The paper “ Business and Consumer Markets in the Hospitality Industry” is a forceful variant of literature review on marketing. Changes in economic variables have greater impacts on the hospitality businesses. According to Lewis (2012) when the economy is declining, causing a fall in the level of discretionary expenditure, the hospitality industry suffers. Management and owners of International businesses in the hospitality industry are affected by local and international economic variables. Managers of hospitality hotels offering accommodation convention facilities and restaurants, café and bar outlets need to consider their markets.
In order to successfully realize sales and making appropriate marketing decisions, managers need to ensure that they understand the difference that exists between business and consumer markets and their client behaviors. This enables them to enhance their relationships with their customers and communicate the business aims to line managers. AnalysisThe survival of any business is dependent on consumers’ decisions and behaviors. This results in the need for marketing practices. According to Kotler (2001), consumer satisfaction depends on the expectations of a particular consumer and if the actual service meets the expectations.
Since businesses exist for the purpose of meeting these needs, managers must understand their consumers’ needs and expectations. In order to meet them enhance their relationships. Customers choose, buy, utilize and dispose of commodities (products and services) to satisfy their needs in different ways depending on whether it is in the business or consumer market. Business markets draw demand from consumer markets (Morris et. al, 2001). Demand in business markets is a result of the demand of individual and group consumers in consumer markets and therefore business markets lack independence. However, demand in the consumer market can create many more demands.
This knowledge helps the manager an international hotel to strategize and determine the targets. The demand for catering services by a business or institution is a result of the individual demand of its staff. Catering service in a business is likely to create more demand if satisfaction is met. Decisions and choices in consumer markets affect demand in the business markets. All customers conduct choices based on both mental and physical actions. According to Widing et al. (2003), they assess the suitability, refer to advertisements and appraise their experiences with the product.
Customers then consult sellers in stores and marketers and purchase the products. Whether groups or individuals, understanding the behavior of customers’ process is important as it helps managers in decision making. Hotel managers should ensure that that appropriate information is available to consumers when they search for it in consumer markets. Decisions made by organizations are more complex than those made by the individual. Institutions specialize in customer roles and have a formal process of buying procedures. Businesses emphasize accountability I buying decisions and complex hierarchal authorities and responsibilities (Brennan et. al, 2010, p.
10). Factors like official receipts and stamps must be part of the hotel quality management strategies to help the business customers in accountability. On the other hand, individual or household customers display more simplicity in buying. Bigger organizations have delegated duties and appointed individuals for posts like the buyer post who deals with purchases on behalf of the organization. Other roles in the buying centers include analyzers, payers and influencers.