Effects Of Public Relations On Hotel Management

Project and Seminar Material for Human Resource Management (HRM)

Abstract

This study was carried out to examine the effects of public relations on hotel management using some selected Hotels in Asaba Delta State as a case study. To achieve this, 4 significant research objectives were formulated. The survey design was adopted and the simple random sampling techniques were employed in this study. The population size comprised of marketers of the selected Hotels in Asaba Delta State. In determining the sample size, the researcher conveniently selected 114respondents while 110 were received and 100 were validated. Self-constructed and validated questionnaire was used for data collection. The collected and validated questionnaires were analyzed using frequency tables and mean scores. While the hypotheses were tested using Pearson correlation statistical tool SPSS v23. The result of there is a significant relationship between public relations and effective hotel management. The findings also revealed that the public relations strategies utilized in the hotel have contributed to the effective management of the organization. And there is a significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization. In regard to the findings, the study recommends that the hotel should set up an independent and fully functional public relations unit that is separate from marketing to enable it carry out the detailed work of reputation building and upholding.

Table of Content

Chapter One:

Introduction

1.1 Background of the Study
1.2 Statement of the Problem
1.3 Objective of the Study
1.4 Research Questions
1.5 Research Hypotheses
1.5 Significance of the Study
1.6 Scope of the Study
1.7 Limitation of the Study
1.8 Definition of Terms
1.9 Organisations of the Study

Chapter Two:

Review of Literature

2.1 Conceptual Framework
2.2 Theoretical Framework
2.3 Empirical Review

Chapter Three:

Research Methodology

3.1 Research Design
3.2 Population of the Study
3.3 Sample Size Determination
3.4 Sample Size Selection Technique and Procedure
3.5 Research Instrument and Administration
3.6 Method of Data Collection
3.7 Method of Data Analysis
3.8 Validity of the Study
3.9 Reliability of the Study
3.10 Ethical Consideration

Chapter Four:

Data Presentation and Analysis

4.1 Data Presentation
4.2 Analysis of Data
4.3 Answering Research Questions

Chapter Five:

Summary, Conclusion and Recommendation

5.1 Summary
5.2 Conclusion
5.3 Recommendation
REFERENCES
APPENDIX

Chapter One

Introduction

1.1 Background of the Study

In recent times, increasing competition in the business world has forced firms to become more aware of price and costs, which has resulted in a shift in the promotion mix to a greater use of promotion tools that are cost effective in reaching the customer. The increasing media clutter and altering competition has also forced companies to take new stands when planning promotion activities, to be able to reach and keep the customer. To do this, a company needs to get and maintain a high amount of credibility in front of its customers. At the same time, modern marketing has been accused of spending increasing amounts of resources in their promotion activities, which has resulted in products and services with higher prices for the customer.

One important tool that has gained importance in recent times is public relations. With its feature, public relations brings about mutual relations between a firm and its customers and further enhances overall performance of a company. It is highly regarded as credible and cost effective. (Williams, 2016). The communication between a company and its customer, also known as promotion, is a mix of tools that can be utilized in the marketing communication. Public relation activities are an important part of this mix (Armstrong, 2013). Promotion is used by organizations to communicate with customers regarding their product offerings and also to ensure that customers are aware of the available products (Rowley, 2018). Promotion is defined by Kotler (2014) as communication activities used to inform, persuade, or remind the target market about the availability and benefits of a product.

Promotion covers all communication tools that can delivera message to a target audience. It is seen as a direct form of pervasion based on external incentives rather than inherent product benefits. Boyd et.al (2018), describe the promotion strategy as a controlled and integrated programme of communication methods and materials designed to present the organization and its products to customers and to contribute to long-run profit. The promotion programs are developed through the use of four broad components: advertising, sales promotion, personal selling and public relations.

