Optimum Commission Rate of the Hotel Paid to the Chartered Travel Operator
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Chi-Jen Chen [1]
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[1] Tajen University of Science & Technology
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- Localización: Tourism analysis, ISSN 1083-5423, Vol. 27, Nº. 1, 2022, págs. 119-122
- Idioma: inglés
- Texto completo no disponible (Saber más ...)
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Resumen
This study aims to derive the optimal commission rate paid by the hoteliers to the chartered travel operators in order to maximize the profit of the hoteliers. This study uses the theoretical maximization model of the manufacturer's production theory of economics. The optimum commission rate of the hoteliers paid to the chartered travel operators is derived and has been proven to exist, and its value is never larger than 1/2. The maximization profit of the hotels can be obtained. This article is novel in two respects. First, this article proposes that the commission rate is a decision variable determined by the hoteliers, not a constant as the previous studies assumed. Second, the sales channel issues of the hotel, other than the OTAs, such as the chartered travel industry have hardly been discussed. This article explores the issue of the optimum commission rate paid by the hotels to the chartered travel operators.
