Standards for Classification and Ranking of Hotels in Vietnam


Casino hotels: The largest service that brings the highest revenue for this type is gambling (Cassino). These hotels are very luxurious with many famous types to attract customers. The food, accommodation and drinking services at this hotel are mainly to serve the gamblers. Many famous varieties with casino hotel systems such as Las Vegas (USA), Monte-Carlo (Manaco), Macau (Special Administrative Region of China) ...

Resort hotels: This type in Vietnam is often called a resort. It is usually located far from the city center, in coastal areas, mountainous areas, areas with beautiful landscapes, with many types of rich and diverse entertainment services.

Special types of tourist hotels: Special types of hotels include hotels specializing in health care and fitness (Heslth spas), hotels specializing in serving sports activities (Sport hotels) such as skiing, mountain climbing, sea sports and diving...

City center hotels (City center hotels/ downtown hotels): This type of hotel is built in the centers of large cities, residential areas, and crowded urban areas to serve customers traveling for business, conferences, seminars, shopping, visiting relatives, cultural sightseeing, etc.

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Suburbs hotels: Usually built on the outskirts of the city or near a tourist attraction such as a temple, pagoda, shrine, located outside the city. The main target customers are weekend travelers, tourist groups traveling to suburban areas or tourists visiting tourist attractions.

Highway/interstate hotel: Highway hotel is a general term that includes highway hotels, motels, motor inns, and motor lodges... This type is built along national highways to serve customers traveling on national highways and interstates using cars and motorbikes as means of transportation.

Standards for Classification and Ranking of Hotels in Vietnam

Airport hotels: Built near major international airports. The main target of these types of hotels are flight crew members and passengers of airlines that stop over at airports.


1.2.5 Classification by link (Affiliation)

This classification is also called by many textbooks as the classification by "ownership". According to Bardi (2003:11), this classification includes the following types:

Independent hotels: Independent hotels are usually managed by an investor, an individual, a group of individuals, or a company. It is not related to the brand of any corporation.

Chain affiliations: These are hotels in a group of hotels that have the same (uniform) standard operating procedures such as branding, marketing, reservations, accounting, management methods, operating standards, layout, business processes, room service quality, restaurants and other services, etc. Currently, there are many famous hotel chains in the world such as InterContinental, Marriott, Sheraton, Sofitel, Hyatt, Hilton, Econc Lodge, etc. Chain affiliations have many specific forms:

Franchise: a hotel can sign a contract with a hotel corporation (also known as a franchise corporation) to receive a franchise to use the brand or receive support in management, business processes, development orientation, promotion, etc. In return, they must pay a fee for this franchise.

Management contract: a hotel can sign a management contract with a hotel group or a hotel management company. Depending on the terms of the contract, these hotels can receive support in terms of management, staff training, promotional activities, marketing, strategic orientation, etc. In return, they also have to pay for this management.

Company-owned hotels: These hotels are owned and operated by a hotel chain. These hotels are owned and operated by a hotel chain. These hotels are allowed to manage their operations as an independent hotel. Of course, these hotels enjoy the privileges of the chain such as the brand, management processes and technology, the chain's reservation system, etc.


Referral Hotel: A hotel that receives referrals from a hotel chain. These hotels are often contracted with the hotel chain to receive referral support.

1.2.6 Some other classification methods

Classification by basic terminology (Basic Terminology): With this classification, types are often distinguished such as: hotels, motels, motor inns, resorts, privately owned housing (Weissiger, 2000: 33) or hotels, motels, youth hotels, privately owned inns (Pension), bed and breakfast (B & Bs) etc. Currently, many people in the US still understand according to this classification (Foster, 1999).

Classification by size: As mentioned above, classification by room size of hotels was quite popular before 1970. Nowadays, this classification standard is only for reference. For the world, the division of hotels by room size (Weissinger, 2000) is as follows:

Large hotel has over 500 rooms.

A medium-large hotel has from 200 to 500 rooms. A medium-sized hotel has nearly 100 to 200 rooms.

Small hotels have about 100 rooms or less.

In addition to the above classifications, there are many other classifications such as depending on the business time of the hotel (hotels operate year-round or seasonally); depending on the way of serving food and drink in the hotel (hotels with and without food service); according to the purpose of the guest's visit such as: business hotels, holiday hotels, convention hotels, purely tourist hotels (tourist hotels)...

