Hotel Literature Review

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2. Literature Review 2.1 Why the hotel industry The focus is on the hotel industry because; the geographical location of a hotel has a major impact on its operations and profitability (Namasivayam, K., Enz, C. A., & Siguaw, J. A. (2000). Furthermore geographical location of a hotel greatly determines the profile of its visitors, the size of its market and the level of competition that it has to face. These three variables also have a strong impact on the ICT adoption tendency of a hotel. This is because the ICT adoption tendency of a hotel can be linked mainly to its expectations about the value addition that ICTs can provide to its customers, as well as the belief about the expansion of its target market through ICTs. A hotel will therefore be more inclined to adopt ICTs if it…show more content…
Some of the world’s largest GDS (Global Distribution System) namely Sabre, Galileo, Amadeus and Worldspsan are examined. Besides analyzing the telecommunication technologies in the industry, the hospitality sector, entertainment sector, transport sector, management sector and other intermediaries have been diligently explored. 2.5 ICT in Tourism and Hospitality Sector Parsons and Oja (2013) mention online reservations systems as one of the greatest impacts of ICT on tourism and hospitality sector. Major travel companies such as Expedia, Orbitz, and Thomas Cook, as well as, medium and even small sized tourism and hospitality firms have online reservation functionalities on official company website. Online reservation capabilities provide substantial cost saving opportunities for businesses in tourism and hospitality sector that otherwise would have been spent on human resources making reservations in a manual manner. Moreover, according to Mihalic and Buhalis (2013), while the majority of businesses in tourism and hospitality sector have adopted various components of ICT to
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