Analysis of the hotel industry potential of Lviv region. Prospects for the rural hotels development


Keywords: hotels and similar accommodation, tourist accommodation establishments, tourism, hotel sector, capacity of hotels, fiscal stimulation, rural tourism.

Abstract

The hotel industry is one of the most important components of tourism. Its capacity depends on the ability to generate revenue from the full range of tourism services, and, consequently, the success of tourism development at both national and regional levels. Therefore, in this study we would like to assess (1) the hotel sector positioning in the Lviv region by share in the tourist accommodation establishments among the regions of Ukraine; (2) state indicators of Ukraian hotel industry in comparison with similar indicators of the EU member states; (3) the Lviv region position in terms of share in the Ukraine hotel sector among other regions; (4) prospects for the rural hotels development. In the research process we used the systematic review method of scientific publications, Ukrainian legislation, as well as information and analytical materials of international organizations in the tourism field. The hotel sector positioning of Lviv region among other Ukraine regions it is determined on the basis of the studied regions share in the total volume of the country as a whole. The analysis showed that hotels and similar accommodation are the main part of the tourist accommodation establishments potential in the Lviv region. During the study period (2017–2019) the hotel business of Lviv region has a consistently high position among other regions (2nd place). Ranking 2nd in Europe in terms of area, Ukraine ranks 10th in the number of hotels and similar accommodation, and 22nd in the number of beds – among the EU countries, which indicates the insufficient level of the national hotel sector development. The number of hotels in Ukraine is growing slowly. The main reasons for this are: the unstable economic and political situation, the high cost of loans to finance the construction of new hotels, long-term return on investment in hotel real estate and others. The experience of foreign countries with a high level of the hotel sector development shows that state intervention is used to achieve such results. Therefore, in order to develop the hotel sector in Ukraine, it is necessary to develop a program to support it. In particular, in our opinion, fiscal incentives should be introduced (for example, a reduction in the VAT rate for the hotel sector). To increase the tourist flow can be applied the practice of VAT refunds for tourists, reducing VAT rates on passenger transport.

References

2019 Global Hotel Study (2020). CoStar Realty Information, Inc. URL: https://str.com/sites/default/files/global-hotel-study-report-2019-2020.pdf (data zvernennia: 10.09.2021).

2019-2020 HOTREC Annual Report (2020). URL: https://www.hotrec.eu/wp-content/customer-area/ storage/2a9c96707e5cde647bb9f60b763b4fe2/0520-Hotrec-Annual-Report-07.pdf (data zvernennia: 10.09.2021).

Ahn, Y. H., & Pearce, A. R. (2013). Green luxury a case study of two green hotels. Journal of Green Building, 8(1), 90–119. doi: 10.3992/jgb.8.1.90.

Anguera-Torrell, O., Aznar-Alarcón, J. P., & Vives-Perez, J. (2020). COVID-19: hotel industry response to the pandemic evolution and to the public sector economic measures. Tourism Recreation Research, 46(2), 148–157, doi: 10.1080/02508281.2020.1826225.

Arbelo, A., Pérez-Gómez, P., González-Dávila, E., & Rosa-González, F. M. (2017). Cost and Profit Effi-ciencies in the Spanish Hotel Industry. Journal of Hospitality & Tourism Research, 41(8), 985–1006. doi: 10.1177/1096348015587999.

Baicu, C. G., Oehles-Sincai, I. M., State, O. & Popescu, D. (2019). Bioeconomy and Social Responsibility in the Sustainable Hotel Industry. Amfiteatru Economic, 21(52), 639–653. doi: 10.24818/EA/2019/52/639.

Botta, M. (2019). Financing Decisions and Performance of Italian SMEs in the Hotel Industry. Cornell Hospi-tality Quarterly, 60(4), 335–356. doi: 10.1177/ 1938965518816948.

Bowie, D. (2018). Innovation and 19th century hotel in-dustry evolution. Tourism Management, 64, 314–323, doi: 10.1016/j.tourman.2017.09.005.

