IDEAS home Printed from
   My bibliography  Save this article

Reviewing The Influence Of IT Applications Such As Implementing Online Distribution Channels In Hotel Industry


  • Farkhondeh HASSANDOUST

    () (Multimedia University, Cyberjaya, Malaysia)

  • Mehdy FARZANEH

    () (Multimedia University, Cyberjaya, Malaysia)


Purpose: This research aims to study the influence of information technology applications, particularly electronic distribution channels, on success and failure factors that have been devoted to the handling of routine operational problems in the hotel industry. Design/methodology/approach: Reviewing personal interviews and surveys of structured questionnaires done by senior level managers of hotels. The collected data has been analyzed to generate the findings of this research. Findings: According to this analysis, IT applications were not used merely to replace the paper work and the traditional manual system but also to improve customer service and enhance management power. The results emphasize that the growing of online distribution channels have affected the ability of hotels to support employees, enhance the quality of service, improve communication and efficiencies, gain competitive advantage, maintain relationship with customers and increase profitability. Research limitations: Most of the findings in this study are based upon the data and interviews gathered by other fellow researchers. There is no testing for accuracy of these findings. The surveys and interviews used for this analysis were performed on selected hotel (rated three stars and above) in selected locations, which are not inclusive of all the hotels in one particular country; therefore the results may not be extensively applicable. In some of interviews there isn't clear cut differentiate between online distribution channels and travel agents that makes hard to bring out clear results from them. Originality/value: This research attempts to contribute to the knowledge of hotel owners and managers in relation to the decision-making processes for the implementation of IT infrastructures such as 'online distribution channels' in the context of hotel industry and facilitate hoteliers to incorporate IT into their efforts to remain competitive in the industry.

Suggested Citation

  • Farkhondeh HASSANDOUST & Mehdy FARZANEH, 2011. "Reviewing The Influence Of IT Applications Such As Implementing Online Distribution Channels In Hotel Industry," Journal of Knowledge Management, Economics and Information Technology,, vol. 1(4), pages 1-7, June.
  • Handle: RePEc:spp:jkmeit:1142

    Download full text from publisher

    File URL:
    Download Restriction: no

    References listed on IDEAS

    1. Jeffrey M. Perloff & Steven C. Salop, 1985. "Equilibrium with Product Differentiation," Review of Economic Studies, Oxford University Press, vol. 52(1), pages 107-120.
    2. Albrecht, James & Lang, Harald & Vroman, Susan, 2002. "The effect of information on the well-being of the uninformed: what's the chance of getting a decent meal in an unfamiliar city?," International Journal of Industrial Organization, Elsevier, vol. 20(2), pages 139-162, February.
    3. Schmitz, Patrick W., 2007. "Optimal selling strategies when buyers may have hard information," European Economic Review, Elsevier, vol. 51(4), pages 859-870, May.
    4. Carl Shapiro, 1982. "Consumer Information, Product Quality, and Seller Reputation," Bell Journal of Economics, The RAND Corporation, vol. 13(1), pages 20-35, Spring.
    5. Kreps, David M. & Wilson, Robert, 1982. "Reputation and imperfect information," Journal of Economic Theory, Elsevier, vol. 27(2), pages 253-279, August.
    6. Michael Rothschild & Joseph Stiglitz, 1976. "Equilibrium in Competitive Insurance Markets: An Essay on the Economics of Imperfect Information," The Quarterly Journal of Economics, Oxford University Press, vol. 90(4), pages 629-649.
    7. Russell Cooper & Thomas W. Ross, 1984. "Prices, Product Qualities and Asymmetric Information: The Competitive Case," Review of Economic Studies, Oxford University Press, vol. 51(2), pages 197-207.
    8. Engers, Maxim & Fernandez, Luis F, 1987. "Market Equilibrium with Hidden Knowledge and Self-selection," Econometrica, Econometric Society, vol. 55(2), pages 425-439, March.
    9. Asher Wolinsky, 1983. "Prices as Signals of Product Quality," Review of Economic Studies, Oxford University Press, vol. 50(4), pages 647-658.
    10. George A. Akerlof, 1970. "The Market for "Lemons": Quality Uncertainty and the Market Mechanism," The Quarterly Journal of Economics, Oxford University Press, vol. 84(3), pages 488-500.
    11. Scott Fay & Jinhong Xie, 2010. "The Economics of Buyer Uncertainty: Advance Selling vs. Probabilistic Selling," Marketing Science, INFORMS, vol. 29(6), pages 1040-1057, 11-12.
    Full references (including those not matched with items on IDEAS)

    More about this item


    hotel industry; IT applications; online distribution channel; failure/success factor;

    JEL classification:

    • F14 - International Economics - - Trade - - - Empirical Studies of Trade
    • M15 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration - - - IT Management
    • C16 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Econometric and Statistical Methods; Specific Distributions


    Access and download statistics


    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spp:jkmeit:1142. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Adrian Ghencea). General contact details of provider: .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.