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Serving or Exploiting the Local Community? A Challenge to Hotel GMs

03 October 2024
As a hotel general manager, it's time for a crucial introspection: Are you genuinely working to benefit the local community, or are you merely leveraging the destination to fill rooms and funnel profits back to corporate headquarters? Your decisions impact your hotel's success and shape the essence of your destination.
Hotels significantly shape the destinations we visit, influencing our experiences as travelers and the local community, economy, and environment. Beyond providing a place to rest, their presence can deeply affect the character and sustainability of a destination. There are two contrasting views on this impact: some see hotels as integral parts of the local community, fostering sustainability and cultural integration. In contrast, others view them as alien or invasive entities contributing to overtourism and disregarding local needs. Let's explore these perspectives to understand hotels' roles in their destinations, focusing on sustainability, overtourism, and integration challenges.

The Hotel is Part of the Local Community

In this view, the hotel is more than just a business; it's a cherished institution woven into the fabric of the community. Often established decades ago, these hotels have nurtured strong relationships with locals and strive for long-term sustainability. Here's how they integrate:
  • Commitment to Sustainability and Balanced Tourism: These hotels actively pursue sustainable practices to preserve the local environment and culture. They are conscious of overtourism and aim to strike a balance between serving visitors and the local population. By avoiding contributing to overcrowding, they help maintain the quality of life for residents and ensure that visitors receive an authentic local experience.
  • Shared Spaces: The lobby isn't just for check-ins; it's a communal space where locals and guests mingle. The restaurant is a local eatery featuring regional cuisine made from locally sourced ingredients.
  • Cultural Integration: The hotel respects and reflects local traditions and customs. It might host community events, art exhibitions, or festivals celebrating the destination's heritage.
  • Economic Contribution: The hotel boosts the local economy by employing local staff and partnering with nearby businesses. These hotels often reinvest profits into the community.
  • Accessibility: Facilities like meeting spaces, spas, and gyms are open to residents, fostering a sense of shared ownership and belonging.
Impact: This approach enriches the destination, offering guests authentic experiences while strengthening community bonds. The hotel's commitment to sustainability and responsible tourism ensures that its operations benefit the environment, the economy, and the community's social fabric in the long term. Being mindful of overtourism helps preserve the destination's character and resources for future generations.

The Hotel is an Alien or Invasive Species

Contrastingly, some hotels operate like foreign entities implanted into the destination, disregarding local culture and needs. Characteristics include:
  • Contribution to Overtourism: These hotels focus solely on filling rooms, with little regard for the destination's capacity to handle large numbers of tourists. The more visitors they attract, the better, as their primary goal is to maximize profits to send back to headquarters. This approach can lead to overcrowding, strain on local resources, and a decline in the quality of life for residents.
  • Delayed Sustainability Efforts: They often do not adopt sustainable practices unless mandated by their headquarters. Changes toward sustainability are sluggish because they depend on corporate policy shifts, which can be slow to implement. This inertia makes it challenging for the hotel to address local environmental concerns promptly.
  • Isolation: The hotel's amenities are exclusive to guests. The lobby, restaurants, and spa serve as sanctuaries from the outside world, discouraging interaction with the local community.
  • Standardization Over Localization: As a mega-chain brand from another country, the hotel follows corporate guidelines prioritizing brand consistency over local adaptation. This adherence to global standards can conflict with local customs and regulations.
  • Economic Drain: Profits are funneled back to the hotel's home country, with minimal investment in the local economy. Employment opportunities for locals might be limited to lower-level positions.
  • Cultural Disconnection: These hotels make little to no effort to incorporate local art, cuisine, or traditions. The hotel's design and services could be identical to those of its branches elsewhere, offering a generic experience.
Impact: This model can lead to cultural dilution, economic leakage, environmental degradation, and overtourism. By prioritizing profit over the well-being of the destination, these hotels contribute to overcrowding and resource depletion, upsetting the local population and degrading the visitor experience. Because the hotel is part of a worldwide chain, making sudden changes to become part of the destination can be very challenging. The reliance on headquarters for policy changes means that any shift towards sustainability or local integration is often slow, hindering the hotel's ability to respond to immediate community needs.

