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Franchising in the Australian Hospitality Industry

The global hospitality industry is "incredibly diverse and complex," being affected by trends and consumer interests at varying levels depending upon location (Jones). Consideration of the global brand McDonald's, for example, must be given in light of the fact that its 18,000 restaurants are only a small part of the 8 million restaurants worldwide, of which 206,000 are all located in a single country(China (Jones). Likewise, environmental issues are becoming a force to be reckoned with in the hospitality and other industries, with "environmentally friendly hotels and operating procedures...relatively common especially in Europe," and Australia's new Eco Beach in Western Australia and Eco-hotel in Sydney being prominent examples (Jones). Thus, a focus on Australia's hospitality industry must acknowledge the context of the hospitality industry worldwide and the fact that trends that occur may have a higher concentration and impact in some areas of the world than others.

According to trade show organizers Australian Exhibition Services Private Limited, franchising is "a growth industry in Australia today," as the success rate of franchises there is double that of non-franchised businesses ("Franchising & Business Opportunities Expo-Perth"). However, Australia's hospitality industry is still recovering from the "severe hit" dealt the worldwide hotel industry in September 2001, with Australian hoteliers being struck with a double blow(9/11 and the collapse of Ansett Airlines, which cut Australian domestic travel in half, increasing its isolation ("Australia Hits Bottom"). Continuing global economic instability and the ongoing threat of terrorism add to the hospitality industry's woes, with tourism's slump being exacerbated by oversupply in some areas ("Australia Hits Bottom"). By 2002, the tourism industry had lost $1.1 billion, with Australia experiencing negative growth. Moreover, Australia's hospitality industry ...

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Franchising in the Australian Hospitality Industry. (1969, December 31). In LotsofEssays.com. Retrieved 00:22, April 27, 2024, from https://www.lotsofessays.com/viewpaper/2000199.html