 billion dollar worth business. At the beginning of the year, around April, Burger King’s shares reached a high of $22.06. It’s actual market capitalization has a value of around $2.26 billion, and is currently in control of over 12,000 restaurants spread all around the world in more than 75 countries. However, the competition (McDonald’s) is presenting a much greater appearance.

Burger King Holdings Inc. holds a fair amount of advantages such as its value and globalization. However, earlier this month, Burger King shares decreased by 1.91% as it closed at $16.45 on the New York Stock Exchange. On the other side, McDonald’s sales increased by 4.8% this summer. Burger King’s current owners are making a good decision by taking interest in selling the incorporation. By doing so, there exist a possible reciprocal benefit. Burger King’s current state has no promising future, and at those times of competition crisis, change is always the best option.

Source: http://online.wsj.com/article/SB10001424052748703467004575464521824398544.html

service--the best logo of a hotel

Due to the economy going downward, the competitions between hotels become bigger. Every hotel wants to attract more people. In order for attracting more people, the hotel need to show how special the hotel is. And another important thing is that too show how good the service is. Just like Ritz-Carlton Hotel, they will join airlines, credit card companies, many other hotel chains and even lowly sandwich shops Tuesday in offering loyalty program to their customers. It is a good way to make profits. Weather the hotel can keep up the quality of the service is determined how the consumers will think about the hotel.  So hotel companies cannot ignore the quality of the service because of the profits.

Hyatt Corp. is one of the best hotels all over the world. It provides the best service in the world. Just like their mission statement said: provide authentic hospitality by making a difference in the lives of people we touch every day. Their FORCE Plan which is the family of responsible and caring employees is an important training statement before every Hyatt opened. Not only Hyatt, there are a lot of hotels have the similar mission statement. Four Season Hotel is one of them. Their desire is to treat others as you wish to be treated. It seems easy. But to follow this principle all the time is hard.

Even nearly every hotel’s mission statements are including provides best service. But not really every hotel’s employees follow that. Maybe the company can think about the consumers first, then is the money.

Grocery Stores Help Make Healthy Choices

The second largest food retailer in the nation, Kroger Co., has adapted a new system to help their customers make healthier food choices. In Kentucky, some Kroger Grocery Stores have begun to implement a new nutritional scoring system developed by health experts from Yale University and other institutions. The scoring system rates foods on a scale of 1 to 100, the higher the number, the healthier the food. The system takes into account certain aspects of the foods, such as protein and saturated fat, and either docks points or awards points. These scores are then posted in the aisles of choice grocery stores for all the customers to see.

Certain food retailers, such as Hy-vee, Kroger, and Wegmans Food Markets Inc., are also doing their part to help with nutrition by hiring dietitians to walk around their respective stores and help customers make healthy choices. These dietitians are often also available for hire to help make personalized shopping lists and take clients on personalized tours of the store. Safeway, the third largest food retailer in the nation, is going one step further and allowing customers to sign up for an online program that allows them to view the nutrient levels of the household purchases over the last six months. This is made possible through the use of "loyalty cards", which track customers purchases and allow for discounts.

The actions taken by these businesses and corporations are perfect examples of companies in the Hotels, Restaurants & Leisure industry that have taken on corporate social responsibility. In response to the growing obesity epidemic, corporations such as Kroger, have taken it upon themselves to help the nation understand how to make healthier choices, without forcing it upon them. They are creating opportunities for people to educate themselves on how to stay healthy, and creating opportunities for people to apply this education and live healthier lifestyles.

http://online.wsj.com/article/SB10001424052748704229004575371010407610760.html?KEYWORDS=fast+food

Luxury Hotels "Bow to Recession"

This article is a direct example of what the hotel industry should be doing to increase their marginal profits.  In the recent economy, nobody wants to be spending money on things like luxury hotels and expensive restaurants.  In order for the hotels to attract customers that are willing to pay, they need to offer extreme discounts, cheap packages, and deals with local restaurants and credit-card companies, as the Ritz is now apparently doing.  An example of one of the discounts that the Ritz is offering is the point system- “the new points program is one of a number of actions taken at Ritz hotels to try to attract more business and leisure travelers.  For example, earlier in the summer, many resorts offered a special that provided free meals for children.” As the article states, room occupancy has risen almost back to pre-recession times, but “room rates are still sharply lower than they were two years ago. The average cost of a room at the chain in the second quarter was $297, down 19% from $353 in 2008.”  Unfortunately, in the changing economy, it is virtually impossible for luxury hotels to draw in the same number of paying customers, and lowering room rates is still a necessary evil to stay afloat as a company, but the deals are helping to raise revenue and other luxury hotels should pay attention to the Ritz and follow suit. 

