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* India’s Tourism Industry – Size, scope and challenges

Duration – 4mins 38 sec

Published : Sep 22 2018

Rajya Sabha TV – With 29 states, 4,000 cities, a rich history and incredible diversity of culture, India’s travel and tourism industry has tremendous potential to serve as an engine for economic growth, job creation and development.

* India’s most attractive Incredible India Ads!

Duration : 7 mins

Published : September 2018

 

 

Our SME Contribution – Laws pertaining to Hotels 

Greetings. My name is Kapil Sankhla and I passed out from IHM Pusa, New Delhi in 1996. I take pride in the fact that I did my 6 months industrial training with the Taj Mahal Hotel, Mansingh Road, New Delhi. Then I started my hospitality career with the TGIF group as an opening team member.  I changed course, leaving the industry, to return to academics; to pursue my degree in Law from the Delhi University. It’s a pleasure to be here and sharing insights on laws applicable to the hospitality industry, particularly, the hotel industry. Since the past two decades I have been a practising lawyer in Delhi. Sankhla and Associates, my company has a majority of  clients  from the hospitality industry; airlines, hotels & restaurants etc.

The Indian hospitality industry contributions formed 9.6% of our GDP, being the 3rd largest contributor of foreign exchange.

In 2016, tourism contributed 71 billion dollars to the exchequer a 15.5%share of the GDP.

By 2027 it is expected to reach 147 million dollars! 10.48 million dollars between 2000- 2017.

Foreign Direct Investment in the hospitality industry is ranked in the top 10 sectors.

Talking about laws affecting the hotel industry, I would suggest to entrepreneurs who are wishing to start their own venture on the types of ventures.

Sole Proprietorship

Partnership- 2 or more people join to pool resources and start a company.

It could be a limited Liability Partnership where the partner’s liability is limited.

Limited company- where a private limited company is started

Company- where shares are issued to public at large which becomes a public limited company.

The family company- which is a partnership with stakes for every member of the family.

My sincere advice would be to start a limited liability company as in the future, once the business picks up and the company begins to prosper, you can get foreign investment and getting investors to fund you. As investors normally, are attracted to limited liability companies.  Starting franchising is also easier with this kind of venture.

 

Now to the laws:

1) IPR- Intellectual Property Right. It could be name of the business, a recipe you have created etc

Trade design-for a unique packaging,  colour combination etc.

2) Contract laws- contracts with your employees & vendors.

3) Labour laws

4) Property laws- if you are buying a property then transfer of property act. If renting a space to start your restaurant or hotel, then Rent Control Act.

 

The Laws pertaining to running of the business

 

Industrial licences

Labour laws

Licences from the Police, Fire Brigade, Municipal Corporation

Laws are Centre dependent and state dependentCentral laws are easier to follow as they remain uniform throughout the country, but each state has its own laws which are changed by notifications. These include liquor licence, building licence, fire & safety, labour, hygiene & sanitation, lodging home licences , bar licence and related licences, Shops & Establishment Act laws, food adulteration laws, PF Act, Apprentice Act and laws applicable to it.

For-restaurants-Smoke & Chimney Act.

Taxation laws- is a combination of central & state laws

Income tax, sales tax, luxury tax, GST, PF, etc

Thank you and Good luck.

2. Our SME Contribution – 7 pitfalls in the way of good communication

One of the most essential tools to achieve success in both personal and professional life is mastering the art and science of good communication. A lively conversation can build health relations, ease all kinds of tension, and boast everyone’s morale. You could be more effective in this task if you avoid making some of these common mistakes.

1. Never draw assumptions about the other person’s perception. You may have no idea about their motives or plans. To understand their viewpoint, just have a clear open ended discussion and carefully note their verbal and non-verbal input.

2. Do not avoid the problem. Delay is worse than denial. You simply have to face it. It is inside of a problem that you will eventually see the solution.

​​3. Refrain from abusing and character assassination. It will close all doors for you and will possibility have a lasting, negative impact!

4. Loose talk and gossip is the surest way to lose your reputation. It is highly unprofessional and will make matters both complicated and worse.

5. Never wash your or anyone else’s linen in public. This will almost certainly make the other party feel defensive, angry and humiliated. A private matter within closed doors has better chances to be resolved.

6. Conversation needs time, empathy and patience. There is very little chance to communicate something if there’s not enough time to address it. Also, be careful before you send an email or a message. They leave far too much room for misinterpretations.

7. Never debate about something when you are angry, stressed or unwell. That’s a disservice to you and the other person involved. Wait until you are calm and can handle the matter intelligently.

