PERSPECTIVE OF INVESTMENT ACTIVITY IN UKRAINE'S HOTEL BUSINESS

Abstract

In the hotel sector, the main directions of investment were considered in which both external and internal types of revenues are used. Return on investment is possible when the funds received are used professionally. For doing this is necessary to understand how and what investment funds need to be involved, what goals and objectives are being pursued, and what criteria are used in assessing the appropriateness of these investments. The question of finding the most tangible ways to get returns on investment is also relevant. Studied options for solving these issues for the hotel business: analysis of experience in developing and introducing innovations in the hotel business, investment in management and franchising, investment in the purchase of hotel rooms and apartments, investment through hotel real estate operations, investment in information technologies and logistics provision as well as personnel training. Considered the appropriateness of investment and the three main criteria for assessing the feasibility of investment in hotel systems: achieving a competitive advantage; increasing productivity and maximum use of available hotel resources. It is proposed to evaluate return on investment using ROI indicator, and also apply the DuPont model. Investment activity is always carried out in conditions of uncertainty, the degree of which can vary greatly. At the time of the acquisition of new fixed assets, one can never accurately predict the economic effect of this transaction. Therefore, decisions are made mainly intuitively. Making decisions of an investment nature, like any other type of managerial activity, is based on the use of various formalized and non-formalized methods. The degree of their combination is determined by different circumstances. The basis of the process of making managerial decisions on the investment issues relied on the assessment and comparison of the amount of projected investments and future cash receipts.