foundations of Hospitality Management
Foundations of Hospitality Management challenges members to demonstrate their understanding of essential concepts in the hospitality and tourism industries through an objective test. This event covers topics such as customer service, event planning, travel and tourism, hotel operations, and industry trends.
Event Overview
Division: Collegiate
Event Type: Individual
Event Category: Objective Test, 100-multiple choice questions (breakdown of question by competencies below)
Objective Test Time: 50 minutes
Career Cluster Framework Connection: Hospitality, Events, & Tourism
NACE Competency Alignment: Career & Self-Development, Critical Thinking, Technology
Items Competitor Must Provide: Sharpened Pencil, Computer, Conference-provided nametag, Photo identification, Attire that meets the Florida FBLA Dress Code
This event is intended for students who are early in their collegiate academic journey and just beginning their study of hospitality management. Only members who have completed no more than six credit hours on a semester schedule (or the equivalent number of quarter hours) of college-level hospitality management coursework by May 1, 2026, are eligible to compete.
Knowledge Areas
· Current industry trends
· Customer Expectations
· Environmental and Global Issues
· Financial Management & Budgeting
· Human Resources
· Legal Issues
· Marketing Concepts
· Operations & Management Functions
Test questions are based on the knowledge areas and objectives outlined for this event. Detailed objectives can be found in the study guide included in these guidelines.
State
Eligibility
· FBLA membership dues are paid by 11:59 pm Eastern Time on February 1st of the current program year.
· Members must be registered for the SLC and pay the state conference registration fee in order to participate in competitive events.
· Members must stay within the official FBLA housing block of the official FBLA hotel to be eligible to compete.
· Each chapter may submit six students in this event.
· On the state level, each member can compete in up to three different events in the following combinations: three objective tests OR two objective tests and one performance OR two objective tests and one production or one objective test and two production OR one objective test, one performance, and one production. Students may enter the Christopher Heider, Rob Kelleher, Who’s Who event, and one Chapter event (Community Service, State of the Chapter) in addition to their above chosen events.
· Picture identification (physical or digital: driver’s license, passport, state-issued identification, or school-issued identification) matching the conference nametag is required when checking in for competitive events.
· If competitors are late for an objective test, they may be either disqualified or permitted to begin late with no extension of the time as scheduled.
· Participants must adhere to the Florida FBLA dress code established by the Florida Board of Directors or they will not be permitted to participate in the competitive event.
Recognition
· The number of competitors will determine the number of winners. The maximum number of winners for each competitive event is 4.
Event Administration
· This event is an objective test administered prior to the SLC. Advisers will be sent information regarding testing requirements.
· No reference or study materials may be brought to the testing site.
· No calculators may be brought into the testing site; online calculators will be provided through the testing software.
Scoring
· Ties are broken by comparing the correct number of answers to the last 10 questions on the test. If a tie remains, answers to the last 20 questions on the test will be reviewed to determine the winner. If a tie remains, the competitor who completed the test in a shorter amount of time will place higher.
· Results announced at the State Leadership Conference are considered official and will not be changed after the conclusion of the State Leadership Conference.
Americans with Disabilities Act (ADA)
· FBLA complies with the Americans with Disabilities Act (ADA) by providing reasonable accommodations for competitors. Accommodation requests must be submitted through the conference registration system by the official registration deadline. All requests will be reviewed, and additional documentation may be required to determine eligibility and appropriate support.
Penalty Points
· Competitors may be disqualified if they violate the Competitive Event Guidelines or the Honor Code.
Electronic Devices
· Unless approved as part of a documented accommodation, all cell phones, smartwatches, electronic devices, and headphones must be turned off and stored away before the competition begins. Visible devices during the event will be considered a violation of the FBLA Honor Code.
