Abstract

Traditional hotel efficiency studies using data envelopment analysis (DEA) admit that the different types of return to scale (RTS) exist, but no one takes the congestion phenomena into consideration. This research constructs a unified congestion approach based on DEA to evaluate the performance and input congestion of international tourist hotels in Taipei. The model presented cannot only judge the input congestion through the result of degree of scale economic but also can calculate the amount of input congestion. In this paper, we apply the presented models for measuring the congestion of 21 hotels in Taipei during the year 2008 to 2009, as well as the relationship among relative efficiency, return to scale (RTS) and congestion. The empirical result indicates that the congestion is widely existed in the entire hotel industry in Taipei.

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