Importance of Location Determinants Aparthotels: A Case Study of Jeju Special-Self Governing Province
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Hotels, which fulfill tourists' need for accommodation, meetings, and dining, are essential to tourism and have become the main tourist attraction for cities. First introduced during the 2010s, aparthotels combine the sales aspect of residential property with the accommodation and services aspect of hotels. Recently, these multi-functional sales-type hotels have been rapidly increasing in number. However, research on its location determinants is insufficient. Hotels and tourist attractions are very difficult to relocate once they are established. Hence, the initial choice of location needs to be made with the utmost care. The location decision of hotels and tourist attractions vary by their purpose and type, which highlights the importance of studying location determinants in detail. This study examines the location determinants of the new, rapidly growing “aparthotels.” We examine the location determinants of aparthotels in Jeju Special Self-Governing Province and assess their importance to provide a basis for future policy development. Location determinants were selected after surveying previous studies, and the AHP analysis method was used to assess the importance of the factors. Among the first stage evaluation factors, accessibility was the most important factor with a weight of 0.694. Second stage analysis revealed that accessibility by road was most important with a weight of 0.307, followed by accessibility through air travel with a weight of 0.213. These results are similar to those of previous studies on hotel location decisions. This is due to the similar profit structures between aparthotels and ordinary hotels, which are determined by the sales of tourist hotels. Although aparthotels can be sold as residential property, they must fulfill the purposes of a hotel, providing quality accommodation and services, to attract customers. Regarding policy, policy makers should consider granting permits only to business plans that prioritize providing quality hotel services. Businesses should consider methods to utilize the results of this study during their location decision process.
Abstract
Hotels, which fulfill tourists' need for accommodation, meetings, and dining, are essential to tourism and have become the main tourist attraction for cities. First introduced during the 2010s, aparthotels combine the sales aspect of residential property with the accommodation and services aspect of hotels. Recently, these multi-functional sales-type hotels have been rapidly increasing in number. However, research on its location determinants is insufficient. Hotels and tourist attractions are very difficult to relocate once they are established. Hence, the initial choice of location needs to be made with the utmost care. The location decision of hotels and tourist attractions vary by their purpose and type, which highlights the importance of studying location determinants in detail. This study examines the location determinants of the new, rapidly growing “aparthotels.” We examine the location determinants of aparthotels in Jeju Special Self-Governing Province and assess their importance to provide a basis for future policy development. Location determinants were selected after surveying previous studies, and the AHP analysis method was used to assess the importance of the factors. Among the first stage evaluation factors, accessibility was the most important factor with a weight of 0.694. Second stage analysis revealed that accessibility by road was most important with a weight of 0.307, followed by accessibility through air travel with a weight of 0.213. These results are similar to those of previous studies on hotel location decisions. This is due to the similar profit structures between aparthotels and ordinary hotels, which are determined by the sales of tourist hotels. Although aparthotels can be sold as residential property, they must fulfill the purposes of a hotel, providing quality accommodation and services, to attract customers. Regarding policy, policy makers should consider granting permits only to business plans that prioritize providing quality hotel services. Businesses should consider methods to utilize the results of this study during their location decision process.
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