Public relations is non-paid stimulation of demand for a product or service. Public relations, also known as PR, is designed as a set of communication techniques which are designed to create and maintain favorable relations between an organization and its publics (jefkins,2013). BeaversMoss (2001) argues that PR is a form of communication that well supports and adapts to a company‟s various advertising components. As much as it works to strengthen these components, there is also one obvious difference between advertising and PR. Advertising controls the overall message of the organization and builds visibility, while public relations reaches in and provides the advertising message with credibility and trust. While marketing builds brand, PR amplifies brand awareness. The trouble is that while PR and marketing are two sides of the same coin, in many companies the disciplines fail to corporate. There is often also a failure to distinguish where marketing ends and PR starts. If people in the community are askedto mention five competitors in the same business and they do not mention yours, probably the competitors use PR more effectively (Lynn, 2012) PR is arguably the broadest of the marketing communication disciplines, involving a wide range of activities and specializations used to deliver corporate and brand messages. PR has developed from efforts focused on selling products to a corporate advisory role. As a result, PR activities can be classified as long-term brand building options (Barnes&Schultz,2019). Over the last decade, communication with audiences considered important to an organization has developed into a central focus of corporate strategy (Dolphin, 2014). Companies want to build good relations with their shareholders, with suppliers, distribution channels and customers. External operators such as trade and professional associations and local chambers of commerce are other organizations that companies might wish to influence. Also journalists and representatives from various publishers are groups with which the organization must maintain good relations (Holloway& Robinson, 2014). According to wells et.al (2013) public relations is a management function practiced by a wide range of organizations; companies, governments, non-profit organizations, the educational system, labor unions, politicians, organized sports and the media. Their goal is to achieve positive relationships with various publics in order to effectively manage the organization‟s image and reputation. Its publics may be externals like customers, news media, investment communities, the general public and governments or internals like shareholders and employees. Since PR is practiced by a wide range of organizations or companies, the researcher developed keen interest to undertake a study on how PR practices contributes to the management of hotels in Nigeria.

1.2 Statement of the Problem

Earlier research shows that PR is one of the most important parts when considering the promotion mix in the hotel industry (Mckay, 2012). The nature of the business with a need of high levels of trust, explains the importance of public opinion to be successful. The hotels’ most effective tool to monitor and manage this opinion is through extensive use of PR activities. Recent research also shows that the hotel industry has been caught in a negative trend regarding reputation, which could have been avoided through PR activities. In the hotel industry, services provided are to a high degree similar, which makes it hard to make a comparison. Therefore, credibility and value is mainly gained from the institution’s reputation. It is also argued that reputation is the most valuable asset of a hotel (Beavers-Moss, 2015). As stated by Dolphin (2014), corporate reputation is a fast developing area clearly gaining in importance for management and scholars. However, the importance of PR activities in the hotel industry is not continuously described by existing researches. Some PR activities in hotels have been studied internationally in different countries, but preliminary investigations showed that no one has researched the impact of public relations activities on the management of hotels in Asaba Delta State. Thus, this study seek to cover the gap.

1.3 Objectives of the Study

The overall aim of this study is to critically examine the effects of public relations on hotel management. Hence, the study will be channeled to the following specific objectives;

Determine whether there is a significant relationship between public relations and effective hotel management.
Ascertain whether the public relations strategies utilized in the hotel has contributed to the effective management of the organization.
Determine if there is a significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization.
Identify the public relation tools utilized in the management of the hotel.

1.4 Research Questions

The study will be guided by the following questions;

Is there any significant relationship between public relations and effective hotel management?
Has the public relations strategies utilized in the hotel contributed to the effective management of the organization?
Is there any significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization?
What are the public relation tools utilized in the management of the hotel?

1.5 Research Hypotheses

In the course of this study, the following statements will be validated;

H01: There is no significant relationship between public relations and effective hotel management.
H02: There is no significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization.

1.6 Significance of the Study

Academically, the study is essential to academicians for generation of ideas, principles, models, theories, concepts and constructs that facilitate the classification and increase in the body of Knowledge of public relations. The findings of the study are important to public relations practitioners and the Nigeria Public Relations Association (NPRA) for them to understand the challenges faced by the profession and therefore find dependable solutions to promote the growth of the profession and the association.

