Last updated: September 28, 2019
Topic: ArtBooks
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Hotel industry depends mostly upon the foreign tourer reachings further classified into concern travellers ( around 65 % of the entire foreign tourers ) and leisure travellers. The undermentioned figures show that concern every bit good as the leisure travellers ( both domestic and international ) formed major patronages for hotels in 2004.

Over the last two old ages, the hotel industry has seen higher growing rates due to greater figure of tourer reachings, higher tenancy rate ( being about 75 % in FY’06 ) and important addition in mean room rate ( ARR ) . The major factors lending to this growing include stable economic and political conditions, dining service industry, FDI influx, substructure development, accent on touristry by the cardinal every bit good as province authoritiess and revenue enhancement rationalisation enterprises to convey down the revenue enhancement rates in line with the international degrees.

Main Features:

In the hotel sector, a figure of multinationals have strengthened their presence. Players like Four Seasons are besides likely to come in the Indian market in the close hereafter. Furthermore, Indian hotel ironss are besides spread outing internationally. A combination of all these factors could ensue in a strong outgrowth of budget hotels, which could potentially take down the cost of travel and related costs.

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The mean room rate ( ARR ) and tenancy rate ( OC ) are the two most critical factors that determine profitableness. ARR depends on location, trade name image, star evaluation, quality of installations and services offered. The tenancy rate depends on other seasonal factors.A

The industry is more dependent on metropolitan metropoliss as they account for 75 % to 80 % of the grosss, with Delhi and Mumbai being on top.

Service flats: A The construct of service flats, though a recent phenomenon in India, is an established planetary construct. Villas in Spain, flats in the UK and flat composites in the US have all created a feasible market for those who want more than merely a room in a hotel. Service flats are the latest tendency in adjustment, offering the comfort and convenience of a place without the fusss of holding to keep or look after it. Ideally suited for medium-to-long staying invitees, service flats are a natural pick for corporate employees or expatriates relocating to a peculiar metropolis, non-resident Indians sing the state for long enchantments and aliens sing the metropolis for long continuances.

Low cost bearers: A Travelers in general are more monetary value sensitive to airfare than they are to hotel room rates. Often a low airfare will excite demand for travel even if hotel monetary values are increasing. LCCs are a good option for concern travellers, as they have advantages like low costs, more options and connectivity.

Taj Group

The Indian Hotels Company ( IHC ) is the parent company of Taj Hotels Resorts and Palaces. It was founded by Jamsetji N. Tata on December16, 1903. Currently the Taj Hotels Resorts and Palaces comprises 57 hotels at 40 locations across India. Additional 18 hotels are besides being operated around the Earth. During financial twelvemonth 2006, the entire figure of hotels owned or managed by the Company was 75.

The Taj hotels are categorized as luxury, leisure and concern hotels. The Taj Luxury Hotels offer a broad scope of epicurean suites with modern fittingness Centres, rejuvenating watering place, and well-equipped feast and meeting installations. The Taj Leisure Hotels offer a complete vacation bundle that can be enjoyed with the whole household.

It provides exciting activities runing from athleticss, civilization, environment, escapade, music, and amusement. The Taj Business Hotels provide the finest criterions of cordial reception, which helps the concern trips to be productive. They offer well-found suites, telecommunication installations, efficient service, forte eating houses and lively bars, well-equipped concern Centres, and other conference installations.

WelcomHeritage ( These hotels are spread over all over Indias and are presently runing in Rajasthan, Punjab, Himachal Pradesh, Madhya Pradesh, Uttaranchal, Jammu & A ; Kashmir, West Bengal, Tamil Nadu, Haryana and Karnataka. )

ITC Hotel Maurya Sheraton & A ; Towers, New Delhi

ITC Hotel Grand Maratha Sheraton & A ; Towers, Mumbai

ITC Hotel Sonar Bangla Sheraton & A ; Towers, Kolkata

WelcomHotel Mughal Sheraton, Agra


The Taj Group of Hotels will put about Rs 1,000 crore for building four new hotels in Bangalore. It has submitted an Expression of Interest to Delhi Airport International Limited ( DAIL ) . The company has besides submitted an Expression of Interest for constructing a top-class hotel in the airdrome locality. Besides the company has been allocated a site at Greater Noida for constructing a hotel, while it is acute on come ining into a direction contract for a hotel in Gurgaon. The Group was besides eyeing to come in hotel concern overseas like Maldives, Mauritius, Colombo, Boston and Sydney. The Group is besides be aftering to research seven more locations in Mumbai and increase its entire room capacity to 2,000 in the commercial capital in the following five old ages.

This enlargement of its budget hotels will bring forth legion occupations in the industry. The group has besides taken up the redevelopment and direction of Rail Yatri Niwas, the well-known Delhi budget hotel owned by the railroads, on a 15-year rental. As portion of the trade with the Indian Railway Catering and Tourism Corporation ( IRCTC ) , which presently runs it, the Taj group will restitute the Yatri Niwas and add nutrient tribunals within the composite. The makeover will be done on a redesign-operate-manage-transfer footing. The hotel will be run under the Taj group ‘s budget hotel trade name, Ginger, which has hotels in Mysore, Bangalore, Thiruvananthapuram, Haridwar and Bhubaneshwar. Taj group of hotels will upgrade all four Rail Yatri Niwas hotels located in Delhi, Howrah, Ranchi and Puri.A

Radisson Hotels & A ; Resorts

Radisson Hotels & A ; Resorts: Radisson hotels are a world-wide concatenation of 435 hotels with a sum of 102,000 invitee suites, in 61 states. The first Radisson Hotel was built in 1909 and was purchased by Curt Carlson in 1962 and is still owned by his Carlson Companies. Radisson Hotels International is a to the full owned subordinate of the Carlson Hospitality Worldwide, which is one of the major runing groups of Carlson Companies Inc.Carlson Hospitality trade names include – Regent International Hotels, Radisson Hotels Worldwide, Country Inns and Suites by Carlson, Park Hospitality, Carlson Vacation Ownership, and Carlson Lifestyle Living. Carlson companies besides include the Carlson Wagonlit Travel, Carlson Leisure Group, Carlson Marketing Group and a worldwide selling services company.

With more than 1520 hotel, resort, eating house and sail ship operations in 79 states, Carlson Companies provide employment to 190,000 people in more than 140 countries.A


Intense competition and image of India: A The industry is witnessing heightened competition with the reaching of new participants, new merchandises and new systems. The competition from neighbouring states and negative perceptual experiences about Indian touristry merchandise constrains the growing of touristry. The image of India as a state overrun by poorness, political instability, safety concerns and diseases besides harms the touristry industry.A

Customer outlooks: A As India is emerging as a finish on the planetary travel map, outlooks of clients are lifting. The companies have to concentrate on client trueness and repetition purchases.A

Manual back-end: A Though most reputed ironss have IT enabled systems for belongings direction, reserves, etc. , about all the information which really make the company work are filled in manual log books or are merely non tracked.A

Human resource development: A Some of the services required in the touristry and hotel industries are extremely personalized, and no sum of mechanization can replace for personal service suppliers. India is concentrating more on white neckband occupations than bluish collar occupations. The deficit of bluish collar employees will present assorted menaces to the industry.