S6 Tourism and Hospitality Practice Paper: Industry Structure, Visitor Behaviour and Segmentation, Destination Attractiveness and Seasonality, Accommodation Operations and Revenue Management, Food and Beverage Cost Control, Leakage and Sustainable Tourism
- 2026-11-14
Tourism and Hospitality – Secondary 6 – Practice Paper
S6 Tourism and Hospitality practice paper: 24 parts on industry structure, source markets and spending, seasonality, hotel occupancy and RevPAR, restaurant costs and leakage.
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Paper details S6 Tourism and Hospitality practice paper: 24 parts with marking points on industry structure, visitor behaviour, seasonality, hotel RevPAR, F&B cost control and sustainable tourism.
Part 1: Structure of the tourism industry and interrelationships
Study Source A and answer the following questions.
| # | Question | Answer and marking notes |
|---|---|---|
| 1 | (a) With reference to Source A, calculate the year-on-year growth rate of visitor arrivals (percentage, one decimal place). | Answer: (2,880,000 – 2,400,000) / 2,400,000 x 100% = 20.0%. 3 marks for the working, 1 mark for the unit and one decimal place. |
| 2 | (b) With reference to Source A, calculate the total room nights generated by overnight visitors in the year. | Answer: overnight visitors 2,880,000 x 0.7 = 2,016,000; total room nights = 2,016,000 x 3.2 = 6,451,200. 2 marks for the overnight count, 2 marks for the room nights. |
| 3 | (c) With reference to Source A, calculate the annual hotel occupancy rate of the destination (percentage, one decimal place). | Answer: available room nights = 22,000 x 365 = 8,030,000; occupancy = 6,451,200 / 8,030,000 x 100% = 80.3%. 2 marks for available room nights, 2 marks for the rate. |
| 4 | (d) Explain the mutual dependence between the accommodation sector and the food and beverage sector, giving one example for each. | Answer: accommodation brings demand to F&B (in-house dining and room service), 2 marks; F&B raises the value of the accommodation product (room-with-breakfast packages, signature restaurants as a reason to choose a hotel), 2 marks; the two share reservation, staffing and procurement systems to cut costs, 2 marks. Names listed without explanation earn no marks. |
Part 2: Visitor behaviour and market segmentation
Study Source D and answer the following questions.
| # | Question | Answer and marking notes |
|---|---|---|
| 5 | (a) With reference to Source D, calculate the combined share of the Mainland China and Southeast Asian source markets. | Answer: 55% + 20% = 75%. 2 marks for the two shares, 1 mark for noting that the two markets make up three quarters (75%), 1 mark for clear presentation. |
| 6 | (b) Using Sources D and A, estimate the total visitor spending of the destination for the year (in dollars). | Answer: overnight spending = 2,016,000 x $6,800 = $13,708,800,000; same-day spending = 864,000 x $1,200 = $1,036,800,000; total spending = $14,745,600,000. 2 marks for the overnight part, 1 mark for the same-day part, 1 mark for the total. |
| 7 | (c) State two differences in the spending patterns of free independent travellers and package tourists. | Answer: any two, 2 marks each: independent travellers plan their own itinerary and spend more in local retail and speciality dining; package tourists pre-pay accommodation, meals and transport so their incidental local spending is smaller; independent travellers usually spend more per head and stay more flexibly; tour groups shop at designated outlets, so spending is itinerary-driven. |
| 8 | (d) Suggest two promotional strategies for developing long-haul European and American markets, and explain the rationale for each. | Answer: 2 marks per strategy (1 for the strategy, 1 for the rationale), maximum 5 marks, with the fifth mark reserved for a strategy supported by concrete implementation details. Examples: partner with long-haul carriers on flight-plus-hotel packages to cut search and booking costs; produce multilingual heritage and nature content and distribute it through overseas travel agents; offer off-peak incentives aimed at long-haul visitors to relieve peak-season prices and carrying capacity. |
Part 3: Destination attractiveness and seasonality
Study Source F and answer the following questions.
| # | Question | Answer and marking notes |
|---|---|---|
| 9 | (a) With reference to Source F, calculate the difference between the average visitor index of the peak months (July and August) and that of the low months (February and March). | Answer: peak average = (145 + 150) / 2 = 147.5; low average = (68 + 72) / 2 = 70.0; difference = 147.5 – 70.0 = 77.5. 1 mark for the peak average, 1 for the low average, 2 for the difference. |
| 10 | (b) Explain two effects of seasonality on human resource planning in the tourism industry. | Answer: any two, 2 marks each: peak seasons require temporary or part-time staff while low seasons leave surplus labour, creating recruitment and training costs; seasonal jobs fail to retain talent and make service quality uneven; cross-department deployment, flexible rosters and multi-skilling are needed to balance supply and demand for labour. |
| 11 | (c) Using Source F, identify three elements of destination attractiveness. | Answer: any three, 1 mark each plus 1 mark for the source example: events and festivals (the index rises to 145 and 150 in July and August); natural and climatic conditions (summer suits outdoor and water activities while the index falls to 68 and 72 in February and March); scenic resources and facilities (the main area carries 35,000 visits per day); access and price (demand concentrates in the peak season). |
| 12 | (d) Suggest two measures to reduce seasonality and evaluate their effectiveness. | Answer: 3 marks per measure (1 for the measure, 1 for the evaluation, 1 for the limitation), maximum 5 marks. Examples: fill low seasons with MICE business and sports events, which raises off-peak occupancy but needs venue investment; offer low-season packages to residents, which stabilises base demand but adds little foreign exchange earnings; use differential pricing to spread arrivals, which eases carrying capacity pressure but may damage brand image. |
Part 4: Accommodation operations and revenue management
Study Source B and answer the following questions.