The study is also relevant to the dominant coalition or management of hotels and in particular hotels in Asaba for their knowledge and understanding of the importance of public relations to the growth and good performance of the hotel.

1.7 Scope of the Study

This study is structured to generally examine the effects of public relations on hotel management. However, the study will further determine whether there is a significant relationship between public relations and effective hotel management, ascertain whether the public relations strategies utilized in the hotel has contributed to the effective management of the organization, determine if there is a significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization, and identify the public relation tools utilized in the management of the hotel.

This study will be carried out in Asaba Delta State, and will comprise 6 selected hotels in the city.

1.8 Limitation of the Study

Like in every human endeavour, the researcher encountered slight constraints while carrying out the study. Insufficient funds tend to impede the efficiency of the researcher in sourcing for the relevant materials, literature, or information and in the process of data collection, which is why the researcher resorted to a limited choice of sample size. More so, the researcher simultaneously engaged in this study with other academic work. As a result, the amount of time spent on research will be reduced.

Moreover, the case study method utilized in the study posed some challenges to the investigator including the possibility of biases and poor judgment of issues. However, the investigator relied on respect for the general principles of procedures, justice, fairness, objectivity in observation and recording, and weighing of evidence to overcome the challenges.

1.9 Definition of Terms

Public Relation:

This is a management discipline, which is a change from the traditional view of PR as mainly a communication activity.

1.10 Organisations of the Study

The study is categorized into five chapters. The first chapter presents the background of the study, statement of the problem, objective of the study, research questions and hypothesis, the significance of the study, scope/limitations of the study, and definition of terms.

The chapter two covers the review of literature with emphasis on conceptual framework, theoretical framework, and empirical review. Likewise, the chapter three which is the research methodology, specifically covers the research design, population of the study, sample size determination, sample size, and selection technique and procedure, research instrument and administration, method of data collection, method of data analysis, validity and reliability of the study, and ethical consideration. The second to last chapter being the chapter four presents the data presentation and analysis, while the last chapter(chapter five) contains the summary, conclusion and recommendation.

Chapter Five

Summary, Conclusions and Recommendations:

5.1 Introduction

This chapter summarizes the findings on the effects of public relations on hotel management using some selected Hotels in Asaba Delta State as a case study. The chapter consists of summary of the study, conclusions, and recommendations.

5.2 Summary of the Study

In this study, our focus was on the examination of the effects of public relations on hotel management using some selected Hotels in Asaba Delta State as a case study. The study is was specifically carried out to; determine whether there is a significant relationship between public relations and effective hotel management, ascertain whether the public relations strategies utilized in the hotel has contributed to the effective management of the organization, determine if there is a significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization, and identify the public relation tools utilized in the management of the hotel.

The study adopted the survey research design and randomly enrolled participants in the study. A total of 100 responses were validated from the enrolled participants where all respondent were marketers of the selected Hotels in Asaba Delta State.

5.3 Conclusions

Based on the findings of this study, the researcher concluded that;

There is a significant relationship between public relations and effective hotel management.
The public relations strategies utilized in the hotel have contributed to the effective management of the organization.
There is a significant correlation between public relations and the management of the hotel’s relationships with various internal stakeholders of the organization.
The public relation tools utilized in the management of the hotels include; public / special events; sponsorships; employee relations; community relations and philanthropy.

5.4 Recommendations

Based on the findings of the study, the following recommendations are proffered.

The hotel should set up an independent and fully functional public relations unit that is separate from marketing to enable it carry out the detailed work of reputation building and upholding.
The hotel should ensure that their public relations activities are understood by their clients.
Corporate objectives should be employed by all workers at the hotel to avoid negative reputation, losing customers and stagnation in the hotel‟s outlook.
The building relationships with customers should be considered from the jurisdiction of the strategic marketing departments in the hotels, which needs to be long-term planning.
Hotel service departments should realize that the use of the media and non-traditional approaches in dealing with customers that they are receiving services is greater than the value they paid.