Paper Example. Forces Change the Hospitality Industry

The hospitality industry has been experiencing consistent change in this current century. One of the areas that are witnessing constant changes in the industry is information technology. The advancement in technological tools is influencing the trends in the industry's information technology both positively and negatively. Various environmental forces influence hospitality information technology. Technically, the industry is affected by the economic, sociocultural, and technological forces in contemporary times.

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Economic Forces

Economic forces imply the various factors that influence consumer and commercial behaviors of individuals with regards to financial abilities. Technically, the economic field is made up of external forces from the immediate marketplace as well as those from the broader economy. Activities within the hospitality industry are primarily dependent on the economic factors since they dictate the ability of clients to purchase services. The economic factors also determine the viability of organizations that operate within the hospitality industry.

i. Income distribution

Income distribution signifies the smoothness with which members of the society share income in society. It dictates how to target clients receive information from the hospitality service providers. The income distribution affects the ability of consumers to access the internet. Businesses that operate in the hospitality industry are forced to adjust their technological information tools to match the level of incomes that society earns (Dana, 2013). As income distribution becomes more even in society, the clients tend to rely on the latest technologies to acquire information. Therefore, the hospitality industry changes its system by installing better information technology tools to meet the needs of their consumers. Furthermore, equality in income distribution triggers changes by providing members of society with the same level of purchasing power. Therefore, they gain the ability to obtain the most efficient and effective information technology tools, such as computers and mobile phones.

ii. Labour markets

The labor market is a field that deals with the demand and supply of labor. The employees supply labor while employers provide the demand for the same in the market. The labor markets change hospitality information technology by shaping the bargains for wages and labor as well as other compensation forms in the industry. Highly qualified employees with abilities to handle sophisticated information technology tools tend to force organizations to acquire such tools to enhance efficiency and effectiveness in the industry (Dana, 2013). Labor markets also trigger a change in information technology by forcing employers to train their staff members about the latest updates on information technology.

iii. The measures of economic wellbeing

Measures of economic well-being have a direct influence on hospitality information technology change. Material living conditions are one of such measures that influence information technology change in the hospitality industry. The measure dictates how people consume goods and services and how they gain control over information technology tools. Secondly, changes in quality of life in the industry cases change by advocating for the use of IT systems that match the quality of life in society (Okumus, 2013). Finally, the sustainability of both socioeconomic and natural systems creates change by encouraging service providers in the hospitality industry to employ information technology tools that are sustainable in the foreseeable future.

Sociocultural Forces

The socio-cultural forces are external factors in cultures and societies that influence the feelings, thoughts, and behaviors of people. Since the hospitality industry mostly involves human relations, sociocultural factors play a vital role in shaping the activities that occur in the industry. Changes in information technology are directly affected by demographics, public opinion, and the level of education in society.

i. Demographics

Specifically, the IT changes are caused by demographic factors such as the age distribution of customers in the industry. The millennial generation has forced the need to embrace networking and the internet in Information Technology systems. Secondly, the income levels of people also cause a change in information technology (Okumus, 2013). As a demographic factor, income underlines the ability of customers to acquire Information Technology gadgets like computers. Therefore, the hospitality industry has to adjust its IT system to match the standards of everyone in society. Finally, the location of individuals also shapes the changes in information technology. Specific locations require special information technology tools. For instance, areas where there is no internet access call for changes in IT for the hospitality service provider.

ii. Public opinion

Public opinion involves people's desires, thoughts, and needs in society. The factors mainly cause change by creating waves for adjustments in the existing information technology standards within the hospitality industry. For instance, an overall negative perception about a specific item of information technology by the public can force an organization to eliminate it and use a different tool in its place. Similarly, organizations could be forced to employ a particular telecommunication device, if the public is unanimously in support of such a move.

iii. Education

Education is equally an essential factor that influences the hospitality industry. The level of education in a society determines the type of information technology that should be used in that area. The hospitality industry will be forced to change to more sophisticated IT tools in areas where people are well-educated and enlightened. On the other hand, organizations could change from complicated IT to simpler ones when they deal with customers who are less educated (Okumus, 2013). The level of education within a particular region dictates the nature of the information that is shared by the hospitality industry.

Technology

Technological factors involve the various skills, methods, and techniques of producing goods and services in the hospitality industry. Technology has a direct influence on information technology. Therefore, it causes a change in IT whenever new advancements are made in the technological environment (Law, Leung, Au & Lee, 2013). Organizations in the hospitality industry want to stay updated at all times, in order to remain relevant in the industry.

i. Communication systems

The system involves ways through which information moves from one station to another. It equally entails communication networks and transmission systems. When new communication devices are invented, organizations swiftly change by disposing the obsolete devices and adopting new ones to improve on efficiency (Law, Leung, Au & Lee, 2013). Mainly, the change is caused by the fact that consumers would want to deal with the most efficient communication tools.

ii. Safety and security

Hospitality information technology should be safe and protect stakeholders from cybercrime. The hospitality industry aims at achieving high safety and security standards at all times to retain their customers for the longest time possible. As such, organizations tend to change to the safest and most secure communication networks and tools. The aim is to prevent information from being accessed by unauthorized persons within the industry.

iii. Software

Software refers to the computer programs and operating systems that are involved in IT. Changes in the coding of software lead to changes in the entire information technology in industry. Similarly, when existing software is too complicated for either the employees or the target clientele to use, then the industry would change to less sophisticated software (Kotb & Roberts, 2011). Also, change in hospitality information technology occurs when the current software gets outdated. The outdated software is replaced by new ones to enhance efficiency.

Summary

Changes in hospitality information technology occur from time to time. Various factors affect the changes in IT in the hospitality industry. Technically, economic, sociocultural, and technological forces are the primary influencers of changes in IT. The changes are majorly triggered by the need to improve on levels of efficiency. Moreover, the industry makes such changes to ensure that customers are comfortable and satisfied.

References

Dana, O. F. (2013). An Empirical Research Regarding Information Technology in Hospitality Industry: A Case Study from Mures County. Journal of Knowledge Management, Economics and Information Technology, 3(6), 1-8.

Kotb, A., & Roberts, C. (2011). The Impact of EBusiness on the Audit Process: An Investigation of the Factors Leading to Change. International Journal of Auditing, 15(2), 150-175.

Law, R., Leung, D., Au, N., & Lee, H. A. (2013). Progress and development of information technology in the hospitality industry: Evidence from Cornell Hospitality Quarterly. Cornell Hospitality Quarterly, 54(1), 10-24.

Okumus, F. (2013). Facilitating knowledge management through information technology in hospitality organizations. Journal of Hospitality and Tourism Technology.