Small hospitality businesses such as hotels and restaurants are not only necessary for the development of these industries as a whole, but also have the potential to contribute to the economic development of sub-Saharan African nations. However, recent studies show that the availability of financing remains a critical obstacle for such businesses in the sub-Saharan region. This paper presents a descriptive analysis of evidence from Tanzania to highlight factors that are possibly leading to market failure for small hotel financing. Implications on policy interventions and industry practice are explored to counter such obstacles.
All Science Journal Classification (ASJC) codes
- Tourism, Leisure and Hospitality Management
- Strategy and Management