            Although the discount programs and other promotions that the Ritz is offering could potentially cost them more than they are earning, if implemented correctly, the profits could be more successful than any other luxury hotel is doing today.  For example, “under the new points program, a 20-night stay at a $300-a-night Ritz room would earn one or two nights at most other Ritz hotels, or 10 nights at many Fairfield Inns or other lower-end Marriot brands.”  This line truly struck me- the deals that this high-end hotel is offering could cost less than an extended stay at a generally “cheap” inn.

http://online.wsj.com/article/SB10001424052748704190704575490113861298350.html?mod=WSJ_Hospitality_leftHeadlines

Hotels Move from Owning to Managing

Recent predictions of the hotel business making a comeback from the recession have some large hotel companies prepared to sell off some of their properties and focus on the "less capitalist" business of managing hotels. Hotel brands such as Marriot International and Hilton are prepared to sell off several of their properties and cash in on the comeback of the hotel industry. Buyers are poised to purchase these properties as revenue per available room is estimated to rise as much as 10.8% by 2011. In turn, they will continue to withhold contracts with the initial owners of the hotels, corporations such as Marriot and Hyatt, who will continue to manage the hotel for a price.

This transfer of the managing and owning power of the major players in the hotel industry will significantly decrease the amount of new hotels opening in the nation. With the major corporations wanting to own only a few significant hotels, it will become increasingly difficult for new hotels to find the funds to open and stay open. In return, the hotel industry will be narrowed down even further to a few big players such as Marriot, Hilton, Hyatt and Starwood owning and managing the few hotels left in the industry. As a result, these businesses will boom and property values will significantly increase.

http://online.wsj.com/article/SB10001424052748703720004575478214068058370.html

the mortgage brings problems

The owners of the Hyatt Regency Jacksonville in Florida missed payments again on its mortgage. Even they had the help from Hyatt Hotels Corp. Last year, when the ownership group led by Charters Lodging Group LLC could not pay for the $150 million mortgages, Hyatt offered $5 million in assistance. In return, Charters let Hyatt manage the 966-room hotel. But the payment of mortgage is still a big problem. According to Realpoint, the hotel’s occupancy dropped from 61% in 2008 to 52% last year. Its net cash flow declined from $10.9 million in 2008 to $4.2 million last year.


The big economic crisis mandates that the owners of the Jacksonville Hotel must change their ways to run the hotel. They can choose to sell the hotel at a low price to others, or, they can take a risk to change the hotel as if to start a new one. If they can finally find a way to cut down th cost and create more revenue, it will be so helpful. All in all, there are some big issues while they run the hotel. They must find them out and solve them.

For the hotel owners who just start this business, we need to be careful when we are going to martgage from the bank. As the econimic is going through a really bad time, the situation is hard for all the new business owners.

link: http://online.wsj.com/article/SB10001424052748704421104575463970323876954.html?mod=WSJ_Hospitality_leftHeadlines

Organic Restaurants on the Rise

This article is a reflection on the changing direction of the restaurant industry.  There is a much higher demand for “fresh organic food”, resulting in a more urgent need for restaurants that cater to that particular consumer market sector.  However, the demand for quick, easy-to-purchase food is still prevalent in society, so the companies must find ways to combine these two demands for the greatest profit margins.  In the example given in the article, “The Plant” is an organic food restaurant that has dedicated two registers to take-out orders to help “speed up breakfast orders to cater to customers dashing to work”.  Through this food distribution technique, The Plant has managed to stay on top of the trends and still run a generally fast-paced, easily accessible restaurant business.

