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Hotel maurya

CONTENT
1. Hotel Maurya
2. Hospitality industry aspects and scenarios over
COVID-19: Bihar
3. Hospitality Industry Comparison
4. Impact of COVID-19 on Hospitality industry
5. COVID-19 – Unprecedented Impact on the global
economy
6. COVID-19 & Impact on the Indian Hotels sector
7. Conclusion

HOTEL MAURYA
 HOTEL AT GLANCE
Hotel Maurya Patna is undoubtedly one of the most celebrated
landmarks in Bihar. From the time it first opened its doors in 1978 to
welcome Patna residents and international tourists, it has remained an
iconic hospitality venue. Maurya is Bihar's first luxury's hotel in the state.

 Hotel Maurya Patna

Located in the heart of Patna adjacent to the city’s famous landmark
Gandhi Maidan, Hotel Maurya Patna offers easy access to business
districts, government offices and leisure attractions. A convenient 20-
minutes’ drive from the airport or 10-minutes from the railway station will
reach you at the destination. And once here, Maurya, a legacy hotel of
over forty years, will welcome you with warm hospitality as well as an
assurance that your stay in Patna is comfortable and memorable.

The foundation of HOTEL MAURYA was laid on 22 nd April 1964 and the
doors was opened for the guests in the year of 1978.
Guests staying at the hotel have the additional luxury to enjoy a 24-hour
room service. For guests’ convenience, especially for the corporate
travellers, the in-room dining menu also offers the choice of half-
portions. Guests can hence, enjoy the perfect value gourmet meal in the
comfort of their room.

Mr. Aditya Prakash Sinha is Managing Director of Hotel Maurya. It is

registered in Registrar of Companies as a Public Limited Company
under the Legal Name Bihar Hotels Limited.

The rooms at Maurya have been designed for comfort and function.
They embody elegance and offer the perfect ambience for your stay.

With a number of venues, state-of-the-art audio-visual facilities, high

levels of food & beverage quality and service, Maurya Banquets are the
perfect venues to celebrate your special occasions and corporate
events.

Maurya Banquets focuses on imparting Menus and Dishes keeping in

view of Different Communities of Society. The recent Muslim specialized
Menu has gathered a vide popularity and is the buzz in town. These
steps of the management shows how they visualize to capture different
community and continue its legacy over a bigger segments of the State.

Hotel Maurya also has a very wide range of Outside Catering experience
and is carrying out various prestigious functions solely on Behalf of Bihar
Government.

Hospitality industry aspects and

scenarios over Covid-19:
●Bihar
Patna has over a dozen big hotels, including three-star, four star and
five-star facilities, besides around 200 budget hotels located on its
streets and lanes near Ashok Rajpath, Boring Road, Gandhi Maidan,
Jamal Road, Station Road, Kankarbagh, Saguna More and
Bhattacharya Road corner.
While most of these big hotels have around 100 rooms, budget hotels
have 20-25 rooms each. Over 5,000 hotel rooms are available in the city.
Most of these hotels were closed during the Covid-19 lockdown and
were allowed to open and operate a couple of months ago as per the
ministry of home affairs’ guidelines.

But the good thing is that almost every big hotel has 40% to 60%
occupancy at the time of Covid-19,” says Bhola Kumar, an official from
Lemon Tree, a five-star hotel in the city.
An employee of another leading hotel in the city, who preferred not to be
named, said, “Because of the model code, parties cannot hire circuit
houses for political activities and party offices are too small to
accommodate members and media persons at press briefings.”
Also, big spaces are needed to maintain Covid-19 protocols and social
distancing, he said.
BD Singh, manager of Hotel Maurya in the city, said elections had
provided them some much needed relief. “At least we now have some
vehicles parked at our hotel entrance. For months, this space remained
empty, without any visitor,” he said.

“They all have different reasons. Some find its location more convenient.
But many prominent leaders prefer to be here just because they
consider it lucky for them considering their past association with the
property. Maurya hotel has remained a witness to changes in power,” he
said.
Singh said budget hotels in the city too were gaining from elections.
“Ticket seekers from different districts stay at these hotels,” he said.
Besides, many entrepreneurs from other cities who handle election
materials, too, are in state capital these days for work and have been
occupying rooms at these hotels, he said.

