Problems of small and medium budget hotel operators.

Abstract

Small and medium budget hotel (SMBH) operators play a significant role to support the success of the tourism industry. However in general most of the small and medium hotel operators face numerous constraints and difficulties in running their businesses. In this study, the problems facing by the SMBH operators were identified. Data were collected by multi-methods approach. A total of 48 SMBH operators were involved in the survey and only six respondents agreed to be interviewed. The localities of the research covered the three major urban centres in the East Coast of Peninsular Malaysia, namely Kota Bharu, Kuala Terengganu and Kuantan. The findings of the research indicate that most of SMBH operators agreed on the difficulties in getting financial assistance and training from the government. It is suggested that aggressive promotion campaigns should be undertaken to further promote the tourism industry in the East Coast of Peninsular Malaysia. Finally the article provides useful findings for policymakers to improve the existing policies. Guidance to a new entrepreneur who intends to venture into tourism business is also reported in this article.