Can we do it alone?

The case of De
Cyber hotel
Halimah Nasibah Ahmad, Noor Afza Amran and Darwina Arshad

Introduction Halimah Nasibah Ahmad

and Noor Afza Amran are
“You are so deep in thought, my dear. Is there a problem?” Jaafar gently asked when he both based at the Tunku
noticed that his wife had become so quiet. When his wife remained silent, Jaafar patiently Puteri Intan Safinaz School
asked, “Is there a problem with De Cyber Hotel?” Siti Alia lifted her head, sighed and looked of Accountancy (TISSA),
at her husband. She said, “I’m very confused right now. After working and collaborating for Universiti Utara Malaysia,
almost ten months, I have to decide whether or not De Cyber Hotel should continue its Sintok, Malaysia.
strategic alliance with ABC Digital Booking. Our one-year agreement and strategic alliance Darwina Arshad is based at
will end this March.” Jaafar immediately understood his wife’s dilemma. Hoping he could the School of Business
Management, Universiti
help his distressed wife, he coaxed, “You need to think about this matter thoroughly,
Utara Malaysia, Sintok,
consider the advantages and disadvantages before making a decision; consider the impact
Malaysia.
of your decision on the business. By the way, you can discuss this matter with Anisah and
Syariff, who are members of the board of directors. Get inputs from them, and I believe you
can do it.” He smiled confidently to reassure her.
Siti Alia was a pensioner from a government agency. Although she was only 53, she had
decided to opt for early retirement to be with her husband, who was working in Kuala
Lumpur. After retirement, Siti Alia and her two friends, Anisah and Syariff, decided to
establish a budget hotel, an interest ignited when Siti Alia learnt that her husband’s friend,
Halim, was involved in running a budget hotel in Johor Bahru. Halim had shared his
experience with Siti Alia and was instrumental in influencing and encouraging her to venture
into the budget hotel business after retirement. After De Cyber Hotel was opened, Siti Alia
became its manager and was responsible for its day-to-day management and financial
matters. De Cyber Hotel was registered as a private limited company (syarikat sendirian
berhad) with Anisah and Syariff as its directors.
De Cyber Hotel, located in Cyberjaya, Selangor, was officially opened on 19 January 2019.
As a new budget hotel, it faced stiff competition from other more established hotels in the
vicinity. To overcome this, initially, the hotel management distributed brochures and
promoted the hotel via word-of-mouth. However, De Cyber Hotel depended mainly on walk-
in guests. Siti Alia and the management team knew they must take immediate and more
proactive actions to ensure their hotel’s survival. She knew people were using online
booking platforms or online travel agents (OTAs), such as Trivago, Agoda, Expedia and
Booking.com, to search for suitable hotels or accommodations before booking. With such
platforms available, Siti Alia realised that hard-copy brochures were no longer the preferred
Disclaimer. This case is
promotional tool. The users of these platforms could compare hotel prices with just a few intended to be used as the
clicks, which they could not do with brochures to obtain the desired information. Siti Alia basis for class discussion
rather than to illustrate either
then knew that they could no longer depend on walk-in guests. Determined to increase the effective or ineffective handling
of a management situation. The
occupancy rate and the hotel’s revenue, on 27 March 2019, De Cyber Hotel management case was compiled from
accepted an offer from ABC Digital Booking to implement a digital booking system for the published sources.

DOI 10.1108/TCJ-06-2021-0081 © Emerald Publishing Limited, ISSN 1544-9106 j THE CASE JOURNAL j
 hotel. ABC Digital Booking was a company that provided an online platform to enable the
listing and booking of budget hotel accommodations. De Cyber Hotel and ABC Digital
Booking entered into a strategic alliance and agreed to collaborate for at least one year
from when the agreement was sealed.