Good communication is like talking to your lover. Get engrossed, stay in the moment, and respect the other person’s viewpoint.

Dr. Anshu Arora

(Principal)

Amity International School

Sector-43, Gurugram – 122002

click here to watch video of Dr Anshu

3. Largest Hotel chains of the world

Rank Hotel Chain Number of Properties
1 Wyndham Worldwide 8,092
2 Choice Hotels 6,429
3 Marriott International 5,974
4 InterContinental Hotels Group 5,070
5 Hilton Worldwide 4,727
6 AccorHotels 4,200
7 Best Western Hotels 4,196
8 Jin Jiang International 3,090
9 Home Inns 3,000
10 Motel 6 1,330
11 Carlson Rezidor Hotel Group 1,112
12 Vantage Hospitality 1,090
13 La Quinta Inns and Suites 889
14 Whitebread plc 700
15 Hyatt Hotels Corporation 667

A hotel chain is a group of hotels owned by one company. A hotel chain manages several hotels across different locations. They can be partial or total owners of the hotels, and they manage administration, promotion, and marketing.The chain provides similar services as a franchise in terms of management, for instance the brand, reservation system, and others, but in addition there is an agency agreement, meaning the brand operates the hotel and making day to day decisions on behalf of the owner. There are some hotels that exist as hotel chains in different parts of the world making them the shakers and movers of the hospitality industry.

The Largest Hotel Chains in the World

Wyndham Worldwide

Wyndham hotel worldwide is the biggest hotel chains in the world by the number of hotels, having 8,092 hotels in 66 different countries found on six continents. Initially, Wyndham was founded in 1981 by Trammell Crow in Dallas, Texas as Wyndham Hotel Corporation but was later redeveloped as Wyndham Worldwide in 2006. The headquarters for Wyndham Worldwide are based in Parsippany-Troy Hills in New Jersey, United States. Wyndham Worldwide prides itself with more than 40,000 employees and their numerous hotels under 15 brands. The Wyndham group is best known for rewarding its frequent customers with loyalty points in over 7,700 Wyndham hotels worldwide, offering free airline tickets, gift cards, free nights, and much more. In 2013, Wyndham worldwide had revenues of $ 5,009.0 million and total assets valued at $ 9,741.0 million.

Marriott International

Founded in 1927 by John Willard Marriott as Marriott Corporation, Marriott International is the world’s third largest chain of hotels with 5,974 hotels in more than 110 countries. The multinational diversified hospitality company with over 199,929 employees is currently headed by Bill Marriott, a son to John Marriott. The company’s headquarters are based in the Washington, DC suburb of Bethesda, Maryland. Marriott International was incorporated following the division of Marriott Corporation into two companies, the Host Marriott Corporation and Marriott International. Aside from luxury and hospitality, Marriott International also involves itself in social issues such as poverty eradication, community development, child care, environment and global diversity.

Hilton Worldwide

Hilton Worldwide founded in 1919 in Cisco Texas by Conrad Hilton is an American multinational hospitality company currently headed by Christopher J. Nasseta. Hilton Worldwide is the fifth largest hotel chains in the world with 4,727 hotels in 104 countries and territories. With 14 brands across different market sectors, Forbes ranked Hilton Worldwide number 36 among the United States largest privately held companies before their IPO in December of 2013. The company’s headquarters are situated in Beverly Hills, California, and it prides itself on having approximately 164,000 employees in 2015. Hilton Worldwide has a total of 4,922 hotels as of December 2016.

Best Western Hotels

Best Western International is the seventh largest hotel chains in the world with 4,196 hotels and motels worldwide, half of which are located in North America. Best Western International is currently headed by CEO David Kong and was founded in 1946 by M. K. Guertin. Best Western International is considered one of the fastest growing hotel chains in Asia and the Middle East with revenue of $6 billion in 2012. In 2011, Best Western customized its slogan to ‘the world’s largest hotel family’ from “the world’s largest hotel chain”. The company also changed its branding system in 2011 to a new system with three tiers which include Best Western, Best Western Plus, and Best Western Premier. With about 1,254 employees in 2012, the company’s headquarters are based in Phoenix, Arizona, in the United States.

Other chain Hotels

There are other large hotel chains in the world with more properties in different locations and countries worldwide. Other popular large hotel chains include Choice Hotels which ranks number two with 6,429 hotels, and the Intercontinental Hotels Group ranked at number four with 5,070 hotels among others.

4. Personal Branding and Grooming – Hilton Hotels

 

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