Casado-Díaz, A. B., & Sellers-Rubio, R. (2020). The ef-fect of short-term rentals on regional hotel efficiency. Current Issues in Tourism, 24(21), 2990–2995 doi: 10.1080/13683500.2020.1857348.

STR: US Hotel Revenues Surpassed $200 Billion in 2017. (2020). CoStar. URL: https://www.costar.com/ article/1312466822.

American Mindset Driving Demand in Rural Hotels. (2020). CoStar. URL: https://www.costar.com/ article/1746276950.

United States (USA) GDP – Gross Domestic Product. (2020). URL: https://countryeconomy.com/ gdp/usa?year=2017.

Derzhstat Ukrainy (2011). Metodolohichni polozhennia zi statystyky turyzmu. Kyiv. Ukraina.18 p. URL: https://ukrstat.org/uk/metod_polog/menu/07_posl.htm (in Ukrainian).

Derzhstat Ukrainy (2018). Kolektyvni zasoby rozmishchuvannia v Ukraini u 2017 rotsi. Statystychnyi zbirnyk. Vidpovidalnyi za vypusk O.O. Karmazina. Kyiv. URL: http://www.ukrstat.gov.ua/ druk/publicat/kat_u/2018/zb/05/zb_kzr_2017.pdf (in Ukrainian).

Derzhstat Ukrainy (2020a). Osnovni pokaznyky diialnosti kolektyvnykh zasobiv rozmishchuvannia v Ukraini u 2019 rotsi (z urakhuvanniam diialnosti fizychnykh osib-pidpryiemtsiv). URL: http://www.ukrstat.gov.ua/ operativ/operativ2020/tyr/kol_zas_ukr/kol_zas_rozm_2020_u.htm (in Ukrainian).

Derzhstat Ukrainy (2020b). Kolektyvni zasoby rozmishchuvannia v Ukraini (2018-2019rr.). URL: https://ukrstat.org/uk/operativ/operativ2019/tyr/kol_zas_ukr/arch_kol_zas_ukr.htm (in Ukrainian).

Dogru, T., McGinley, S. & Kim, W. G. (2020). The effect of hotel investments on employment in the tourism, leisure and hospitality industries. International Journal of Contemporary Hospitality Management, 32(5), 1941–1965. doi: 10.1108/IJCHM-11-2019-0913.

Engeset, A. B. (2020). “For better or for worse” – the role of family ownership in the resilience of rural hospitali-ty firms. Scandinavian Journal of Hospitality and Tourism, 20(1), 68–84. doi: 10.1080/15022250.2020.1717600.

DSTU 4527:2006 (2006). Natsionalnyi standart Ukrainy. Posluhy. Turystychni zasoby rozmishchennia. Terminy ta vyznachennia. URL: https://hihostels.com.ua/ sites/default/files/hostely/dstu4527.pdf (in Ukrainian).

Eurostat (2014). Methodological manual for tourism statistics. Version 3.1. URL: https://ec.europa.eu/eurostat/documents/ 3859598/6454997/KS-GQ-14-013-EN-N.pdf/166605aa-c990-40c4-b9f7-59c297154277?t=1420557603000.

Eurostat (2020). Tourism statistics - annual results for the accommo-dation sector. URL: https://ec.europa.eu/eurostat/statistics-explained/index.php/Tourism_statistics_-_annual_results_ for_the_accommodation_sector#Average_occupancy_rate_of_bed_places_in_hotels_was_50.C2.A0.25.

FoodDrinkEurope (2020). Temporarily reduced VAT rates for hospitality services. URL: https://www.hotrec.eu/wp-content/customer-area/storage/567b52abba7d6ff356cbaa210e841180/D-1020-371-Position-Paper-Temporarily-reduced-VAT-rates-for-hospitality-services-21102020.pdf.

Fortanier, F. & van Wijk, J. (2010). Sustainable tourism industry development in sub-Saharan Africa: Conse-quences of foreign hotels for local employment. In-ternational Business Review, 19(2), 191–205. doi: 10.1016/j.ibusrev.2009.11.007.

