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ANALYSIS OF THE TRENDS AND CHANGES EVIDENT IN THE HOTEL INDUSTRY BROUGHT BY COVID-

19: A CASE STUDY OF CHINA


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Contents
LIST OF FIGURES....................................................................................................................................4
ABSTRACT..............................................................................................................................................5
CHAPTER 1.............................................................................................................................................6
INTRODUCTION.....................................................................................................................................6
1.2 Rationale for the Study................................................................................................................9
1.3 Aim and Objectives......................................................................................................................9
1.3.1 Aim of the Study...................................................................................................................9
1.3.2 Objectives of the Study.........................................................................................................9
CHAPTER 2...........................................................................................................................................10
LITERATURE REVIEW............................................................................................................................10
2.1 Introduction...............................................................................................................................10
2.2 The Chinese Hospitality Industry Before Covid-19.....................................................................10
2.3 Impacts in the hotel industry due to the emergence of the Covid-19 pandemic.......................12
2.3.1 The State Chinese Hotel Sector...........................................................................................12
2.3.2. The Chinese Hotel Sector During the Pandemic................................................................12
2.3.3 Emergent Issues and Changes in the Chinese Hotel Industry.............................................16
2.4 Changes and new trends that have been adopted in the operations of the general hotel
industry in China..............................................................................................................................16
2.4.1 Hotel Innovation Strategies as a Recovery Model..............................................................16
2.4.2 Role of Government in Recovery........................................................................................18
2.4.2 Technological Advances for Hotel Industry Recovery in China...........................................18
2.5 Conceptual Framework..............................................................................................................19
CHAPTER 3...........................................................................................................................................20
METHODOLOGY...................................................................................................................................20
3.0 Introduction...............................................................................................................................20
3.1 Research Methods.....................................................................................................................20
3.1.1 Research Approach.............................................................................................................21
3.2.2 Research Methods..............................................................................................................22
3.2 Data Collection..........................................................................................................................22
3.2.1 Population, Sampling Technique, and Sample....................................................................23
3.2.2 Research Design and Collection Process.............................................................................24
3.2.3 Pilot study...........................................................................................................................25
3.3 Data Analysis Method................................................................................................................25
3.4Validity and Reliability or Trustworthiness.............................................................................25
3.5 Limitations.................................................................................................................................25
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3.6 Ethical issues..............................................................................................................................26


References...........................................................................................................................................27
Appendix.............................................................................................................................................36
Literature Synthesis.........................................................................................................................36
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LIST OF FIGURES

COVID-19 has impacted China's hotel occupancy rates in Figure 2.3.2: China's hotel industry
occupancy (Hao et al., 2020)...............................................................................................................14
Figure 2.4.1: China hotels' recovery strategy, which includes several methods, such as generating
awareness, investments, purchasing assets, and technology readiness (Cendyn, 2020)....................17
Figure 2.5 Conceptual Framework.......................................................................................................20
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ABSTRACT
An epidemic swept across China and the rest of the world in the early 2020s. Nearly all of the

restaurants and hotels in the area had to close. The hospitality and tourist industries, in

particular, are experiencing historically low revenue levels. Many sectors have been shaken
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by the pandemic's impact; tourism and hospitality are two of the hardest hits. This uncertainty

is still very much alive in the industry. The hospitality industry is a co-creator and key

recipient of the epidemic and its consequences since it is based on human movement and

close relationships. Coronavirus had a terrible impact on China's hospitality industry, which

was the first sector to be affected. To put it simply, China's hotel industry has been severely

impacted by the pandemic. As a result of the Covid-19 dilemma, Chinese hoteliers have

remained steadfast and inventive in their efforts to contain it. The Chinese hoteliers have

taken a number of immediate measures to mitigate the effects of the crisis. Secondary data

has been gathered by conducting extensive literature research. For a better understanding of

the pandemic effects of China's hospitality business, statistical data from reputable sources

was consulted. Using data analysis, it is possible to identify the current problems caused by

the pandemic as well as the potential commercial prospects that could shape and define post-

pandemic trends in the future.

CHAPTER 1

INTRODUCTION
1.0 Background Of the study

New pandemic COVID-19 emerged in December 2019 in Wuhan, China, and quickly spread

through human-to-human contact. Located at the confluence of the Yangtze River, which
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connects Chongqing and Shanghai through rail, Wuhan is an important transportation center

in China (Zhong et al., 2020). Covid-19 spread in China during the Chinese Spring Festival

of 2020. (Wang & Su, 2020). Hubei Province was the first and most severely affected region.