            Although this article gives a simple example that caters to only a small part of the world’s vast restaurant industry, it represents a general movement in the organic direction.  More and more companies are offering vegetarian and vegan options as consumers want easy to get, healthy food.  In the changing industry, it’s important for restaurants to stay on top of the trends and try new marketing and sales techniques, similar to what The Plant has done.  Organic food is an expensive but eventually profitable direction that the restaurant industry should seriously consider.

http://online.wsj.com/article/SB10001424052748704147804575455970021770514.html?KEYWORDS=the+plant

Organic Fast Food Restaurants-A possible new market

The demand for organic food greatly increased in San Francisco, California. Even though more expensive than any other fast food restaurants, financial district workers are willing to pay higher prices for healthy meals offered by the private café called “The Plant”. The event organizer for Morgan Stanley, Shannyn Kastner, gave positive feedbacks on “The Plant.” She enthusiastically stated that she was satisfied of both the food and customer service. This café opened only nine months ago, and already has a solid clientele that keeps on growing everyday.

“The Plant” has a pretty broad menu. They offer a variety of choices such as $5 sandwiches, $8 lasagnas, and $9.5 healthy burgers. The coffee bar also offers the “build-your-own” service for both burgers and salads. The popularity of fast food restaurants lies in the idea of quick and ready to go meals. Now, a few small private restaurants like “The Plant,” are offering that same express service but with healthy food. A healthy fast food restaurant will never be as successful as Mac Donald’s or Burger King, as they will never be able to compete with their low prices such as the dollar menu. However people have become more health conscious, and this new way of life will open doors for healthy fast foods.

Who would ever think that Americans would agree to pay five cents for each bag when purchasing at a grocery store? People are becoming more aware of global warming, and “going green” is a new way of life. Just like the “going green” movement, eating healthy is becoming a must among Americans. I believe that the growth of organic fast food restaurant chains is possible, as everyday more Americans are willing to spend an extra buck for a healthy lifestyle.

Article Source: http://online.wsj.com/article/SB10001424052748704147804575455970021770514.html?KEYWORDS=the+plant

Casino hotel(Gambling) John Kwon

Hospitality service, especially hotel business, has lasted since with traveling. Now days, hotel business is not only place to stay for accommodation but also it is place where every services are provided such as entertainment, conventions, etc…

Hotel industry is all about providing elite services to the customers who often come from different culture or different backgrounds. Therefore hotel industry is a both global, domestic business. The fact that I want to go deep in about the hotel business is the gambling so called casino.

People used to go to only for the purpose of accommodation, however there are people             who go to hotel mainly for entertainment purpose. For example, people travel to Las Vegas to gamble and watching shows. Also people go to Macao for the same purpose. Hence the hotel businesses are now not only focusing on providing better accommodating, but also providing better entertainment services since Gambling took high role in terms of revenue of hotel business now days.

Therefore I believe the gambling (casino) in hotel business takes huge portion of now days  and the future hotel business.

Resorts & Recreation Losing Revenue

There was an article published in yesterday’s Wall Street Journal that explained the economic struggles of the Resorts Atlantic City amid the fall in gambling revenue.  It stated that the company, which is the oldest casino in New Jersey, was in danger of closing down and was trying to find new, innovative ways to make the casino more profitable.  This is indicative of the fact that less people are investing their money in leisure and recreational activities in the recent economic recession, which is causing normally successful and profitable organizations, such as the Resorts Atlantic City, to fail and lose revenue.  The Resorts Atlantic City is merely one of many normally successful companies that are going under, and the recreation industry as a whole is suffering in the current economic climate.

            Globalization has had a large impact on the restaurant industry.  People want to spend less time on food preparation in present-day society, and as a result, they want quicker ways to get food.  Oftentimes, these quick-fix options are ethnic, as many people want a multitude of ethnic foods on-hand 24/7.  As a result, globalization has become more popular so that different ethnic cuisines are much more readily available to the local consumer.  This has taken away from the restaurant industry, however, because many microwavable or quick-fix meal options are easier and cheaper than dining out.  Therefore, globalization has most likely damaged the restaurant industry, seeing as the need to go to a restaurant to enjoy ethnic cuisine has disappeared.  Globalization has also affected the hotel industry, as many hotel companies that originated in the United States have been able to outsource to different countries and continents, allowing for a wider range of customers and a larger source of income.

