The Prospect of Sharia Hotel in Indonesia: A SWOT Analysis
Ryan Al Rachmat
1
, Didik Susetyo
2
, Mukhtaruddin
2
1
Graduate Student of Sriwijaya University, South Sumatera, Indonesia
2
Faculty of Economics, Sriwijaya University, South Sumatera, Indonesia
Keywords: Prospect, Sharia Hotel, SWOT Analysis
Abstract: This study aimed to analyze the prospects of Islamic hotels in Indonesia. This research uses Shariah
Enterprise Theory, Khalifatullah Fil Ardh perspective and Zakat Metaphor to understand the practice of
Sharia hotel in Indonesia,. In addition, the prospect of deepening Islamic hotel using SWOT analysis that
produces a variety of challenges and opportunities faced by the hotel Sharia in Indonesia. Subjects in this
study is Sharia in Jakarta and Palembang, data collection and analysis conducted by qualitative method.
Data collected in the form of internal informant interviews to the hotel Sharia and other stakeholders, direct
observation and documents. The results of the research show that the Sharia hotel in Indonesia face various
challenges in practice as the organization that put Islamic principles as a core business, beside the various
challenges that exist, Sharia hotel in Indonesia also has a potential opportunities to develop further.
1 INTRODUCTION
Sharia Hotel is a hotel that provides lodging
services, meals, and drink, and other services for the
public run on the basis of Islamic law (Yusof and
Muhammad, 2013). Sofyan (2011: 64) added that in
the case of provision, procurement and use of its
products and facilities and operations do not violate
the sharia rules. Shahmim (2009) defines sharia
hotels as hotels where the services offered and their
financial transactions follow the full Islamic
principles, not only limited to halal food and
beverages but on health, safety, environment and
beneficial to the economic aspect for all people, all
races, trust or culture.
Sharia hotel run by using a series of criteria
listed in the guidelines, several studies conducted in
Malaysia, Dubai and Egyptian men try to develop
criteria so that didapatlah criteria for a hotel that
would implement sharia as the basis of its business,
including the study of (Rosenberg & Choufany 2009
; Shahmim, 2009; Henderson, 2010; Stephenson et.
al , 2010; Suhaiza et. al, 2011; Yusof and
Muhammad, 2013; Saad et. al , 2014) divides the
criteria into three categories: Operations, Design &
Interiors and Financial .
Yusof and Muhammad (2013) are
convinced that sharia and operational hotels should
reflect the value of sharia, because there is a
misunderstanding in society that assumes sharia
hotels do not provide illegal drinks and provide halal
food only (Shahmim, 2009) . It's not that simple, p
there are several studies ( see Rosenberg &
Choufany, 2009; Shahmim, 2009; Henderson, 2010;
Stephenson et. al, 2010; Suhaiza et. al, 2011; Yusof
and Muhammad, 2013; Saad et. al, 2014) provides
attention to financial aspects of the hotel, which was
used to finance the hotel operations should adhere to
sharia regulations that could be perceived as sharia,
Islamic finance in addition to running the (hotel
financed through Islamic financial agreement) the
hotel should also contribute to the proportion of its
income to zakat (following zakat principle: giving
back to community ). In one statement mentioned
that the hotel should follow the principle of Ilam in
all aspects, it can be said from cleaning to
242
Al Rachmat, R., Susetyo, D. and Mukhtaruddin, .
The Prospect of Sharia Hotel in Indonesia: A SWOT Analysis.
DOI: 10.5220/0008438902420249
In Proceedings of the 4th Sriwijaya Economics, Accounting, and Business Conference (SEABC 2018), pages 242-249
ISBN: 978-989-758-387-2
Copyright
c
2019 by SCITEPRESS Science and Technology Publications, Lda. All rights reserved
accounting practice (Shahmim, 2009; Aryanty,
2010; Samori and Rahman, 2013) .
Gambling and Karim (1987) who gave the theory
of " Colonial Model" by assuming that if a society
has an ideology or an Islamic worldview then the
community will use this concept in its social and
economic activities so that it will form its
accounting and accounting theory. Belkoui (1985)
recommends that every culture has its own
accounting theory including Islam. According to his
accounting theory was born from the conditions,
environment, culture, and situation, economic and
social that exist in a region that would be different
from other environmental cultures.
