Embracing Innovative Business Strategies in Small to Medium Size Hotels in Harare, Zimbabwe: Challenges and Solutions

Abstract

The study sought an in-depth understanding of the challenges faced by small to medium size hotels in Harare, Zimbabwe in embracing innovation. The study adopted a qualitative case study design located in the interpretive research paradigm. A purposive sample was drawn from all managers in the five small to medium size hotels within Harare Central Business District. Data were collected using semi structured interviews and were analysed for content using thematic analysis. The study found that small to medium size hotels in Harare faced quite a number of challenges in embracing innovation like lack of human capital, price sensitivity, economic crunch, high staff turnover and insufficient financial resources. The study also found that there was a relationship between the level of innovation and the competitiveness of an organization. The study recommends that small to medium size hotels should implement strategic innovation measures in order to promote their competitiveness in marketplaces and gain a sustainable competitive advantage against rivals.