Close
Bali Discovery Tours: Homepage
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Home Bali Contact Bali Practicalities Bali News Bali Services Bali Transportation Bali Sports Bali Excursions Bali Villas Bali Hotels
Home · News · Keeping it Legal
Bali Hotels, Bali Villas and Bali News from balidiscovery.com
Bali Hotels
Bali Villas
Special Deals!
Packages
MICE Handling
Bali Excursions
Culinary - Dining
Guided Tour
Bali Spas
Bali Sports
Diving
Golf
Bali Transportation
Car Rental - Selft Drive
Private Jet Charter
Bali News
Bali Services
Bali Practicalities
Bali Contact
Bali Career
Home
 
Bali Update
Subscribe to our free weekly newsletter!
 
PATA header
PATA Gold Award 2007
Bali Update
PATA Gold Award Winner 2007
 
Bali Contact
Bali Discovery Tours
Komplek Pertokoan
Sanur Raya No. 27
Jl. By Pass Ngurah Rai,
Sanur, Bali, Indonesia

Tel:
++62 361 286 283

Fax:
++62 361 286 284

U.S.A. Fax:(toll free)
1-800-506-8633

U.K. Fax:
++44-20-7000-1235

Australian Fax:
++61-2-94750419

24h:
++62 812 3819724

Bali Discovery

SITE PATA ASITA
Bali News

Keeping it Legal

Indonesian Hotel and Restaurant Association: Illegal Villa and Hotels Blamed for Unfair Price Competition in Bali


Bali News: Keeping it Legal
Click Image to Enlarge

(2/10/2012)

Price wars among villa and hotel operators in Bali – evident even during the high season – is prompting the Bali Chapter of the Indonesian Hotel and Restaurant Association (PHRI) to try to intervene to stop potentially destructive price competition.

The executive director of PHRI-Bali, Ida Bagus Purwa Sideman, was quoted by Bisnis Bali, on February 7, 2012, as blaming unhealthy price competition on unlicensed hotels and villas, seen as the driving force behind price-cutting practices.

PHRI-Bali is increasing its efforts to persuade unlicensed hotels and villas to make their operations legal as the first step in toning down the current price war.

He described the many problems encountered by hotel and villa operators in their efforts to obtain permits and licenses. Villa and hotel operators who have building permits for their structures often discover later during the permit process that their area is not zoned for commercial accommodation operations. Due to permit problems, many unlicensed villas are unable to join the Bali Villa Association (BVA), which is a part of the PHRI.

He said the unhealthy price competition is most prevalent in the villa sector. 

Sideman blamed the increasing number of unlicensed hotels and villas as fueling the price war that has become a chief concern of PHRI members. The PHRI executive said those involved in the operation of illegal accommodation enterprises and price undercutting are failing to take a long-term view of what’s good for Bali.

Taking a cynical view of the illegal sub-sector of Bali’s tourism economy, Sideman postulated that the shortsighted villa operators would probably move to other locations in 10-20 year’s time.

Seeking profit only on a day-to-day basis, Sideman said the large number of unlicensed accommodation providers are undermining local hotel operators.

In seeking to encourage illegal operators to become licensed hotels and villas, PHRI hopes to persuade operators to adopt a more long-term business approach, eliminating the unprincipled motivations that are the foundation of price wars.
 


© Bali Discovery Tours. Articles may be quoted and reproduced if attributed to http://www.balidiscovery.com.


 
 
Bali News by Bali Update
Subscribe to the Bali Update
Receive the latest news from Bali by email!



Our [Privacy Statement] explains how we handle the data you are providing.

 
Bali News by Bali Update
Explore the Archive of the Bali Update
Find related articles in our news archive!




or try to use Google Search :

Home · Bali Hotels · Bali Villas · Bali Excursions · Bali Sports · Bali News · Site Map · RSS

Bali News: More News
The Yak Awards 2014
‘A Decade of Decadence’ Party at Mozaic Beach Club Marks the 10th Annual Yak Awards
(11/17/2014)
You’re One in Three or Four Million
Bali by the Numbers: Bali Now Almost Certain to End 2014 with 3.75 million Foreign Visitors
(11/17/2014)
The Very Bare Necessities
Minimum Wage Levels for Bali Announced for 2015
(11/20/2014)
How You Going to Keep Them Down on the Farm
Large Downturn in Balinese Working in Agricultural Sector.
(11/17/2014)
And the Verdict is . . .
Two Men Charged with February Murder of American Paul Latourell Facing Potential prison Sentences of 15 and 3 Years
(11/17/2014)
Bali Safari Marine Park Celebrates 7th Anniversary
The Bali Safari and Marine Park celebrates 7th anniversary on Thursday, November 13, 2014.
(11/17/2014)
President Widodo Pauses in Paradise
Indonesian President Joko Widodo Makes a ‘Transit Stop’ in Bali on his way to the G-20 Summit in Brisbane
(11/17/2014)
Philippine Taxi Drivers in Bali?
Governor Pastika Concerned that Workers in Bali May be Unable to Compete Under Free Movement of Workers Between ASEAN Countries Starting in 2015
(11/17/2014)
The Rupiah Rules
Airline Tickets Agents, Hotels and Restaurants in Indonesia Required to Transact Their Business in Indonesian Rupiahs
(11/17/2014)
Profits Disappearing into Thin Air
Q3 2014: Garuda Indonesia Loses US$219.5 million
(11/17/2014)
A Case of Reverse Thrust
Garuda Indonesia Flight Cancelled from Banyuwangi to Bali as Aircraft Rolls Backward Off the Runway
(11/17/2014)
Raising Indonesia’s Aviation Game
Minister of Transportation Says Indonesia will Take Steps to Comply with Highest Aviation Standards of FAA and ICAO
(11/17/2014)
All [News]!