Background of De Cyber Hotel

Situated within 2.9 km from Shaftsbury Square, Cyberjaya, De Cyber Hotel was ideal for fun
and relaxation. As it was centrally located, getting around to all shops and malls, such as
Dpulze Shopping Centre, IOI City Mall and Alamanda Shopping Mall, was easy. Moreover,
a restaurant within walking distance was available. Because of its strategic location, the
hotel availed easy access to the surrounding must-see attractions, like Putra Mosque, Putra
Bridge, Thean Hou Temple, Millennium Monument and Petaling Street. Furthermore, the
hotel was only 2 km away from Putrajaya and 19.1 km from the Kuala Lumpur International
Airport (KLIA).
The amenities in the hotel were thoughtfully and carefully planned to ensure unparalleled
comfort for guests. With a common lounge, all rooms in the two-star hotel were air-
conditioned and carpeted with an attached bathroom. In addition, all rooms had a
wardrobe, a work desk and a flat-screen TV. Furthermore, the hotel had a special offer
whereby children aged four and below (one child per room) could stay with an adult at no
extra cost. Assistance was made available round the clock at the reception, where the
counter was managed by staff fluent in English and Malay. In addition, De Cyber Hotel went
the extra mile by offering many other facilities to make their guests’ stay as comfortable,
memorable and pleasant as possible, such as free Wi-Fi in all rooms and public areas, free
car parking bay, complimentary bottled water as well as tea- and coffee-making facilities.
There were also special facilities for disabled guests, and as a smoke-free hotel, guests
could rest assured that the environment was clean and the air was crisp. Another
advantage was that the hotel’s business hours were 24/7, which allowed guests to reach out
to the staff whenever necessary.
In terms of its corporate structure, De Cyber Hotel had a simple set-up, and staff members
comprised one manager, two supervisors, four front office staff and four housekeeping staff
(as shown in Figure 1), totalling 11 staff. The manager, Siti Alia, was responsible for the
overall hotel management and financial matters. The supervisors, Afiq and Julia, were in-
charge of operational decisions. Siti Alia found that within one year of its operations, the staff
turnover rate was around 80%. The main reasons staff chose to resign were the better job

Figure 1 Organisational chart

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opportunities, pursuing further studies, taking care of family and being unwilling to do night
shifts.
Job scope:

1. Manager: Hotel and financial management.

2. Supervisor: Staffing, duty roster, quality control and daily operations.

3. Front office/receptionist: Check-in, check-out, payments and daily and monthly sales
reports.

4. Housekeeping staff: Make up rooms and ensure overall cleanliness.

Overview of the hospitality industry in Malaysia

The hospitality industry played a significant role in global economic growth, driving
socioeconomic development and creating jobs. As the third largest component of the
services sector, the tourism industry was one of Malaysia’s primary drivers of economic
growth. The industry contributed 15.2% to Malaysia’s gross domestic product (GDP) in
2018 (Economic Report, 2020) and 23% of national employment or 3.5 million jobs
[Malaysian Investment Development Authority (MIDA), 2022]. The value-added trend of the
tourism industry in Malaysia has been increasing since 2005. It has been growing with an
average annual growth rate of 11.2% over the past 12 years (Department of Statistics
Malaysia, 2018). Figure 2 shows Malaysia’s gross value-added tourism industry from 2005
to 2017. Even though there have been upward trends in the growth of the tourism industry
and Malaysia was blessed with beautiful and unique natural assets, multiracial and cultural
diversity and variety of food and entertainment, the tourism industry has yet to achieve its
true potential (Economic Report, 2020). The Malaysian Tourism Statistics (Tourism Malaysia,
2020) recorded a growth in tourist arrivals yet could not meet the target determined by the
Tourism Ministry. The Ministry aimed to receive 28.1 million tourists in 2019; however, the
actual number of tourists who arrived was only 26.1 million (Mordor Intelligence, 2021).
Through its Tourism Promotion Board, Malaysia worked hard to promote Malaysia at

Figure 2 Gross value-added tourism industry in Malaysia

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 domestic and international levels. Malaysia continuously focuses on initiatives to improve
the total number of tourist arrivals from its key markets, such as China, Singapore and
Australia.
Malaysia earned industry awards, such as the Pacific Asia Travel Association Gold Award in
2021 (Tourism Malaysia, 2021). Whereas in the year 2020, Putrajaya, Penang and Kota
Kinabalu won the ASEAN Clean Tourist City Standard Award during the ASEAN Tourism
Forum, which was held in Brunei Darussalam (Tourism Malaysia, 2020). Malaysia was also
ranked third among the most attractive countries for hotel investment in Southeast Asia,
after Thailand and Singapore (Knight Frank’s Malaysian Hospitality Investment Intentions
Survey, 2020). Table 1 indicates tourists’ arrivals and receipts to Malaysia by year.
According to Mordor Intelligence (2021), Malaysia’s hospitality market could be segregated
by type and segment. Chain and independent hotels were types of hotels. In comparison,
the segment classification comprises service apartments, budget and economy, mid- and
upper mid-scale and luxury hotels. The international and Asian hotel brands contributed to
almost equal numbers in terms of total hotels in Malaysia. However, international brands
and their chains dominated the supply of rooms. They offered almost double the number of
rooms to the market compared to the Asian brands. The key players in the hospitality
industry in Malaysia were Genting Group, Accor SA, Shangri-La Hotels and Resorts, Hilton
Worldwide Holding Inc and Marriott International Inc (Mordor Intelligence, 2021).

Budget hotels in Malaysia

Budget hotel was defined as a hotel that provides simple and comfortable accommodation
at a modest price (Zhang et al., 2013). It was usually financed/owned by one individual or a
small group of individuals. Simple management structure, limited service, simple rooms,
standardised accommodation, low cost, low construction and operation costs and fewer
than 150 rooms were normally the characteristics of budget hotels (Peng et al., 2015).
Budget hotels could accommodate all types of income categories from low- to high-income
groups. The Ministry of Tourism and Culture of Malaysia had classified the Star Rating of the
hotels as two stars and below. Budget hotels could be registered as hotel, resort, lodging
house, rest house, motel, hostel, chalet, guest house or inn. The number of budget hotels in
Malaysia had rose significantly from time to time parallel with the growth of national tourism
sector. The demand of budget hotels had been remarkably increasing as tourists largely
kept their budget for accommodation in control. There were 6,000 budget hotels in the
country offering more than 200,000 rooms and with 120,000 employees (The Edge
Property, 2015).

Table 1 Tourist arrivals and receipts to Malaysia by year

Year Arrival (Million) Receipt (RM) Billion

2020 4.33 12.7

2019 26.10 86.1
2018 25.83 84.1
2017 25.95 82.1
2016 26.76 82.1
2015 25.72 69.1
2014 27.44 72.0
2013 25.72 65.4
2012 25.03 60.6
2011 24.71 53.8
2010 24.58 56.5
2009 23.65 53.4
2008 22.05 49.6
Source: Tourism Malaysia (2022)

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However, budget hotels faced stiff competition from the online platforms and
accommodation options like Airbnb. Airbnb, as in “Air Bed and Breakfast,” was a service
that lets property owners rent out their spaces to travellers looking for a place to stay.
Travelers could rent a space for multiple people to share, a shared space with private
rooms, or the entire property for themselves. In Malaysia, Airbnbs were considered short-
term rentals (STR). STRs differed from long-term rentals by their rental duration and
purpose of renting. STRs were typically rented out for a few nights or weeks, and are usually
for vacation, business or event purposes. The Malaysian Government endorsed the home-
sharing platform saying that Airbnb was legal in Malaysia in August 2016. In 2019, there
were 44,000 listings of Airbnb throughout Malaysia and it was growing fast. Unlike the
budget hotels, tourism tax was not applicable to Airbnb. Hence, the tourists preferred
looking for Airbnb options because they did not have to pay the tourism tax.
Budget hotels were facing a tough time recording profit due to the emergence of global
online hospitality services and OTA such as Booking.com, Expedia.com and Agoda.com.
The OTAs provided various attractive offers that made it harder for most budget hotels in
Malaysia to gain higher profits. In addition, most budget hotels were not IT-savvy and too
dependent on walk-in customers. On the other hand, most of the travel groups were young
people who preferred online hospitality services. In the fourth quarter of 2019, Budget hotel
operators who were desperate for business turned to OTA to manage their hotel bookings
as they think they could market to a larger group of clients using OTA platforms. Ultimately,
the decision ate the hotel operators’ profitability as 20% to 30% of the room rates were paid
as commission to OTA. Moreover, the room rates were also low to keep price competitive
and to attract customers. As a result, budget hotel operators end up earning lower profit
margins. In the fourth quarter of 2019, MyBHA (Malaysia Budget Hotel Association) Kuala
Lumpur showed that the hotels with three-star ratings and below had a decrease of 15% to
20% in revenue due to competition from the online platforms (Mordor Intelligence, 2021). De
Cyber Hotel, a budget hotel in Cyberjaya, Malaysia, faced the same dilemma.

Establishment of De Cyber Hotel

Siti Alia could still remember the struggle she and her friends went through in 2018 before
De Cyber Hotel was successfully established. “It was certainly not easy, and we faced so
many hurdles . . .,” she reminisced. Siti Alia and her friends had to ensure they had sufficient
funding. They took loans and used their savings just to realise their dreams of setting up a
budget hotel. They rented a three-storey building and substantially spent the money to
renovate and refurbish it into a comfortable budget hotel. Even before renovations
commenced, Siti Alia had to overcome several challenges; getting an experienced interior
designer and approval from the Sepang Municipal Council was a struggle. Siti Alia
remembered her friend in Johor Bahru, who also operated a budget hotel. “Surely, he can
help me with some good recommendations,” she thought and did not hesitate to call him to
introduce her to a good interior decorator. To get approval for the renovation, she spent
many sleepless nights burning the midnight oil to ensure all documentation was prepared
according to the Sepang Municipal Council’s specifications. These tasks were time-
consuming, and once approval had been obtained, the hotel renovations took almost a year
to complete.
Siti Alia and her friends wasted no time during the renovations. They took the initiative to
learn about budget hotel management and operations from their friend, Halim. Halim and
his experienced staff also helped to train De Cyber’s newly appointed housekeeping staff.
As a new hotel with new staff, Siti Alia realised that training and guidance were critical,
particularly for the housekeeping staff and the supervisors, who were new to the job. For
this, she hired an experienced housekeeping staff to train her team. Meanwhile, Halim
assigned his hotel supervisor to train De Cyber’s supervisors, particularly on hospitality. Siti

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 Alia knew the key to De Cyber’s success would be a team of well-trained supervisors and
housekeeping staff who could provide impeccable services to the guests.