| # | Question | Answer and marking notes |
|---|---|---|
| 13 | (a) With reference to Source B, calculate the annual occupancy rate of the hotel (percentage, one decimal place). | Answer: available room nights = 400 x 365 = 146,000; occupancy = 116,800 / 146,000 x 100% = 80.0%. 3 marks for the working, 1 mark for the answer. |
| 14 | (b) With reference to Source B, calculate the annual rooms revenue of the hotel. | Answer: 116,800 room nights x $1,150 = $134,320,000. 2 marks for the room nights, 2 marks for the revenue. |
| 15 | (c) Calculate the hotel’s annual revenue per available room (RevPAR) and explain its relationship with the average daily rate (ADR). | Answer: RevPAR = $134,320,000 / 146,000 = $920, which equals ADR $1,150 x occupancy 0.80. 3 marks for the calculation; 2 marks for the explanation: RevPAR captures both price and volume, so a higher ADR with lower occupancy need not raise RevPAR, and revenue management has to balance the two. |
| 16 | (d) Suggest two methods a hotel can use to raise its RevPAR. | Answer: any two, 2 marks each: apply demand-based differential pricing (higher rates during peak periods and trade fairs); increase direct sales to cut commission and distribution costs; refine overbooking and room-mix controls to lift actual occupancy; use packages and add-on services to raise revenue per room. |
Part 5: Food and beverage cost control and financial analysis
Study Source C and answer the following questions.
| # | Question | Answer and marking notes |
|---|---|---|
| 17 | (a) With reference to Source C, calculate the restaurant’s daily profit and profit margin (percentage, one decimal place). | Answer: covers = 180 x 2.0 = 360; revenue = 360 x $260 = $93,600; food cost = $93,600 x 0.32 = $29,952; total cost = $29,952 + $26,000 + $8,000 = $63,952; profit = $29,648; margin = 31.7%. 1 mark for revenue, 2 for cost, 1 for profit, 1 for the margin. |
| 18 | (b) With reference to Source C, calculate the restaurant’s monthly food and beverage revenue (based on 30 days). | Answer: $93,600 x 30 = $2,808,000. 2 marks for the working, 2 marks for the answer. |
| 19 | (c) If the food cost percentage rises by 5 percentage points, calculate the change in daily profit. | Answer: extra food cost = $93,600 x 5% = $4,680; daily profit falls from $29,648 to $24,968, a drop of $4,680 (about 16%). 2 marks for the increase, 1 for the new profit, 1 for the drop. |
| 20 | (d) Suggest two ways of controlling food cost. | Answer: any two, 2 marks each: use standard recipes and portion sizes to standardise output and cut waste; compare supplier quotations regularly and buy centrally; manage stock with first-in-first-out and daily counts to reduce expiry losses; analyse menu item contribution margins and drop weak sellers. |
Part 6: Economic impact, leakage and sustainable tourism
Study Sources E and F and answer the following questions.
| # | Question | Answer and marking notes |
|---|---|---|
| 21 | (a) With reference to Source E, calculate the tourism receipts actually retained in the local economy. | Answer: $14,745,600,000 x (1 – 0.42) = $14,745,600,000 x 0.58 = $8,552,448,000. 2 marks for the working, 1 mark for the retention ratio, 1 mark for the answer. |
| 22 | (b) Explain two causes of leakage in the tourism industry. | Answer: any two, 2 marks each: hotels and travel agents are foreign-owned so profits are repatriated; the destination cannot produce enough and must import food, beverages and equipment; visitors favour international brands and duty-free goods, so spending leaves the economy; foreign-currency payments and overseas promotion add to the outflow. |
| 23 | (c) With reference to Source F, calculate the daily number of visits exceeding the carrying capacity of the scenic area and the percentage of overloading (one decimal place). | Answer: excess = 52,000 – 35,000 = 17,000 visits; overloading = 17,000 / 35,000 x 100% = 48.6%. 2 marks for the excess, 2 marks for the percentage. |
| 24 | (d) In response to the overloading described above, suggest two sustainable tourism measures and explain how each balances economic and environmental concerns. | Answer: any two, 2 marks each: introduce reservations and daily caps on arrivals and divert visitors to secondary sites, protecting the environment while keeping revenue; replace private cars with public transport and electric shuttles and charge by carbon emission to cut per-visitor emissions (now 0.42 tonnes); promote community-guided tours and local sourcing to raise retention and reduce leakage; promote the low season to relieve peak pressure. |
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