Investment decisions' analysis in the hotel industry in chosen Czech regions

Abstract

The aim of this work is to examine the differences between individual regions with regard to various macroeconomic aspects, indicators such as regional GDP or regional industry revenue, and in other areas so as to make clear what expectations an investor should realistically have when making an investment decision. Heeding other economic indicators can give an idea of where the economy is headed in order to plan long-term investments more effectively. Macroeconomic indicators are reflecting the economy's performance; however, changes in these types of indicators are only identifiable after an economic trend or pattern has already been established. Because these indicators have the potential to forecast where an economy is headed, fiscal policymakers and governments make use of them to implement or alter programmes in order to ward off a recession or other negative economic events. There also is a need to focus on the level of knowledge within a particular sector, as well as comparisons of sectors that may have a significant influence on decisionmaking. Therefore, the first part of the work deals with literature background on the importance of macroeconomic indicators on tourism concentrating more on the investment in accommodation sector. The aim of the comparison of selected regions is to accurately determine the greatest differences in the observed macroeconomic indicators with an emphasis on the regional construction industry and to determine their degree of influence on the average price of a product or service. This work focuses on a detailed analysis of individual variables and indicators, which in both regions report disparities. Thus, disaggregated indicators subjected to extra direct comparison best reflect the particular differences in the macroeconomic indicators, which are crucial for subsequent practical use. The research methods, and especially the variables of these methods, are based on the results of research available in domestic and foreign scientific literature. These were subjected to content-causal analysis and the results thus obtained are implicated in individual examined variables. The results of this paper show that it is possible to establish a set of macroeconomic indicators which demonstrably influence decisionmaking in investment decisions in the hotel industry. © The Authors, 2017