Tourism and Hospitality
Contribution to the Economy
Tourism and hospitality
Report 2009 by the World Economic Forum, India is ranked 11th in the Asia Pacific region and 62nd overall, moving up three places on the list of the world's attractive destinations. It is ranked the 14th best tourist destination for its natural resources and 24th for its cultural resources, with many World Heritage sites, both natural and cultural, rich fauna, and strong creative industries in the country. The India travel and tourism industry ranked 5th in the long-term (10-year) growth and is expected to be the second largest employer in the world by 2019.
Contribution to the economy
Combining unparalleled growth prospects and unlimited business potential, the industry is certainly on the foyer towards being a key player in the nation's changing face. Furthermore, banking on the government’s initiative of upgrading and expanding the country’s infrastructure like airports, national highways etc, the tourism and hospitality industry is bound to get a bounce in its growth.
The hotel and tourism industry’s contribution to the Indian economy by way of foreign direct investments (FDI) inflows were pegged at US$ 2.24 billion from April 2000 to November 2010, according to the Department of Industrial Policy and Promotion (DIPP).
India’s hotel pipeline is the second largest in the Asia-Pacific region according to Jan Smits, Regional Managing Director, InterContinental Hotels Group (IHG) Asia Australasia.
He added that the Indian hospitality industry is projected to grow at a rate of 8.8 per cent during 2007-16, placing India as the second-fastest growing tourism market in the world. Initiatives like massive investment in hotel infrastructure and open-sky policies made by the government are all aimed at propelling growth in the hospitality sector.
Increased competition, rising costs, economic concerns and changes in consumer taste all characterize the evolving nature of the food service, restaurants and franchising industry. Companies within this sector must maintain a firm grasp on changing consumer needs and taste trends to continually develop food items that meet consumer demand. Today, operational challenges include labor recruitment and retention, food safety, consolidation, expansion and customer loyalty. Brand awareness is a major focus as food businesses look for new opportunities to build market share.
Our practitioners and services are mobilized around providing solutions to the challenges facing the food service, restaurants and franchising industry. Our 6,000 consumer products, retail and services professionals work with clients to develop appropriate strategies and apply new perspectives that maximize profitability and operations for greater efficiency.