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Chapter 2 Macro

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Chapter 2 Macro

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Rizza Geron
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CHAPTER 2

Topic/Lesson:
• The History of Tourism and Hospitality

Intended Learning Outcome (ILO):


• Define the Tourism and Hospitality Industry
• Enumerate the different components of the tourism and hospitality industry
• Discuss the importance of the tourism and hospitality industry in economic
development

History of the Tourism Industry


Travel and exploration are basic to human nature. Man has traveled since the earliest
times although the term tourism was used only in the 19 th century. “Tourism” is derives
from the Hebrew word “torah” which means studying, learning, or searching.
Noah with his Ark from the Old testament must have been the first large-scale operator
even though his passengers were mostly animals. Caravans and traders were present in the
Book of Ezekiel and it described trade and commerce in ancient Tyre and recount the travels
abroad made by merchants.
Early tourism has two forms: travel for business and religious travel. Sumerians have
invented money, writing and wheel which facilitated travel and exchange of goods. Early
Phoenician traveled the Mediterranean as traders. Greeks and Romans were also good
traders. Olympic Games by the Greeks and the travel by rich Romans were examples of
travel for private purposes. Pilgrimages to churches and other places of worship were also
early forms of travel.

Tourism in the Medieval Period


Travel is derived from the word “travail” became burdensome, dangerous and
demanding during Medieval period. There was a decline in the Roman Empire which
resulted to the closure of roads and being unsafe. Thieve inflicted harm on those who dared
to travel. No one during this time traveled for pleasure. Crusaders and pilgrims were the
only new who traveled.

Tourism During the Renaissance and Elizabethan eras


Travel for the education was introduced largely by the British. It became very popular
in the 16th century. Under Elizabeth I, young men seeking positions in court were encouraged
to travel to the continent to widen their education. It became recognized that the education of
a

gentleman should be completed by a “Grand Tour” of the cultural centers of the continent
which lasted for three years.
The term was used as early as 1670. while apparently educational, the appeal became
social. Pleasure-seeking young men of leisure traveled predominantly through France and
Italy to enjoy the cultures and social life in Europe, with Venice, Florence, and Paris as the
key attractions. By the end of the 18 th century, the practice had become institutionalized for
the upper class of society.
As young men sought intellectual improvement in the continent, the sick sought a
remedy for their illnesses in “spas” or medicinal baths. The term “spa” is derived from the
Walloon word “espa” meaning “fountain”. Turnbridge Wlles in Kent (near London) became
famous as a spa in the 1660s. Travelers immersed themselves in the healing waters. Soon,
entertainment was added and dozens of watering places became resort hotels. Bath in
England, Baden-Baden in Germany, Baden in Austria, Bainesles-Basin in France, Lucca in
Italy, and Karslbad and Mariendbad in Bohemia became fashionable in the 18 th and 19th
centuries.

Tourism During the Industrial Revolution


The Industrial Revolution brought about major changes in the scale and type of tourism
development, it brought about not only technological changes, but also essential social
changes that made travel desirable as a recreational activity. The increase in productivity,
regular employment and growing urbanization gave more people the motivation and
opportunity to go on a holiday. The emerging middle class combined higher incomes and
growing education into annual holidays. To escape from their responsibilities and the
crowded city environment, they traveled to the countryside or seashore for their holidays.
This led to the creation of working-class resorts near major industrial centers.

Modern Tourism Tourism in the 19th Century


Two technological developments in the early part of 19 th century had a great effect in
tourism. These were the introduction of the railway and the steam power. Various private
companies established hotels, resorts and entertainment facilities.
The use of steam power provided the increased mobility needed by the tourism
business. Steamers on the major rivers provided reliable and inexpensive transportation that
led to the popular day-trip cruises and the growth of coastal resorts near large industrial
towns. Thomas Cook was the first person to conduct an organized tour. His first excursion
train trip was between Leicester and Loughborough in 1841 with 570 passengers at a round-
trip fare of one shilling. This event led to similar excursions using chartered trains. In 1866,
he organized his first American tour. In 1874, he introduced circular notes which were
accepted by banks, hotels, shops and restaurants.
Dean and Dawson is another tour companies that appeared in Britain in 1871, the
Polytechnic Tourisng Association in 1872, and Frames in 1881. Henry Wells and William
Fargo founded American Express.
Photography and guide books also emerged and became popular. Baedecker was the
most popular guidebook that was first published in 1839 and it became the leading guide for
European countries at the end of the century.

