FUNDAMENTAL OF TOURISM AND HOSPITALITY NOR HUDA BINTI MD ASRI NURULLIA NATASHA BINTI JAMAL NURUL SAFAWATI BINTI ABD AZIZ 1ST EDITION
Copyright @ 2023, Polytechnic METrO Kuantan All rights reserved. This publication is protected by copyright, and permission must be obtained from the publisher prior to any prohibited reproduction, storage in a retrieval system, or transmission in any form or by any means, electronic, mechanical, photocopying, recording, or otherwise. To obtain permission to use material from this work, please submit a written request to: Politeknik METrO Kuantan No A5 Jalan Tun Ismail 2 Sri Dagangan II, 25000 Kuantan Pahang Darul Makmur. Malaysia Tel: +6095659000 Faks: +6095173259 www.pmku.edu.my
PREFACE “FUNDAMENTAL OF TOURISM AND HOSPITALITY” was produced to increase the understanding of the students who followed the course more deeply. The focus of this e-book is on the initial topics in the course which are topics one and two. Students can master the topic more easily with more detailed and clear explanations. Furthermore, this electronic book can aid instructors in providing more explicit and precise guidance to their students. By making this e-book accessible, it is expected that students can enhance their comprehension of the Course Learning Outcome, potentially reducing the proportion of students who struggle to grasp the fundamental concepts of the course. The author also aspires for the ongoing development of this book in the future, with the inclusion of additional crucial topics and course elements. The aim is for this e-book to offer motivation and enhance the comprehension of PMKu students, specifically.
TABLE OF CONTENT PROFILE OF TOURISM AND HOSPITALITY Definition of Tourism Characteristic of Tourism and Hospitality Industry Inter-relationship of Tourism and Hospitality Industry Inter-Relationship of Travel Operations and Tourism Inter-Relationship of Leisure, Recreation and Tourism Types of Tourist Tourist Typologies Form of Tourist Sub Sector in Tourism Industry Other Terminologies SECTOR OF TOURISM AND HOSPITALITY Transportation Sector Accommodation Sector Food and Beverage Sector Attraction Sector Recreation and Adventure Sector Meeting, Incentive, Convention adn Exhibition (MICE) Travel Trade Sector Tourism Service Sector The Interrelationship of Each Sector Involve The Complexity of the Tourism and Hospitality EXERCISE 01 02
PROFILE OF TOURISM AND HOSPITALITY INDUSTRY DEFINITION OF TOURISM Tourism comprises the activities of persons travelling to and staying in places outside their usual environment for not more than one consecutive year for leisure, business and other purposes. Tourism is indeed an industry that involves both the production and consumption of goods and services. It encompasses a wide range of economic activities related to travel and leisure, and it plays a significant role in many countries' economies. Here's how tourism involves the production and consumption of goods and services.
Production of Goods and Services • Accommodation: Hotels, motels, resorts, and vacation rentals are examples of goods (rooms) and services (hospitality) produced to accommodate travelers. • Transportation: Airlines, cruise lines, rental car companies, and public transportation services provide goods (seats, vehicles) and services (transportation) for tourists. • Food and Beverage: Restaurants, cafes, bars, and food vendors offer goods (meals and drinks) and services (dining experiences) to tourists. • Attractions and Activities: Tourist attractions, museums, theme parks, and guided tours offer both goods (access, tickets) and services (experiences, guided information). • Souvenirs and Gifts: Shops selling local products, crafts, and souvenirs produce and sell goods to tourists.
+123-456-7890 The aim of receiving economic benefits from money spent by tourists is a fundamental aspect of the tourism industry and is often a primary motivation for regions and businesses to promote and develop tourism. These economic benefits can manifest in several ways: Revenue Generation: Tourism brings in revenue to local businesses, including hotels, restaurants, shops, and attractions. This influx of money stimulates economic activity in the destination. Employment Opportunities: The tourism industry creates jobs directly and indirectly. People are employed in various sectors, such as hospitality, transportation, entertainment, and retail, to serve the needs of tourists. Infrastructure Development: The need to accommodate tourists often drives infrastructure development, including the construction and improvement of roads, airports, public transportation, and utilities.
+123-456-7890 Cultural Exchange: Tourism can promote cultural exchange and preservation. Communities may showcase their traditions, arts, and heritage to tourists, generating income from cultural experiences and preserving their cultural identity. Entrepreneurship Opportunities: Tourism can encourage entrepreneurship as individuals and small businesses identify opportunities to provide unique products or services to tourists. Community Benefits: Tourism can support community development through the creation of community-based tourism initiatives, leading to a more equitable distribution of economic benefits among local residents.