TK Sinha, the top official at Hotel Chanakya, another leading hotel in the
city, said the occupancy was around 50% at the time of pandemic .“Most
of the bookings are by political leaders and their associates. The
banquet halls get booked for press conferences and meetings,” he said.
“Most of the hotels are still running huge losses and many have even
slashed down the number of employees. All we can say is that the
Covid-19 pandemic has pushed the hotel industry back by 10 years,” he
said.
 •HOTEL MAURYA
IMPACT OF COVI0-19 ON BUSINESS
OPERATIONS:
On March 11 , 2020, the World Health Organization declared COVI0-19
outbreak as a pandemic. Responding to the potentially serious threat
that this pandemic has to public health. The Indian Government has
taken a series of measures to contain the outbreak of which included
imposing multiple 'Iock-downs’ across the country, from March 22, 2020,
and extended up to June 30. 2020.
The business has been severely Impacted during the year on account of
COVID-19 . The Company witnessed softer revenues due to the
Lockdown imposed during the first six months of the year and the hotel
had to be shut down for part of the year. With the unlocking restrictions
the hotel was opened and during the second half of the year the
Company witnessed some signs of recovery of demand. The hotels-
operations were affected partially due to second wave of the COVID-19
pandemic the last few months and the Company continues to closely
monitor the situation .
The company has assessed the possible impacts of C0VID-19 in
preparation of the Standard financial statements, including but not
limited to its assessment of liquidity and going concern assumptions
recoverable values of its assets and impacts on revenue and costs. The
Company has considered internal and external sources of information
and has performed sensitivity analysis on the assumption used and
based on current estimates expects to recover the carrying amount of
these assets. The impact of COVlD-19 may be different from that
estimates as at the date of approval of these standalone financial
statements and the company will continue to closely monitor any
material changes to future. The Company has adequate funds at its
disposal and the Management is confident of securing additional
financing, as required for the next 12 months to enable the Company to
meet us debts and obligation as they fall due. Accordingly, the Financial
statements of the Company have been prepared on a going concern
basis.
•HOTEL CHANAKYA PRIVATE LIMITED
The last reported AGM (Annual General Meeting) of Hotel Chanakya
Private Limited, per our records, was held on 31 December, 2020. Also,
as per our records, its last balance sheet was prepared for the period
ending on 31 March, 2020.
 •LEMON HOTEL TREE

As per the consolidated financial results (Value Stocks n.d.), total

income decreased from 203.47 crores (October 2019–December 2019)
to 177.28 crores (January 2020–March 2020) .
Therefore , Hotel Maurya has managed to survive in such a worst
condition of COVID-19 by adopting and making amendments at right
time. Moreover , if we compare the financial position of Hotel Chanakya ,
Lemon Tree hotel and Hotel Maurya ; at the time of Covid-19 pandemic
(2020-21) than we can look at their Balance sheet and analyse that
Hotel Maurya has not suffered adversely by adopting diversification in
the organization.
 Hospitality Industry Comparison

Above mentioned chart shows the hospitality industry comparison 2019-

20 (Covid-19 pandemic). The average number of Hotels in 2018-19 was
289 and it reduced to 111 in 2019-20 ; this shows the great impact of
COVID-19 on the hospitality industry of India. Only 16 5-star hotel
existed out of 33. Many chain affiliated hotels (68) were also shut down
because it could not bear the losses due to pandemic. 110 Independent
Hotels were only existing in 2019-20. There was a huge loss of
hospitality industry in India. The average total number of rooms per hotel
in India were also reduced from 85 to 76. The average occupancy % per
hotel in India was reduced by 2.7%. The average room rate per hotel
was 5539 in 2018-19 but it reduced to 5519 in 2019-20. Net room
revenue as % of total revenue of India’s hotel decreased by 3.7%. Net
total food & beverage revenue as % of total revenue also declined from
66.96% to 66.25%. The Net banquet & Conference revenue as % of
total revenue increased from 49.86% to 52.47% ; it implies that banquet
& conference revenue added to the budget of all India’s hotels. Whereas
room dept. expenses as % of total revenue declined by 2.21% in 2019-
20. Total F&B dept. expenses as % of total revenue of 5-star hotel
decreased by 0.7% , and chain affiliated hotels in India declined by 4.1%
in the year 2019-20 ,whereas Independent hotels total f&b dept.
expenses as % of total revenue increased by 14.2%. A&G as % of total
revenue reduced from 7.58 to 7.22. Marketing expenses as % of total
revenue increased from 0.23 to 0.42. Power & fuel as % of total revenue
reduced by 2.38% in 2019-20. House profits as % of total revenue of
average hotels of India was reduced from 35.3% to 34.5% and the
overall house profit as % of total revenue declined from 35.07% to
32.59% (2019-20). EBIDTA (Net income) as % of total income of India's
average number of hotels 30.2 (2018-19) and 30.6 (2019-20) and the
overall net income was 36.61 (2018-19) and 37.11 (2019-20). Therefore
this chart implies that Hospitality industry has suffered a lot but some
hotels in India managed to survive in such a adverse condition of
pandemic by opting some diversified business strategies in the
organization.

