ABSTRACT
This paper
reviews recent research on information technology in the hospitality industry.
The analysis revealed three broad research areas: the Internet's effects on
distribution; on pricing; and on consumer interactions. Similar to aftermath of
the dot com boom, the hospitality industry is realising that information
technology has unintended effects and prognosticators are often wrong. While
the reviewed articles provide sound advice for hospitality operators and a rich
stream of future research for academics, poor rigor and a lack of relevance
throughout the reviewed journals underscore a worrying trend in hospitality
research.
Introduction
Information
systems form a fascinating and rapidly expanding field of study.
Hospitality
traditionally lags other sectors in adopting information technology (Buick,
2003) but
this has changed in recent years and research into its application has
followed suit.
This paper represents our analysis of the information technology
themes that
emerged in a dozen hospitality and tourism journals: Annals of Tourism
Research,
Cornell Quarterly, Information Technology in Tourism, International
Journal of
Contemporary Hospitality Management, International Journal of
Hospitality
Management, Journal of Hospitality and Leisure Marketing, Journal of
Travel and
Tourism Marketing, Journal of Travel Research, Journal of Vacation
Marketing,
Tourism and Hospitality Research, Tourism Management, and Tourism
Review. We
reviewed their tables of contents from January 2003 to July 2004 and
selected
articles touching on information technology and hospitality. While by no
means
comprehensive, this systematic approach focused on peer reviewed
publications
and provides a useful overview of current information technology themes
and active
researchers.
INFORMATION
TECHNOLOGY AND DISTRIBUTION
ELECTRONIC
DISTRIBUTION
Developments
in electronic distribution are the most recurrent theme throughout the
period under
review, reflecting topical developments since it has changed how people
book hotel
rooms. Two articles provide useful overviews. Carroll & Siguaw (2003)
describe the
major players involved in distribution, and highlight how economic
issues are
forcing hotels to provide increasing amounts of inventory to third party
intermediaries.
Using economies of scale and scope, the latter are gradually gaining
control over
both the sale of the hotel product and the selling price. In particular,
Carroll and
Siguaw highlight the growth of the “merchant model”, which changes the
relationship
between intermediary and supplier. Unlike commission based models,
with the
merchant model intermediaries determine the selling price by adding a
margin to
discounted rates given to them by hotels. This lack of control is problematic
given the
ease with which consumers can compare rates on the Web. Carroll and
Siguaw
maintain that the adoption of the merchant model has pressured rates
downwards,
thus softening hotel profitability and making hotels more dependent on
intermediaries
in the future. They stress using merchant channels selectively to avoid
commoditisation,
drafting terms and conditions carefully to effectively fence rates,
and that
hotels need to strive to drive business to their own websites.
O’Connor and
Picolli (2003) follow a similar theme in their retrospective on Emmer
et al’s
classic 1993 article Marketing Hotels Using Global Distribution Systems.
They
highlight the strategic threat posed by online intermediaries, the dangers of
over-reliance
on the merchant model, the need to develop a logical pricing strategy
and the need
to drive customers to direct websites to help regain ownership of the
shopping
experience and to gather valuable customer data. They council hoteliers to
rethink their
approach to distribution. Currently most use a shelf space approach –
being present
on as many channels as possible – in the mistaken belief that more is
better. They
fail to realise that as the number of channels increases, so too does the
complexity of
the infrastructure needed to support them. A good strategy involves
knowing what
channels to include – a theme returned to by O’Connor and Frew
(2004) below.
They also emphasise customer ownership as a key strategic issue.
Online
intermediaries attract consumers based on their convenience, rich feature set
and highly
competitive prices. Supplier sites cannot compete on these dimensions and
instead need
to leverage their customer relationships to build and retain loyalty. They
suggest that
by using sophisticated CRM techniques, hotels can combat the online
intermediaries.
By developing close customer relationships, they reduce the danger of
substitution,
thus helping to insure long term profitability.
Dale (2004)
provides an analysis explaining why electronic distribution has become
so complex.
Using strategic network theory, he shows how electronic intermediaries
need to form
strategic alliances in order to prosper. In a competitive business
environment,
independently developing the competences and capabilities to insure
success is a
massive task, so companies enter into stable inter-organisational
relationships
(for example, strategic alliances, joint ventures and long terms supplier
relationships)
to leverage the capabilities of partners. Dale maintains that establishing
such virtual
clusters leads to “synergistic strategic value”, with each partner
reciprocally
and mutually benefiting from the relationship, generating inimitable and
non-substitutable
network resources. This synergy helps offset the newness of the
firm and
helps compete with more established players.