The journey was not easy

After De Cyber Hotel was officially opened in January 2019, increasing the number of
guests was an uphill battle. Siti Alia realised it would be difficult to compete with established
hotels, especially without a website. Amid these difficult times, a representative from ABC
Digital Booking approached Siti Alia and offered a strategic alliance. ABC Digital Booking
was a company that could install an online system to enable the listing and booking of
budget hotel accommodations. It had partnered with hotels in countries such as India,
China, Malaysia, Nepal, the UK, the USA, the United Arab Emirates, Saudi Arabia, the
Philippines, Indonesia and Japan to install online search and booking platforms. After a
series of discussions, Siti Alia and her management team decided to collaborate with ABC
Digital Booking. In their business agreement, it was stated that their collaboration would be
for at least one year. A one-month notice must be given to ABC Digital Booking if De Cyber
Hotel decides to discontinue the strategic alliance after one year. In addition, payments
could be made online or during check-ins, depending on the customers, and the OTAs
involved.
Another term in the agreement was that De Cyber Hotel must accept the prices for all rooms
as set by ABC Digital Booking. Normally, room prices depended on supply and demand
and would naturally be low if demand decreased and high when demand increased. For
example, when there were events, such as a convocation ceremony of higher education
institutions located nearby, the demand for hotel rooms would increase, as would the
prices. Usually, ABC Digital Booking would gather information on demands for hotel rooms
from OTAs based on booking by guests in setting the prices of the rooms.
Besides the pricing of hotel rooms, it was also mentioned in the agreement that ABC Digital
Booking would do all the marketing and promotion activities for De Cyber Hotel. This was
indeed a welcome break, and Siti Alia breathed a huge sigh of relief. All rooms would be
sold through the ABC Digital Booking system and various other channels or OTAs. An OTA
was a website or online service which sells travel-related products to customers. These
products might include hotels, flights, travel packages, activities and car rentals. OTAs
were the third parties reselling these services on behalf of other companies, including those
in the hotel industry [1]. ABC Digital Booking cooperated with OTAs in its effort to offer
rooms in budget hotels that collaborated with it. De Cyber Hotel did not collaborate directly
with OTAs, as it was done via ABC Digital Booking. Each month, ABC Digital Booking would
coordinate with the OTAs on behalf of De Cyber Hotel in allocating and receiving payments.
ABC Digital Booking, thus, operated like a one-stop centre.
De Cyber Hotel did some further renovations after its strategic alliance with ABC Digital
Booking. Siti Alia said, “We had to upgrade existing hotel rooms to meet ABC Digital
Booking’s standards. However, the costs incurred were minimal as the hotel had only been
recently renovated.” Siti Alia commented, “Only minor renovations were done. ABC Digital
Booking required that all linen should be white and there were no defects in the rooms. We
also had to ensure that all facilities in the hotel rooms were in working and pristine
condition.” The housekeeping staff would send linen, towels and duvet daily to the nearby
laundry shop. This was to ensure that these items were clean and available for use in the
rooms at any time.
De Cyber Hotel installed CCTV cameras on its premise. Other facilities included automated
room access cards, fire alarms, fire extinguishers and an automated locking system for the
main entrance, which could only be opened from inside by the front office staff. All these
facilities were installed for safety purposes and to ensure customers feel secure and
satisfied with the hotel services.

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Siti Alia had to constantly ensure that the hotel had adequate cash to pay the monthly
operating costs, including staff salary, rental, assessments (quit rent and hotel licence), air-
conditioning maintenance, hotel amenities (free mineral water and drinks in rooms), laundry
and toiletries (shampoo and soap). Staff salary comprised a major portion of the total hotel
expenses. Besides, utility costs (electricity, water and internet bills) were another major cost
in running De Cyber Hotel. Siti Alia noted that if any unexpected costs were incurred, it
might harm the hotel operation due to limited funds.

Strategic alliance with ABC digital booking

The agreement between De Cyber Hotel and ABC Digital Booking was based on a
minimum guaranteed amount. Based on the agreement, all rooms were handed over to
ABC Digital Booking for sale. If a room could not be sold, ABC Digital Booking would pay a
specific compensation that was mutually agreed to (guaranteed). For example, if the
minimum guaranteed price of one room was RM20, then a minimum guaranteed amount
per month of RM21,000 (35 rooms  RM 20  30 days) would be paid to De Cyber Hotel. If
the sale of hotel rooms exceeded the minimum amount (RM 21,000), the sharing
percentage of the gross sales was based on the 80:20 ratio between De Cyber Hotel and
ABC Digital Booking. In other words, if gross sales for any month were RM60,000, the
hotel’s share would be RM48,000 (80%), and ABC Digital Booking would get RM12,000
(20%).
However, if rooms could not be sold on any day due to damages/defects in rooms, a certain
portion would be deducted from the minimum guaranteed amount. For example, if three
hotel rooms could not be sold for 3 days, then ABC Digital Booking would reduce the
minimum guaranteed amount by RM180 (RM20  3 rooms  3 days). Siti Alia said, “We
really had to work hard to ensure that the defects were resolved immediately to avoid
losses. In addition, the increased occupancy rate and frequent use of hotel rooms led to
higher maintenance costs and the cost of hiring part-time staff to ensure room availability at
the appointed time (after 2.00 pm daily), in addition to ensuring the rooms were of
satisfactory quality.”
In this technologically advanced era, with users becoming increasingly tech-savvy, most
guests preferred online booking as it was easy and less time-consuming. For online
booking, guests had to only key in their names, dates and duration of their stay in the hotel.
Upon hitting the booking button, the system would release the booking number and the
room rate for the selected dates. In addition, guests could key in their identity card/passport
and telephone numbers. During the check-in at the counter, guests had to only present their
identity card/passport (to know whether they were locals/foreigners), telephone numbers
and car registration numbers for parking purposes. These details were kept by the hotel in
the event of any queries in future. Both De Cyber Hotel and ABC Digital Booking kept the
sales data for record purposes.
Siti Alia’s main mission was to provide the best service quality to retain customer loyalty and
ensure guests repeat their stay at De Cyber Hotel. She had to rely heavily on her front office
and housekeeping staff to achieve the mission. In essence, a first impression was key to
retaining guests. Guests would form impressions during their initial contact at the counter,
and subsequently, they decide on the hotel’s services by assessing how well the rooms
were maintained and how guests were treated. Siti Alia said, “the front office staff must be
proficient in both Malay and English and have good communication skills. They must have a
professional and pleasing appearance, be extremely courteous and greet all guests with a
warm smile, no matter the circumstances. In other words, customers were the most valuable
assets and winning them over was the best way to have their continued loyalty and support.
From the moment a guest stepped into the hotel, service must be par excellence. The front
office staff must welcome them and immediately made them feel at home. The registration
and check-in process must be prompt and efficient.” She further said that housekeeping