The Broader Implications

The way a hotel integrates with its destination has far-reaching effects:
  • For Travelers: Hotels embedded in the community offer richer, more meaningful experiences. Guests can engage with locals, try authentic cuisine, and participate in cultural activities. Staying in a hotel committed to sustainability and responsible tourism also allows travelers to reduce their environmental footprint and avoid contributing to overtourism.
  • For Communities: Hotels that act as community hubs contribute to social cohesion, economic vitality, and environmental stewardship. By carefully managing tourism levels, they help prevent the negative impacts of overtourism, such as overcrowding, strain on infrastructure, and loss of local identity. Conversely, invasive hotels might strain resources without providing proportional benefits, potentially harming the local ecosystem and culture.
  • For the Destination's Identity: Community-centric hotels help preserve and promote the destination's unique character. Invasive hotels, on the other hand, can contribute to a homogenized global culture, neglect local environmental concerns, and worsen overtourism.

Striving for Integration, Sustainability, and Responsible Tourism

There's a growing movement encouraging hotels to adopt practices that favor community integration, long-term sustainability, and the prevention of overtourism:
  • Managing Tourist Numbers: Implementing booking strategies that avoid overcrowding, ensuring that the influx of visitors doesn't overwhelm the destination or its resources.
  • Local Collaborations: Partnering with local artists, farmers, and businesses to showcase regional talents and products, dispersing economic benefits throughout the community.
  • Sustainable Practices: Implementing environmentally friendly policies that respect the local ecosystem, such as reducing energy consumption, minimizing waste, and supporting biodiversity.
  • Community Engagement: Hosting events, workshops, or tours that invite guests and locals to participate and foster mutual understanding and respect.
However, for mega-chain hotels, embracing these changes can be challenging:
  • Corporate Constraints: Individual hotels may lack the autonomy to implement sustainable practices or community integration efforts without approval from headquarters.
  • Profit-Driven Focus: A singular focus on maximizing occupancy and revenue can lead to practices that contribute to overtourism, disregarding the negative impacts on the destination.
  • Delayed Implementation: Even when corporate policies evolve, rolling out changes across a global network is slow, delaying the hotel's ability to address urgent local issues.
Overcoming Challenges: A paradigm shift is needed at the corporate level for worldwide chains to become true parts of their destinations and mitigate overtourism, including:
  • Flexible Policies: Allowing individual hotels more leeway to adapt to local cultures, environmental needs, and tourism capacities.
  • Sustainability and Responsible Tourism Commitment: Prioritizing global sustainability initiatives and responsible tourism practices that can be tailored to local contexts.
  • Community Partnerships: Encouraging hotels to build relationships with local organizations and stakeholders to understand and address overtourism concerns.

Conclusion

Hotels have the power to either enhance or undermine the destinations they occupy. By choosing to be part of the local community, striving for long-term sustainability, and actively preventing overtourism, hotels can create a symbiotic relationship that benefits everyone involved. These establishments provide authentic experiences for guests and contribute positively to the environment, the local economy, and the community's social well-being.
 
Conversely, hotels that act as invasive species may offer a familiar experience but at the cost of local culture, economy, ecological well-being, and the exacerbation of overtourism. The challenges mega-chain hotels face in integrating with their destinations and managing tourism levels highlight the need for corporate policies that value sustainability, community engagement, and responsible tourism.
 
So, hotel general managers, the question stands: Are you serving the community and preserving the destination for future generations, or are you exploiting it for short-term gains that benefit distant headquarters? Your choice will define your hotel's future and the destinations we all cherish.
 
As travelers, supporting hotels that prioritize sustainability, community integration, and balanced tourism enriches our experiences and fosters positive change. By choosing these establishments, we encourage the hospitality industry to adopt practices that benefit both destinations and their inhabitants. Responsible hotel guests help preserve the places we love to visit for future generations.