LEVERAGE TECHNOLOGY TO RULE IN YOUR NICHE
Effect of Recession on Hospitality Industry
The economic downturn gripping the global economy has had a major impact on the hospitality industry. The effects – both negative and positive – look to be long lasting. The cutbacks in both business and leisure travel led to a severe drop in occupancy rates and revenues. This has caused many sectors in the industry to suffer multi-year declines. While the most severe aspects of the downturn may have abated, they are still being felt.
While growth in developed countries such as the US, and Western Europe seems to have stagnated, developing economies such as the Middle East, India and China are seeing a huge growth. This growth is fueled by the GDP growth, and also by the fact that these nations are not hosting major international sporting events like the Olympics and FIFA.
Some of the trends emerging in this sector are: