INDUSTRY STRUCTURE AND ORGANIZATION STRUCTURE OF THE LOW SCALE HOTEL ORGANIZATIONS

Organization structure considered the anatomy of the organization, providing a foundation within which the organization functions. Organization structure is believed to affect the behavior of organization members. The purpose of this study was to examine the relationship of industry structure and organizational structure. A total of 110 hotel firms across Malaysia country that were rated as 3-star were invited for participation. The respond rate was 22 3-star hotels participate and this represented 20 percent of respond rate. Results indicated that the level of industry attractiveness of the 3-star hotel group was slightly unattractive. The 3-star hotel group organizational structure was considered as slightly closed. This study was able to determine the extent of industry attractiveness through the identification of the variables and factors contributing towards the industry attractiveness and the extent of organization structure.