The Cost Efficiency of Hotels and Japanese-Style Inns in Kyushu: Relationship to E-Commerce or Individual Business Activities

         
Author Name GOKAN Toshitaka (Institute of Developing Economies, JETRO)
Creation Date/NO. June 2020 20-J-031
Research Project Stable Development of Regional Economies under a Declining Population
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Abstract

An initiative was implemented to improve the productivity of the accommodation industry in Kyushu. This study analyzes the impacts of e-commerce and individual business activities on changes in the cost efficiency of hotels and Japanese-style inns. The results reveal that changes in the cost efficiency of hotels and Japanese-style inns that are only engaged in the lodging business were related to e-commerce in Kyushu and Japan. However, another result is that changes in the cost efficiency of hotels and Japanese-style inns that are engaged in consumer business other than lodgings seem unrelated to e-commerce in Kyushu and Japan. The choice of some individual business activities is found to have more impact on cost efficiency than e-commerce. A further finding is that the relationships between cost efficiency and individual business activities vary across individual business activities, which corresponds to another finding that changes in the total number of individual business activities in a hotel or a Japanese-style inn seem unrelated to changes in cost efficiency.