Tourism involves the movement of people for various purposes, and it can be categorized into two main types based on the origin and destination of travelers Domestic Tourism Domestic tourism refers to travel within one's own country. It involves residents of a country traveling to different regions or destinations within the same country for leisure, business, or other purposes. Examples of domestic tourism activities include residents going on vacation to national parks, visiting cities within their country, attending business conferences, or exploring local attractions. International tourism, also known as inbound and outbound tourism, involves the movement of people across international borders. It includes residents of one country traveling to another country or foreign nationals visiting a specific country. Inbound tourism refers to foreign visitors coming into a country for tourism, while outbound tourism refers to residents of a country traveling to foreign destinations for tourism purposes. International tourism encompasses various activities, such as international vacations, business travel, cultural exchange, and more. International Tourism
CHARACTERISTIC OF TOURISM AND HOSPITALITY Perishable Intangibility Inseparability Variability/ Changebaility
Services cannot be stored: Unlike physical products that can be warehoused and stored for later use, services are typically produced and consumed simultaneously. Once a service opportunity passes or a service is not used at its designated time, it cannot be saved or stored for future use. Services have time constraints: Many services are time-sensitive and have a specific time frame during which they are available or relevant. For example, a concert, a flight, or a hotel room for a specific date can only be utilized during that specific time. Unused service capacity is lost: Service providers often face the challenge of managing capacity efficiently. Any unused service capacity, such as unsold tickets for an event, vacant hotel rooms, or unbooked appointments, represents lost revenue that cannot be recovered. Demand fluctuations: Due to the perishable nature of services, demand for services can fluctuate significantly based on factors like seasonality, holidays, or special events. Service providers need to adapt their pricing, marketing, and capacity management strategies to match these demand patterns. Perishability is a characteristic often associated with services, and it means that services have a limited shelf life or duration during which they can be offered or consumed. In the context of services, perishability refers to the fact that:
Understanding the perishability of services is crucial for service-based businesses, as it influences pricing strategies, capacity management, and overall business planning. Service providers must effectively manage their resources and time to maximize revenue and customer satisfaction while minimizing waste.
Intangibility is one of the key characteristics that distinguish services from tangible products. In the context of services, intangibility means that services lack physical substance or a tangible form that can be seen, touched, or held. Here are some important points related to the concept of intangibility in services: Lack of Physical Form: Services are abstract and do not have a physical presence. They are experiences, actions, or processes that are provided to customers. For example, getting a haircut, receiving medical advice, or attending a live concert are all service experiences. Perception and Evaluation: Because services are intangible, customers often evaluate them based on their perceptions, feelings, and experiences. The quality of service is often judged by factors such as customer satisfaction, the friendliness of staff, and the overall experience. Marketing and Promotion: Marketing intangible services can be challenging because there is no physical product to showcase. Service providers often rely on branding, reputation, testimonials, and the promise of a positive experience to attract customers. Use of Tangible Cues: To make the intangible more tangible, service providers often use tangible cues or physical elements. For instance, a restaurant may use physical menus, table settings, and décor to enhance the overall dining experience.
Understanding the intangibility of services is important for businesses in the service industry because it affects how services are marketed, delivered, and evaluated. Effective communication, building trust, and managing customer expectations are critical aspects of providing intangible services successfully.
Inseparability is one of the unique characteristics of services, often referred to as one of the "Four I's" along with intangibility, variability, and perishability. Inseparability means that in the context of services: Production and Consumption Occur Simultaneously: Unlike tangible products, where production occurs separately from consumption, services are typically produced and consumed simultaneously. This means that the service is delivered directly to the customer as it is being created. Customer Involvement: Inseparability often requires active customer involvement in the service delivery process. Customers play a role in co-creating the service experience and may influence the outcome based on their interactions with service providers. Customer Contact: Because services involve direct interactions between service providers and customers, the quality of these interactions can significantly impact the overall service experience. Positive and negative interactions with service personnel can have a profound effect on customer satisfaction.