Anwar and Ghofar (2007) explains, sharia hotel
as the organization (business) sharia is seen as an
entity that dimension of accountability is not
confined to themselves and owners of capital alone,
but also to direct participant (employees,
government, customers and others), indirect
participant (community, environment), and most
importantly, to God. If Anwar and Ghofar (2007)
assert that sharia organizations have two interaction
models namely (i) organizational interaction with
God (dimension of worship); and (ii) muamalah
interaction with community (stakeholder and
stockholder) and world (environment, ecosystem).
Triyuwono (2007) distinguishes it in two groups,
namely direct-stakeholders and indirect-
stakeholders.
A series of interaction models described by
Anwar and Ghofar (2007), then grouping the scope
of accountability held by sharia organizations
(Triyuwono, 2007). In addition, it is also mentioned
that in essence human beings (organization) carry
out the mandate of the caliph on earth to spread
Rahmatan Lil Aalamiin (QS Al-Baqarah 2:30, Al-
Anbiyaa '107: 21). This mandate is presented in the
metaphor of amanah as the concept of 'self' syariah
organization which then its manifestation can be
seen through zakat which is resprentasi from
amanah.
In practice, there are many sharia hotels that run
their business organizations without following the
general guideline for the organizers of sharia hotels,
even the finance is still executed conventionally, on
the grounds that they are still new players in this
industry so it has not run completely the prevailing
provisions. Khalifatullah Fil Ardh perspective in this
research is very central in viewing the focus of
research, in the order of theory, this perspective
clearly explains the position and how should the
organization of sharia run.
Furthermore, various challenges that accompany
the process can be identified in depth so that it can
be seen how the implementation of Sharia principles
is still merely a mere label or not, because it is a
consequence that must be executed in full and
precise. However, apart from that all sharia hotels
also have opportunities to be explored and
developed further. This is based on the dynamic
development of sharia science that has been included
in various other industries, in other words it is still
the opportunity of this industry to be examined more
closely with various approaches as conducted in this
study
.
2 LITERATURE REVIEW
Sharia Enterprise Theory (SET)
In contrast to that, enterpise theory present as a
concept that is widely proposed as an alternative to
entity theory in Islamic economic system, especially
Islamic Accounting (Harahap, 1997; Triyuwono,
2000; Adnan, 2002). Enterprise theory encompasses
social and accountability aspects and also explains
that accounting should serve not only the owners of
the company, but also the community. In line with
the opinions that Meutia (2010) has put forward in
the definition of enterprise theory a theory that
claimed their responsibility not only to the owners
but only for the clogs p ok s broader stakeholder.
Enterprise theory, according Triyuwono (2003), is
able to accommodate the plurality of the public
(stakeholders), that are not able to be done by the
proprietary entity theory and the theory .This is
because the concept of enterprise theory shows that
economic power is no longer in the hands of
(shareholders), but are in many hands, namely s
takeholders (Triyuwono, 2003). Therefore,
enterprise theory is more appropriate for for an
economic system that bases itself on the values of
sharia.
A similar view is also put forward by Adnan
(1999) and Triyuwono (2000) which essentially
recommend enterprise theory as the theoretical
concept of Sharia Accounting. Although the concept
of a few researchers have agreed to submit the
enterprise theory, but there is still need for
justification that The real enterprise theory has been
the concept of theoretical accounting sharia, Slamet
(2001) states that it is need in-depth discussion to
The Prospect of Sharia Hotel in Indonesia: A SWOT Analysis
243
achieve the level as it was no agreement delivered a
experts. It is logical that if we look at the argument
of Tahery's (2000) opinion that recommends
proprietary theory, he reasoned that he was
responsible for all actions to God and Man, not
institutions and entities. Another argument from
Tahery (2000) proprietor is the center of all interests.
Reflecting on the accountability formula in the
SET put forward by (Triyuwono, 2006a) that
explicitly in this matter the individual interests
depicted through shareholders are not the main
purpose but there are other parties starting from God
as the ultimate party and being the sole purpose of
human life (Triyuwono, 2007). If the first
stakeholder is God then the next is
Manusia.Triyuwono (2007) differentiate into two
groups, namely direct-stakeholders and stakeholders
indirect- .Both these things can be explained as
follows Direct-stakeholders are parties who directly
contribute to the company , both in the form of
financial contributions ( financial contribution ) and
non-financial ( non-financial contribution
Khalifatullah Fil Ardh: The Perspective of
Sharia Organization
The social reality that contains the value of
monotheism and position on the networks of divine
power is a manifestation of the perspective that man
is the representative of God on Earth that is
Khalifahullah fil ardh, this perspective delivers
human beings and their responsibility before Allah
SWT (Muhammad, 2012; 157). Human is entrusted
by Allah as khalifatullah fil ardh ', to spread the
rahmatan lil' aalamiin (Surat al- Baqarah 2: 30; Al-
Anbiyaa '107: 21). All of that h flow is run within
the framework of worship and achieving Allah's
pleasure (QS: Adz-Dzaariyaat 51: 56).