Tourism in the 20th Century


Pleasure travel continued to spread, encouraged by the increasing wealth, curiosity, and
outgoing attitudes of the people as well as the increasing ease of such movement.
Word War I brought about many changes, which influenced the volume of tourism.
Warly post-war prosperity, coupled with large-scale migration, boosted the demand for
international travel. Interest in foreign travel was further enhanced by the first-hand
experience of foreign countries. Television in addition to press, the cinema, radio and
posters widened knowledge and interest in travel.
Motor car was introduced which led to decline in railways. Motorized public road
transport and improved road conditions led to the popularity of seaside tours.
Boeing 707 jets were invented in 1958, the age of air travel for the masses arrived,
hastening decline in sea travel. There was an increase in private car ownership. Travelers
switched to the use of private cars ans this change affected both coach ad rail services. It
encouraged the growth of excursions and short-stay holidays. Resorts near major centers of
population benefited considerably.
The post-war economic recovery provided an increase in discretionary income and
leisure time, which many people converted into increased recreation and travel. Length of
official and paid holidays increased as well. Governments have created more vacation time
in incorporating isolated public holidays into familiar “long weekends” throughout the year.
By the 1970s, tow vacations a year were a common occurrence. The annual overseas
holiday had become a necessity rather than a luxury.

History of the Hospitality Industry The Sumerians


Sumerians are the group of people who lived in Mesopotamia near the Persian gulf at
about 40000 BC. They invented money and writing as a means to record and settle their
business transactions. They were the first to develop trade in the modern sense of the word.
They have also converted grain into alcoholic beverages and beer became the most popular
beverage in Sumerian society. The Sumerian beverages were safer to drink than their water.
Politically, the Sumerians organized themselves into city-states. Sumerian traders
required the services of travelers, namely foods, drinks and shelters. Hence local Sumerian
taverns were established making them the first hospitality business. It is most likely that the
hospitality industry began with the Sumerians 5,000 years ago in 3000 BC.
Because of the beers that were being served by Sumerians, criminals were attracted to
cause trouble which then led Hammurabi, king of Babylon to make a set of laws, carved in
stones, known as the Code of Hammurabi which required tavern owners to report to report
customers who planned crimes.

Early traders
In 2000 BC, a considerable amount of trade had developed among the people of the
Middle East. Many became traders of exotic foods. They needed hospitality services for
their long journeys. Some enterprising individuals set up the caravanserai, early examples of
inns, which provided food and shelter to travelers.

Empires: 3200 BC to 476 AD


Three significant empires flourished during this time, the Egyptian, Greek and Roman,
this period is known as the Empire Era. Each of these empires developed hospitality
services.

Egyptian Empire
Developed slowly over several thousand years. Various groups were united under one
government ruled by a “Pharaoh”, the Egyptian term for king. The famous pyramids or
tombs for the pharaohs became tourist attractions that many people traveled long distances
to see. In addition to traveling to see the pyramids, people traveled to attend religious
festivals. The ancient Egyptians were the first to see that food service and lodging should be
provided to travelers. Thus the ancient Egyptians were the first to begin the activity we now
called tourism and hospitality.

Greek Empire
This began to develop about 1100 BC. City-states were united by Philip of Macedonia
in the middle of the third century BC His son, Alexander the great, built an empire that
surrounded the Mediterranean and extended as far east as India.
Because of increased travel, some form an overnight accommodation became a
necessity. Hence, inns and taverns became common in ancient Greece. As in the Middle
East, they had a bad reputation. The owners adulterated drinks with water and engaged in
criminal activities. They were looked down upon by rich and powerful citizens.
In contrast to inns and taverns, restaurants in ancient Greece were often respected and
served fine food.

Roman Empire
In 146 BC, Greece became a Roman protectorate. Roman efforts at territorial expansion
continued. By the time Rome had conquered most of Western Europe and the Middle East,
inns and taverns were established. The Romans constructed elaborate inns along the main
roads for officials and couriers of the Roman government. Marco Polo described these inns
as “fit for a king”. some rich landowners built their inns in their states and were managed by
household slaves. Near the cities, inns and taverns were constructed for less wealthy and
were run by freemen or by retired gladiators who wanted to invest money in the restaurant
business.

