Combined CFPR and VIKOR Model for Enhancing the Competencies of Domestic Chain Hotel Groups

Chui-Hua Liu (), Gwo-Hshiung Tzeng () and Po-Yen Lee ()
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Chui-Hua Liu: Department of Tourism & Hospitality, Kainan University, 1, Kainan Road, Luchu Shiang, Taoyuan 33857, Taiwan
Gwo-Hshiung Tzeng: Graduate Institute of Urban Planning, College of Public Affairs, National Taipei University, 151, University Rd., San Shia District, New Taipei City 23741, Taiwan
Po-Yen Lee: Palau Hotel, P. O. Box 457, Ikelau Hamlet 96940, Koror, Republic of Palau

International Journal of Information Technology & Decision Making (IJITDM), 2019, vol. 18, issue 03, 901-927

Abstract: Hotel competency is inherently intangible and multivariate. It involves a multiple-criteria decision-making problem. Particularly in the currently rapidly shrinking hotel market in Taiwan, what determines domestic chain hotel groups’ (DCHGs’) competence and survival involves more complex and multiple factors. A practical and effective tool is urgently required for making appropriate decisions. This paper thus proposes a combined consistent fuzzy preference relations (CFPR) and the VIKOR model, aiming to prioritize criteria and solution alternatives for hotel managers. In contrast to prior studies that have used mathematical programming, the model here is also tested using real-world hotel management cases and expert consultation. First, based upon the resource-based view, we propose 21 criteria and six dimensions as the determinants of DCHG competencies. Then, VIKOR is applied to produce the most appropriate alternatives with the corresponding weights obtained using the CFPR method. The combined method successfully manages the problems of linguistic ambiguity and consistency, determines the relative weights of the different factors and provides a ranking priority. The result is compared with some similar methods and is shown to be more useful and reliable. Finally, the verified model can be used to produce strategies. A decision-maker can make selection(s) from the solution formula. Our study may thus contribute to the hotel industry with the efficient decision-making tool of resource-based view (RSV) and two-phase methodologies.

Keywords: RBV (resource-based view); DCHGs (domestic chain hotel groups); CFPR (consistent fuzzy preference relations); VIKOR (search for similar items in EconPapers)
Date: 2019
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DOI: 10.1142/S0219622019500184

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