Industry Analysis & Industry Trends
While the Hotels and Motels industry is highly susceptible to changes in the global economic environment, the industry has experienced robust growth over the five years to 2016. Thanks to increases in travel spending, corporate profit and consumer spending, industry revenue has grown every year since 2011, as the economy improved and domestic and international travel rates increased. As a result, the Hotels and Motels industry has outperformed the broader economy over the past five years, driven by a combination of high demand from leisure and business travelers and international tourists... purchase to read more
Industry Report - Industry Investment Chapter
The Hotels & Motels industry is subject to a moderate-to-high level of capital intensity. For every $1.00 the average hotel in the industry spends on wages in 2016, it will spend an estimated $0.39 on the use and replacement of capital. Both labor and capital play an important role in the industry.
As a service-based industry, hotel and resort operators are highly dependent on direct labor input across all areas of operation, from front-desk service, reservations, room service and cleaning, food preparation, liquor and beverage service, and back of house operational management. Due to the service nature of the industry, many of these labor-intensive functions cannot be substituted by technology or machinery. To .. purchase to read more