COMPETITIVENESS AND SUSTAINABILITY ISSUES IN THE HOSPITALITY INDUSTRY

Abstract

The management’s responsiveness in addressing issues on competitiveness and sustainability would normally determine the effectiveness of strategies adopted and implemented in running any business organization. The businesses in the hospitality industry are not in any way the exception. This study looks into how the hotels in Camarines Sur, Bicol Region, Philippines manage their competitiveness and sustainability issues in light of the emerging business competition due to the renewed vibrancy of the industry since the beginning of the post-pandemic period. The study was conducted using a descriptive research design. Adopting a quantitative approach, data gathered from selected DOT-accredited hotels that belong to the SME category were critically analyzed. The study revealed that the prevalent strategies employed by hotels to respond to the heightened competition and stay afloat in the industry include (1) acquiring new software to digitize hotel bookings and reservations to enhance the guest experience, (2) adopting an agile attitude to be able to respond to changing clients’ demands and evolving expectations, (3) (re)-inventing hotel products and services to include non-traditional offerings to widen client base, and (4) complying substantially with government regulations on health and safety concerns. The study proposes that (1) hotels should strengthen their resolve to adopt some environmentally friendly practices and reduce resource consumption, (2) comply with labor laws more religiously, (3) strategically manage staffing to reduce negative setbacks due to seasonality in demand, (4) maintain strong tie-up with producers of local farm products, (5) effectively manage operating costs, particularly labor and electricity, and (6) continue re-inventing their services to include enhanced personalized service approach.