Why Australian Hotels Hesitate: An Institutional Theory Analysis of Their Slow RAISA Adoption

This study explores institutional barriers to robots, artificial intelligence, and service automation (RAISA) adoption in Australian hotels using institutional theory. Based on interviews with senior hotel managers in Australia, the findings identify three key constraints: (1) coercive pressures stemming from stringent regulations, limited government support, and high operating costs; (2) weak mimetic pressures, reflected in limited parent‐company support, few local exemplars, and low competitive intensity; and (3) normative pressures, arising from a risk‐averse culture, diverse service preferences, and privacy concerns. These conditions jointly create resistance to RAISA adoption. To overcome these challenges, coordinated efforts from government bodies, industry associations, and hotel operators are required. Theoretically, the study extends institutional theory by demonstrating how institutional pressures and voids interact to produce mechanism‐based technology adoption barriers in a developed economy. Practically, the paper highlights the importance of policy support, industry collaboration, and hybrid service design to facilitate effective RAISA implementation in Australian hotels.