National
If competing at the National level, be sure to see the National guidelines at https://www.fbla.org/collegiate/competitive-events/
Study Guide: Knowledge Areas and Objectives
A. Current Industry Trends
1. Discuss how technology has changed and continues to change the hospitality industry.
2. Describe the impact of technology on the reservation business/process.
3. Describe the latest trends and technologies affecting business travelers.
4. Describe how advances in technology allow the hospitality industry to keep up-to-date customer records.
5. Describe the latest trends regarding the leisure traveler.
6. Discuss industry trends as they relate to career opportunities and the overall future of the industry.
7. Identify current events that will have an impact on the hospitality/tourism industry.
8. Summarize the challenges of the airlines in regard to unions, security, flight delays, and the addition of low-cost airlines.
9. Report on the impact that major sports events have on the local economy.
10. Discuss the trends in hotel security operations.
B. Customer Expectations
1. Describe in-room hotel amenities and explain why they are important to guests.
2. Describe property wide hotel amenities and explain why they are important to guests.
3. Apply strategies for determining and adjusting prices to maximize on return and meet customer’s perceptions of value.
4. Develop and deliver effective customer relation skills in order to provide good customer service.
5. Explain typical rating systems used in the lodging business.
6. Conduct research to determine customer needs and wants in the hospitality industry.
7. Analyze the characteristics, motivations, and behaviors of hospitality consumers.
8. Summarize techniques to build customer relationships.
9. Establish effective selling philosophies in order to develop customer loyalty and profitability.
10. Describe incentives and rewards for long-term repeat individuals/groups in the hospitality industry.
11. Describe the value of customer feedback in the hospitality industry as it relates to improvement to product and service.
12. Describe the concept of total quality and its relationship to customer service.
13. Define the roles of appearance and impressions in customer service.
14. Demonstrate proper telephone and e-mail etiquette for customer service.
15. Summarize techniques and strategies for handling difficult customers.
16. Compare how the business traveler is different from the leisure traveler emphasizing expense accounts, length of stay in a hotel, and the amount of travel time.
17. Discuss the selection process and the role the business traveler plays with hotels, conventions, and the local economy.
18. Analyze the importance of long-term hospitality relationships with other major industries and individuals.
C. Environmental and Global Issues
1. Identify factors that encourage and influence global tourism.
2. Explain special considerations for international travelers.
3. Describe the importance of global travel.
4. Apply ethical conduct in dealing with international business transactions.
5. Define ecotourism.
6. Identify the reasons for ecotourism including the impact of the environment, the financial benefits, and cultural awareness.
7. Describe environmentally sound practices regarding guests in the hospitality industry.
8. Describe environmentally sound practices for hospitality industry properties.
9. Exhibit ethical and legal social behaviors when using information and technology in the hospitality industry and discuss the consequences of misuse.
D. Financial Management and Budgeting
1. Describe the type of liability insurance needed in the hospitality industry.
2. Identify reasons for liability insurance and disclaimers in the hospitality industry.
3. Describe the impact of the economy on the travel industry.
4. Explain the ripple direct and indirect effect of tourism dollars.
5. Explain the economic role played by the hospitality industry in satisfying customer needs and wants in a free enterprise system.
6. Explain the importance of monitoring economic trends in the hospitality industry as it relates to sales strategies for difference economic cycles.
7. Select an accounting system using good accounting practices.
8. Collect and interpret financial data to prepare financial statements such as balance sheet, income statement, cash flow projections, and summary of sales and receipts.
9. Explain how the Balance Sheet and P&L Statement are used to manage operations.
10. Analyze Profit and Loss statements, statements of cash flow, and balance sheets.
11. Define fixed costs.
12. State examples of how numbers are compared (e.g., budget to actual, this year to last year, and year-to-date to last year-to-date) to explain performance.
