Abstract

In this study, data envelopment analysis and the Malmquist Index were applied to examine the operational efficiency and management efficiency of five-star hotels in Taiwan during the 2006–2011 period. Initially, a data envelopment analysis model was adopted to conduct a cross-section analysis of the management performance of each five-star hotel in Taiwan. Following this, the Malmquist Index was used to assess the total factor productivity and longitudinal cross-period development. Then, a management matrix was formed to show the corresponding positions of the decision-making units. The provided management information clearly presented the competitiveness status of each five-star hotel. The empirical results of this paper offer practical suggestions on how to adjust the production scale to achieve optimal scale.

 

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