Keys to Success - Hospitality Conversations - By John Hogan
When planning topics for columns, I assess issues and concerns that face hotel owners, managers and professionals. In 2009, I considered a series of columns that would include specific insights from professionals who serve the industry in a variety of roles. For several reasons, I decided to defer the new series, to be known as my 'HOW TO' columns until 2010. While the economy is still lagging behind where we hope it to be, I am confident that delivering optimistic and realistic messages can have a positive impact on the industry
The current economic downturn is the fourth I have seen in my business career.
1. In the 1970s, high rates of inflation and gasoline shortages dramatically affected the hospitality industry. Many large convention hotels literally closed entire floors for weeks at a time.
2. From the mid -1980s to the early 1990s, a recession again hit the industry hard. Substantially caused by the savings and loan crisis from real estate loans that did not have adequate equity, many major brands were forced into bankruptcy, mergers or partnerships. There were staggering statistics from the American Hotel & Motel Association (earlier name of AH&LA) about the number of hotels that were unable to meet debt service in the early 1990s, yet the industry adjusted and recovered.
3. The events of 9.11.2001 changed the way the US and global economies interacted. We recall the eerie silence of no US air travel for almost a week. Business was no longer conducted 'as usual' and attentiveness to security became intensified.
4. The current financial slump differs from others in its