Globalization--An accelerator in the growth of the Hotels, Restaurants, & Leisure Industry

With the help of new communications, technologies, and international trade, Globalization is continually increasing, making it possible for societies, governments, and companies of different nations to become much more integrated. Globalization has made it easy for people around to world to communicate and do business. Just like every other industry, Globalization plays an important role in the growth of the hotel, restaurant, and leisure industry. Globalization has greatly helped chain restaurants to expand and increase profits in foreign markets. McDonald’s for example, this chain of fast food restaurants serves an average of fifty eight million customers daily. Without globalization, the introduction of Mc Donald’s in the international market would not have been impossible. When a multi-million dollar enterprise emerges into a developing country such as the Dominican Republic, no other local restaurant is able to keep up with them as a competition, therefore destroying the Dominican home market. But on the other hand, McDonald’s helps the economy of the country by creating job opportunities and hiring locals as employees. Entering new markets is extremely challenging for restaurants, as food is a consumption-good, which requires a deep knowledge about consumer tastes that is location specific. Thus, McDonald’s has to vary its menu depending on the wants and needs of that new target market.

Globalization has affected the hotel market as well. Globalization makes it possible for hotels such as “Hilton” and “Best Western” to penetrate foreign markets and become global companies. With traveling rates significantly increasing for both business and vacation purposes, hotels gained interest in expending overboard. Just like in the restaurant industry, globalization may affect the business of local hotels in the country they choose to enter. But the positive side is that they maximize their profits while creating jobs in this new market.

It is true that globalization destroys local companies, cultures, and values. But on the other hand, the development and expansion of the Hotel, Restaurant, and Leisure industry around the world is productive, innovative, and brings employment to the country of entry. Globalization will continue to grow and affect the business world.

Hospitality Industry---Ready and Waiting

With the economic downturn these past few years, many people decided to give themselves a rest from travelling for a year or two, keeping their wallets or purses close at hand. However, all economic downturns eventually end and with new growth and prosperity, there will be a yearning for travel by the public after a few years of ‘cabin fever’. The hospitality and travel industry will thus experience rapid expansion over the next few years. There will be 140,000 new jobs created by this rapid expansion.


There are hundreds of different jobs in a hotel. Not the same as most other industries, the hospitality industry is an industry where the top chef can be paid as much as the general manager. Still, like other industries, hospitality requires high-education and lots of work experience. At the same time, they need people who are good at dealing with the relationship with others, good at doing team work.But it is not as easy as what we may imagine to work in a hotel. A person may need to begin his or her job as a doorperson or bagperson. Then one can get promoted little by little. So no matter what a person is going to do, hard work along with training is key for the customer experience.

In summary, the hospitality industry will experience rapid growth in the next few years as the current economic downturn ends. Therefore, managers need to prepare today by hiring and training staff now to be able to accommodate these once-again travelers with the need to spend money. These hotels who stand ready will garner the coveted repeat customer if so prepared.

Restaurant Grading System

Recently the New York Restaurant Association has put into place a restaurant grading system that has several restaurants in anxiety over passing grades. Restaurants are being put under pressure to pass new inspection exams, the results of which are letter grades that will be posted for the public to see. The significance of this new testing system is that not only are the restaurants graded on a letter scale, but also if they score less than an A, they are either subject to a follow up inspection that takes place approximately two weeks after the first, or forced to shut down until certain health requirements have been fixed. The Health Department hopes to inspect all of New York City's 24,000 establishments in the next fourteen months. As a cautionary measure, many restaurants are now hiring consultants to do weekly walk throughs of their establishments.

Although this new inspection system is specialized in New York City, if it proves to be effective in weeding out unsatisfactorily run restaurants, it may spread to other parts of the US. This may effect the growth of the restaurant industry by decreasing the amount of new restaurants planning to open, while also decreasing the amount of operating restaurants. Also, the new inspection system may effect the pricing of restaurants. With the new cost of maintaining a private consultant, restaurants may resort to raising their prices, which may in turn result in a decrease in consumer activity.