In a short time, the contagious virus spread throughout the country, striking large and small

cities and towns. The Chinese government reacted quickly, establishing various measures and

laws to combat the virus. Economic activity was halted due to the contagious virus, which

significantly impacted tertiary industries like tourism and hospitality. Tourism and hospitality

businesses in China have seen a steady decline since the global spread of the coronavirus

early this year.

China's hotel business was severely affected by the COVID-19 virus during the start of the

outbreak. This year, several reports have been reported of "pneumonia of unknown source" in

Wuhan, China, most recently at the end of December 2019. There has been a significant

decrease in primary tourist demand and hotel bookings due to COVID-19 (Sun et al., 2021).

As a result, the COVID-19 has cost China's 5,109 hotels 1.23bn in operating losses alone

over the Chinese New Year break (Sun et al., 2021). By the middle of March, the hotel

business had fully recovered thanks to the Chinese government's effective preventive and

control methods. As a result, 87% of hotels in mainland China were surveyed reopened, with

97% of those being a luxury or upper-upscale facilities (Sun et al., 2021).

COVID-19 had its most significant impact on China's hospitality industry first. However,

since the end of March 2020, it has shown early signs of recovery in terms of performance.

The first component of the research shows how COVID-19 has affected China's hotel

business in general. Later in this study, China's hotel industry's anti-pandemic experience and

techniques will enable the hotel industry in other areas of the world to foresee terrible

situations and industry recovery and conduct successful anti-pandemic measures (Valle,

2020). As the first nation to be hit by the medical crisis, China's hotel business has had to
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deal with many hardships since its inception. Every stakeholder in the hotel sector has been

affected by these difficulties. Tourists' willingness and access to travel have decreased due to

travel bans and social distancing norms. This has resulted in the cancellation of trip plans and

hotel reservations by tourists, which has impacted the employment and financial security of

hotel workers. Hotel refurbishment projects have been postponed because of a lack of

personnel and funding, which has slowed domestic hotel company expansion (Hao et al.,

2020).

The country's tour operators and travel firms have been shrouded in mystery. The coronavirus

had a terrible effect on the Chinese hospitality industry first. At the beginning of March,

Beijing's reservations were down to 1,655 from 4,050 just a month earlier in the first week of

2020. (Hossain, 2020). Hosts were devastated by Airbnb cancellations and couldn't figure out

what would happen to the commissions Airbnb had collected from bookings after the

cancellations. CNBC and other media outlets have claimed that Airbnb has set aside $250

million to compensate owners for delayed and canceled bookings following criticism from

various quarters. Visitors can cancel their reservations at no charge under Airbnb's

Extenuating Circumstances Policy. A $10 million "Superhost Relief Fund" has also been

established to help Superhosts who need to make rent or mortgage payments (Hossain, 2020).

Guests who cancel their reservations between March 14 and May 31, 2020, will receive a full

refund from Airbnb (Hossain, 2020).

Several hotel companies reported significant losses in the first quarter due to the spread of the

pandemic and its impact on their bottom lines. For example, Jinjiang International, China's

second-largest hotel chain, recorded a net profit of 171 million Yuan (about $24.1 million) in

the first quarter of 2020, a reduction of 42.3% YoY. (Hao et al., 2020). In mid-March, the

pandemic's spread halted, and signs of recovery emerged in the hotel industry nationwide. As

a result of the low demand for hotels over the Qingming vacation, many travel packages
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included one-day short excursions. First, the five-day Labor Day Holiday was the first peak

season since the breakout. The Ministry of Culture and Tourism estimates that 115 million

Chinese tourists visited the country during this time, bringing in 47.5 billion Yuan ($6.69

billion) in revenue (Hao et al., 2020).

Global hotel demand will continue to decline for some time despite China's hotel business

taking proper precautions during this epidemic crisis due to the epidemic's global and

infectious nature. Since the COVID-19 outbreak will be a common problem for the

worldwide hotel business, describing China's experience will be critical to hotel management

in other nations. When booking a hotel room during an outbreak, potential guests must rely

on referrals from friends and the internet for information to help them make an informed

decision because hotel services cannot be checked before purchase (Ullah et al., 2019).

