The Affects of the Current Global Recession on the Tourism Industry in Europe and Strategies for Competition

After the oil and food price shocks of 2008, the world is now experiencing a severe economic downturn, with uncertainties, extreme market volatility and a decline in consumer and business confidence. In Europe, the tourism and hospitality sectors have resisted the downturn better than in North America and Japan, where the effects are far more severe. However, both consumers and tourism and hospitality executives remain nervous as the bad news from the United States of America reaches into the living rooms, the boardrooms and offices. Occupancy rates are down and Europe remains flush with bargains in tourism and hospitality. However, it is not easy to get the customer to come in for a smile and a treat. This dissertation presents a discussion about the impact of the current recession of 2008/2009 on the European tourism and hospitality industries and strategies for competition.