Main Article Content
Abstract
This study is concerned with benchmarking the hotel industry in the Sultanate of Oman besides identifying the environmental factors that influence the operational efficiency of hotels. The benchmarking analysis is carried out through data envelopment analysis (DEA), used essentially to evaluate the efficiency ratios of a selected sample of 58 hotels. Although less than 23% of the hotels are found efficient, the average efficiency score of 83% indicates a reasonable efficiency in resource management for most of the hotels. Regarding the contextual effects, hotel Size, Star rating and cultural attractions are found to have the most significant effect on hotel efficiency in Oman. The positive effect of cultural attractions can inform policy makers on the necessity to preserve and promote cultural heritage as an important key factor of attraction.
Keywords
Article Details
References
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Botti, L., Briec, W. and Cliquet, G. 2009. Plural forms versus franchise and company-owned systems: A DEA approach of hotel chain performance. Omega 373
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Chen, C.T., Hu, J.L. and Lin, S.L. 2014. Regional environmental quality and cost efficiency of international tourist hotels in Taiwan. Energy and Environment Research 43.
Chen, C.T., Hu, J.L. and Liao, J.J. 2010. Tourists’ nationalities and the cost efficiency of international tourist hotels in Taiwan. African Journal of Business Management 416.
Chiang, W. 2006. A hotel performance evaluation of Taipei international tourist hotels using data envelopment analysis. Asia Pacific Journal of Tourism Research 111.
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Chin, J.B., Wu, M.C. and Hsieh, L.F. 2013. Strategic planning of optimal resource allocation in response to global financial crisis – A study of international tourist hotels. Applied Economics 4523.
Chiu, Y.H. and Huang, C.W. 2011. Evaluating the optimal occupancy rate, operational efficiency and profitability efficiency of Taiwan’s international tourist hotels. The Service Industries Journal 3113.
Chiu, Y., Huang, C. and Ting, C. 2012. A non-radial measure of different systems for Taiwanese tourist hotels’ efficiency assessment. Central European Journal of Operations Research 201.
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Gomezelj, O. and Mihalič, T. 2008. Destination competitiveness - applying different models, the case of Slovenia. Tourism Management 292.
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Hadad, Y., Friedman, L. and Israeli, A.A. 2005. Evaluating hotel advertisements efficiency using data envelopment analysis. Journal of Business Economics and Management 63.
Hathroubi, S., Peypoch, N. and Robinot, E. 2014. Technical efficiency and environmental management: The Tunisian case. Journal of Hospitality and Tourism Management 211.
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Hokey, M., Hyesung, M. and Seong-Jong, J. 2008. A data envelopment analysis-based balanced scorecard for measuring the comparative efficiency of Korean luxury hotels. International Journal of Quality and Reliability Management 254.
Honma, S. and Hu, J.L. 2012. Analyzing Japanese hotel efficiency. Tourism and Hospitality Research 123.
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