Consequently, even if customer happiness and demand entail various characteristics, it is

crucial to understand hotel customers' needs and expectations and improve the quality of

hotel services (Xu et al., 2020).

Mid-March through April of 2020 was the intermediate phase. As a result of China's

extraordinary lockdown, the pandemic was eventually brought under control. As a result,

Chinese officials began to loosen restrictions on international travel. In this period, the hotel

business began showing some early recovery signs. Restoring the hotel industry's financial

model has taken precedence over anti-pandemic actions. On average, hotel occupancy rates in

China reached 31.8 percent in March (Hao et al., 2020). Section 2 of the report provides a

comprehensive review of the literature on Covid-19's overall impact on the Chinese hotel

business. The Chinese hotel industry's anti-pandemic experience and approach will be

discussed in more detail later in this article, as will disaster management and mitigation

tactics. Methodology, sample size, and data collection are all covered in the third section.
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1.2 Rationale for the Study

The findings of this study would assist the decision-makers of the hotel sector in making

decisions regarding the recovery of the hotel industry in China.

1.3 Aim and Objectives

1.3.1 Aim of the Study

This study aims to analyze the trends noted in the hotel sector brought about by the COVID-

19 pandemic.

1.3.2 Objectives of the Study

Specific Objectives

1. To determine How the hospitality industry used to operate and the trends that existed

in the hotel industry and specifically in hotels and restaurants before the emergence of

the Covid-19 disease.

2. To assess the impacts in the hotel industry due to the emergence of the Covid-19

pandemic.

3. To evaluate the changes and new trends that have been adopted in the operations of

the general hotel industry in China.

CHAPTER 2

LITERATURE REVIEW
The literature review's objective is to sift through the current literature on the nature of the

Chinese hospitality business, how it was affected by the pandemic, and how the industry

recovered post-pandemic. Additionally, the literature review chapter introduces the Chinese

hotel sector. It details the incidents that occurred during the pandemic's effects on the

industry and how it recovered from its severe repercussions.


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2.1 Introduction

Chinese hotels have taken a significant hit since COVID-19 broke out, and the literature

study in the first section aims to find out why the COVID-19 pandemic happened and what

can be done to avoid it again. In the face of a weakening local economy and global economic

uncertainties, the hotel industry had a dismal year in 2019.

2.2 The Chinese Hospitality Industry Before Covid-19

The Chinese hotel business has undergone significant changes in the last 75 years. Consumer

behavior and information technology are only a few micro-level topics studied extensively in

academic literature (Qin et al., 2019). The hospitality business has gone a long way since

Orwell notably condemned and labeled hospitality-related workers as having little social

value in the 1930s. Some still link the industry with excessive working hours, poor income

levels, and exploitation of minorities (Baum, 2019). For example, in property management

systems (PMS), revenue management systems (RMS), or customer relationship management

(CRM), the hospitality industry, a subset of the broader services industry, has implemented

computerized processes and artificial intelligence to synthesize key performance indicators in

the age of big data (Mariani et al., 2018). It is becoming increasingly common for hotel

rooms to use smart home gadgets and programs like Amazon's Alexa, Apple's Siri, and

Google's Assistant. Robotic appliances are now being used as waiters in restaurants,

programmed housekeepers and lobby attendants, concierges, and hotel porters (Drexler and

Lapre, 2019).

Ctrip and Meituan, two of China's most popular online hotel distributors, and certain

innovative startups like Tujia could imply that new logic is forming in the Chinese market.

These businesses have demonstrated a different authority structure, as well as a different

focus and sense of self than the three well-established logics (Qiu et al., 2019). Although
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CSR refers to a company's social responsibilities, it also reflects its commitments to its

shareholders and the community at large (Kim et al., 2020).

In the hospitality industry, employee turnover has become a big problem. When it comes to

companies, the expense of training and recruitment, the cost of replacing employees who are

no longer with the company, and the interruption of business operations are just a few

examples (Yousaf et al., 2019). The high incidence of staff churn in China's hospitality

industry has recently been brought to light in a new study (Afsar et al., 2018). The results of

these studies have prompted scientists to dig deeper into the causes of the high employee

turnover in China's hospitality industry.