Gursoy, D. & Chi, C. G. (2020). Effects of COVID-19 pandemic on hospitality industry: review of the cur-rent situations and a research agenda. Journal of Hospitality Marketing & Management, 29(5), 527–529. doi: 10.1080/19368623.2020.1788231.

He, P., Qiu, Yu., Wang. Yi D., Cobanoglu, C., Ciftci, O. & Liu, Z. (2019). Loss of profit in the hotel industry of the United States due to climate change. Environmen-tal research letters, 14(8), 084022. doi: 10.1088/1748-9326/ab2dce.

Herasymenko, V. H., Bedradina, H. K., Halasiuk, S. S., Halasiuk, K. A., Davidenko, I. V., Yehupova, I. M. ta in. (2016). Otsinka turystychno-rekreatsiinoho potentsialu rehionu: monohrafiia. Odesa. ONEU (in Ukrainian).

Holovne upravlinnia satystyky u Lvivskii obl. (2018). Makroekonomichni pokaznyky. Valovyi rehionalnyi produkt za 2010-2018 gg. URL: https://www.lv.ukrstat.gov.ua/ukr/themes/01/theme_01.php?code=01 (in Ukrainian).

Hospitalitynet (2019). Innovation and Rural Develop-ment Takes Center Stage For Ministers’ Summit at World Travel Market. URL: https://www.hospitalitynet.org/ news/4095735.html.

Hotel management (2020). URL: https://www.hotelmanagement. net/human-resources/hotel-industry-accounts-for-more-than-1-25-u-s-jobs.

Interfaks (2021). Kogda turisty snova smogut puteshestvovat i kak budet vyglyadet turizm posle pandemii. URL: https://www.interfax.ru/world/ 703736 (in Russian).

Kalaitan, T. V. (2020). Faktornyi analiz v upravlinni dokhodnistiu pidpryiemstv hotelnoho biznesu. Pidpryiemnytstvo i torhivlia, 26, 37–44. URL: http://www.journals-lute.lviv.ua/index.php/pidpr-torgi/article/view/104 (in Ukrainian).

Kalaitan, T. V., Stybel, V. V., Gutyj, B. V., Hrymak, O. Ya., Kushnir, L. P., Yaroshevych, N. B., Vovk, M. V., Kindrat, O. V. (2021). Ecotourism and sustainable development. Prospects for Ukraine. Ukrainian Journal of Ecology, 11(1), 373–383. doi: 10.15421/2021_55.

Karanovic, G., Karanovic, B. & Stambuk, A. (2018). Financial Analysis as a Measure of Risk Management in Croatia's Hotel Industry. KnE Social Sciences, 3(10), 88–106. doi: 10.18502/kss.v3i10.3532.

Kontakty (2020). Bereshchak, V. Obzor rynka otelei: chto proyskhodyt s hostynytsamy v Ukrayne. URL: https://thepage.ua/exclusive/obzor-rynka-otelej-chto-proishodit-s-gostinicami-v-ukraine (in Russian).

Larrinaga, C., & Vallejo, R. (2021). The origins and crea-tion of the tourist hotel industry in Spain from the end of the 19th century to 1936. Barcelona as a case study. Tourism Management, 82, 104203. doi: 10.1016/ j.tourman.2020.104203.

Li, X. (2015). Risk Evaluation on Rural Hotel Investment and Preventive Measures. Advances in Social Science Education and Humanities Research, 22, 471–478. doi: 10.2991/icetem-15.2015.71.

Mak, A. H. N., & Chang, R. C. Y. (2019). The driving and restraining forces for environmental strategy adoption in the hotel Industry: A force field analysis approach. Tourism Management, 73, 48–60. doi: 10.1016/j.tourman.2019.01.012.

Mariño-Romero, J. M., Campón-Cerro, A. M., Hernán-dez-Mogollón, J. M., & Folgado-Fernández, J. A. (2018). The Relationship Between Revenue and Envi-ronmental Responsibility: A Causal Study Using Rep-utation in the Hotel Industry. Sustainability in Inno-vation and Entrepreneurship. Innovation, Technolo-gy, and Knowledge Management. Springer, 119–136. doi: 10.1007/978-3-319-57318-2_8.

