Académique Documents
Professionnel Documents
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(MBA-043)
ON
“Prospects and challenges in Hospitality Business:
A study with selected Hotels & Resorts in Bareilly”
I hereby declare that the project report entitled “Prospects and challenges in
of Business Administration.
original work and not submitted for the award of any other degree, diploma,
I wish to express my gratitude to all that concerned persons who have extended their
kind help, guidance and suggestion without which it could not have been possible for
I am deeply indebted to my guide Mr. zubair Ahmad for not only his valuable and
enlightened, guidance but also for the freedom he rendered me during this project
work.
My sincere thanks to my entire faculty members for offering me all kinds of support
My heart goes out to my parents who bear with me all the trouble I caused them with
Anjali chaudhary
PREFACE
There are few observations that may help the reader through the pages ahead. This
report is based on the data collected by me during my semester classes and put them in
to my findings..
institutions are performing the job of imparting management education to the students.
The management orientation during semester studies has been made an inbuilt part of
M.B.A program because besides the theoretical knowledge is also essential for an
Chapter- 1 Introduction
2. objective of study
Chapter-5
5.1 Findings
Chapter-6
Bibliography
Chapter-7 Annexure
CHAPTER-1
INTRODUCTION OF TOPIC
1.1: Introduction
This project work is taken as a part of my 4 th semester of MBA course. Now a days
hotel industry is growing very rapidly. Also India has been ranked as the fourth most
preferred travel destination and with Lonely Planet selecting the country among the
top five destinations from 167 countries; India has finally made its mark on the world
travel map.
industry. section1.4 explains about the Bareilly city, how this city is.
Section 1.5 describes the main attraction point of this city which able
Bareilly. Section 1.7 about the resort which is only one in Bareilly.
Hotels in India' have supply of 110,000 rooms. According to the tourism ministry,
4.4 million tourists visited India last year and at current trend, demand will soar to 10
million in 2010 - to accommodate 350 million domestic travelers. 'Hotels in India' has
a shortage of 150,000 rooms fuelling hotel room rates across India. With tremendous
pull of opportunity, India is a destination for hotel chains looking for growth. The
World Travel and Tourism Council, India, data says, India ranks 18th in business
travel and will be among the top 5 in this decade. Sources estimate, demand is going
to exceed supply by at least 100% over the next 2 years. Five-star hotels in metro
cities allot same room, more than once a day to different guests, receiving almost 24-
hour rates from both guests against 6-8 hours usage. With demand-supply disparity,
'Hotel India' room rates are most likely to rise 25% annually and occupancy to rise by
80%, over the next two years. 'Hotel Industry in India' is eroding its competitiveness
as a cost effective destination. However, the rating on the 'Indian Hotels' is bullish.
'India Hotel Industry' is adding about 60,000 quality rooms, currently in different
stages of planning and development and should be ready by 2012. MNC Hotel
Industry giants are flocking India and forging Joint Ventures to earn their share of pie
in the race. Government has approved 300 hotel projects, nearly half of which are in
the luxury range. Sources said, the manpower requirements of the hotel industry will
With the USD 23 billion software services sector pushing the Indian economy
skywards, more and more IT professionals are flocking to Indian metro cities. 'Hotel
Industry in India' is set to grow at 15% a year. This figure will skyrocket in 2010,
when Delhi hosts the Commonwealth Games. Already, more than 50 international
budget hotel chains are moving into India to stake their turf. Therefore, with
opportunities galore the future 'Scenario of Indian Hotel Industry' looks rosy.
unprecedented pace. India faces a huge challenge of being "under roomed" while the
economy is growing rapidly. This provides for a huge opportunity for hospitality
industry. A lot of large real estate developers are also investing into this business to
A number of cities have blossomed with suburban "Silicon Valley" type Special
Economic Zones (SEZs). This is mostly driven due to strong growth in IT, BPO
affordable airlines fares, etc. Several other factors such as Commonwealth Games in
Delhi are fueling the need further. The middle class is becoming more prosperous and
native Indian tourist travel is growing rapidly, particularly in places such as Goa,
areas attracting international investment and as expected, are the cities with the largest
development pipelines. Combined, these cities account for 89 of the 161 projects in
the pipeline and 16,734 guestrooms, which is 68% of the rooms in India's total
pipeline.
What is the reason behind this sudden growth in the hotel industry in India?
The hotel industry in India is going through an interesting phase. The industry has a
capacity of 110,000 rooms. According to the tourism ministry, 4.4 million tourists
visited India last year and at the current rate, the demand will soar to 10 million by
2010 – to accommodate 350 million domestic travelers. The hotels of India have a
shortage of 150,000 rooms fueling hotel room rates across India. With tremendous
pull of opportunity, India has become a destination for hotel chains looking for
growth.