Managing inseparability in service delivery is essential for ensuring a positive customer experience. Service providers often focus on training their personnel to deliver consistent and high-quality service, as well as creating environments that are conducive to positive customer interactions. Additionally, technology may play a role in enhancing or automating aspects of service delivery while maintaining customer engagement. In healthcare, a doctor provides medical care directly to a patient during an appointment. In hospitality, a hotel stay involves interactions with staff members, from check-in to room service. In education, a teacher conducts a class while students are present. In professional services like consulting, the consultant interacts with the client to provide advice and solutions. Examples of inseparability in various service industries include:
Variability, also known as heterogeneity, is one of the key characteristics of services. It refers to the fact that services can vary in quality, consistency, and outcomes due to a range of factors. Here's a closer look at the concept of variability in services Variability in Quality: Services often depend on human interactions and the performance of service providers. Because people have different skills, attitudes, and abilities, the quality of service can vary from one interaction to another. For example, the experience of dining at a restaurant may differ depending on the server's friendliness and attentiveness. Variability in Customer Interaction: Customer behavior and expectations can also introduce variability. Different customers may have different preferences, needs, and attitudes, which can influence their satisfaction with a service. Service providers need to adapt to these variations in customer behavior.
Time and Location: The time and location of service delivery can impact variability. Services provided during peak hours may differ from those during off-peak hours. Similarly, services provided at different locations or branches of a business may vary in quality. Customer Involvement: Customer participation can introduce variability. In some services, customers have an active role in the co-creation of the service experience. Their level of involvement can affect the outcome. Training and Standardization: To manage variability, service providers often invest in training, standard operating procedures, and quality control measures. These efforts aim to ensure that service delivery is as consistent as possible. Understanding and managing variability is crucial for service businesses to deliver consistent and high-quality experiences to their customers. Strategies for managing variability may include employee training, quality assurance programs, customer feedback mechanisms, and proces standardization. By addressing variability effectively, service providers can enhance customer satisfaction and loyalty. Different waiters have different skill level
INTER-RELATIONSHIP BETWEEN TOURISM AND HOSPITALITY INDUSTRY The relationship between the tourism and hospitality industries is closely intertwined, as they are two sectors that frequently complement and support each other. Their interrelationship is essential for the overall success of both industries.
Here are some key aspects of their interrelationship: Mutual Dependence: The tourism industry relies on the hospitality industry to provide accommodations, dining, and other services to travelers. Tourists need places to stay, eat, and relax, which is where the hospitality sector comes into play. Accommodation: Hotels, motels, resorts, vacation rentals, and other forms of accommodations are a fundamental component of the hospitality industry. They cater to the lodging needs of tourists, providing a home away from home during their travels. Dining and Catering: Restaurants, cafes, bars, and catering services within the hospitality industry offer food and beverage options to travelers. Tourists often explore local cuisine and dining experiences as part of their trip. Recreation and Entertainment: Many hospitality businesses, such as theme parks, casinos, and entertainment venues, offer recreational activities and entertainment options for tourists seeking leisure and entertainment during their travels.
Customer Experience: The hospitality industry plays a crucial role in shaping the overall experience of tourists. High-quality service, comfort, and a welcoming atmosphere are factors that greatly influence how tourists perceive a destination and their stay. Destination Development: Tourism often drives the development of the hospitality industry in a region. As tourism destinations become more popular, new hotels, restaurants, and other hospitality businesses are established to meet the growing demand. Economic Impact: Together, the tourism and hospitality sectors contribute significantly to the local and national economies. They create jobs, generate revenue, and stimulate business activities in the areas they serve. The close interrelationship between tourism and the hospitality industry underscores the importance of collaboration and mutual support for the growth and development of these sectors. Together, they play a vital role in providing memorable experiences for travelers and contributing to the economic wellbeing of regions and countries.
INTER-RELATIONSHIP OF TRAVEL OPERATION AND TOURISM The interrelationship between travel operations and tourism is a critical one, as travel operations play a central role in facilitating and managing the movement of tourists. Travel operations encompass a wide range of services and activities that support and enhance the tourism industry.
Here are some key aspects of their interrelationship: Transportation Services: Travel operations include airlines, cruise lines, train services, and bus companies, which provide the means for tourists to travel to their chosen destinations. The availability, affordability, and convenience of transportation options have a direct impact on the volume of tourists visiting specific locations. Tour Packages: Many travel agencies and tour operators create and market tour packages that include transportation, accommodations, guided tours, and other services. These packages make it easier for tourists to plan and book their trips, offering convenience and sometimes cost savings. Booking and Reservation Systems: Travel operations utilize advanced reservation and booking systems, both online and offline, to facilitate the process of reserving flights, accommodations, and other services. These systems streamline the planning and booking process for tourists. Travel Technology: Technology plays a significant role in facilitating tourism. Online travel agencies (OTAs), travel apps, and websites provide tourists with information, booking capabilities, and real-time updates on travel-related services. Logistics and Coordination: Travel operations manage the logistics of getting tourists from one place to another, which can involve complex coordination of schedules, routes, and services. Efficient logistics are crucial to ensuring a smooth travel experience. Safety and Security: Travel operations must prioritize the safety and security of tourists. This includes adherence to safety regulations in the transportation sector and addressing issues related to health and security concerns.