Melián-González, S., & Bulchand-Gidumal, J. (2020). Employment in tourism: The jaws of the snake in the hotel industry. Tourism Management, 80, 104–123 doi: 10.1016/j.tourman.2020.104123.

Minfin (2021). Valovyi vnutrishnii produkt (VVP) v Ukraini 2021. URL: https://index.minfin.com.ua/ua/ economy/gdp (in Ukrainian).

Moldovanov, M. I. & Tkachuk, O. L. (2017). Adaptive development of hotel business. Aktualni problemy innovatsiinoho rozvytku klasternoho pidpryiemnytstva v Ukraini: materialy Vseukr. nauk.-prakt. konf. (30 bereznia 2017 r., m. Kyiv). K.: KNUTD, 80–89.

Mun, S. G., Woo, L., & Paek, S. (2019). How important is F&B operation in the hotel industry? Empirical evi-dence in the US market. Tourism Management, 75, 156–168. doi: 10.1016/j.tourman.2019.03.010.

Nakaz Derzhstatu Ukrainy (2018) vid 16.07.2018 №152. URL: http://www.ukrstat.gov.ua/norm_doc/2018/152/ 152_2018.htm (in Ukrainian).

Papadopoulos, O., & Lyddon, D. (2020). Deregulation and institutional conversion in the Greek hotel indus-try: an employment relations model in transition. In-dustrial Relations Journal, 51(1-2), 92–109. doi: 10.1111/irj.12282.

Pricewaterhouse Coopers LLP (PwC) (2017). The Impact of Taxes on the Competitiveness of European Tourism. URL: https://www.europarl.europa.eu/ cmsdata/130660/The%20Impact%20of%20Taxes%20on%20the%20Competitiveness%20of%20European%20tourism.pdf.

Serra-Cantallops, A., Peña-Miranda, D. D., José Ramón-Cardona, J., & Martorell-Cunill, O. (2018). Progress in Research on CSR and the Hotel Industry (2006-2015). Cornell Hospitality Quarterly, 59(1), 15–38. doi: 10.1177/1938965517719267.

Vargas-Hernández, J. G., & Benítez, K. T. W. (2019). Analysis based on the industry of the hotel sector in Mexico: Posadas case. TURISMO-ESTUDOS E PRATICAS, 8(2), 41–58. doi: 10.31410/tmt.2019.559.

WTO (2004). Rural Tourism in Europe: Experiences, Development and Perspectives. URL: http://www.institutobrasilrural.org.br/download/20120219145557.pdf.

Yaroshevych, N. B., Cherkasova, S. V., Kalaitan, T. V. (2019). Inconsistencies of small business fiscal stimulation in Ukraine. Journal of Tax Reform, 5(3), 204–219. doi: 10.15826/jtr.2019.5.3.068.

Zakon Ukrainy (2020). “Pro vnesennia zmin do Podatkovoho kodeksu Ukrainy shchodo derzhavnoi pidtrymky kultury, turyzmu ta kreatyvnykh industrii” vid 04.11.2020 №962-ІХ. URL: https://zakon.rada. gov.ua/laws/show/962-20#Text (in Ukrainian).

Inozemtsi u lvivski hoteli ne investuiut, lyshe rosiiany (2020). URL: https://zaxid.net/inozemtsi_u_lvivski_ goteli_ne_investuyut_lishe_rosiyani_n1514695 (data zvernennia: 10.09.2021) (in Ukrainian).

Abstract views: 31
PDF Downloads: 14
Published
2021-12-23
How to Cite
Kalaitan, T., Hrymak, O., Kushnir, L., Shurpenkova, R., & Sarakhman, O. (2021). Analysis of the hotel industry potential of Lviv region. Prospects for the rural hotels development. Scientific Messenger of LNU of Veterinary Medicine and Biotechnologies. Series Economical Sciences, 23(98), 23-33. https://doi.org/10.32718/nvlvet-e9804