1.3 Hotel Rating

1.3.1 Ranking of hotels and restaurants in the world

According to Nguyen Quyet Thang (2013), in many countries in the past, people had different rating symbols. In the US, the American Automobile Association (AAA) ranked customers from 1 to 5 “diamonds”. In Bulgaria


Previously, people classified hotels into 5 categories: special, category I, II, III and IV. Some other countries used alphabetical symbols, such as Czechoslovakia, which used to have 5 hotel categories: A+ Deluxe, A+, B+, B, C; Hungary had 5 hotel categories: A1, A2, B, C1, C2…

Or combine letters and numbers like the former Soviet Union had 7 hotel classes: Special, A, B, class 1, 2, 3 and 4... In 1958, Forbes Travel Magazine (formerly known as Mobil Travel) first introduced the star rating system and this symbol has become popular today. In France, in the past, when evaluating and ranking hotels, people used the "4-star" system to rank (plus "L" for Luxus). Since 2009, the ranking system in France has been converted to the "5-star" system like other countries. However, not all countries rank hotels from 1 star to 5 stars, each country may have its own ranking method.

Facing the general trend and the requirement of international integration, more and more countries have used the "star" rating (usually from 1 to 5 stars). Since 1962, the World Tourism Organization (UNWTO) and other international organizations have been trying to unify hotel standards among member countries. In Europe, under the auspices of Hotels, Restaurants & Cafés In Europe (HOTREC), hotel associations of Austria, the Czech Republic, Germany, Hungary, the Netherlands, Sweden and Switzerland have created the "Hotelstars Alliance" to build a hotel rating and classification system. This system has been effective for member countries since January 1, 2010, except for Hungary, Switzerland and the Netherlands, which use different dates to apply this standard. First of all, talking about the basis for hotel rating, in most countries it is often based on the following 4 basic groups of requirements:

Architectural requirements, number of hotel rooms.

Requirements for equipment and facilities in the hotel.

Requirements on the number and qualifications of hotel service staff.

Requirements for quality and diversity of services provided at the hotel.

1.3.2 Standards for classifying and ranking hotels in Vietnam

According to Nguyen Quyet Thang (2013), although Vietnam's tourism industry was born in 1960, it was in the difficult circumstances of the prolonged war and the subsidy period that followed.


Hotel construction and business in Vietnam were also deeply affected. Tourism activities only really developed from 1990 onwards.

Along with the open-door policy of the state, the number of international tourists to Vietnam has increased rapidly. Faced with the rapid increase in the number of visitors to Vietnam, to ensure integration into the world and maintain and develop the system of accommodation facilities serving tourists. Since 1990, the Vietnam National Administration of Tourism has recognized the necessity and urgency of building a system of scientific standards and norms to serve the unified management of hotel facilities in the entire industry. The standard for ranking tourist hotels in Vietnam was first issued on June 22, 1994 under Decision No. 107/TCDL of the Vietnam National Administration of Tourism and this standard was amended and supplemented in Decision No. 02/2001/QD-TCDL dated April 27, 2001 of the General Director of the General Department of Tourism. This is a mandatory standard applied to all hotels. (NQThang, 2013)

According to Nguyen Quyet Thang (2013), the classification standards for Vietnamese tourist hotels are built on the basis of the minimum standards of the Hotel Classification Project in the Asia-Pacific region (PATA) of the World Tourism Organization (UNWTO) combined with references to many rules and regulations for hotel classification of a number of countries in Europe, Asia and the opinions of many foreign experts, with amendments and supplements to suit the reality of Vietnam. In general, the classification standards for Vietnamese hotels have met the basic criteria with the international standards, reflecting the appropriate quality and making a positive contribution to the development of the hotel industry in Vietnam.

The standards for classifying and ranking Vietnamese hotels are divided into 2 parts:

Hotel classification: The standard divides tourist hotels into 3 types: City hotels; Resort hotels; Transit hotels.

Hotel ranking: Regarding ranking, tourist hotels are ranked from 1 star to 5 stars. Vietnam's tourism industry applies hotel ranking standards equally to evaluate the quality of all hotels in Vietnam, without exception. In which, hotel quality is determined through 5 groups of requirements:


Requirements on planning and architectural location.

Requirements for equipment and facilities. Requirements for hotel services.

Service staff requirements. Hygiene requirements.