The interrelationship between travel operations and tourism is symbiotic: travel operations provide the infrastructure and services necessary for tourists to access and explore destinations, while the tourism industry relies on these operations to attract and serve travelers. Effective collaboration and coordination between these sectors are essential for providing tourists with safe, convenient, and memorable experiences while fostering economic growth in tourism destinations.
Inter -Relat ionship of Leisure,Recreat ion and Tour ism Leisure and recreation are often the core components of tourism. When people go on vacation or travel to new destinations, they often engage in leisure and recreational activities to relax, have fun, and enrich their experiences. Tourists often seek leisure and recreational opportunities at their travel destinations. This may include activities like swimming, hiking, cycling, sightseeing, attending cultural events, dining out, and enjoying local entertainment. Recreational and leisure experiences are an integral part of the tourism industry. Tourist destinations often promote recreational activities and leisure experiences to attract visitors. Leisure and recreational facilities, such as parks, museums, zoos, theme parks, and entertainment venues, are common attractions for tourists. These venues offer visitors opportunities for relaxation, enjoyment, and cultural enrichment.
Tourism can introduce people to new leisure and recreational activities they might not have experienced in their daily lives. For instance, tourists might try new sports, outdoor adventures, or cultural experiences while traveling. The interrelationship between leisure, recreation, and tourism underscores how these activities can enhance people's quality of life, provide opportunities for exploration and personal growth, and contribute to the economic and cultural development of tourism destinations. Tourists often seek leisure and recreational experiences as an integral part of their travel adventures, making these areas of human activity closely intertwined.
TYPE OF TOURIST Tour i s t Traveler Ex cur s ioni s t V i s i tor B ackpacker Gues t Touristcanbedividedintoseveraltypeswhichinclude:
TOURIST TOURIST A tourist is an individual who travels away from their usual place of residence to visit a destination or location and staying at least 24 hours, typically for leisure, recreational, cultural, or business purposes. Tourists engage in various activities at their chosen destination, such as sightseeing, exploring local attractions, enjoying the culture, partaking in leisure and recreational activities, and potentially staying in accommodations like hotels or vacation rentals. The primary distinguishing characteristic of a tourist is that they are temporarily away from their home or usual place of residence while engaging in these activities.
Traveler A traveler is a person who journeys from one place to another, whether for business, leisure, exploration, or any other purpose. Travelers can encompass a wide range of individuals, including tourists, business travelers, commuters, backpackers, explorers, and people on personal or professional journeys. The term "traveler " is a more general and inclusive term that doesn 't specify the purpose or nature of the journey but simply denotes someone who is moving from one location to another, regardless of the motivation. LETS' GO
EXCURSIONIST An excursionist is an individual who takes a short journey who spending less than 24 hours in a country, often for recreational or leisure purposes, typically departing from their usual place of residence and returning on the same day. Excursionists typically engage in activities like sightseeing, picnicking, or exploring nearby places and attractions. Unlike tourists, who may stay overnight at their destination, excursionists do not usually have an overnight stay and typically return home the same day. Excursionists are often looking for brief, day-trip experiences to break the routine and enjoy leisure activities without the need for overnight accommodations.
VISITOR A visitor is a general term that refers to any person who travels to a destination, whether it's within their own region or to another location. Visitors can encompass a wide range of individuals, including tourists, business travelers, friends and family visiting someone, event attendees, or anyone who temporarily goes to a place other than their usual residence. The term "visitor" is a broad and inclusive one that doesn't specify the purpose or nature of the visit but simply denotes someone who is spending time in a location other than their home or usual place of residence.
A backpacker is a type of traveler who engages in budgetconscious and often adventurous journeys, typically with minimal luggage and a backpack as their primary form of baggage. Backpackers are known for their independent and exploratory travel style, focusing on experiencing the culture, local attractions, and the adventure of their chosen destination. They often seek affordable accommodation options, such as hostels or camping, and may use public transportation or hitchhike to get around
GUEST A guest is an individual who is invited or welcomed into a place, event, or establishment by the host or organizer. Guests are typically treated with hospitality and are provided with certain accommodations, services, or privileges while they are in that particular setting. Guests can be found in a variety of contexts, including hospitality industry, private homes, events, and accommodations.
