Developing an Economy-Hotel Service Quality Scale in a Non-smoking Environment

Objectives: Sustainability of the non-smoking environments remain a challenge, as the effect declines over time due to inadequate regulations and incomplete law enforcement. The hotel industry is even more obliged to promote non-smoking environment policies. Numerous studies have explored the dimensions of hotel service quality; however, most of them have been conducted for international tourist hotels. Studies on the service quality of economy-hotel are scarce. The present study developed a reliable and valid scale for measuring service quality for business travelers. The components of the economy-hotel service quality (EHSQ) scale were reconstructed according to theoretical definitions and a literature review, in which the variables representing EHSQ characteristics were adopted. This study administered a survey among hotel business travelers to ensure the validity of this scale, which yielded 472 valid responses. Following factor analysis, item-to-response, and correlation analysis, 5 dimensions with 24 items were extracted, namely reliability, facility, empathy, pleasantness, and rooms and dining. In conclusion, this developed scale is a valid service quality measurement in the economy-hotel industry. Finally, economy-hotels are very competitive in providing better service quality and a non-smoking environment.

STRATEGIC PLANNING IN HOTEL AND RESTAURANT ESTABLISHMENTS

This article aimed to investigate theoretical and methodological approaches to the formation of strategic planning in the hotel and restaurant business. The author substantiated proposals for generating a unified strategy for the development of business structures of the hotel and restaurant industry. The article defined the strategic directions which allow to increase competitiveness and form the forecasted long-term prospects. The author specified the place and significance of hierarchy of essential levels in the process of strategic planning of hotel and restaurant business activity and developed recommendations on reengineering of organizational structure within the implementation of the development strategy. The article substantiates the principles and methodological approaches to strategic planning in enterprises operating in a developed market relationship, in order to identify the most appropriate tools for business planning. The author analysed the external environment of enterprises to determine the main directions of implementation of strategic plans, taking into account current economic problems. One of the main problems in the activities of hotels and restaurants is ineffective strategic planning. This is due to a number of problems, such as unadapted methods used in foreign practice, lack of tasks and goals in strategic planning, insufficient control over the development and implementation of strategic plans, lack of highly qualified specialists in strategic planning in enterprises, the crisis of the economy. Hotel and restaurant business owners must be well aware that in order to develop, succeed in a competitive environment and ensure the successful development of a hotel or a restaurant, they need to optimize the return on investment not only in material and financial resources, but also in human resources. It means to create comfortable working conditions, be able to analyze and implement current methods of work, motivate and support the initiative of its employees, train and develop their skills and abilities, which will increase productivity and improve the hotel and restaurant business.

Luxurious or economical? An identification of tourists’ preferred hotel attributes using best–worst scaling (BWS)

This article explores consumer tendencies to opt for luxury or economy hotels by identifying their most and least important selection attributes. The researchers investigate how sociodemographic and behavioral characteristics influence traveler assessments of hotel attributes. In explaining consumer hotel selection preferences, the researchers used an unconditional method—best–worst scaling (BWS). Based on an analysis of responses from 397 luxury hotel customers and 351 economy hotel customers in the United States, it was found that the two groups perceive hotel attributes differently. Differentials were also identified on the basis of gender, income, and frequency of purchase. While acknowledging that the task is complex, there is an urgent need to identify the factors influencing hotel selection, because hoteliers need to attract new markets and also balance this by retaining existing patrons. The findings extend existing literature by applying BWS to the identification of hotel selection attributes.

Prosocial Outcomes of Hotel’s CSR-Perceived Motives

This study explores social marketing effects of a hotel’s proenvironmental practices. With an emphasis on consumers’ perceptions of a hotel’s corporate social responsibility motives, it looks at how perceived motives influence consumer responses—attitudes toward a hotel and hotel selection, intentions to participate in a hotel’s green program, and willingness to pay a premium to support its efforts. Findings indicated that a consumers’ perceived public-serving motive positively influenced consumer responses, while a self-serving motive had negative impacts. Additionally, this study revealed that consumers’ perceived motives varied significantly by hotel user segments but not by hotel class. That is, luxury hotel users had a tendency to consider the motive as public serving compared to an economy hotel user group. Further, perceived motive mediated the relationships between hotel user segments and consumer responses, which included prosocial outcomes, like intentions to participate in a green hotel program, along with attitudes toward a hotel, intentions to select a hotel, and intentions to pay a premium.

Price Effectiveness in Hotels

This case study focuses on the mid-size hotel industry in India. It will analyze the extent to which the pricing strategies are adopted in order to optimize revenues. The mid-size segment is comprised of three and four star hotels, which cater to the average foreign and domestic leisure travelers. Pricing is the single greatest challenge facing independent hotels today. It is studied how determining optimal rates based on the patterns of price sensitivity of demand still remains the biggest challenge for these hotels. Price sensitivity and its impact on revenue are examined. To determine and analyze this challenge faced by mid-size hotel industry, the case will focus on pricing strategies and challenges faced by a midscale chain hotel and a stand-alone economy hotel in New Delhi. The hotels have been taken from National Capital Region (New Delhi) which is the largest hotel market in the country both in terms of active assets under development and potential projects in planning.