Due to such a huge potential available in this segment, several global hotel chains like
the Hilton, Accor, Marriott International, Berggruen Hotels, Cabana Hotels, Premier
Travel Inn (PTI), InterContinental Hotels group and Hampshire among others have all
announced major investment plans for the country. The Government's move to declare
hotel and tourism industry as a high priority sector with a provision for 100 per cent
foreign direct investment (FDI) has also provided a further impetus in attracting
It is estimated that the hospitality sector is likely to see US$ 11.41 billion rise in the
next two years, with around 40 international hotel brands making their presence
known in the country by 2011. Simultaneously, international hotel asset management
companies are also likely to enter India. Already, US-based HVS International has
firmed up plans to enter India, and industry players believe others like Ashford
Hospitality Trust and IFA Hotels & Resorts among others are likely to follow suit.
One of the major reasons for the increase in demand for hotel rooms in the country is
the boom in the overall economy and high growth in sectors like information
technology, telecom, retail and real estate. Rising stock market and new business
opportunities are also attracting hordes of foreign investors and international corporate
Also India has been ranked as the fourth most preferred travel destination and with
Lonely Planet selecting the country among the top five destinations from 167
countries; India has finally made its mark on the world travel map. Thus, the increase
in the need for accommodation has hugely increased the demands for hotels which in
turn has boosted the growth of the hospitality sector in India especially that of the
hotel industry.
system and Resort management software handles the key aspects of the running of
client’s business, including bookings & reservations, Housekeeping, Spa, POS and
generating reports.
1.3 Major Challenges for Hospitality Industry:
and development in the hotel industry is a problem and attrition levels are too
high. One of the reasons for this is unattractive wage packages. Though there is
boom in the service sector, most of the hotel management graduates are joining
estimated that the current requirement is of 1,50,000 rooms. Though the new
investment plan would add 53,000 rooms by 2011, the shortage will still persist.
competition with the arrival of new players, new products and new systems. The
tourism product constrains the growth of tourism. The image of India as a country
overrun by poverty, political instability, safety concerns and diseases also harms the
tourism industry.
5. Customer expectations: As India is emerging as a destination on the global travel
map, expectations of customers are rising. The companies have to focus on customer
property management, reservations, etc., almost all the data which actually make the
company work are filled in manual log books or are simply not tracked.
hotel industries are highly personalized, and no amount of automation can substitute
for personal service providers. India is focusing more on white collar jobs than blue
collar jobs. The shortage of blue collar employees will pose various threats to the
industry.
Bareilly is one of the very important towns in the Indian State of Uttar Pradesh. The
commercial center in North India and has several small and medium sized industries.
trade in the city. The city situated on the banks of Ram Ganga has a rich heritage and
long history to boast about. The city has a mention in Epic Mahabharata as the capital
of 'Panchal' rulers. In the Medieval period it was under the Rohila. Mukrand Rai laid
Bareilly is an old city and has a lot of tourist places to explore and some of them we
Parks:
Temples:
Bareilly city is a spiritual city therefore lots of holy temples are here and some of them
Majares:
This city has a pride history of Muslim sages. Therefore some holy majares are here
and these are Majare Aala Hazrat, Khanqahai Aaliya Niyazia, Bara Burji Masjid
(Tehsil, Aanwala).
Church:
Bareilly is world wide famous for his Bamboo furniture work and Zari Zarkari work.
You can get these items of bamboo in almost every corner of the Bazaar. Bareilly is
also famous for its camphor industry (the city is largest producer and exporter of
camphor in India). Surma is another product for which Bareilly is famous, so please
don’t forget to buy such world famous products from the Bareilly Bazaar.
3. Krishna Palace
8. D. Grand hotel
9. Bareilly Palace
10. K- Palace
11. Diplomat Residency Hotel
1. Alaknanda resort
Research Question:
Prospects and challenges in Hospitality Business: A study with selected hotels and
“Study of how hotel industry is growing and works in small city like Bareilly
and also what are the various opportunity and challenges for this business.”
Objective Of Research
2. To identify that what are the opportunities and challenges in hotel business.
3. To know what are the various opportunities and challenges in small city like
Bareilly.
