What Hotel CEOs Think About Terrorism, Slumping Oil, Brexit and Other Woes

It's a challenging time for the global tourism industry, and the hospitality sector is no exception: Acts of terrorism. The immediate after effects of Brexit. The looming U.S. Presidential election. The state of the economy. Lower oil prices. The growth of short-term rentals. The spread of Zika. These are just a few of the major issues having a direct impact on the global hospitality industry. But the impact of these various challenges isn't quite the same for all, and how companies are choosing to respond to them is, likewise, varied. And despite all of the uncertainty, hotel CEOs aren't giving up on a bright future ahead, entirely. While most hotel CEOs remain somewhat optimistic about the immediate futures of their respective businesses, they've also tempered their financial outlooks for the remainder of this year, given all of these challenges, as well as the ones that lie ahead. "The big takeaway from all the earnings call is that guidance for the remainder of the year came down across the board," said Michael Bellisario, an equity research analyst and VP at Robert W. Baird. "Most management teams cited continuing soft demand, especially on the business transient side. Expectations were reset lower, and the lowered guidance reflects these continued slow trends continuing." Whereas management teams were more bullish and far more optimistic in the previous two quarters, they're not like that anymore, he said. "In the last quarter or two quarters ago, there was this hope or expectation that trends would rebound and that seems much less likely today given the growth and what's happening the in economy," Bellisario said. "Stocks have reacted well, and that has to do with management teams' expectations coming closer to a level where the investment community was." Here's what various hotel CEOs and executives have had to say about the challenges they face together, and a glimpse into how they're responding to them. Global Terrorism Recent terrorist attacks in Europe have, sadly, become a sort of new normal. While these attacks are having some immediate impacts on hospitality businesses in those destinations, most CEOs have said terrorism isn't changing their overall business strategies. "Obviously [terrorism] is a consideration," Stephen P. Joyce, CEO of Choice Hotels said in an interview with CNBC. "But if you look at the history of places that have experienced terrorism, unfortunately, we're getting used to it. When something happens