Above mentioned chart shows the Average number of total employees

per hotel (either permanent, contract or part time employees) in 2019-20.
So, the average number of hotels in all India were 54 out of which 7
were 5-star hotels , 13 were chain affiliated and 41 Independent hotels.
And 24% rooms were occupied. The total number of employees in
average number of hotel in all India were 155 , in 5-star hotel 197
employees, in chain affiliated 274 employees and in Independent hotels
117 employees. Number of managers in 5-star hotel were 25 , in chain
affiliated 50 managers and in Independent hotels 12.0 managers. The
average number of employees per room 1.8 in average number of hotels
in all India, in 5-star & chain affiliated hotel the average number of
employees per room were 1.6 and in Independent hotel 1.9 , with 1.9%
of room occupancy. Therefore employees were also dismissed from the
hotel for the shake of their existence in hospitality industry.
The above mentioned chart shows the Average monthly occupancy %
(2019-20). The average number of hotels in all India was 154 , 5-star
hotels were 20 , chain affiliated hotels were 35 and Independent hotels
were 119. 70% of rooms were occupied. In January overall total number
of room occupancy was 70%. In February the room occupancy
percentage declined by 3%. The worst occupancy level of Hospitality
Industry was in the month of March, it declined to 35% , and the hotel
industry was affected at its worst. In the month of March the monthly
occupancy of 5-star hotels was 39% , chain affiliated and Independent
hotels occupancy also declined to 37%. Than in the month of April the
occupancy percentage of hotels started to rise ; the average number of
room occupancy increased to 62% , this provided some relief to the hotel
industry . 70% of 5-star hotels were occupied in the month of April, 68%
of Chain affiliated hotels and 60% of Independent hotels. In the month of
May the occupancy percentage of rooms were 65% . Than in the month
of June & July the room occupancy percentage declined to 61%. The
declining percentage of room occupancy continues till the month of
October. The average room occupancy percentage in the month of
August was 58 , in September it was 59% and in the month of October it
declined to 56%. And than in the month of November the average room
occupancy percentage increased to 70%. All India average occupancy
shifts to 72% in the month of November. The average occupancy
percentage in all India was highest in the month of
December (2019-20). The average occupancy % in the month of
December of 5-star hotel was 82% , chain affiliated hotels was 79% and
of Independent hotels was 71%. Therefore, this chart shows the
deviation in the monthly occupancy percentage of hotel industry in
India , and this deviation shows the impact of COVID-19.
Moreover, if we analyse and compare the average monthly occupancy
data of 2019 from 2018 of Hotel Maurya then we can analyse that
average occupancy % in the month of January in 2019 was more than
previous year (2018). Average occupancy % was 81% in 2019 and 59%
in 2018. In the month of February the average occupancy % raised to
88% in 2019. But than in the month of March the occupancy percentage
of Hotel maurya declined to 27% in the year 2019 , this shows the
devastating business condition of the organization due to pandemic. And
than in the month of April the average occupancy percentage inclined to
76% , this was the cope up condition for the organisation. And than the
occupancy percentage continued to rise. But than in the month of
October the occupancy percentage declined to 60% (2019). And than in
the month of November and December the average occupancy %
inclined to 87% and 80% respectively. Thus; this average occupancy %
shows the diversified monthly occupancy percentage of Hotel Maurya in
2019.