Medieval Period Dark Ages


After the fall of the Roman empire in 476 AD, innkeeping almost disappeared, except
local taverns and a few inns which were scattered throughout Europe. For this period,
Roman Catholic Church took over the job of feeding and housing travelers- both religious
and lay people. Members of the religious orders planted vegetable and herbs, raised animals
for meat, grew grapes for wine. Hospice of St. Bernard located in the Alps, 8,100 feet above
sea level, was the most popular monastery-shelters. Travelers were not charged for lodging
but those who were able to pay were expected to give donations.
In Europe, Charlemagne established rest houses for pilgrims. The main purpose was to
protec pilgrims and provide hospitality routes.
Medieval guilds held open houses to receive pilgrims. Accommodations in medieval
guilds were similar to those of the monasteries. A good example is The Steelyard, a
residence in London operated by the Hanseatic League.

Providing hospitality services became burden to the religious houses. The monasteries
were overbooked. It only continued to provide services to the rich noble who made large
financial contributions. The middle class could not give large contributions so some taverns,
inns ans wine shops began to serve them. Thus, the number of inns increased although the
standards of comfort and cleanliness differed greatly in different countries and regions.

Renaissance : 1350 AD to 1600 AD


There were no restaurants or dining establishments, in England, there were taverns,
pubs, and inns. None of these served food. They were generally avoided by the upper
classes who dined and entertained in their homes.
Concerns about table manners increased during this period and rules to be observed at
the dinner table developed. People were instructed not to put food on their plate using their
fingers because such behavior is unpleasant and annoying, burping at the dinner table was
considered unacceptable.

Early Modern Period: 1600 AD to 1800 AD


Ordinary, a type of eating place for commoners appeared in England. Coffee and tea
began to influence the culinary habits of Western Europe. Tea developed slower than coffee
but became widespread in England.
Coffee houses were built over Europe. In Venice, famous cafe Florian on the Piazza
San Marco was constructed. The first English coffee house was in St. Micahel’s Alley,
London in 1652. in 1683, Kolschitski opened the first coffee house in Central Europe. It was
the first coffee house where the first cup of coffee was sweetened with honey and milk.
Coffee houses became social and library centers as well as forerunners of cafes and coffee
shops at present.
They also helped drunkenness in European continent.
Other developments in this era include stagecoach development, increase in quality of
inns, the application of English common law to the hospitality industry, and in France, the
reintroduction of restaurants for public dining.
By the 1700s, the inns in England were much safer and more comfortable. The mails
were very important element in the development of the hospitality industry. Post houses
were similar to coaching inns, they were equipped to feed drivers and passengers and
accommodate them overnight.
The food service element of the hospitality industry changed dramatically in France in
1765. in that year, a man named Boulanger served soups and broths in Paris. These were
known as restaurant, a French word that means “restoratives”. the traiteurs, members of the
caterers’ guild who prepared roasts and meats for consumption in their private homes,

objected to Boulanger’s service of a dish made of sheep’s feet with sauce. They filed a case
against Boulanger.
The court then decided that Boulanger did not violate any French law. It crated a lot of
publicity and lead to a decree that authorized both traiteurs and restaurateurs to serve guests
within their establishments. This led to the establishment of public dining rooms where
guests were seated and served with the food and drinks of their choice.Boulanger is
recognized as the first to create the first restaurant, an establishment open to the public with
a dining room where a variety of foods could be bought and consumed.
In the late 18th century, restaurant business flourished. During the French
revolution, many people lost their jobs like chefs and cooks so they put up their own food-
service establishments to earn a living which led to the increase of the number of
restaurants in Paris. Another type of food-service establishment which developed in
France was the Cafe.
This is a french word shich stands for coffee. These cafes were the French equivalent of the
English coffee houses. At first, they only served snacks just as the English did. Later, the
owners of these establishments used their highly developed culinary skills to prepare more
elaborate items which delighted their customers.

The Industrial Era: from 1800


This started in England. The development of railroad networks, first in England then in
other countries, had a greater effect on the hospitality industry than any other development
since the fall of the Roman Empire. The establishment of railroad stations became excellent
locations for new hospitality businesses in England and other countries that developed rail
networks. Inns, taverns, restaurants, and hotels opened near railroad stations. In England,
examples include the Charing Cross Hotel, the St. Pancras Hotel in London, and the Queens
Hotel in Birmingham. In Scotland, there were St. Enoch’s Hotel in Glasgow and the Station
Hotel in Perth. In the United States, Biltmore Hotel and the Commodore Hotel were built in
New York City near the Grand Central Station.

