Abstract
Tourism currently contributes significantly to the national economy. When investing in the accommodation facility on the real-estate market, the tourism sector also represents a certain risk due to a high level of seasonality. This paper investigates the risks related to prices, income and occupancy of accommodation facilities for selected regions in Slovakia. The value of accommodation facilities is estimated using discounted cash flow, probabilistic distribution of rental prices and occupancy of accommodation facilities in selected Slovak regions. The results provide information for potential and profitable investments in exposed regions in tourism. The information can be used in the field of risk management to avoid or reduce the risk of risk investments. Although the resulting values were calculated only for some selected regions, the proposed procedure can be used for any region and compared with the current values.
Highlights
Tourism presents one of the most dynamically developed sectors, presently contributing considerably to the economy of the country (UNWTO 2020)
Tourism in Slovakia has a great potential to have a strategic position in the national economy due to its rich natural resources
We orientated the research in conditions of Slovakia to support the results of Matijová et al (2019), using regression models, where the resulting relation between the price of accommodation and unemployment was conducted by using the simple linear regression, and we found that one of the factors of the decrease in the unemployment rate is the support of the production potential of tourism, conditioned by the quality of the services offered, which are reflected in higher prices of accommodation
Summary
Tourism presents one of the most dynamically developed sectors, presently contributing considerably to the economy of the country (UNWTO 2020). During investment in the accommodation facilities in the real-estate market, the area of tourism presents a certain risk. The real-estate market presents a market in which all transactions are connected with the transfer of ownership rights to lands and buildings. The transfer of such ownership rights can be permanent or temporary and commonly, it has monetary value. The rapid development of financial tools in the last decades means the real-estate market presents not an individual market, but an integral part of global financial markets, which enables more easy access to investment tools, but on the other hand, it presents a source of considerable risks. Risk analysis presents the process of danger identification and risk evaluation for the individuals or for the group of inhabitants and other researched objects (Hiles 2002)
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