Tourist Typologies Tourist typologies are categorizations of tourists based on various characteristics, behaviors, motivations, and travel patterns. Understanding these typologies helps tourism professionals, businesses, and destination managers tailor their services and marketing strategies to meet the diverse needs of different types of tourists
Allocentric Allocentric tourists are characterized by their adventurous and exploratory nature. They seek unique and exotic travel experiences and are open to taking risks. These travelers are often motivatedbythedesiretoimmersethemselves in unfamiliar cultures, try new activities, and venture off the beaten path. They are not deterred by challenges or discomfort during theirtravels.
Midcentric Mid-centric tourists fall somewhere in the middle between allocentric and psychocentric travelers. They are open to trying new things and exploring to some extent but also seek a level of comfort and familiarity. They may be willing to step out of their comfort zone occasionally but prefer a balance between adventureandrelaxation.
Psychocentric Psychocentric tourists are typically risk-averse and prefer familiar and well-structured travel experiences. They seek comfort, safety, and predictability during their trips. These travelers often opt for package tours, established destinations,andaccommodations thatoffera sense of security. They are less likely to step outside their comfort zones and may prefer routineandfamiliarsurroundings.
FORM OF TOURISM Inbound Tourism Outbound Tourism Domestic Tourism International Tourism
INBOUND TOURISM Also known as "international tourism" or "incoming tourism," refers to the activity of travelers visiting a destination in a country other than their own. Inbound tourists are individuals or groups who come from other countries to visit or experience the destination, attractions, and culture of the host country. They are often referred to as international tourists or foreign visitors. Example: Visitor who comes to Malaysia whose main place of residence is not in Malaysia.
OUTBOUND TOURISM Is the opposite of inbound tourism. It involves residents of one country traveling to another country for tourism purposes. These tourists are often referred to as outbound tourists or domestic travelers from their home country who venture abroad to explore other destinations. Example: Tourist, whose main place of residence is in Malaysia, travelling outside Malaysia.
DOMESTIC TOURISM Involves residents of a specific country traveling within their own country for leisure, business, or other purposes. These travelers do not cross international borders. Domestic tourists explore various regions and attractions within their home country. It is sometimes called "internal tourism" or "inland tourism."
INTERNAL TOURISM Is similar to domestic tourism and refers to the activities of residents who travel within their own country for various reasons. It is a broader term that encompasses all types of travel within a country, including both leisure and nonleisure travel. It is sometimes used interchangeably with domestic tourism.
SUB SECTOR IN TOURISM INDUSTRY
CULTURE TOURISM Culture tourism is the subset of tourism concerned with a traveler’s engagement with a country or region’s culture. Specifically the lifestyle of the people in those geographical areas. The history of those people, their art, architecture, religions and other elements that helped shape their way of life.
Eco Tourism Farm of tourism involving visiting fragile, pristine and relatively undisturbed natural areas intended as a lowimpact and often small scale alternative to standard commercial mass tourism. Is travel to relatively uncontaminated natural areas that conserves the environment and sustains the well being of local people. Bring benefits to rural communities in terms of increased revenue
Commercial Recreation Public Recreation RECREATION TOURISM Adventure travel is a type of niche tourism, involving exploration or travel with a certain degree of risk and which may require special skills and physical exertion. Any recreational activity for which a guest pays a fee Free or paid recreation that takes place on state and federal lands and in city, state or national parks
SHOPPING TOURISM Malaysia offers fantastic shopping deals. Shopping represents about 21.4 per cent of total tourist spending in Malaysia for 2001 Example: A program called Mega Sales carnival made Malaysia a shopping paradise
EDUCATION TOURISM To position Malaysia as centre of academic excellence. Malaysia attracts international students to study in Malaysia while providing them with reasonable and affordable tour package to visit the country’s scenic spot
Agro-tourism in Malaysia includes farm-stays and visits to agricultural parks. Often referred to as agrotourism or agrotourism, is a type of tourism that combines agricultural or rural experiences with recreational and educational elements. It involves visitors, often urban or suburban residents, participating in or learning about various activities related to farming, agriculture, and rural life. Agritourism can take many forms, and it benefits both tourists and local agricultural communities. Was developed with the participation of the rural population, who offer accommodation at their homes to tourists at a reasonable price with the choice of either day visits or farm-stay based on the bed and breakfast concept in the West.
Gas t ronomy’ s impor tant in the development of tour i sm des t inat ions in the wor ld – UNWTO. Gas t ronomic tour i sm applies to tour i s t s and vi s i tor who plan thei r t r ips par t ially or totally in order to tas te the cui s ine of the place or to car ry out act ivi t ies related to gas t ronomy. TOURISM