A growing number of individuals are pursuing a tertiary degree in hospitality administration

at colleges and universities worldwide. Hotel internships have become an essential part of the

curriculum design in higher degree hospitality programs because of the practice-oriented

nature of hospitality jobs (Chen et al., 2018). Finding hotel industry interns is becoming

increasingly challenging (Stansbie & Nash, 2016). Interns are a significant source of labor for

hotel operators, helping alleviate the industry's need for a flexible workforce due to its

seasonality (Stansbie & Nash, 2016). According to the requirement for staffing in low or high

seasons, hotels can pick how many interns to engage with dynamically refill the human

resources required during busy periods. As a result, hotels can lower their operational costs

by employing interns rather than full-time personnel.

2.3 Impacts in the hotel industry due to the emergence of the Covid-19 pandemic.
2.3.1 The State Chinese Hotel Sector

Products and services offered by the hotel business are considered luxury goods in China

(Yang et al., 2018). Yang et al. (2021) categorized China's hotel industry as a luxury sector

that contributes significantly to the country's revenue. On the other hand, according to Yang

et al. (2021), there was a significant decline in spending per customer and hotel visits during
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the COVID-19 epidemic (2018). More specifically, China's hotel industry has risen rapidly

and now ranks third globally (Yang et al., 2018). This is supported by the fact that the

Chinese hotel supply has burst and is now keeping pace with demand in the low-cost hotel

industry (Hu, Ma, and colleagues, 2021). Consequently, the Chinese hotel industry is still one

of the world's most significant.

Hotels are founded on human movement and interaction, according to Gallen (2020).

According to Valle (2020), interaction factors could strongly impact the industry's potential

to recover. As Brouder had predicted, Hale et al. (2020) first emphasized that China's hotel

sector's varied nature would lead to a wide range of responses to the pandemic (2020). When

it comes to the hotel industry, Hadi et al. (2019) revealed that it is vulnerable to recovery

milestones. Equity markets are necessary for the hotel and tourism businesses to recover from

a downturn (Hao et al., 2020; Ru et al., 2020; Kizys et al., 2021). The hotel business may

have to deal with several difficulties in the event of a pandemic.

2.3.2. The Chinese Hotel Sector During the Pandemic

The Chinese hotel industry has been hit hard by the COVID-19 outbreak. The qualitative

analysis approach finding by Enger et al. (2020) confirms that hotels will increasingly use a

touchless checkout process via mail and hotel software and unique touchless or non-contact

housekeeping procedures to boost profitability by 2020. This is to confirm the second point.

Chinese hotels have made tremendous progress in the face of the pandemic, according to a

retrospective analysis by Hu et al. (2020). According to Tellioglu (2021) and Hu et al. (2020),

and Enger et al. (2020) findings, the COVID-19 pandemic led to a considerable decline in

hotel company rates in China. As a result of the pandemic's hygiene-related decreases,

tourists are less likely to visit, decreasing business rates (Khan et al.,2021; Hu et al.,2021).

Milovanovic (2021), like Khan et al. (2021), stressed the importance of cleanliness while
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booking a hotel. It's important to note that the hotel business in China has seen significant

transformations both before and after the appearance of COVID-19.

Many changes and noteworthy developments in hotel operations and management in China

have been documented since the start of the COVID-19 pandemic (Hu et al.,2020). As shown

in Figure 2.3.2, Sarwari and Huq (2021) found that the pandemic had a considerable impact

on hotel occupancy rates, corroborated by Hao et al. (2020). In contrast to Hu et al. (2020),

who found lower hotel occupancy rates, Hao et al. (2020) show that only a few of the world's

wealthiest and most expensive hotels saw incomes stay flat or rise somewhat in 2020, despite

the former's findings. COVID-19's debut significantly impacted China's hotel industry,

according to September 2020 research by STR, which used online polls to investigate the

pandemic consequences. After conducting online experiments to examine social distancing,

Shin & Kang (2020) found that the occupancy rate of Chinese hotels plummeted by 89

percent by mid-January 2020 because of such restrictions. As a result of the pandemic's

requirement for social separation, according to Liu & Hung (2021), the post-pandemic age

has resulted in a shift from human labor toward "self-service" technology. According to Yang

et al. (2021), a nationwide overview of Chinese domestic visitors' post-pandemic lodging

preferences confirmed Crawford's (2021) assessment of the soundness of China's hotel

business. Yang et al. In light of the data gathered from the studies examined, it is safe to say

that the COVID-19 epidemic had a significant impact on luxury hotel occupancy rates.