The above mentioned chart shows the average daily occupancy

percentage (2019-20). The average number of hotels in all India which
shows their average daily occupancy % in 2019-20 were 104 ; in which
5-star hotel were 14, chain affiliated were 20 and Independent hotels
were 84 and their room average room occupancy percentage was 48.
The occupancy percentage of 5-star hotel on Monday was 64, chain
affiliated hotels was 66 and Independent hotels was 55. So, the average
occupancy % of rooms on Monday was 58%. And than looking on the
average occupancy of Tuesday we find that it increases if we compare it
from Monday. Therefore, the average daily occupancy of rooms industry
continues to rise.

Further, if we look at the data of Hotel Maurya we find that its average
daily occupancy percentage does not get affected adversely due to its
proper adoption of business operating decisions. Thus, Hotel Maurya
manages to survive in such a adverse condition in 2019-20 .

Impact of COVID-19 on hospitality

industry :
The world is still coming to terms with the COVID-19 outbreak and there
is no doubt that the pandemic will change the world as we know it. With
the globalized world going into partial or complete shutdown, the overall
impact on human life, economic growth and businesses is
immeasurable, both in the short term and long term due to the
uncertainty as things evolve. While most Economists and Analysts
currently expect the global economy to rebound, by some measure in
the latter part of 2020, the exact timeline cannot be determined till the
virus is contained across the globe. Nearer home, the Indian hotels
sector has been hit hard, grappling with significantly low demand, with
very few future bookings. Essentially, all transient demand has
completely vanished – the remaining is largely on account of either a few
long stay guests, or hotels having been prescribed by the Government
for the international travellers returning to India. Nothing could have ever
prepared us for the COVID-19-shock and although, the current crisis is
unlike any other we have ever faced, not all is lost. The Indian hotels
sector can recover from this crisis as well, by adjusting strategies in the
near term and preparing for the future.
In this report, we have tried to quantify the impact of COVID-19 on the
Indian hospitality sector, while discussing some of the immediate steps
that are needed to help the sector get back on its feet. We would like to
emphasize that our analysis is based on data available to us as on 23rd
March 2020. However, as the situation and implications are evolving
rapidly, some of the insights in the report may quickly be outdated. It is
imperative that all the industry participants collaborate and work
harmoniously in the current crisis by sharing best practices, keep the
workforce motivated and seek to put the industry back into recovery
mode, because this too shall pass soon.

COVID-19-Unprecedented Impact
on the Global Economy:
To say that the economic impact of the outbreak has been devastating,
is putting it mildly.  Most Economists believe that the full impact will only
emerge once the outbreak is completely contained. Economists world-
over expect the global economy to shrink in the first quarter of 2020, a
first since the 2008 financial crisis. With the number of cases rising
sharply on a daily basis, even if the pandemic is contained soon, the
ripple-effects will be felt across the world well into the year, pushing all
major economies into a possible recession.

COVID-19 & Impact on the Indian

Hotels Sector :
The Indian hospitality industry is undoubtedly one of the biggest
casualties of the COVID-19 outbreak as demand has declined to an all-
time low. Global travel advisories, suspension of Visas, imposition of
Section-144 (prohibition against mass gatherings), India like most other
countries is on a lock down, the ramifications of which are
unprecedented.  

The Impact on the Indian Hotel Sector will be Significant -

The Indian hotels sector sailed smoothly into January 2020, after a
record year in 2019, with 2020 set to be “even bigger”. The country first
started feeling the ripple effects of the global COVID-19 turmoil towards
the end of February 2020, which worsened in the beginning of March.
Occupancy across hotels in key cities declined rapidly and as per our
estimates has declined by a staggering 45 percentage points compared
to previous year. Such a steep decline in a such a short period of time
has never been witnessed by the sector.
We predict the second quarter of the year to be the worst hit. Hotels will
be unable to drive rates and may even seek to attract business at deep
discounts. While the veracity of the impact on the sector may only be
fully known much after the cessation of the pandemic, at HVS we have
tried to determine the total loss in revenues faced by industry using two
scenarios - both assuming that demand growth will resume prior to the
end of the year. The overall occupancy in the branded hotels segment in
2020 is estimated to decline by 16.7 – 20.5 percentage points over
2019, while ADRs are estimated to decline by 7% to 8% for the year. As
a result, RevPAR will witness a significant decline of 31% to 36.2%. 
Therefore, the overall revenue of the Indian hotel sector is set to decline
by anywhere between US$ 8.85 billion to US$ 10 billion, reflecting an
erosion of 39% to 45% compared over last year. Besides the actual
business loss, the hotel owners will also incur losses due to fixed
operating expenses, debt repayments, interest payments and several
other compliances required to be undertaken as part of the sector.

