Improving the profitability of the hotel

Mariia Popovtseva

Bachelor's thesis

Abstract:

Until recently, the hospitality industry was one of the most developing industries, which attracted investments for its development, and also served as an incentive for increasing operational efficiency, competitiveness and, accordingly, increasing profitability. To remain competitive and maintain a leading position in the market, hotels now have to adapt to the wishes and needs of customers, develop new services and continually improve the quality of service.In the Theoretical part, the ways were analyzed to ensure an increase in the profitability of the hotel business by analyzing the consumer ability, the competitive environment, as well as identifying the factors influencing the increase or decrease in the demand for services. Based on the results of factor analysis of key indicators and statistical data, the development and implementation of activities that increase profits are of particular importance for influencing business performance. On the example of the statistics for the Royal Prague hotel in the Practical part has been made a research based on a number of databases. The conclusions, based on the results of the analysis, allow the hotel to develop effective measures to increase profitability.The external environment and changing market conditions are a strong catalyst/driving force that affects the hospitality industry and the tourism industry in general. Such a factor of strong influence was the pandemic due to the spread of the coronavirus (COVID-19). This global event significantly influenced tourism and, accordingly, the demand for hospitality services. This can be seen in the data on the sharp decline in demand and profits. The paper offers statistical data on the impact of COVID and measures that will allow to equate the decline in hotel profitability.

Keywords

hotel industry, hospitality, hotel management, Prague tourism, COVID

Language used: English

Date on which the thesis was submitted / produced: 30. 11. 2020

Thesis defence

• Supervisor: Ing. Pavel Kotyza, Ph.D.

Czech University of Life Sciences Prague

Faculty of Economics and Management

Bachelor programme / field:
Economics Policy and Administration / Business Administration