1.1 Introduction
The hospitality industry is defined as a broad category of fields within the service sector that includes lodging, food and beverage service, event planning, theme parks, travel, and tourism. It is primarily concerned with the provision of services to guests and travelers, focusing on comfort, satisfaction, and experience (Walker, 2019). The industry is a major component of the global economy and serves as a critical driver of tourism development, foreign exchange generation, and employment creation. According to Okorie (2021), the hospitality industry encompasses all establishments that provide accommodation, meals, and other related services to people away from their homes, whether for leisure, business, or other purposes.
Tourism and hospitality are interdependent, as the growth of one often stimulates the other. The hospitality industry serves as an agent that supports tourism by offering essential services and facilities that make travel experiences enjoyable and memorable. In many developing countries, including Nigeria, the hospitality industry is recognized as a key contributor to economic development through its impact on job creation, revenue generation, and the promotion of cultural exchange (Adewale, 2020).
As a prelude to other parts of this study, this chapter will discuss the background upon which this study was initiated, the statement of problems that led to this study, the Aim and Objectives of the study. Others are Significance of the study, Scope of work, Research hypothesis and questions, Limitation of the study and Definition of terms.
1.2 Background of the Study
Historically, hospitality industry can be traced back to ancient civilizations, where the need for shelter, food, and security for travelers led to the establishment of inns and guesthouses. According to Walker (2019), the concept of hospitality originated from the ancient practice of offering lodging and meals to travelers and pilgrims as a gesture of goodwill and cultural exchange. In ancient Greece and Rome, hospitality was regarded as a sacred duty, and establishments such as tabernae and hospitium were developed to cater to merchants, soldiers, and visitors (Walker, 2019).
The hospitality industry plays a vital role in the growth and sustainability of national economies, particularly through its contribution to tourism, job creation, and infrastructural development. According to Walker (2019), the hospitality industry comprises businesses that provide lodging, food, recreation, and other services designed to ensure customer comfort and satisfaction. It is regarded as one of the world’s largest and fastest-growing industries, contributing significantly to Gross Domestic Product (GDP) and serving as a key driver of socio-economic transformation. Okorie (2021) asserted that the hospitality industry acts as a foundation upon which tourism thrives, as it provides essential facilities that enhance tourists’ experiences and encourage repeat visits (Okorie, 2021).
In the Nigerian context, the hospitality industry has emerged as a crucial component of the service sector, playing a central role in promoting tourism and economic diversification. Adewale (2020) reported that Nigeria possesses vast tourism potential due to its rich cultural heritage, historical landmarks, and natural attractions; however, the hospitality sector has not been fully harnessed to transform these potentials into tangible economic benefits. The author further noted that the lack of adequate infrastructure, poor service delivery, and insufficient policy implementation have limited the growth of the industry and its capacity to attract international tourists.
Globally, the hospitality and tourism sectors are interlinked and have become major contributors to global trade and investment. Ibrahim (2020) stated that countries that have invested strategically in hospitality infrastructure such as hotels, resorts, and transport networks have witnessed remarkable improvements in their tourism earnings and employment rates. On the other hand, nations with weak institutional frameworks, insecurity, and poor customer service culture face stagnation in tourism growth and reduced foreign exchange inflow.
Ogunleye (2021) affirmed that in developed and emerging economies, the hospitality industry serves not only as an agent of leisure and recreation but also as a catalyst for local economic development. The industry supports small and medium-scale enterprises, fosters entrepreneurship, and enhances urban renewal. In Nigeria, however, the contribution of the hospitality industry to national development remains below its potential due to persistent challenges such as insecurity, inadequate skilled manpower, and lack of modern facilities. Eze and Chukwuma (2022) contend that human resource development in the Nigerian hospitality industry is often overlooked, leading to low service quality and inefficiencies in customer satisfaction management.
Okonkwo (2019) reported that a well-developed hospitality sector has the potential to contribute significantly to the diversification of the Nigerian economy by attracting foreign investment, increasing employment, and promoting regional development. On the other hand, the absence of coherent tourism and hospitality policies has hindered the country’s ability to compete with other African nations (Okonkwo, 2019). As nations increasingly recognize the importance of the hospitality industry in driving socio-economic development, Nigeria stands at a critical juncture where effective policy frameworks, infrastructural investment, and human capital development must be prioritized. The hospitality industry not only enhances tourist attraction but also strengthens the country’s international image, cultural exchange, and sustainable development goals. This study is set against the backdrop of examining the hospitality industry as an agent of tourist attraction and economic development, exploring its current contributions, challenges, and potential strategies for improvement.
