FEATURES OF HOTEL BUSINESS ORGANIZATION ON THE FRANCHISING CONDITIONS

doi:10.26565/2524-2547-2021-61-11

Solomiya Oginok Ivan Franko National University of Lviv, 1, Universytetska str., Lviv, 79000, Ukraine https://orcid.org/0000-0001-5462-5362
Bohdana Dyka Ivan Franko National University of Lviv, 1, Universytetska str., Lviv, 79000, Ukraine https://orcid.org/0000-0003-3684-0389

DOI: https://doi.org/10.26565/2524-2547-2021-61-11

Keywords: Franchising, Hotel Franchising, SWOT-analysis, Hotel Network

Abstract

The article is devoted to defining the conceptual foundations of hotel franchising in the context of globalization of the world economy. In the course of the analysis the definition of the concept of franchising was given, the development of the hotel industry in Ukraine on the basis of the franchising agreement was considered. The most successful Ukrainian national networks were identified and compared with the international network in terms of such parameters as numbering and pricing policy. In addition, the investment climate of Ukraine was studied in order to place their branches by foreign TNCs with the help of SWOT-analysis. A development strategy for Ukraine was proposed in the direction of expanding its investment potential using the vector of strategic orientation.

Hotel business in the XXI century is one of the most profitable sectors of the economy. International experience shows that a key factor in the success of tourism development is a highly developed tourist infrastructure. Franchising is an ideal solution for entrepreneurs who want to create decent competition for their foreign and domestic counterparts, to form a business in such a way that it is profitable almost immediately, to avoid risks and to get as much income as possible at the lowest cost.

After analyzing franchising for the safety of doing business in the hotel business, we came to a clear conclusion and we can confidently call it a unique way to start a business, protecting business from failure. After all, with its help you can learn the practical experience of a successful business, get its name, reputation and trust of visitors from around the world. Hotel franchising will improve the tourism image, create a long-term strategy for sustainable development of the tourism sector of Ukraine and get the economic effect: obtaining new sources of foreign exchange earnings, job creation and as a result - prosperity of the national economy, especially given the investment climate of Ukraine for foreign TNCs is very favorable.

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Author Biographies

Solomiya Oginok, Ivan Franko National University of Lviv, 1, Universytetska str., Lviv, 79000, Ukraine

PhD (Economics), Associate Professor

Bohdana Dyka, Ivan Franko National University of Lviv, 1, Universytetska str., Lviv, 79000, Ukraine

Student

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