Modern Period
Nineteenth Century
In the last quarter of the 19th century, public dining was not popular. Many hotels were
constructed without dining facilities. Hotel guests took their meals in their rooms. In 1875, a
dining facility was opened in the Albermarle Hotel in London. By this time, the term
restaurant referred to the dining room of a hotel. In London, more luxurious hotels began to
appear. Some were known for their excellent guest accommodation and superior food. One
of the best know hotels was the Savoy which was opened by Richard d’Oyly Carte in 1889.
he employed two men who became famous throughout the world Cesar Ritz (General
Manager) and Auguste Escoffier (Chef de Cuisines).

Auguste is world renowned chef with a book called Le Guide Culinare. Delmonico’s was
the only expensive and aristocratic restaurant in United States.
Twentieth Century
In 1921, Walter Anderson abs Billy Ingraham began the White Castle hamburger chains.
The name White Castle was chosenn because white stood for purity and castle for strength.
Marriott’s Hot Shoppe and root beer stands opened in 1927. At about this time, the
drivein and fast-food restaurants also sprang up in America. In 1925, Howard Johnson
opened his original restaurant in Wollaston, Massachusetts. In 1934, the Rainbow Room
opened. In 1937,
Trader Vic’s restaurant opened as well. The social elite was attracted to the

Polynesian-themed restaurant which served exotic drinks including the Mai Tai that Vic
invented.
In 1939, Le PAvillon opened in New York. By the end of 1930, every city has a deluxe
supper club or night club.
The Four Seasons also opened in 1939. it was the first restaurant to offer seasonal
menus (summer, spring, fall and winter) with its modern architecture and art as a theme.
After World War II, there was a rapid development of hotels in coffee shops. They sprang
up in almost every highway intersection. The 1950s saw the emergence of fast-food
restaurants. In the 1960s, dine dining became popular because businessmen liked to eat well.
In the 1970ss, new establishments were introduced such as the Taco Bell, TGIF, Houston’s
and Red Lobster.
The 1900s started with a recession which began in 1989. the hospitality industry
experienced a downpour due to the Gulf War. Organizations strive for profitability, hence
they downsized and consolidated.
Since 1993, the economic recovery was very strong. Thus, several mergers and
acquisitions have taken place. Many corporations have expanded overseas. Eastern Europe
and China have opened up.

Pioneers in the Tourism and Hospitality Industry Cesar Ritz


General Manager of Savoy Hotel in London. He made the hotel a cultural center for
high society. The Ritz name is synonymous with refined, elegant hotels and service, at
present, the Ritz-Carlton hotels bears his name.

Ellsworth Milton Statler


The premier hotel-man of all time, he brought a high standard of comfort and
convenience to the middle-class traveler at an affordable price. He was the first to put
telephones and radios in every guest room together with full-length mirrors, built-in closets,
and a special faucet for ice water.

Conrad Hilton
The biggest hotel man in the world and master of hotel finance. Jin 1954, he formed the
first major chain of American hotels - a group of hotels which followed standard operating
procedures.

Thomas Cook
The first professional travel agent, the founder of the world’s first travel agency. He is
credited for making travel possible for middle class. The phrase “Cook tour” is still used at
present to present a tours that goes to many places and stops briefly at each place.

Howard Dearing Johnson


The pioneer of brand leveraging. One of the first to introduce franchising in the 1930s.
one of the most famous name in the restaurant and hotel business.

JWillard Marriott
Founded the Marriott Corporation

Ray Kroc
Founded the McDonald’s Corporation, a multi-billion dollar industry. His motto is
“Never be idle a moment”.

Isadore Sharp
A first generation Canadian who founded Four Seasons and Regent Hotels, the world’s
largest hotel chain and a multimillion dollar global hotel empire. The success of Four
Seasons Hotels is largely due to the drive, determination, and personal taste and style of
Isadore Sharp.

Ruth Fertel
Founder of Chris Steak House, the largest restaurant chain in the United States. It sells
more than 11,000 steaks daily with a gross income of US$ 200M a year. She is the most
successful woman in the industry.