Chapter-2
the most known service provider of the hospitality industry. The exotic range
Deluxe Room, Luxury Executive, Executive Mini Suite, and Dining, Parties,
The guests are enchanted by our services, they provide world class services like
Mughlai and South Indian cuisines, an air conditioned Bar, 50 air conditioned
double rooms, Three air conditioned Banquet Halls, spacious parking facility up to
50 cars at a time. Today, they have distinct position in the market because of the
hotel due to the comfort, modern and basic facilities customers avail at very
nominal prices. To excel in the hospitality industry, they have hired the most
and hard working staffs works round the clock to serve our guests on prompt and
timely basis. They work 365*24*7 to assist guests. Committed staff hired by them
always takes care to assist the needs of the guests. Quality is one factor where they
provided by them. They maintain the synergy between the quality and hygiene at
Hotel. Food provided by them is prepared in the most hygienic area. The upkeep of
the room and public areas are also well maintained by them. They design the
strategies keeping in mind the requirements of the customers. They not only meet
but also exceed the expectations of the guests. Due to their quality oriented
strategy, they have gained many awards by the Indian Government. We have also
Hotel Pancham Continental is one of the best three star business hotels located at Civil
Lines near Station Road in Bareilly. The offer great hospitality which no hotel
symbolizes as per the hotel, they offer traditional grandeur and hospitality. It is
located in the heart of the city Bareilly where commercial centres are located. The
hotel itself is a distinctive landmark. They offer beautiful and unmatched ambience
with glass elevators which further adorn the lobby. The hotel has very beautiful
interiors and decors. This hotel is best suited for business and leisure travellers. From
Lucknow Airport it is 250 kms & Delhi airport is 275kms but Railway Station is just
0.5 kms & Bus Station is 2 kms. The hotel is situated very near to Railway Station and
it takes just 10 mins walk from the bus stand. It is very easily accessible. As it is
located in the heart of the Commercial Centre of Bareilly, many tourist attractions are
there and it is well connected by road and rail. The hotel building is well maintained
rooms & suites, exquisite food & beverage facilities, along with beautiful and
spacious conference facilities, banquets and much more. They also have a fully well
services, etc. The staffs are very friendly and provide relentless service to the utmost
satisfaction. They offer great food at their restaurant and also offer drinks and
beverages at their bar. They provide Banquet halls which are centrally air conditioned
and largest in the city and got all the facilities of well equipped Banquets and
Conference venues with state-of-the-art audio and video aids, perfect place for
Parties, Weddings, Receptions etc.This hotel is one of the most preferable venue in the
city of Bareilly. This city is a old city and there are lots of tourist places to explore
like temples, church, parks. Some of which includes Akshar Vihar, Executive Park,
Khanqahai Aaliya Niyazia, Alakhnath Temple, Bara Burji Masjid, Tibri Nath Temple,
Hotel Sita Kiran is one of the most preferred hotels located at Civil Lines in Bareilly.
This hotel is ideally located near the Bareilly Bus Station, 1.5 km from Bareilly
Railway Station & 1/2 km from Roadways Bus Stand. Also, this hotel is is easily
accessible from Bareilly City Railway Station as it is very near. They offer elegantly
equipped rooms and suites with modern amenities and sumptuous multi cuisine food
which includes Indian, Chinese and continental delights. They also have a well-
stocked bar and conference and banquet venue along with outdoor caterings at the
majestic lawns. The hotel is very clean and quite place and well maintained. They are
known for good ambience and decent atmosphere. The hotel is quite old now serving
from last 15 years, they offer beautiful structure and architecture of this hotel.
Standard Room are spacious and every one would like to make his stay memorable.
The suites has a living room and bedroom, both of them offering a panoramic view &
Luxury executive house offers home like feeling as they have all the facilities.
The hotel has 40 rooms including 1 suites. The rooms are categorised into various
parts which includes Suite Room, Luxury Executive House, Standard and Superiors
Room. The rooms and suites are well designed and are well furnished with all the
facilities and amenities like attached bathroom with hot and cold running water,
hygienic floor, DVD Player, 24-Hour Room Service, Direct dial telephone facility,
spacious, clean and tastefully furnished rooms, a television with cable connection.
The hotel boosts of a supremely elegant classical and colonial era architecture that is
blended beautifully with modern day furnishings and eclectic upholstery. The hotel
has been designed in such a manner that with its beautiful rooms, restaurants, fitness
& wellness centres, techno savvy business centre, banquet halls and an ever polite and
3 Alaknanda resort-
3.1 INTRODUCTION
The word “Alakhnanda” means flawless- is the ideal gateway that provides an
outstanding & excellent experience beyond words. It provides an unparalleled elegant resort
lifestyle. Its location can be easily accessible. It is a luxury resort with four extensive suits
overlooking the spectacular water lake. An enchanting boat ride across water lake transport to
the ceremonial welcome that awaits you at the resort. It is for relaxation, enjoyment and
rejuvenation foremost in the mind.
It provides the finest, most extraordinary SPA resort in the nation. Also it makes
your trip relaxing & refreshing. It is situated on Bareilly Nanital highway with lush green
view spread all over 2.5 lack square feet. It is an ideal and a marvelous place for marriages,
family entertainment, Birthday celebrations, Office conferences and Schools/Colleges
picnics.
