De grootste kennisbank van het HBO

Inspiratie op jouw vakgebied

Vrij toegankelijk

Terug naar zoekresultatenDeel deze publicatie

What concerns regarding the rise of reduced VAT rate are there within hospitality industry, in the environment of hotel ‘’Golden Tulip Westduin’’?

Rechten: Alle rechten voorbehouden

What concerns regarding the rise of reduced VAT rate are there within hospitality industry, in the environment of hotel ‘’Golden Tulip Westduin’’?

Rechten: Alle rechten voorbehouden

Samenvatting

This chapter includes the brief description about the background of the problem, the actual problem statement. Out of this problem statement the research question was drawn, and the sub-questions were created. The chapter ends with the objective and expected results of this research proposal and a bookmark which provides basic information about the following chapters.

Limited to less than 10 countries in the late 1960s, VAT (value added tax) is today an essential source of revenue in more than 150 countries (Cornelisse, 2012).The Netherlands is one the countries on this list. All the goods that are being purchased by people, depending on the category they are in, include a certain percentage of VAT. Currently, there are three rates of VAT in the Netherlands, which are as follows:
• twenty-one per cent value added tax - standard VAT applied to most goods and services.
• six per cent value added tax – VAT applied to food and beverage (except for alcoholics), water, pharmaceutical products and medical aids, books and magazines, passenger transport, hotel accommodations, sport events, theatres, music performances, zoos, cinemas, etc.
• zero per cent value added tax – VAT applied to exports and intra-community supplies.
(Wijck, 2017).
The above-mentioned rates of VAT describe the current situation regarding taxes, however on 10th of October 2017, four governmental parties, namely VVD, CDA, D66 and ChristenUnie, proposed a new rule: starting 1st of January 2019 to increase the six per cent VAT up to nine per cent (Straten, 2017). The proposition is still under consideration and needs to be approved by the Dutch parliament, however the reaction of Dutch citizens as well as concerned businesses is already becoming negative.
One of the branches that will hugely be affected by this change is the hospitality industry. The owners of restaurants and hotels all over the Netherlands are expressing their concerns regarding possible decrease of sales due to this certain change in tax rates (Straten, 2017). In addition, an implementation of VAT related changes, becomes an administrative burden to companies and organizations. In this case, the hotel ‘’Golden Tulip Westduin’’ is one of the concerned parties which will be affected by the changes in VAT rates. The main problem for the management of GTW is that they do not know where to start and which of possible scenarios to choose, as they never had to go through similar external changes during the roughest period for business, low season. The management of “’Golden Tulip Westduin’’ has expressed various concerns related to this specific matter. Firstly, they want to know what is the actual situation they need to deal with, meaning they would like to know what are the opinions of other regional hospitality representatives with regard to this specific economic change. The necessity to analyze their competitors, is based on the fact that the economic change most likely will be implemented during low season, which consequently can have major impact on the financial performance of the company during this period. Secondly, and most importantly, ‘’Golden Tulip Westduin’’ expressed the desire to uncover which strategies have been used by their competitors when it comes to similar situation, and which of those strategies have proven to work most effectively.

Above mentioned problem definition serves as a basis for the following research question:
What concerns regarding the rise of reduced VAT rate are there within hospitality industry, in the environment of hotel ‘’Golden Tulip Westduin’’?
In order to find the solution to the problem that the hotel ‘’Golden Tulip Westduin’’ might be facing in the near future, the answer to the above-mentioned research question has to be found. However, in order to properly answer the main research question a single answer does not suffice. Therefore, it is necessary to make use of sub – questions. Sub – questions will help to get insights into all problem related aspects and, consequently provide the researcher with a broader knowledge field. The following sub – questions will be used to find a proper answer to this specific research question:
• What managerial concerns and decisions related to financial area were there during previous similar economic changes?
• What managerial concerns and decisions related to demand and customer satisfaction were there during previous similar economic changes?
• What managerial concerns and decision related communication were there during previous similar economic changes?
• What managerial concerns and decision related to administrative tasks were there during previous similar economic changes?
• What are the main concerns in relation to the reduced VAT rate increasing by three per cent?
The objective of this research is to uncover precise concerns the possible increase of the six per cent VAT rate will bring to hospitality industry, and how direct competitors deal with similar situations. In other words, provide the management of ‘’Golden Tulip Westduin’’ with an overview of most suitable actions which were undertaken by other hospitality companies in similar situations. . The main goal is to gather reliable and sufficient data regarding different strategies, which would consequently help to make relevant and beneficial suggestions and improvement points. use the findings to write an implementation report which will focus on adaptation plan as well as pricing strategies for the hotel.
Following the introduction, the thorough description of the company profile will be provided in the Chapter 2. Chapter 3 will provide all necessary theory related to the research plan and future research report. Next chapter 4 will cover the methodology chosen for this specific research, followed by chapter 5, which provides detailed results. Chapter 6 includes discussion where results will be compared to the theories found. Lastly, chapter 7 will finish up with conclusions of the research and specific recommendations for research sponsors. These recommendations are based on the results of this specific research.

Toon meer
OrganisatieHZ University of Applied Sciences
OpleidingVitaliteitsmanagement & Toerisme
AfdelingAcademie voor Economie & Management
PartnersGolden Tulip Strandhotel Westduin, Koudekerke
Datum2018-08-28
TypeBachelorscriptie
TaalEngels

Op de HBO Kennisbank vind je publicaties van 26 hogescholen

De grootste kennisbank van het HBO

Inspiratie op jouw vakgebied

Vrij toegankelijk