During the Covid-19 outbreak, several hotels encountered problems because of a lack of

crisis management expertise and information pollution (Demir et al.,2021). Thus, several

prominent tourist attractions and cultural organizations had to be shut down for this reason

alone: (Bhuiyan et al., 2020). Baum and Hai (2020) used several databases in their online

review to indicate that visitors attempted to recoup fees associated with abandoned vacation

plans due to limitations, quarantines, and social isolation throughout the process, which
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matched findings reported by Bhuiyan et al. (2020). However, potential tourists' interest in

tourism has increased as they seek alternatives to trips, such as virtual entertainment. Many

people now resort to online platforms to meet their social demands, such as taking part in

cultural activities and learning about new locations and people.

COVID-19 has impacted China's hotel occupancy rates in Figure 2.3.2: China's hotel
industry occupancy (Hao et al., 2020).
Several Chinese hotel chains have shown first-quarter deficits in their financial statements,

according to a study by Khan et al. (2021). A 42.3 percent decline in net profit to a meager

171 million Yuan in the first quarter of 2020 was observed by Hao et al. (2020) when

compared to profit rates in 2019. According to Hao et al. (2020), for Dossen International

Group, there was a 50% decrease in operating cash flow and an 80% decrease in sales (Hao et

al. 2020). On the other hand, earlier research demonstrated substantial losses for hotels

despite the absence of explanations for those losses (Wu, 2020; Hao et al.,2020). The sharp

drop sees the pandemic's impact on the hotel business in guests and occupants.
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A hotel can lose money due to underperformance. According to Krishnan et al. (2021), there

was significant underperformance in the hotel industry following the pandemic, leading to

substantial changes and sublets. Similarly, Agustina and Yosintha (2020) found that hotels

with occupancy rates below 15% were closing in droves, a symptom of underperformance

globally. Low occupancy rates and salary cuts were shown to be the primary causes of the

study's poor performance. Following the epidemic, hotel performance was much lower than

before the pandemic's development. As reported by Kim & Han in their research from 2022,

hotels in China and other Asian countries will close 40 percent of their rooms by then, with

the shutdown beginning in mainland China in January 2020. According to Arabadzhyan et al.

(2021), a 74% reduction in international travel in China has resulted in a negative

performance index among the most expensive hotels in China. For the first time, the UN

World Tourism Organization (UNWTO) identified the simultaneous shift in supply and

demand, as well as travel bans, as contributing factors to poor performance, in contrast to

prior research that focused on occupancy reduction and salary reductions (Arabadzhyan et al.,

2021; Inoue et al., 2018). COVID-19 negatively influenced hotel performance, as evidenced

by the widespread reporting of revenue losses in China.

2.3.3 Emergent Issues and Changes in the Chinese Hotel Industry

Confusion has arisen over the COVID-19 epidemic's impact on hotel admissions, with some

reporting a significant increase in hotel visits and others reporting a primary decrease. When

it came to the COVID-19 pandemic, Milovanovic (2021) found that hotel guests grew

considerably, which was in direct opposition to previous findings by Khan et al. According to

Goh and Baum (2021), hotel admission could be minimal due to hygiene concerns in light of

the COVID-19 pandemic limits and guidelines. Hotels' capacity to remain productive and

attract new guests depends on their ability to adapt and innovate in the face of a pandemic

quickly.
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The hotel industry has also seen considerable changes due to the COVID-19 outbreak. Since

quarantine hotels have become contactless and virtual customer interactions, the service

requirements have also evolved (Hao et al., 2020). According to Tussyadiah (2020), a

qualitative study using semi-structured interviews found that employing robots' artificial

intelligence in hotels increased service automation and customer experience during the

COVID-19 epidemic. A study by Jiang and Wen (2020) using questionnaires found that

contactless operations at China's hotels helped protect against the COVID-19 virus, which

made similar conclusions. Consumers are willing to pay a premium for cleaning. Thus,

according to previous studies, hotels can charge more to keep their facilities sanitized

(Kamruzzaman, 2020; Hao et al.,2020; Adim et al.,2020). As a result of the pandemic, hotels

had to rethink their strategies for hosting guests.

2.4 Changes and new trends that have been adopted in the operations of the general

hotel industry in China.

