TAF PUBLISHING

The COVID-19 pandemic has affected not only the global tourism issue and small hotel businesses but also the long-term effects of changes in tourism behavior that have shifted to more individual-oriented tourism. The transformation of small hotels’ business model emphasizes the customer value co-creation. They are supported by modernized technology. Consequently, small hotel entrepreneurs must adjust to survive, maintain their income levels, and seek new business opportunities related to accommodation and tourism through various activities. Certain factors contributing to customer value co-creation among small hotel businesses and customer needs are thus supposed to be examined and identified. This study addresses such issues by focusing on factors from customers and entrepreneurs affecting small hotel businesses' customer value co-creation model. The research uses a qualitative research technique. The result of the study reveals three main factors of customer and four main factors of the entrepreneurial side. It is found that developing customer value co-creation for small hotel businesses is beneficial when applied in a practical environment. By having exposure to individual-oriented tourism and dealing with crises in the future, the results provide guidelines for small hotel entrepreneurs to see how they can contribute to the mutual value of their customers for sustainable small hotel businesses and continue to implement them for commercial use.