Analysis of additional hotel services in the international luxury hotels – a case-study from Budapest

Abstract The investigation of additional services from the aspect of local embeddedness is a novelty in the academic literature related to the tourism and hotel industry. The primary function of hotels is to provide accommodation and other services for the hotel-guests. Secondarily, they may also offer complementary-services and a community space for the city-residents and for non-hotel guests. Due to the globalization, the change in the consumer behaviour and global firms, the question of location and local resources are becoming more and more significant especially in the case of international hotel chains. The international hotel company is a member of a hotel market at a specific location, and it is surrounded by a sociological environment, local people, culture and traditions which have an impact on the competitiveness of the hotel. The author explains the results with the application of the multidimensional scaling model, finding answers for the questions in which ways the local embeddedness can have an effect on the competitiveness of a hotel based on a case-study carried out in a five-star hotel (member of an international chain) of Budapest in 2016.