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 staff play a crucial role. The rooms must be spotless and ready, and the services needed by
guests must be attended to quickly and effectively. In short, Siti Alia knew that the best
service quality delivery would give De Cyber the much-needed competitive edge for
continued survival and sustainability.

The rivals to battle

Being competitive and a cut above the other business rivals would be the breakthrough
De Cyber needed. Siti Alia noted that tangible and intangible characteristics, such as
excellent services and incomparable hospitality, were significant in getting new guests
and retaining existing customers. From this perspective, De Cyber Hotel was unique.
With its modern and eye-catching interior design, spacious and comfortable rooms,
s), De
free Wi-Fi, affordable room rates and strategic location (close to malls and cafe
Cyber Hotel had a complete package to attract and retain its guests. Another plus point
was the extremely friendly and helpful staff and all these features and values clearly
distinguished the hotel from its rivals.
In Cyberjaya, several homestay facilities and hotels are situated near De Cyber
Hotel, ranging from one-star to four-star hotels. Among De Cyber’s main competitors
were Hotel Hilal, Loftplaza Hotel and Ville @ Cyberjaya. Based on the evaluation
made by guests, the average rating of these hotels was approximately the same as
De Cyber Hotel. However, the room rates were very competitive as their main
competitors had used similar marketing efforts such as similar online platform and
pricing strategy. Nonetheless, De Cyber Hotel offered the best room rate compared
to its competitors.
Siti Alia knew that to stay ahead and afloat in this industry, customer satisfaction was key
and must be prioritised. Therefore, fantastic reviews by guests should be disseminated and
promoted, not only via the internet and agents but also through guests’ word-of-mouth. The
overall rating of De Cyber Hotel, according to Trivago.com.my, was excellent (9.1/10) as of
17 August 2020. Some reviews of De Cyber Hotel by guests who had rated the hotel as
providing “exceptional” service with a 10/10 rating were as follows:
The best place to stay in Cyberjaya
I would strongly recommend that any traveller to Cyberjaya stay in this new hotel. The rooms
are very clean. Nice comfortable mattress & pillow. You won’t regret a single cent you paid
for your stay. Go for it. Definitely, the most affordable place to stay in Cyberjaya.
Mr S
Reviewed 15 May 2019
Super cheap and huge room with a view
Clean, and I loved the new modern design. This Hotel is really the best. Easy parking.
Mr M
Reviewed 07 June 2019
Best and clean hotel to stay in Cyberjaya
I stayed here multiple times during my business meetings in Cyberjaya. In terms of the
overall offering, De Cyber Hotel never failed me from day one. The staff, hotel facilities,
cleanliness & everything else were top-notch. They are a top-class business, providing the
best service to its customers. Fantastic place to enjoy & relax as there are nearby eateries &
convenience stores as well. Kudos to the entire hotel family. 5 Star rated for sure without fail.
Mr V
Reviewed 31 July 2019