It is important to note that the magnitude of the impact can change

drastically if the outbreak is not contained immediately. In such an event,
our scenarios will turn invalid.
While the pandemic has brought the hotel sector in India to its knees,
our hope is that the industry will be in recovery mode sooner than later.

Recommendations for the Government of India

The Government has already taken a step in the right direction by
announcing its plans to set up a COVID-19 Task force to undertake
measures necessary to combat the economic effects of the pandemic on
the country. On our part, we have highlighted some sector-specific
measures that we believe will assist the task force in evaluating multiple
measures to help the Indian hotel industry weather the current storm.
Monetary Support: Stimulus package to stabilize and support the
sector in the near term, including a workforce support fund to ensure that
there are no job losses. Provide a moratorium of ~ 6 – 12 months on all
loans (principle & interest), including working capital payments and
overdrafts. Ensure that Credit Rating agencies do not down-grade
ratings of businesses, due to the expected volatility of the business in
the short to medium term. With the fall in oil prices, subsidies on Heat-
Light-Power (HLP) costs should be extended, as HLP is among the
largest fixed cost for the sector.
Fiscal Support: Provide a 12-month corporate tax holiday to travel,
tourism and hospitality sectors. Defer all statutory dues such as advance
tax, custom duties, excise duties, PF, bank charges etc. at central and
state level for 12 months.
Direct Support to Revive Demand: Appoint a think tank to evaluate
and decide the measures necessary for the revival of the sector. Waive /
Reduce GST on products offered by the sector for one-year period.
Incentivise travel by introducing a one-time opportunity for Leave Travel
Allowance to be part of the new income tax slabs. 
Policy Support: Annual renewal of licenses paid for in 2020 should be
extended till the end of 2021 without an incremental fee or charges. 

Recommendations for the Operators

The hotels sector at large has been the biggest casualty of the COVID-
19 shock, with demand at an all-time low across the globe. As the sector
continues to build contingency plans to alleviate the fallout of the crisis,
in our opinion, hotel operators should also look to extend the hand of
solidarity to their owners by providing certain relief measures.

One-time Waiver or Reduction in Base and Incentive Fees

The relief should be in the form of a one-time waiver or reduction in Base
and Incentive Fees as well as Distribution, Technology and reimbursable
costs, measured by correlating the total impact of the crisis on the hotel
to the return of normalcy in operation post COVID-19.

Defer Certain Brand Standard Provisions

All brand standard provisions that do not have direct impact on revenues
of the hotel and / or cannot be planned as per the revised capex budget
for the current year, should be deferred until such time normalcy in
operation returns. While FF&E is an important fund set up by the hotel
for periodic replacement and upgradation, the funds should be released
immediately and redeployed either towards initial working capital to
resume hotel operations or towards reduction in debt, as may apply to
each situation.

Recommendations for Hotels

According to recent reports, over 90% of domestic hotels in China had
resumed operations at the end of February 2020, just 2 months after the
first COVID-19 case was reported in the country. Hotel bookings have
also been increasing with business travellers accounting for the largest
segment. Hotels located in proximity to transportation hubs have been
the popular choice.

