Abstract
Homestay is a type of accommodation suitable to increase demand for rural tourism. A communal homestay is a form of cooperation of homestay that provides better opportunities for local hosts to benefit from the business. This study aimed to analyze the economic potential of the communal homestay business in terms of financial feasibility and multiplier effect analysis. Primary data were obtained using observation techniques, semi-structured interviews and questionnaires. Data were analyzed descriptively, qualitatively and quantitatively. The feasibility of study for the communal homestay business used a feasibility analysis (NPV, BCR and IRR), whereas the economic impact of the homestay business used a multiplier effect analysis. The results of the financial analysis of the communal homestay business in the three study location provinces showed results that were feasible to run. Based on the financial feasibility criteria for the communal homestay business, the IC model had the highest values for NPV, BCR dan IRR (NPV = IDR 1. 140.202.993,00; BCR = 1,28 and IRR = 61,15%). The multiplier effect of the communal homestay business has had a positive impact which is 1.8, on increasing regional economic output in the form of an increase in GRDP and absorption of local workers. Keywords: tourism village, financial feasibility, multiplier effect, communal, homestay
Highlights
The rapid development of tourism has created upand-coming tourism businesses. Mahdayani (2009) describes five (5) basic principles of ecotourism development in Indonesia, namely conservation, education, tourism, economy and local community participation
In order to determine the feasibility of a communal homestay business, the method used is in the form of a financial feasibility analysis with business feasibility parameters: 1) NPV (Net Present Value), 2) Benefit-Cost Ratio (B/CR), and 3) IRR (Internal Rate of Returns)
The results of the financial feasibility analysis show that the concept of communal homestay proposed in models 1A, 1B and 1C are all feasible
Summary
The rapid development of tourism has created upand-coming tourism businesses. Mahdayani (2009) describes five (5) basic principles of ecotourism development in Indonesia, namely conservation, education, tourism, economy and local community participation. The rapid development of tourism has created upand-coming tourism businesses. Mahdayani (2009) describes five (5) basic principles of ecotourism development in Indonesia, namely conservation, education, tourism, economy and local community participation. The involvement of local communities is essential so that an ecotourism development approach is a participatory approach. If the rural area is in the form of mountains or plains, most of the population makes a living as farmers. In eco-rural tourism, a form of community economy is created, namely, a homestay or accommodation business that uses a private residence as a place for tourists to stay (UNESCO, 2009). The merging of business and rural tourism aspects makes rural tourism business activities very important because it is a standard for measuring investment sustainability through the involvement of local communities. The role of business here is to encourage people to be more creative, innovative and productive (Permana et al 2014)
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