Industry Analysis & Industry Trends
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Hotel operators are poised for an uptick in room reservations as domestic and international travel rates grow. Over the next five years, the industry will expand, as firms invest in boutique hotels, spa resorts and overseas operations in developing countries. In particular, the continued growth of specialty hotels and global operations will enable profit growth over the five years to 2017... purchase to read more
Industry Report - Industry Investment Chapter
The capital intensity of this industry is determined by the ratio of capital to labor costs. To calculate the ratio, wages and depreciation and costs, from cost structure, are used as proxies. The ratio is calculated as 1:0.18. This means that for every dollar spent on wages, about $0.18 is spent on the use and replacement of buildings and equipment. As such, this industry is deemed to have a high level of labor intensity. The industry is labor-intensive due to the need to meet clients' and guests' needs in such areas as bookings and reservations, room service, restaurants, general queries and in-room cleaning services... purchase to read more