13. Describe cash control policies.
14. Explain the importance of liquidity and profitability.
15. Explain the use of revenue management and forecasting reports.
16. Discuss the use of budgets in business operations.
17. Explain the steps in preparing an operating budget.
18. Explain the relationship between occupancy rate and budget for a hospitality venue.
19. Explain rack rates, business rates, and leisure rates in the hospitality industry.
20. Describe strategies and procedures for determining room rates and prices in the hotel industry.
E. Human Resources
1. Define human resources.
2. Explain the importance of human resources in protecting the hotel through monitoring hiring, training, and disciplinary processes.
3. Explain how job analysis, performance standards, and job descriptions impact selection, training, and management of employees.
4. Develop an employee recruitment plan designed to identify and hire qualitied employees.
5. Discuss ways of screening applicants and selecting the most qualified for employment.
6. Plan, develop, and implement employee orientation and training programs.
7. Evaluate the effects of employee absenteeism, errors, or other negative employee behaviors on business productivity.
8. Describe the salary and fringe benefit package that will attract the best employees to the hospitality industry.
9. Develop a plan for evaluation of employee performance and productivity.
10. Develop separation, termination, and transition procedures for processing employee personnel actions.
11. Plan and manage work schedules and personnel to maximize operations.
12. Explain the purpose and benefits of performance reviews.
13. Discuss reasons for employee discipline.
14. Describe the differences between positive and negative discipline.
15. Define the term diversity and explain ways to increase positive cross-cultural interaction.
16. Discuss ways to deal with and prevent sexual harassment.
17. Discuss ways to deal with substance abuse.
18. Describe safe working conditions in the hospitality industry to include OSHA Guidelines.
19. Identify basic principles of organized labor and describe its influence on the hospitality industry.
20. Define equal opportunity on the job and explain the impact of equal employment opportunity and affirmative action on the hospitality industry.
21. Define and discuss wrongful termination and its consequences.
22. Define the at-will employment relationship.
23. Discuss the employee manual and its role in defining the responsibilities and rights of employer and employee.
24. Identify personal characteristics of effective employees within the hospitality industry.
F. Legal Issues
1. Discuss legal responsibility in admitting guests and denying admission or service to guests.
2. Define duty of care owed by hospitality operators to guests, including providing a safe premise, serving food and beverages safely and responsibly, hiring and training employees, terminating employees with they pose a danger, warning of unsafe conditions, and safeguarding guest property.
3. Analyze the importance of guest security and anonymity in the hospitality industry.
4. Discuss standards of care for the hospitality industry that focus on preventing lawsuits, preventing accidents, and preventing problems.
5. Discuss the concept of reasonable care as it applies to the hospitality industry.
6. Define the components of an enforceable contract (e.g., legality, offer, consideration, and acceptance).
7. Discuss remedies and consequences of breaching a contract by either the customer or the hospitality enterprise.
8. Describe the role of the following federal agencies in the operation of hospitality enterprises: IRS, OSHA, EPA, FDA, EEOC, ATF, DOL, and DOJ.
9. Describe the role of the following state agencies in the operation of hospitality enterprises: Employment Security Agency, Alcohol Beverage Commission, Treasury Department, Attorney General, Public Health Department, and Department of Transportation.
10. Describe the role of the following local agencies in the operation of hospitality enterprises: Health and Sanitation, Building and Zoning, Courts and Garnishment, Historical Preservation, Fire Department, Law Enforcement, and Tax Collector.
11. Analyze the impact of Federal, State, and Local government regulations on the hospitality industry.
12. Describe accommodations that meet ADA standards.
13. Review the laws that impact employee selection and retention (Civil Rights Act of 1964, Title VII, Americans with Disabilities Act, Age Discrimination in Employment Act, Immigration Reform and Control Act, and Fair Labor Standards Act).
14. Discuss the importance of employee selection, training, ongoing management, and education in preventing lawsuits.
15. Apply legal interpretations to employee situations, retention of records, safety and security issues, and financial data.