Depending on the proposed class and actual quality; based on the issued ranking standards, the General Department of Tourism and the Department of Tourism will assign scores appropriate to the quality, type and business efficiency of each hotel. Accordingly, the General Department of Tourism organizes the assessment and decides to recognize 3-star, 4-star, 5-star hotels; the Department of Culture, Sports and Tourism (the Department of Tourism or the Department of Trade - Tourism before) assesses and recognizes 1-star, 2-star hotels. Thus, in addition to the first 4 basic groups of requirements applied internationally, Vietnam has chosen a 5th group of requirements, which is hygiene requirements. (NQThang, 2013)

1.4 Hotel business operations

1.4.1 Hotel business concept

“Hotel business is a business activity based on providing accommodation, food and beverage services and additional services to guests to meet their needs at tourist destinations and bring economic benefits to the business establishment” (Nguyen Van Manh - National Economics University, Hanoi).

According to Dang Thanh Vu (2013), hotel business is an activity that includes two types of accommodation services and additional services. Additional service business activities are activities that provide services that are not in the form of serving people's daily essential needs. These are services that increase the needs of daily life such as entertainment; enjoying culture; art; playing sports. As life becomes more and more advanced, people's demand for services is increasing and is always of interest to hotel managers to exploit. In fact, any hotel that organizes the provision of services well will have a very large revenue from this activity, even larger than the provision of food and beverage services. Nowadays, when social life is increasingly


The higher the demand for additional services, the more diverse the additional services in the hotel.

1.4.2 Content and nature of hotel business activities

The main business of the hotel is accommodation services (main service). In addition, the need for food and drink is a very important content in the hotel business. However, of these two types, accommodation services are the most basic. In addition to the above two contents, the hotel also does business in many other types of services such as organizing entertainment activities, selling souvenirs (additional services) ... Here, the hotel not only does business in goods and services directly produced by the hotel but also sells some services and goods produced by other industries such as telephone services, car rental, buying airline tickets, train tickets, sightseeing tickets ... For guests, the hotel plays the role of a sales agent.

The nature of hotel business: The nature of the hotel business is the business of accommodation and food services. Currently, along with the development of the tourism industry from different perspectives and the competition in attracting guests, competition in hotels is constantly expanding and diversifying. In addition to the two basic services, businesses have organized other activities such as organizing conferences, seminars and exhibitions, providing entertainment services... And as we know, the demand for services is highly seasonal, so to reduce seasonality in the hotel tourism business, there must be appropriate methods in operation, it is necessary to build and apply a comprehensive program to limit the impact of seasonality. Among the above services, there are services produced by the hotel to provide to guests such as hotel services, food and beverage, entertainment, etc. There are services that the hotel acts as an agent to sell to other establishments such as: drinks, telephone, laundry, etc. Among the services that the hotel provides to guests, there are services and goods that guests have to pay for, and there are services and goods that guests do not have to pay for such as luggage storage services, luggage porter services, etc. The products of the hotel industry are mainly services and partly goods. In the hotel, technical facilities and services have a close relationship with each other. The products of the hotel industry are a combination of products and the participation of the service


Staff are two indispensable factors in hotel business operations. For guests, providing service is one of the important standards of the hotel.

1.4.3 Characteristics of hotel business

Hotel business is a service business, the products created mainly require contact between people, so it has its own unique characteristics:

Hotel business depends on tourism resources. Because hotels are temporary residences, stops for guests, the number of guests when they participate in tourism activities, sightseeing, resting, and entertainment in places with tourism resources.

Hotel business has a large direct labor force, and the main product of the hotel is service, so it requires a large labor force.

In hotels, working hours are extremely mentally stressful, employees work 24/7, and the work is highly specialized, so it also requires a large number of replacement workers to ensure product quality as well as the health of workers.

Hotel business requires a very high amount of initial investment and fixed investment, hotel business is cyclical. It operates according to the tourist season, because hotel business only exists and develops according to the needs of visitors, they need beautiful resources, stable weather and climate. We cannot change the laws of nature, the laws of physiology, so this system is cyclical.

1.4.4 The significance of hotel business

Economic

Is one of the main activities of the tourism industry and performs important tasks of the industry.

Through the hotel accommodation and catering business, a part of the people's consumption fund is used for the consumption of services and goods of hotel businesses at tourist destinations. Therefore, the hotel business also increases the GDP of the region and of the whole country - Hotel business

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