Effects of COVID-19 Pandemic on Hospitality Industry in Tanzania: A Case of Arusha City.

Evarist, Edward (2024) Effects of COVID-19 Pandemic on Hospitality Industry in Tanzania: A Case of Arusha City. Masters thesis, The Open University of Tanzania.

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Abstract

This study aimed at assessing the impacts of the COVID-19 pandemic on the hospitality industry in Arusha City, Tanzania for the period of 3 years from 2020 to 2022. Specific objectives included examining the economic effects on employees, analyzing customer trends in hospitality establishments, and evaluating the business strategies employed by hospitality entities in response to the pandemic. The research design was cross-sectional with a mixed approach, and Arusha City was chosen as the study area due to its significance in tourism and diverse economy. The sample size comprised 96 participants, including administrators and operational staff from 15 selected hotels. Data was collected through structured questionnaires and interviews and analyzed through thematic analysis and inferential statistics especially time series analysis. The study revealed a complex landscape of challenges and flexibility. Hospitality employees faced job insecurity and income reductions, highlighting the socio-economic impact of the crisis. The sector experienced a dramatic decline in customer trends during the pandemic but showed signs of recovery in the post-pandemic phase. Notably, businesses demonstrated adaptability through cost-cutting measures, promotions for local attractions, and collaborations, which not only aided survival but also had positive socio-economic implications for employees. It is recommended that policymakers and industry stakeholders in Arusha City, Tanzania, take immediate action to support the recovery of the hospitality sector. Keywords: Hospitality Industry, COVID-19 Pandemic, Tourism.

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