For the past two years, the hotel industry has been facing significant challenges due to the economic recession. The traveling rate of both, businessmen as well as vacationers has incredibly dropped; therefore, after the industry’s golden year in 2007, occupancy rates experienced a strong decline in 2008 and 2009. However, collected data for this year shows modest improvement from the very weak levels of the two previous years.
Those past couple of years have also been rough for the Restaurant industry; it was affected directly and indirectly by the recession. First of all, eating outside of home became an unnecessary expense that was cut due to economic difficulties. Secondly, the decline of the traveling rate during the past two years had an impact on the Restaurant industry as well. According to the National Restaurant Association’s 2007/2008 Operations Review, travelers accounted for a median of 15% of sales at quick-service restaurants, 20% at casual dining establishments, and 40% at fine dining restaurants.
The hospitality industry has been one of the greatest victims of the recession. However, the economy’s ongoing recovery has shown great improvement. Thus a full recuperation promises new large revenues for the hotels, restaurants, and leisure industry.
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