Dale
identifies five categories of relationships: Channel, which enables one company
to access the
distribution channels of another; Collaborative, where competitors
cooperate
with each other to achieve goals that would be difficult in isolation;
Communicative,
where content from infomediaries enriches and adds value to partner
websites;
Complementary, where companies cross sell products normally bought
together
(e.g. flights and hotel rooms); and Converse, where the partners distribute
unrelated
products, thus allowing each one to access the distribution channels of the
other in a
non-threatening manner. He highlights how this framework explains current
developments
in travel, where intermediaries have created a large number of
networks,
with each partner gaining from the competitive advantage this brings. He
speculates
that competition in the future will be dictated more by the network of
partners as a
whole than by a single intermediary, and advises firms to participate in
such networks
unless they want to be left at a competitive disadvantage.
Given that
electronic distribution is likely to grow more complex, how can suppliers
decide which
of the growing range of channels to use? O’Connor and Frew (2004)
address this
issue by developing an evaluation methodology for electronic channels of
distribution.
Having reviewed literature on the evaluation of technology projects, they
argue that
existing approaches have major limitations. They thus use a Delphi study to
develop and
prioritise a portfolio of factors for use in channel adoption and continued
use
decisions. In contrast to contemporary literature, which stresses evaluating
projects on
strategic, financial and marketing criteria, their findings suggest that
technical and
operational factors should drive the evaluation process. While the
decision to
continue using a particular channel is more multifaceted, technological
and operational
issues remain at the fore, suggesting that performance should be the
key
determinant. The study highlights the complex nature of such evaluations, as
well
as how the
increasingly complex environment makes the use of formal methodology
important.
HOW
TO GET THE FULL PROJECT WORK
PLEASE,
print the following instructions and information if you will like to order/buy
our complete written material(s).
HOW
TO RECEIVE PROJECT MATERIAL(S)
After
paying the appropriate amount into our bank Account below, send the following
information to
08140350866
or 08058580848
(1)
Your project topics
(2)
Email Address
(3)
Payment Name
(4)
Teller Number
We
will send your material(s) immediately we receive bank alert
BANK
ACCOUNTS
Account
Name: AKINYEMI OLUWATOSIN
Account
Number: 3022179389
Bank:
FIRST BANK.
OR
Account
Name: AKINYEMI OLUWATOSIN
Account
Number: 2060566256
Bank:
UBA.
OR
Account
Name: AKINYEMI OLUWATOSIN
Account
Number: 0042695344
Bank:
Diamond
HOW
TO IDENTIFY SCAM/FRAUD
As
a result of fraud in Nigeria, people don’t believe there are good online
businesses in Nigeria.
But
on this site, we have provided “table of content and chapter one” of all our
project topics and materials in order to convince you that we have the complete
materials.
Secondly,
we have provided our Bank Account on this site. Our Bank Account contains all
information about the owner of this website. For your own security, all payment
should be made in the bank.
No
Fraudulent company uses Bank Account as a means of payment, because Bank
Account contains the overall information of the owner
CAUTION/WARNING
Please,
DO NOT COPY any of our materials on this website WORD-TO-WORD. These materials
are to assist, direct you during your project. Study the materials
carefully and use the information in them to develop your own new copy. Copying
these materials word-to-word is CHEATING/ ILLEGAL because it affects
Educational standard, and we will not be held responsible for it. If you must
copy word-to-word please do not order/buy.
That
you ordered this material shows you have agreed not to copy word-to-word.
FOR
MORE INFORMATION, CALL:
08058580848,
08140350866
YOU
CAN ALSO VISIT:
www.achieverprojectmaterial.com
www.acheiversprojectmaterials.com
www.achieversprojectmaterials.com
www.naijasplash.com
www.achieversprojectmaterials.blogspot.com
www.achieverprojectmaterial.blogspot.com
www.acheiversprojectmaterials.blogspot.com
www.archieverprojectmaterials.blogspot.com
www.acheiversprojectmaterials.blogspot.com.ng
www.archieverprojectmaterials.blogspot.com.ng
www.achieversprojectmaterials.blogspot.com.ng
www.achieverprojectmaterial.blogspot.com.ng
www.achieverprojectmaterial.wordpress.com
www.achieversprojectmaterials.wordpress.com
www.acheiversprojectmaterials.wordpress.com
www.archieverprojectmaterials.wordpress.com
No comments:
Post a Comment