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Five-star-class room, excellent interior, looks new and high class, yet very affordable
I stayed there to attend a conference in MagiC, Cyberjaya. The hotel staff were very friendly,
the hotel looks new, very clean, has a super nice interior, and they have 1st class bathroom!
Unbelievable but true! Recommended for business travellers!
Ms Nor
Reviewed 10 November 2019

Looking ahead
“Have you made your decision?” asked Jaafar again. Siti Alia realised she had been drifting
away into her own thoughts. She took hold of herself and said, “I am still thinking [. . .]
hmmm, you know, it is difficult to make this decision. If we decide not to continue the
collaboration and terminate the agreement, it will take time to settle all related matters and
at least three or four months to settle our business dealings with the related OTAs. We might
also need a consultant to advise us on building a more robust relationship with OTAs. On
the other hand, if we continue with this collaboration, we have to adhere to the terms, which
means we have to share our revenue with ABC Digital Booking. Sometimes, our share of the
pie is really small. They tend to set extremely low rates for our rooms [. . .] it is okay for them,
but we are the ones who bear all the maintenance costs, not to mention the deduction of
minimum guaranteed payment if the hotel rooms cannot be sold due to defects and
damages. For how long do we have to depend on ABC Digital Booking?” Siti Alia sighed
and felt a huge weight resting squarely on her slim shoulders.
Jaafar empathised with Siti Alia and wished he could do something more concrete to lighten
the load she was carrying alone. He tried his best to console his wife and said, “All
businesses are difficult. When the economy is stable, business will be good, and De Cyber
Hotel will do well also. When the economy is bad, all sectors will be affected. Hence, be
patient. If you think De Cyber is ready to stand on its own, go for termination. Otherwise, if
you are not ready, you can work with them maybe for another two or three years.” He
continued, “Create an interactive website that users can easily relate to and focus on online
marketing and booking rooms. Set reasonable prices, maintain a good image and provide
superior services – you really cannot go wrong by pleasing customers. Just be confident
and work both hard and smart. I know for sure that with your ability, you will make the right
decision and take De Cyber to unprecedented heights of excellence.”
Siti Alia gazed lovingly at her husband without saying anything. She pondered what would
happen in the next six months, one year or more. Finally, she decided to re-strategise and
put more solid plans in place, including carrying out an environmental scan. Siti Alia
realised that unnecessarily worrying and stressing would not help her hotel. First things first,
she decided. “Do I continue the alliance with ABC Digital Booking, or do I work
independently to promote De Cyber?” Siti Alia knew that these questions, which continued
to play on her mind, must be answered quickly and professionally in the best interests of all
concerned. She must make a wise decision which may give a big impact to her hotel
business.

Note
1. www.revfine.com/online-travel-agents/

References
Department of Statistics Malaysia (2018), available at: www.dosm.gov.my

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 Economic Report (2020), “Ministry of finance Malaysia”, available at: www.mof.gov.my/portal/arkib/
economy/ec_Main.html

Knight Frank’s Malaysian Hospitality Investment Intentions Survey (2020), available at: https://content.
knightfrank.com/research/2367/documents/en/malaysia-hospitality-investment-intentions-survey-report-
2020-8667.pdf

Malaysian Investment Development Authority (MIDA) (2022), available at: www.mida.gov.my/industries/

services/hospitality-hotels-and-tourism/
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industry-in-malaysia
Peng, J., Zhao, X. and Mattila, A.S. (2015), “Improving service management in budget hotels”,
International Journal of Hospitality Management, Vol. 49, pp. 139-148.
The Edge Property (2015), “Malaysia budget hotel association aims for more members”, available at: www.
theedgeproperty.com.my/content/malaysiabudget-hotel-association-aims-more-members (accessed 11
May 2015).
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Tourism Malaysia (2021), available at: www.tourism.gov.my/global-recognitions/2021

Zhang, H.Q., Ren, L., Huawen, S. and Xiao, Q. (2013), “What contributes to the success of home inns in
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Corresponding author
Halimah Nasibah Ahmad can be contacted at: halimahmad@uum.edu.my

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