Question

It is said that Bed & Breakfast (B&Bs) can contribute to a more ‘authentic’ travel experience for tourists rather than hotel chains. It also provides mutual benefits for both the visitor and the operator. While licensing can be a concern, the HKTB’s hotel rating system being used is also considered not applicable to rate the ‘quality’ of B&Bs for several reasons. If the HKTB’s hotel rating system is applied to rate the B&Bs in Hong Kong, explain how it will disadvantage or advantage the grading of a B&B based on the FIVE key indicators being used in this stage.

A combination of quantitative indicators:

1. Facilities (F&B, IT, Business and Health Related)

2. Location

3. Staff to Room ratio

4. Average Achieved Room Rate

5. Business Mix   

Answer 1

B&B is a small lodging establishment that offers accommodations overnight and breakfast. They are often private family homes typically have between four and eleven rooms with 6 being the average.

What is hospitality?

Hospitality is kindness in welcoming and looking after the basic needs of the customers or strangers mainly in relation to food drink and accommodation. Characteristics of hospitality system-

1)Product service mix.

2)Two-way communication.

3)Relationship building.

4)Diversity in culture.

What is HKTB?

Hong Kong tourism board is a government subverted body founded in 2001. It has 15 branch offices and a representative office in 6 markets around the globe. The primary function is to maximize the social and economic that tourism makes to the community of Hong Kong. It works with the government, travel industry, and partners in the market and promote the tourism of the country.

The HKTB board is appointed by the chief executive of the hong kong SAR government and it consists of 20 members from various industries.

Ratings of HKTB for B&B -

1)It will be an advantage for the B&B if HKTB rates the facility of the services, such as wifi, fresh food. But B&B is a small inn privacy can be an issue because you have to share the lodge and may not private especially for the businesses. And hong kong standard room counting is 10 for small lodges like B&B which gives as an edge.

2)Location-the The B&B location is situated in Hong kong's tourist places with high attraction places, which gives an upper hand to the company.

3)Staff to room ratio-The purpose of this to indicate the number of permanent employees and the ratio of rooms. But B&B is more into providing homely feelings as compared to other hotels. And B&B is a small lodge so frequent service is not expected here. It will be a disadvantage.

4)ADR is a measure of the average rate paid for the rooms sold, calculated by dividing by the total room revenue by rooms sold. Here it will be an advantage for the company because B&B rooms are mostly occupied because of its unique family feeling accommodation.

5)Business mix-More than 20% or less than 20% of business visitors. In these criteria the company falls in less than 20% business visitors. Which stands in the standard of hong kong hospitalization.

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