1.3 Statement of Problems
Investigation revealed that the level of infrastructural decay in many tourist destinations reduces their attractiveness to both local and international visitors. Poor road networks, erratic power supply, and insecurity discourage tourists from exploring the country’s hospitality facilities, which in turn affects the revenue generation potential of the sector (Adewale, 2020). In addition, the high operational costs associated with maintaining hospitality businesses, such as hotels and resorts, further limit their ability to compete effectively in the international market.
On the other hand, countries that have successfully harnessed their hospitality industry through stable policies, quality service delivery, and infrastructural investment have recorded significant improvements in tourism growth and economic performance (Ogunleye, 2021). Furthermore, the absence of effective collaboration between the hospitality industry and tourism regulatory bodies has led to disjointed development strategies and poor policy implementation (Eze & Chukwuma, 2022). It is against this backdrop that this study seeks to examine the role of the hospitality industry as an agent of tourist attraction and economic development.
1.4 Aim and Objectives of the Study
The main aim of this study is to evaluate the hospitality industry as an agent of tourist attraction and economic development in Nigeria.
The specific objectives of the study are to:
- Examine the role of the hospitality industry in promoting tourism and economic development in Nigeria.
- Identify the existing challenges affecting the performance of the hospitality industry.
- Assess the relationship between the hospitality industry and the growth of tourism in Nigeria.
- Investigate the impact of government policies and infrastructural development on the hospitality sector.
- Suggest possible strategies for improving the efficiency and global competitiveness of the Nigerian hospitality industry.
1.5 Research Questions
Based on the stated objectives, the study will address the following research questions:
- What role does the hospitality industry play in promoting tourism and economic development in Nigeria?
- What are the major challenges affecting the performance of the hospitality industry in Nigeria?
- What is the relationship between the growth of the hospitality industry and tourism development?
- How do government policies and infrastructural development influence the performance of the hospitality sector?
- What strategies will improve the efficiency and competitiveness of the hospitality industry in Nigeria?
1.6 Significance of the Study
It is believed that at the completion of the study, this research will serve as a useful resource for comprehending the strategic role of the hospitality industry in tourism and economic development. The study will also create awareness among stakeholders about the need for professional training, investment, and innovation in the hospitality sector.
Furthermore, it will contribute to academic knowledge, policy design, and future research on sustainable tourism development in Nigeria. The study will also serve as a reliable reference material for teaching, learning, and future academic inquiries on hospitality and tourism management.
Lastly, the findings will guide investors in making informed decisions about potential areas of growth and investment opportunities within Nigeria’s tourism landscape.
1.7 Research Hypotheses
In order to pursue the objective of this study, the following generalized statements have been designed to guide and aids in obtaining the result for the experiment to be conducted. For this work, the null hypothesis will be represented with H0 while the alternative hypothesis will be represented with hypothesis H1.
Hypothesis One
- H0: There is no significant relationship between the development of the hospitality industry and the growth of tourism and economic development in Nigeria.
- H1: There is a significant relationship between the development of the hospitality industry and the growth of tourism and economic development in Nigeria.
1.8 Scope of the Study
The scope of this study is focused on hospitality industry as an agent of tourist attraction and economic development, using Eko Hotels and Suites, Federal Palace Hotel, and Radisson Blu Anchorage as a case study.
1.9 Limitations of the Study
During the course of this study, there were some problems encountered which stood as limitations to the research work. Some of the limitations include:
- Time Constraint: The time frame given to accomplish this project was very short due to school academic calendar and it was carried out under pressure which made the researcher not to implement some necessary features.
- Financial Constraint: Insufficient fund tends to impede the efficiency of the researcher in sourcing for the relevant materials, literature or information and in the process of data collection (internet, questionnaire and interview).
- Initial Cooperation Delay from Respondents: A particular limitation of this work came as a result of the respondent refusal to offer their cooperation at the initial time they were contacted. This contributed in making the success of this research study difficult.
1.10 Definition of Terms
Hospitality Industry:
According to Walker (2019), the hospitality industry refers to the broad category of services that provide accommodation, food, and recreation for people away from their usual environment.
Tourism:
Okorie (2021) defined tourism as the movement of people to destinations outside their usual environment for leisure, business, or other purposes for not more than one consecutive year.
Economic Development:
Ibrahim (2020) asserted that economic development is the process by which a nation improves the economic, political, and social well-being of its people through increased productivity and infrastructural advancement.
Tourist Attraction:
Ogunleye (2021) stated that a tourist attraction is any place, event, or activity that draws visitors due to its natural, cultural, or recreational appeal.
Infrastructure:
Adewale (2020) reported that infrastructure refers to the basic physical and organizational structures such as roads, power, and communication systems needed for the operation of a society or enterprise.
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