Specification Hospitality Operations management

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  • Definition of hospitality.
  • Talk about the nature of different hospitality products-What is tangible? What is intangible?
  • What are tangible and intangible products in your hotel?
  • Talk about the SERVICE MIX. This is when customers always consume a mixture of products and services in the hospitality industry.
  • Choose your hotel from HRMSI
  • Talk about the hotel’s rooms, restaurant, bar, swimming pool, fitness and spa treatments.
  • Talk about the hotel’s target markets.


  • Talk about the demand in hospitality.
  • Evaluate lifestyle groups-Have different needs and expectations and the hospitality industry will develop different products to meet the tastes of different groups.
  • Expectations-Consumer’s expectations depends on the product.
  • Social (economic)It includes budget travellers, who have an average income with an average age. They prefer to stay in budget hotels.
  • Tastes and trends-Different types of food
  • Technology-Some people use an app on their mobile to order and pay for their food and drinks

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  • Define customer profiles.
  • Compare different customer profiles and their differing expectations and requirements.
  • All those habits could depend on different sizes of income, social class, psychographics, cultural influences and economic situation.


  • Talk about the average spending power. What is the average spending power?
  • Talk about multicultural issues-McDonald’s using standardised pricing, uniforms and recipes.
  • Talk about legislation issues-Opening a franchise in England will take 1 month, just in time to do some food hygiene certificates and have permission from the council. However, The Middle East needs a local partner to open up a franchise.


  • Provide a definition of product development.
  • Talk about Kotler’s principal of products. It has 3 stages, these are;
  1. Core product-Basic level of selling products. Nice rooms and services in your hotel.
  2. Augmented products are the extra services provided to customers-spa treatment, gym, car park.
  3. Tangible products-physical products that can be touched (food, beds and tables).
  • Talk about the process of product and service development.
  1. Idea generation-Entrepreneur coming up with a new idea without telling anyone.
  2. Idea screening-Take out ideas which are not very good and stick to the good ones.
  3. Concept development and testing.
  4. Marketing strategy
  5. Business analysis
  6. Product development
  7. Test marketing


  • Talk about The SERVQUAL Model.
  • Talk about the factors that can influence the customer’s perception of the products/services are:
  • Reliability
  • Tangible
  • Responsiveness
  • Assurance
  • Empathy


  • Talk about several factors can be considered when assessing the opportunities affecting product and service development in the hospitality industry.
  • They include brand, nutrition and dietary requirements, disabled access and provision accommodation facilities.
  • Talk about brand.
  • Talk about brand equity. Talk about the advantages of brand equity.
  • Dietary requirements in two hotels.


  • What is the purpose of merchandising in the hospitality industry?
  • Give examples of merchandising opportunities-Advertising in brochures, websites, posters, wall displays, table displays, menus, flyers, vouchers, clothing, free samples.

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  • You can use this quote ….Pricing is the amount of money charged for a product/service. It is the only marketing mix element that generates revenue (Kotler et al 2006).
  • Say why pricing is important.
  • Talk about the internal factors of pricing in hotels-The hotel must consider its objectives-maximisation of profits, achievement of target return on investment.
  • Talk about external factors of pricing in hotels-If demand in the hotel is high, the price will be high.
  • These are some examples of pricing methods. Or you could use the examples of pricing methods that Fidele has given you in class for Marketing in Hospitality.
  • Skimming method
  • Penetration pricing
  • Psychological pricing
  • Price Discrimination


  • Definition of forecasting.
  • Forecasting can be done for:
  • Forecasting room availability
  • Use RDOM calculations-Total number of guest rooms, forecasting no shows, forecasting understays.


  • Definition of the performance appraisal.
  • Talk about use of budgets.
  • Analysing and evaluating data.
  • Talk about ADR, Occupancy
  • Talk about the 360 degrees feedback tool.


  • What is the 360 degrees appraisal technique?
  • What is qualitative data?
  • What is quantitative data?

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