16. List guidelines that help analyze and evaluate ethical behavior.
17. Discuss the legal issues related to managerial decisions.
18. Discuss employee compensation and the implications of violating minimum wage and overtime pay requirements.
19. Discuss the unemployment claims process and the effect of poor policies and procedures on unemployment tax rates.
G. Marketing Concepts
1. Describe the basic concepts of marketing as they relate to the hospitality industry.
2. Define the seven key marketing functions (Selling, Marking Information Management, Financing, Pricing, Promotion, Product/Service Management, and Distribution).
3. Explain public relations and publicity and its advantages and disadvantages as they relate to the hospitality industry.
4. Describe market segmentation and meeting the needs of various target markets in the hospitality industry.
5. Determine, maintain, and improve the marketing mix (e.g., product, price, place, and promotion).
6. Describe marketing strategies for the hospitality industry.
7. Explain the difference between marketing and sales.
8. Describe the impact of internet sales on the hospitality industry.
9. List sales strategies for event marketing, group sales, and leisure/business customers.
10. Apply the steps of the sales process in the hospitality industry.
11. Explain how sales efforts are tied to personal service.
12. Describe effective strategies for servicing hospitality meetings and individual hotel guests.
13. Describe sales strategies for economic downturns.
14. Identify various marketing terms such as position, branding, market share, etc.
15. Explain the product life cycle of a hospitality-related product.
16. Discuss the role of ethics in hospitality marketing.
17. Interpret specific challenges marketers face when creating worldwide marketing programs.
18. Explain how convention and visitors’ bureaus and state tourism agencies can assist hospitality related companies.
19. Describe the importance of a company’s image and identify the many tools that companies use to improve their image including logos, menus, brochures, letterhead, etc.
20. Identify the many types of advertising media that are utilized by companies such as radio, television, billboards, word of mouth, and direct mail.
21. Discover the advantages and disadvantages of utilizing the various forms of advertising.
22. Describe the importance of websites in marketing and advertising through blogs, and social media such as Facebook, Instagram, X, LinkedIn, etc.
23. Identify the ways promotions can assist in increasing sales.
24. Discover the importance of merchandizing and give examples of merchandising tools used in the hospitality industry.
25. Define packaging and how it is utilized in the hospitality industry.
H. Operations and Management Functions
1. Interpret data from financial statements to develop short- and long-term budgetary plans, to determine point of profitability and viability and to analyze cash flow forecast (e.g., RevPar)
2. Describe basic purchasing procedures commonly used in the hospitality industry.
3. Discuss strategies for increasing occupancy rates.
4. Define occupancy rate and yield management in the hospitality industry.
5. Explain the four basic functions of hospitality management (planning, organizing, implementing, and controlling).
6. Describe the importance of planning and forecasting for the hospitality industry.
7. Analyze the importance of having good hospitality personnel to support meetings, events, and lodging for the customer.
8. Explain the importance of strategic planning and synergy for successful management of hospitality events.
9. Describe the leadership characteristics and human relations skills that help managers influence employees to perform at a higher level.
10. Explain the relationship of business ethics to product/service management.
11. Describe the role of ethics and social responsibility on decision making in the hospitality industry.
12. Describe the operational and management structure for various types of hospitality/tourism facilities.
13. Describe various leadership styles (e.g., autocratic, bureaucratic, democratic, laissez-faire, situational transactional, and transformational).
14. Explain the importance of planning in supervision.
15. Discuss ways supervisors/managers can organize their work to become more effective.
16. Describe techniques for overcoming resistance to change.
17. Discuss current theories and practices of motivating employees.
18. Discuss ways to build a positive work environment.
19. Discuss the need for training in the hospitality industry.
20. Identify steps to prevent and resolve conflict.
21. Discuss how perception, cultural diversity, age, and background impact communication.
22. Discuss the chain of command and accountability.
23. List benefits of delegation to a supervisor/manager’s success.
24. Develop an organizational chart with staffing/human resource plans including job descriptions and recruitment techniques.
25. Identify ways to improve employee morale and customer satisfaction.
26. Gather and evaluate marketing information to make hospitality business decisions.