2.4.1 Hotel Innovation Strategies as a Recovery Model

The final segment focuses on post-pandemic recovery, including the participation of

stakeholders and the impact of policies. The global increase in occurrences has proved the

financial impact of COVID -19 on accommodation facilities. There is a lack of trust among

REIT shareholders due to the listing of multiple hotel chains, and as a result, REITs cannot

pay dividends because the real estate component has been badly harmed (Krishnan et al.,

2020). Buying distressed hotel assets is a good moment because of the operational difficulties

(Schaffer, 2020). According to a report by (Hospitality Net (2020), these hotels could benefit

from asset acquisition by targeting guests as a recovery modality (Figure 2.4.1). According to

Gursoy & Chi (2020) and Krishnan et al. (2020), hotel investors should be involved in

purchasing hotel assets for their ability to recover. In light of this, Dai et al. (2020) argue that
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luxury hotels are not always the first choice for repairing current assets and should be

regarded as the first choice to recover the hotel sector after a pandemic

Figure 2.4.1: China hotels' recovery strategy, which includes several methods, such as
generating awareness, investments, purchasing assets, and technology readiness (Cendyn,
2020).
2.4.2 Role of Government in Recovery

To help the economy recover from the pandemic, governments must act quickly and

collaboratively (OECD, 2020). COVID-19, according to Teng et al. (2021), provided the

hotel sector with a unique opportunity to demonstrate its commitment to social responsibility

in light of the OECD's (2020) study. As a result of the COVID-19 pandemic, hotels and the

government have opened quarantine hotels to exhibit their corporate social responsibility to

public health. Regarding the hotel industry, Krishnan et al. (2021) report that investors have

become gloomier due to the government's recovery mandate and have begun investing

heavily in it. Furthermore, the government has advised hotels to make a great effort to appeal
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to their customers, from acquiring access to food delivery areas, giving work-and-stay

packages, publicizing low prices, and hosting simulated events. Several hotels have already

enacted a range of government-ordered changes in response to the pandemic, including

cancellation policies, among other things (Shin & Kang, 2020; Sharma et al., 2020; Singh,

2020). Since the COVID-19 epidemic significantly impacted the hotel industry, government

officials have shown a commitment to recovery efforts. Appendix A provides an overview of

the government's actions and the pandemic's most significant effects on China's hotel

business and recovery.

2.4.2 Technological Advances for Hotel Industry Recovery in China

Companies are expected to change their operations significantly and increase consumer

satisfaction (Gursoy & Chi, 2020). For several customers, utilizing technology to provide

services is essential to reducing the time spent communicating with those affected by the

pandemic (Gursoy et al., 2020). Self-service kiosk check-in machines and completely

automated hotel check-in systems (such as mobile keys) have gained in popularity recently

since they keep guests socially isolated while providing a safe and hygienic service (Shin &

Kang, 2020; Zhao et al., 2020). Some of the world's most well-known lodging

establishments, like Marriott International, Hilton, and Hyatt 4, use cutting-edge disinfection

and hygiene equipment (such as cleaning robots, electrostatic sprayers, and other similar

devices) (Garcia, 2020). Small initiatives to minimize visitor contacts and increase

cleanliness, according to Shin & Kang (2020), have a beneficial effect on hotel booking

intentions during pandemics. As a result of the pandemic, hotels have undergone major

organizational adjustments (Gursoy & Chi, 2020). Corporate innovation focuses on cost

savings and improving the methods of human resource management employed by hotels

during this outbreak rather than developing new products or processes (Kilgore, 2020).

Layoffs and lower salaries are standard cost-cutting measures many hotel chains use to stay
20

afloat (Chaturvedi, 2020). The usage of marketing innovations is improving a wide range of

hotel procedures. Membership programs and other techniques linked with those programs are

examples of this.

2.5 Conceptual Framework

Situation Before the Pandemic

 Use of robotics in
Hospitality
 Employee Turnover

Effects of Covid-19
Situation During the Pandemic
 Guest Aptitude
 Adapting to technology
 Availability if correct Details
 Health safety standards

Post Pandemic Trends

 Ambience
 Sitting Arrangement
 Technology

Figure 2.5 Conceptual Framework


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CHAPTER 3

METHODOLOGY

3.0 Introduction

Methods and methodologies are two phrases that are sometimes used interchangeably;

however, it is essential to distinguish the two notions for better understanding. An all-

encompassing description of methodologies and methods was provided by Neuman (2014),

who referred to methodology as the "large structure" that shelters methods. A key component

of methodological understanding is a thorough awareness of the entire research process,

including its social and organizational background, philosophical assumptions, ethical

standards, and the political effect of new knowledge generated by the research enterprise.