3.2 FACILITIES AVAILABLE
Luxurious & Spacious Rooms
All rooms are Air- conditioned
Room with Colour TV & Mini-Bar
Running Hot & Cold water
Refrigerator in Room
Efficient Room Service
Multi Cuisine Restaurant
Conference Hall
Swimming Pools
Lake Boating
Indoor & Outdoor games
Pool Table & Gamming Station
Rain Dance
Terrace Party & D.J. Dance party
Same Day Laundry Service
Children Playground
Folk Dance
Ample Parking for more than 150 cars
Banquet Halls & Party Lawns with Lake
Doctor on call
solve the problem or attain its objectives. It is a very important guideline and lead to
completion of any project work through observation, data collection and data
analysis .
&researching to conclusions.”
objectives)
Conclusion, findings and suggestions.
In order to take a reasonable sample size and not to disturb the functioning of the
organization, a sample size of reasonable strength of the Hotels has been taken in
Accordingly, 4 hotels and 1 resort have been selected at random from the no. of
hotels in Bareilly. The data has been analyzed in order to arrive at present condition of
The technique of Random Sampling has been used in the analysis of the
selection, which gives each possible sample combination an equal probability of being
picked up and each item in the entire population to have an equal chance of being
included in the sample. This sampling is without replacement, i.e. once an item is
To determine the appropriate data for research mainly two kinds of data was collected
Primary data are those, which were collected afresh & for the first time and thus
happen to be original in character. However, there are many methods of collecting the
primary data; all have not been used for the purpose of this project. The ones that have
Questionnaire
Informal Interviews
Observation
Secondary data is collected from previous researches and literature to fill in the
Journals
Websites
The main statistical tools used for the collection and analyses of data in this project
are:
Pie Charts
Tables
The sample size was small and hence the results can have a degree of variation.
This study gives some suggestions for making improvements in the service quality.
It gives the direction, how Hotel industry is booming now a days and lucrative
market it has.
This study helps to identify the major challenges and opportunities prevailing .
Chapter -4
Data analysis and interpretation
1. How you rate the prospect of the hotel in city like Bareilly?
Option Response in%
Very bright 40
Bright 40
medium 20
low 0
20%
40%
very bright
bright
medium
low
40%
Interpretation-
Hotel Swarn Towers and Hotel Pancham Continental respond that they have bright
prospect in Bareilly but others hotel Sita Kiran And Diplomat Regency respond that
Less than 10
0%
10 - 20
20%
20 - 30
60%
More than 30
20%
60%
Interpretation-
In Alaknanda Resort 10 to 20 customers comes, in hotel Pancham Continental, Diplomat
Q. 3- How many customers visits at your hotel in normal days (per day)?
Option Response in %
0%
Less than 10
20%
10 - 20
40%
20 - 30
40%
More than 30
40%
40%
Interpretation –
more than 30 customers and in Sita kiran and Pancham Continental 20 to 30 customers visit
but it is only tentative figure not accurately, sometime it depends upon the conditions.
Option Response in %
20%
1 to 2
40%
3 to 4
40%
4 to 5
0%
More than 5
1 to 2 3 to 4 4 to 5 more than 5
20%
40%
40%
Interpretation-
Hotel Swarn Tower and Deplomat Resedency have 4 to 5 category of rooms in their
hotel and hotel Sita kiran and Pancham Continental have 3 to 4 category of room and
Option Response in %
Yes 80%
No
20%
Yes No
20%
80%
Interpretation-
All the hotels and resort respond that yes it provide opportunities as being the connecting
point of the cities but hotel Swarn Tower denied ths fact.
Q. 6 Do your hotel conduct any occasional fest like, Diwali mela , Valentine-day,
Christmas eve etc. to attract the customer?
Option Response in %
Yes 100%
No
0%
yes no
100%
Interpretation –
All the hotels and resort respond that they conduct occasional fest time to time.
Option Response in %
Yes 60%
40%
No
yes no
40%
60%
Interpretation –
All the hotels respond that there is average competition except Swarn Towers and about
Chapter – 5
5.1 Findings
Bareilly has developed very fast in last 10 years compare to 50 years ago.
In this industry there is lots of opportunities, although it is small city yet it has
Bareilly has many attraction points to attract no. of customers but businessman
Chapter- 6
6.1 Bibliography
Websites –
www.hotelswarntowers.in
www.hotelpancham.net
www.diplomatresidency.com
www.hotelsitakiran.com
Chapter -6
Annexure
Q. 1- How you rate the prospect the hotel in city like Bareilly?
Very bright
Bright
Medium
Low
Less than 10
10 - 20
20 - 30
More than 30
Less than 10
10 - 20
20 - 30
More than 30
1 - 2
3 - 4
4 - 5
More than 5
Q. 6 Do your hotel conduct any occasional fest like, Diwali mela , Valentine-day,
Christmas eve etc. to attract the customer?
Yes
No
Very prompting
Equal
Average
Less competitive