Resort Management - Economic Impact on Resorts Assignment

Resort Management - Economic wedge on Resorts - Assignment ExampleA slow economy in the region implies that business trips outgrowth tremendously, thus positively touch on profits. Cost containment has been another hiccup facing the Grand Floridian and thus cut down the productivity (Miller 55). The resort management has come up with ways to lower the cost without negatively affecting the quality standards. As a core of cost containment, the management has cut down cost of products and go leading to low revenues.According to a research study by Choi, taxes, and deductions play a indispensable role in the hospitality industry. Higher taxes and lower tax deductions in Florida have negatively affect the Grand Floridians revenues. For instance, high energy taxes will lead to fewer trips while high integrated taxes result in less net profit after tax. On the other hand, increased client sophistication has also posed a significant challenge to the Grand Floridian Resort. As a res ult of increased consumer preferences, the resort has been forced to undertake renovation of recreational facilities, business hubs, and guests rooms in roll to match customers expectations. Lack of adequate number of employees working in the resort has led to reduced productivity. fatigue shortage is triggered by the increased services offered at the Grand Floridian resort (Choi 68). Therefore, the resort management unavoidably to handle the aforementioned hiccups in order to improve on the number of guests, and increase efficiency.There argon also favorable economic factors that have facilitated the growth and expansion of the Grand Floridian resort. For instance, the organization has received benefits from the federal government through subsidies and reduced taxes resulting in higher profits and revenues. Therefore, the government has enhanced the organizations operations by offering tax breaks, and incentives to the entire hospitality and tourism industry. On the other hand, wage hike competition in the industry has led to increased creativity