Methods are the strategies we use to choose instances, assess social life, gather and refine

data, analyze data, and publish results.

3.1 Research Methods

Quantitative methods based on the positivistic paradigm have made significant contributions

to tourism and hospitality research. Research that uses statistics to examine and test theories

based on variables is known as quantitative research. Tourism and hospitality research has

relied heavily on quantitative methods (Provenzano & Baggio, 2019). Quantitative research

necessitates statistical approaches to uncover the complex correlations between variables that

underlie various phenomena (Disman et al., 2017). Structured questionnaires are the data

source for most tourism and hospitality research. People's opinions, perceptions, attitudes,

and actions are gathered through surveys in tourism and hospitality.

Researchers rely on participants' honesty to obtain significant conclusions from a research

project (Sutton & Austin, 2015). A research participant's tendency to reply in ways that

portray oneself in a good light, rejecting unpleasant qualities and habits, even if this means
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"faking" the answers they give. Providing an "untrue" representation of reality hampers

survey results and policy making. SDRB (Nunkoo n.d.). Causational correlations between

variables are frequently investigated through the experimental design method (Kline, 2011).

This strategy is based on the notion that randomized control trials are the most meaningful

sort of evidence. Research subjects are randomly assigned into two groups, and other

variables are tightly controlled.

3.1.1 Research Approach

A research approach is a strategy for carrying out research methodically and effectively. One

of the three basic types of research is quantitative (structured), the other two are qualitative,

and the third is mixed methods. To get the best findings, every research must be explicit,

disciplined, and systematic. Our analysis is quantitative. As part of completing a quantitative

study, one must first formulate a research question, which includes operational definitions of

variables and a stated objective. To be used by other researchers, the findings and research-

based conclusions from the examination of each educational level should be of a quality that

other researchers can rely on.

3.2.2 Research Methods

A self-administered questionnaire was used in this Study's quantitative approach. A

structured investigation of a phenomenon using numerical data and statistical, mathematical,

or computer approaches is referred to as quantitative research. In the positivism paradigm,

quantitative analysis is called for methods grounded in quantitative tests and includes such

techniques as inferential statistics, testing hypothesis, numerical modeling, exploratory and

quasi-experimental architecture randomization, study design, organized protocols, and

questionnaires with a small range of structured questions (Olasie,2020).


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3.2 Data Collection

Data Collection through Questionnaire

Especially in the case of extensive inquiries, this type of data collection is widely used.

People, businesses, and even the government are embracing technology. Postal

questionnaires are given to the people in question with a request for them to respond and

return them. Questionnaires are a collection of questions arranged in a specific order on a

form or series of documents, printed or typed. It is assumed that responders will read and

fully comprehend the questions before responding in the space provided on the questionnaire

itself. Respondents are solely responsible for their responses. Various economic and

commercial surveys heavily rely on the data collection technique of distributing

questionnaires to participants. Among the advantages cited for this strategy are the following:

1. The cost is modest even if the universe is big and geographically dispersed.

2. It is free of the interviewer's bias; respondents' answers are in their own words.

3. Respondents have enough time to think through their responses.

4. Respondents who are challenging to reach can also be easily contacted.

5. The results can be more accurate and dependable because of the usage of large

samples.

The primary drawbacks

1. Indeterminate bias as a result of low return rates for completed questionnaires.

2. It can only be used if the respondents are well-informed and willing to cooperate.

3. Once a questionnaire is sent, the sender may lose control of it.

4. Because of the difficulty in changing the strategy after the questionnaires have been

sent out, there is inherent rigidity.


24

5. Also, answers to some questions may be vague or omitted altogether, making

omissions challenging to comprehend.

6. It's hard to tell if voluntary participants are representative.

7. This approach is most likely to be the most time-consuming.

3.2.1 Population, Sampling Technique, and Sample

Chinese hotel managers are the target audience for this research.

The quantity of effort done in most investigations is always constrained by time and

resources. The sample was drawn with these constraints to reflect the whole universe.

Stratified sampling was employed in the Study's first stages to accomplish this. To get an

accurate sample, stratified sampling divides the population into segments (or strata) and then

randomly selects individuals from each sector. As a result, fifteen hotels were chosen for

investigation.

