The world is going online, and the hospitality business is going to follow. Ten years ago
words like e-business, internet or intranet were considered to be specific technical terms. But
within only five years, the Internet changed our private lives and the way of doing business
for many managers. The world is getting connected and our economy is more global than ever
before. All kind of services are available to everybody for a very small amount of money and
only a few clicks away.
According to a survey about e-commerce in the hospitality business done by Arthur Andersen
two years ago (Cline & Warner, 2001), 41% of all hotel employees work with a computer
already and this amount is expected to increase to 51% by 2003. In this respect it was also
ascertained, that America still takes the leading position with 47%, while the rest of the world
lags behind with 37%. Of all employees 28% have internet access, but an increase of around
50% percent is expected over the next few years. Again America is taking the lead with 38%
of all employees connected to the world-wide-web (WWW), but the rest of the world is
expected to catch up in the future.
These are very important figures, as the profitable use of the internet strongly depends on the
common handling of day-to-day technologies in every business. Every company is forced by
the recent developments to take initiatives in the area of e-business. But what does e-business
mean? Faramarz Damanpour (2001) said it “is any net business activity that transforms
internal and external relationships to create value and exploit market opportunities driven by
new rules of the connected economy” (p.18). [...]
Table of Contents
I. Introduction
II. History
A. History of e-business
B. Recent developments in the hospitality business
III. The three most important areas for hotels to use e-business successfully
A. Online Reservation
B. Human Resources
C. E-Procurement
IV. The importance of websites
V. Conclusion
Research Objectives and Themes
The paper aims to investigate the competitive landscape of private hotels in Europe regarding their adoption of e-business. The primary research objective is to identify the three most effective areas for private hotels to leverage internet-based technologies to manage their operations successfully and enhance profitability.
- Strategic integration of e-business in hotel management.
- Optimization of online reservation systems for increased direct bookings.
- Streamlining human resources and recruitment via digital platforms.
- Implementation of e-procurement solutions to reduce operational costs.
- Best practices for designing user-friendly, high-conversion hotel websites.
Excerpt from the Book
C. E-Procurement
E-Procurement is the major subject, when we talk about business-to-business relations. It is a very efficient way to save money for a hotel, as basically all purchases could be done online today. From the very first request to the final payment, everything can be done online nowadays. Distributing articles through the internet, like Amazon has been doing for years already, can be very profitable for vendors as for buyers. Through volume discounts, competitive pricing and labor savings, internet prices are usually much lower, than regular market prices (Cline; 2000). Eighteen percent of all hotels are currently purchasing standard commodity products online, but this figure is expect to increase to 29% in 2002. An increase from 14% to 21% is expected for specialized products and for expensive items, like furniture, the actual figure of 11% is even expected to rise up to 21% (Cline & Warner; 2001). Normally businesses use all kind of ways to purchase items through the internet. Online auctions are very popular to achieve good prices. But for the hospitality business, internet platforms are again the best way to save money.
Summary of Chapters
I. Introduction: Outlines the global shift towards digitalization in the hospitality industry and defines the scope of e-business in the context of hotel management.
II. History: Provides a historical overview of e-commerce evolution and describes how the tourism sector reacted to the rapid development of internet technologies.
III. The three most important areas for hotels to use e-business successfully: Analyzes the key operational domains of online reservations, human resources, and e-procurement as primary drivers for hotel success.
IV. The importance of websites: Discusses critical factors for effective website design, emphasizing user navigation, structural simplicity, and the avoidance of common technical pitfalls.
V. Conclusion: Summarizes the necessity of e-business adoption for future survival and argues that strategic investment in IT is essential for private hotels.
Keywords
E-business, Hospitality Industry, Private Hotels, Online Reservation, E-Procurement, Human Resources, Website Design, Digital Marketing, Tourism, IT Investment, Efficiency, Market Share, Internet Strategy, Business-to-Business, Cost Reduction.
Frequently Asked Questions
What is the primary focus of this paper?
This paper examines how private hotels in Europe can successfully adopt e-business strategies to remain competitive and improve their operational efficiency.
What are the core thematic areas discussed in the work?
The core themes include the implementation of online reservation systems, the modernization of human resource processes, and the utilization of e-procurement platforms to optimize purchasing.
What is the main objective of the research?
The main objective is to identify and explain the three most effective areas for hotels to invest in, focusing on how these technologies impact long-term profitability.
Which methodology is employed in the study?
The study employs a descriptive analysis of current trends in the hospitality industry, supported by market surveys, industry statistics, and practical examples of IT implementation.
What does the main body cover?
The main body covers the history of internet adoption, the three key pillars of e-business (reservations, HR, procurement), and the technical and strategic requirements for effective website development.
Which keywords characterize this paper?
Key terms include e-business, hospitality, private hotels, online reservation, e-procurement, IT investment, and digital strategy.
How does the author characterize the state of private hotels regarding e-business?
The author notes that while larger chains have adopted these technologies more readily, many private hotels still lag behind due to high initial costs, outdated internal systems, and a lack of organized digital strategies.
What is the author's conclusion regarding website design?
The author emphasizes that "less is more," arguing that hotels should prioritize simplicity, fast loading times, and intuitive navigation over complex, high-tech features that might frustrate the user.
- Citar trabajo
- Ullrich Kastner (Autor), 2002, What are the three best ways to manage e-business successfully in private hotels in Europe and why, Múnich, GRIN Verlag, https://www.grin.com/document/13724
