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(Is this the only factor?)
Economic factors
Hotel growth linked to the state of the economy - Although total revenues increased by 3% in 2003, the continued low room rates kept profitability levels down for many hotels. However, the strengthening demand has already led to an increase in room rates which will lead to rising profits once again.(where the figures come from?)
Fluctuating tourism numbers set to rise - The hotel industry plays an integral role within these markets providing accommodation for 45% of the inbound market and 26% of the domestic market, and is thus susceptible to these market fluctuations...
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