The HR managers were then chosen using the purposive sampling method. Due to time

constraints and a restricted number of rooms available in the hotels, purposive sampling was

adopted. Precisely because it is not based on random chance, researchers use purposive

sampling to choose additional components or people for a study so that those additions will

have specific qualities relevant to the investigation. For the most part, it's focused on a

particular demographic. It was also decided to employ a snowball sampling method to choose

working women for this Study's sample. In the case of a snowball sample, a group of

individuals recommends research subjects. This was done in light of the researcher's time and

money constraints.

A total of 100 hotel managers from throughout China comprise the sample.
25

3.2.2 Research Design and Collection Process 

It's essential to have a research plan in place before you begin your Study. This document

outlines the specifics of the techniques required to get such information to structure or resolve

research challenges. Research design describes the specifics of applying a comprehensive

approach to the problem, even when one has already been devised. For doing research, a

research design serves as a starting point. A proper research design will guarantee that the

study process is carried out successfully and efficiently.

This study is being carried out based on an exploratory and descriptive research approach.

We used a survey-based research approach, asking experimental research questions and

verifying our findings using a sample from the hotel sector. To aid in making decisions, an

exploratory survey determines the most significant elements and variables for professional

growth. Questionnaires were utilized in the study. Gender difficulties and professional

progression were recognized in various ways in prior research. That being said, this Study is

both exploratory and exploratory. The primary focus of this study is on the current literature,

and the findings are based on that foundation.

As a reminder, a series of emails were sent to the research participants before the day they

were supposed to respond to the questionnaire.

3.2.3 Pilot study

Questionnaire 1 was tested in pilot research with 30 hotel managers from 15 different

properties. However, based on previous experience, appropriate changes were made, and the

updated questionnaire was pretested again. Every time the scale was used, it was tested for

accuracy.
26

3.3 Data Analysis Method

The survey data was cleansed and reviewed for missing data first. There were no gaps in the

data. The skewness and kurtosis values for all variables were within the permissible limits of

2 for the data normality assumption (Field, 2009). The data in this study were analyzed in two

stages. First, the 31 items were subjected to exploratory factor analysis to uncover major

characteristics affecting the Chinese hospitality industry. The semantic meanings of the

composing components were then used to designate the essential factors. Second, three

regression analyses were used to investigate the links between the vital parameters identified

and the trends that emerged following the epidemic.

3.4Validity and Reliability or Trustworthiness

The validity and reliability of questionnaires/surveys as necessary research instrument tools

were examined in this work. Researchers reviewed various types of reality to enhance survey

validity test abilities and understanding. As previously stated, the questionnaire has four

critical validity tests: face validity, content validity, construct validity, and criteria validity.

Depending on the type of questionnaire, some of these validity checks are required, while

others are suggested.

3.5 Limitations

This Study represents the following limitations:

 Due to a hectic schedule, the Study's results and conclusions are based on information

provided by the responding sample.

 Due to the hotel profession, the time constraint is a significant study limitation.

 Respondents may have provided socially acceptable replies rather than their accurate

reflections; hence the findings of this study may or may not be accurate.
27

 Because the Study primarily looked at hotels, the findings may not apply to other

hospitality and sector recruiters.

 Due to a busy schedule, the response received was not as much as expected.

3.6 Ethical issues

 Good Study should be well-designed, well-planned, and ethically authorized.

Conducting research of lower quality could be considered unethical.

 The researcher must adequately analyze the data. Although the improper analysis does

not always imply misconduct, intentionally omitting a finding can misinterpret and

mislead the audience.

 It is widely accepted that an author should have made a significant contribution to the

intellectual substance of the Study, including conceptualizing and designing the

investigation and collecting, analyzing, and interpreting the data.


28

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37

Appendix
Literature Synthesis
 COVID-19 has had a huge impact on Chinese hotels, and the literature review in the

first section attempts to understand why the pandemic occurred and what can be done

to prevent it from happening again.

 According to Kim & Han's research from 2022, hotels in China and other Asian

countries will close 40% of their rooms by then, with the shutdown beginning in

mainland China in January 2020. Kim & Han report this.

 Among China's most expensive hotels, a 74% drop in international travel has resulted

in a negative performance score.

 The COVID-19 outbreak has also had a significant impact on the hospitality business.

 China's hotel business has undergone a number of changes and new developments in

recent years.

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