All the above news comes as a silver lining as it provides the Indian
hotels sector a window to look for in the future, as it comes to terms with
COVID-19 related travel restrictions and cancellations.
Our industry has proactively taken several precautionary steps to
mitigate the immediate impact. However, we must forewarn that now
more than ever, hotels will need to continue their efforts to quickly adapt
to the rapidly changing business environment. To assist with the same,
we have highlighted a few measures that will assist hotels with the
current onslaught below:

Stop-gap Plan : Hotels should use the opportunity to devise and

implement a “Stop Gap Plan” to ensure that when demand bounces
back, the hotels are well prepared to benefit from the upswing.
Among essential items the Stop Gap Plan should include:

1. Bare minimum operations sufficient enough for quick

recommencement when the opportunity arrives
2. Implement a subtle digital and social media marketing strategy to
retain mind share of customers
3. Engage with suppliers/vendors to compute their capacity to re-
engage with the hotel on recommencement
4. Develop and maintain communication lines with key customers and
team members
 5. Continue to remain in discussion with relevant local government
authorities 
6. Develop a Reopening Plan and Budget
7. Utilize this period for implementing Ken-fix-it / upgradation,
wherever possible

Prepare and Plan for the re-opening: The reopening plan of a hotel
should be viewed through the prism of past preopening plans that were
devised for the hotel prior to its initial opening. The only critical difference
in this instance being that hotel will now reopen post a horrific event that
would have fundamentally altered the foundation of hospitality sector
globally.
 
Hotels should look to implement the reopening plan in the shortest
possible time available, as when demand returns the customer will
become a bigger and more demanding ‘King’. Below, we have provided
some key tasks that hotels will need to consider as part of their
reopening plan.
Task Force Management Team: ‘Stop Gap Plan’ task force team to
handover the hotel to an operational ‘Reopening Plan’ task force team.
The task force team should evaluate short term recruitment to bridge any
gaps in operations.
Re-engagement and Support for Returning Team Members: Provide
adequate support to the returning employees to restart their work life,
including assistance on matters such as housing etc. Roll out a training
and re-engagement processes for their specific duties and departments.
Sales and Marketing: Carrying forward from the ‘Stop Gap Plan’,
aggressive efforts to reestablish connections with all customer through
all available channels should be implemented. Effective digital and social
media strategies must be rolled out as part of the communication plan  .
Follow a mechanism whereby all the bookings that were previously
cancelled or deferred are honoured in good spirit. Instead of ‘Glocal’ go
‘Local’: demand from outstation travellers will be low in 2020, hence, it is
time to focus and rely on local demand. Special experiential packages
and promotions targeted at ‘locals’ should be the driving
mantra. Promote packages for specific target groups such as
‘Staycations’.
Maintain Pricing Charts: Hotels should think ‘long-term’ and promote
value-added services and flexible booking terms instead of reducing
rates. Discounts can be creatively packaged, by bundling services into
customized packages & promotions, without adding substantially to the
hotel’s cost while leveraging the property’s exclusive characteristics to
remain competitive. Offering a flexible cancellation and re-booking policy
will reassure existing & potential guests.
Front of House Facilities: ‘Demand outlook’ should be the funnel
through which decisions for opening of multiple front of the house
facilities such as restaurants, Spas and Gyms be made. As demand
improves, hotels should gradually re-open the areas which earlier were
temporarily shut down.
Increase Ancillary Revenues : Focus on ancillary revenues that maybe
generated through non- core revenue generating areas such as Gyms,
Spas, etc. Provide services that have traditionally not been part of the
hotel’s core offerings such as food delivery through online platforms or
leasing of kitchens for cloud kitchen requirements.
Prudent Spending: Refrain from any form of spending that may not
have a direct revenue benefit. Continue cost saving measures even
when demand is back to normal to recover the losses during the crisis.
Power and Equipment: Prior to powering up all necessary equipment, a
thorough service plan should be mobilized to ensure that all equipment
is fully functional, adequately safe and capable of delivering the required
results.
Vendor Management: Post assessment of supplier capability and
categorization of all operating supplies including perishables in order of
importance, the procurement team must ensure proper stock piling.  
Initial Working Capital: A 90 to 180 days initial working capital credit line
should be established.
Compliances: Ensure that the hotel is complaint with any revised
government and brand norms. Ensure the hotel continues to follow the
health and cleanliness guidelines. Reassure Guests and Employees by
intensifying routine maintenance and increasing deep clean measures.
Conduct Dry Runs: At the end of such dry runs, the hotels should be
able to understand any gaps remaining prior to full roll out of the hotel.

