"I think we now understand better how little we understand about inflation." -Federal Reserve Chair Jerome Powell, July 29, 2022 Even the chair of the Federal Reserve had to admit that inflation is a ferocious animal. He was on a rate hike mission for all of 2022 and is only now getting a sense...
During the COVID-19 pandemic, the Canadian hotel industry suffered tremendous financial stress. This stress was lessened by financial support for the hotel sector by the federal and provincial governments. With such financial support coming to an end, and the emergence of supply challenges, higher...
Travel and hospitality was one of the hardest-hit sectors during the pandemic. According to USTravel.org, in 2019, the total travel and tourism impact on the U.S. economy was $2.6 trillion and was responsible, directly and indirectly, for one in eight U.S. non-farm jobs. Of course, those numbers...
Three years after its onset, the COVID-19 pandemic’s long-term implications for consumer behavior, commerce, and daily life are still not widely understood. While pandemic restrictions have largely receded and are no longer a direct factor in individual and business decision making, the period...
The hospitality industry, particularly hotels, has been subject to significant headwinds since the onset of the pandemic in March 2020. Certain segments of the industry, mainly leisure properties, have recovered better than others. Hotel properties primarily reliant on business travel have...
No industry was harder hit by COVID-19 than tourism and travel. Turnaround and restructuring professionals might be tempted to connect the dots—thinking that an unprecedented demand shock would lead to an unprecedented rise in hotel bankruptcies. But before doing so, one must look at the unique...
This issue of the Journal of Corporate Renewal is focused on hotels and hospitality, including restaurants, none of which are newcomers to distress. The extreme headwinds of the past few years have left these businesses vulnerable, requiring the ability to remain nimble and strategic in the face of...
One of the engines of the Spanish economy is tourism, attracting in a good year about 85 million visitors, almost double the country’s entire population. The Covid-19 pandemic has had the most detrimental impact in memory on Spain’s hotel sector, a key pillar of the tourism industry, which...
The pandemic has ravaged businesses in every sector across the world. One of the hardest hit areas has been the hospitality industry. When nearly universal stay-at-home mandates were instituted, travel came to a halt, leading to unprecedented turbulence and a disproportionate impact on the lodging...
After the worst recorded year ever for hotel performance, 2021 appears to potentially offer some hope, though challenges for the industry remain. As of January 2021, U.S. hotel occupancy stood at 40%, down by 30.6% from a year ago; average daily rate (ADR) was at $90.3, down 28.1% from a year ago;...