Origins of Tourism and Hospitality in the Philippines


This began when the original inhabitants of the country roamed around in search of
food. Inter-tribe travel occurred, although the mode of travel was crude. A more
recognizable form of tourism and hospitality appeared in the Philippines when the country
was discovered by Ferdinand Magellan and when galleons or wooden boats sailed between
Mexico and the Philippines during the galleon trade.
The introduction of more comfortable and faster means of transportation gave the early
impetus for tourism and hospitality in the Philippines. Travelers from the US, China, Japan
and Europe provided inland tours by entrepreneurs with their unregistered private cars and
coaches called “colorum” which means illegal tous handling and the illegal use of private
vehicles for public use. It was tolerated by the government authorities at that time since
tourism was not yet developed.
There were only few tourist attractions and destinations in the Philippines. These were
Manila, Pagsanjan Falls, Laguna Lake tours, Tagaytay and Taal Volcano, Mt. Mayon tours,
Legazpi tour, Baguio City and Banaue tour. Other popular tours in the South in the 1920s
were Cebu City and Zamboanga City.
In 1952, Philippine Tourist and Travel Association (PTTA) was organized to put all the
travel establishments serving both domestic and international travelers. This was funded by
the government to [promote the country’s tourism and hospitality industry. Later, the
government organized the Board of travel and Tourist Industry (BTTI) to regulate,
supervise, and control the tourist industry and to subsidize the PTTA as its promotional arm.
In the late 1950s, more hotels and restaurants and entertainment facilities were established.
From 1960s-1970s the country experienced economic, social and political crises. It was
1972, after the declaration of Martial law, when tourism and hospitality in the Philippines
prospered. This was due to safety, better services, and sanitation facilities, more financial
support from the government and vigorous support from the private sectors. Philippines
became “bargain destination” to foreign visitors.

National Tourism Organization of the Department of Tourism has several plans and
programs to ensure the pleasant and the hospitable entry, stay and departure of tourists, as
well as to assure a harmonious, positive, and constructive development of the tourism and
hospitality industry.
1. Ensure visitor arrivals especially from nearby markets like Japan, Korea, Hong Kong,
and Taiwan ans high-spending markets like Germany
2. increase the industry receipts through longer stays (11 days) and higher spending per
day(110$per day) which can be accomplished through more attractive destinations and
tours, more shopping and dining, and getting not just the budget traveler, but also the
upscale markets;
3. Expand domestic tourism and hospitality through more promotions, cheap tour
packages, and new facilities, especially for the lower income segments;
4. Expand capacity for tourism and hospitality by promoting more private sector
investments;
5. Improve the standards of service through the expansion of training programs for the
professionalization of the tourism and hospitality management and labor force;
6. Program major tourism and hospitality infrastructure projects;
7. Engage in major tourism and hospitality estate and resort development;
8. classify facilities in tourist sites according to international standards
9. Strictly enforce the tour facility standards;
10. Promote self-regulation within the different sectors of the tourism and hospitality
industry;
11. Complete the national tourism plan and a destination tourism plan;
12. Encourage consumer advertising in selected markets;
13. Work closely with the private sector in product development;
14. Develop and strengthen linkages with the local governments, the private sector and the
general public through tourism and hospitality councils.

International Travel Patterns


Major travel flows occur between the US ans the Western Europe. Secondary regional
patterns exist between South America, the Caribbean, Africa, the Near East, ans the Far
East. Travel to Africa is usually one way, originating in Europe.
The heaviest flow of air traffic into Europe is between NY and London. Within Europe,
the major flows are between London and Paris, London and Frankfurt, and Milan and Rome.
The cities in Europe most frequently visited by tourists are London, Paris, Frankfurt,
Amsterdam, Brussels, Zurich, Geneva, Madrid, Copenhagen, Vienna, Milan, Rome and
Munich.
The top ten countries generating international travel in rank order are” US, Germany,
UK, Canada, Japan, France, Netherlands, Mexico, Switzerland and Australia. Europe
generates about one-half of overseas travelers to the US. Travel between European
countries- intercontinental travel- has been very popular. This is one of the reasons why
Europe’s large share of the worldwide travel market.

Factors that Favor the Growth of Tourism and Hospitality Industry


1. Rising disposable income for large sections of populations
2. Growth in the number of retired person who have the desire and the energy to travel
3. Increase in discretionary time
4. Greater mobility of population
5. Growth in the number of “singles”
6. Higher educational levels
7. The growth of cities.
8. Simplification of travel through the package tours.
9. Growth of multinational business
10. Modern transportation technology
11. Shift in values
12. Advances in communication
13. Smaller families and changing roles.

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