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Efficiency and Effectiveness of the Hotels in the Covid-19 Period: Evidence from Cappadocia in Türkiye

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  • Tekiner Kaya

Abstract

Performance of the accommodation facilities should be measured and monitored periodically for sustainability in many dimensions which have potential to affect profitability directly. In this study, efficiencies of 88 hotels from Cappadocia/Türkiye are measured via data envelopment analysis. Four inputs and five outputs are considered to measure efficiencies and effectiveness in 2020 during the COVID-19 period. The data are collected via phone calls, hotels’ web pages and Tripadvisor in 2020. 83% of these hotels (73 hotels) are small-sized hotels which have equal or less than 20 rooms. Constant return to scale, variable return to scale and scale efficiencies of hotels are exposed via input-oriented data envelopment analysis. The findings show that facilities which have higher scale had lower classical efficiency. Additionally, it is observed that one of the main reasons for the inefficiency is revenue per available room. In terms of effectiveness, hotels working with travel agencies had a lower performance.

Suggested Citation

  • Tekiner Kaya, 2023. "Efficiency and Effectiveness of the Hotels in the Covid-19 Period: Evidence from Cappadocia in Türkiye," Journal of Research in Economics, Politics & Finance, Ersan ERSOY, vol. 8(1), pages 130-140.
    • Handle: RePEc:ahs:journl:v:8:y:2023:i:1:p:130-140
    DOI: 10.30784/epfad.1235700
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    More about this item

    Keywords

    Hospitality; Hotel Performance; Cappadocia; Efficiency;
    All these keywords.

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • Z32 - Other Special Topics - - Tourism Economics - - - Tourism and Development
    • C02 - Mathematical and Quantitative Methods - - General - - - Mathematical Economics

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