The Economics of Service Robots in Hospitality Companies

Abstract

The paper develops a conceptual framework for the economic aspects of service robots in hospitality companies that includes several key components: task automatability by service robots; effects of service robots on back-of-house and front-of-house operations (full vs partial process automation); impacts of service robots on jobs in hospitality companies (substitution, enhancement/augmentation, transformation, new job creation); and the effects of service robots on key performance metrics such as productivity, profitability, revenue, and cost. Additionally, the paper looks at the external and internal factors that drive the economic aspects of service robots in hospitality. Finally, the paper outlines the theoretical and managerial implications and develops a research agenda on the economics of service robots.