Conclusion :
Here ; we conclude that Hotel Maurya has managed to survive in such a
worst conditions of COVID-19 by adopting and making amendments at
right time. Moreover , if we compare the financial position of Hotel
Chanakya , Lemon Tree hotel and Hotel Maurya ; at the time of
pandemic (2020-21) than we can look at their Balance sheet and
analyse that Hotel Maurya has not suffered adversely by adopting
diversification in the organization.
Looking at the scenario of hospitality industry & Bihar hotel limited we
can certainly hit the business but adopting & making amendments at
right time has made possible to manage organization.
Hotel Maurya adopted Diversification in the organization for its survival ;
it was the main reason for existence. The organization adopted some
strategies like :
•It provided rooms to the DRDO members; who visited Patna during
COVID-19. Hotel Maurya provided them with all the facilities like
transportation, room service, food etc.
•The organization planned and processed for home delivery with the all
the safety measures. The organization used its wealth and goodwill.
•Hotel Maurya registered with MOA (memorandum of association) ; and
started its sanitation business.
•Revenue strategy – The organization cut-offs the salaries of the
employees by implementing revenue strategy process and also
dismissed & eliminated approx 100 employees out of 250 .
Thus ; these were some diversified strategies applied & adopted by the
organization for its existence in the Bihar hotel limited group.
Moreover ; our research contributes to the incipient and diverse literature
on the effects of the COVID-19 pandemic literature in several ways.
First, as far as we are concerned, our research is among the firsts to
provide empirical evidence of the negative effects that the new corona
virus outbreak has had on the financial performance of hotels.
Accordingly, when comparing the new corona virus to previous recent
epidemics relevant for the hotel industry, it is demonstrated that global
pandemics such the current one, have more harmful effects over the
hotels' financial performance. This issue is especially relevant given that
the pandemic is an unexpected event that cannot be easily managed by
both governments and managers. Thus, our study also provides some
practical implications since it is found that when companies are following
more flexible strategies, they can better face unpredicted and unknown
events. Specifically, the study shows that ALFO strategy reduces the
negative impact of the COVID-19 outbreak on hotels’ stock prices and,
hence, provide mangers with some tools to better manage future
pandemics.
According to industry body Federation of Hotel & Restaurant
Associations of India (FHRAI), already 25 to 30 per cent of
establishments in the organized sector comprising around 60,000 hotels
and 500,000 restaurants have already shut shop and another 15 per
cent could follow suit if there is no impetus from the government to
revive the sector.
"Right now, we are not even talking about revival because I don't think
we should. We can't revive. Revival is when you bring back something
that's gone," FHRAI Vice-President Gurbaxish Singh Kohli told PTI. The
hospitality industry deals with the most "perishable commodity" because
if a hotel room or a table booking can't be sold on a particular day, "it's
gone forever", he said.
"So, revival is out of the question. First you need to survive our lost
business is lost forever," Kohli said adding certain people have utilized
their funds kept for expansion and growth to meet contingency and
working capital expenses and are now running out of cash.
"To survive, how long will they be able to carry on now with zero funds is
a guess we have to take...So, the number one priority should be how to
safeguard the industry from going down further because neither the
government nor the fraternity can afford to let it happen," he said.
Expressing similar views, National Restaurant Association of India
(NRAI) President Kabir Suri said, "Most of us are still trying to survive.
There are a few that are sort of trying to revive but I cannot say that
everyone's on revival. I would assume 60 per cent of people are still
trying to survive and any new disruption would only cause further pain."
Reflecting on how badly the sector has been hit by the pandemic, he
said, "There has been quite a lot of erosion when it comes to our
industry, 30 per cent of restaurants across India have shut down
permanently.
"There were about 7 lakh restaurants in India in both organized and
unorganized sector. There's been a great amount of unemployment that
has been caused due to restaurants closing down."
When asked how long could the sector take to revive, Kohli said, "There
is still a very long way and a long ladder ahead to go on level, which we
take as the pre-pandemic level...We think to bounce back to pre-
pandemic levels it will take at least a minimum of 12 months, provided
things remain normal."

PERSONAL DETAILS :
Name : Satyansha
Department : BBA
College: Patna Women’s College
Email I’d: satyanshasinha@gmail.com
Contact no. : 6202576881 , 8709889326
Father’s Name : Amrendra Kumar
Mother’s Name: Sandhya Kumari
Address: MIG -131 , Hanuman Nagar ; Kankarbagh,
Patna – 800020