When perspective this is the idealism of an
organization then the internalization of it leads to the
motive of the organization that is not only pursuing
material profit alone, thus Anwar and Ghofur (2007)
assess sharia organizations have and follow the rules
of two interaction models namely (1) interaction
with the organization of God (dimension of worship
) and (2) interaction / muamallah with community (
stakeholder and stockholder ) and world
(environment, ecosystem). This is a logical
consequence from the perspective of khalifatullahfil
ardh ' and Abdullah to spread mercy for the whole of
nature, which is the fundamental principle in the
conception of sharia business organization (Anwar
and Ghofur, 2007).
As a perspective, Khalifatullah Fil Ardh implies
that humans function as God's representative on
earth, humans carrying 'amanah' should be done
according to the willingness of the giver of Amanah
(Triyuwono, 1997) quoted Kholmi (2012). The
"amanah" referred to here is "managing the earth
responsibly using the minds that Allah has
bestowed" (Rahardjo, 1995: 47). In short, humans
have a noble task, namely: creating and distributing
welfare (matter and non-matter) for all humanity and
the universe . This perspective can also be
analogized to the generalized other in the sense that
the perspective has a single and universal standard,
every 'self' man consciously knows about the
mandate that must be fulfilled that is ' managing the
earth responsibly' as it is spoken by Allah in Al-
Quran Surah Al- Anbiya [21]: 107; ' We have not
sent you, but to be a mercy to the worlds'
3 METHOD
Research Design
This research uses qualitative approach in
obtaining and analyzing data. Qualitative approach
is a process of research and understanding based on
a methodology to investigate human social
phenomena and problems. In this approach,
researchers create a complex picture, examine the
words, reports detailed views of informants, and
conduct studies on the natural situation (Creswell,
1998:15).Bogdan and Taylor ( Moleong , 20 12 : 3)
states that methodology qualitative is procedure
research that produces descriptive data in the form
of written words as well oral of people and observed
behavior.
Types and Data Sources
The types of d ata used to support this research
are primary and secondary data. Primary data used
were interviews and questionnaires to selected
informants. According to Emzir (2012), to obtain
reliable information or at least obtain opinions based
on objective information, the researcher must be
careful in selecting the informants to be interviewed.
Informants in this study consists of 1). Sharia
Supervisory Board 2). Indonesian Council of Ulama
3 ) . Hotel Manager 4 ). Head of Human Resources
Department . 5 ). Head of Reservation Department
6) Hotel Employees 7 ). Hotel Guests 8 ). Citizen
In addition to the primary data of the study It
also uses secondary data. Secondary data use among
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244
others Tourism Implementation Guidelines Sharia
obtained from Fatwa DSN-MUI No.108 / DSN-MUI
/ X / 2016 as basic assessment practices in sharia
hotels as well as other related research results .
Data Collection
To obtain relevant data so that can be used as
base in the analysis process, the authors use data
collection methods commonly used in qualitative
research, namely interviews, document analysis,
archives. In qualitative research, data collection is
done on natural condition, primary data source, and
data collection technique more on participant
observation and in-depth interview (Sugiyono, 2012:
309).
Interview
Interview method used in this research is semi-
structured, the goal is to find the answer of the
problem more openly because the informant will not
only answer the questions posed in a structured, but
will be asked his opinion and ideas in understanding
the phenomenon which is the subject matter. In
general, this interview uses Khalifatullh fil ardh
Perspective (sharia organizational perspective) serve
as a basis for obtaining a comprehensive picture of
how the challenges and opportunities of sharia hotel
development are identified and explored more in
depth.
Technical Data Analysis
The analytical process used refers to Miles and
Huberman analysis techniques (2014) which
includes three steps, namely, data reduction, data
presentation and conclusion. Data reduction serves
to sharpen, classify, direct, remove unnecessary
data, and organize, so that interpretation results can
be deduced. In the data reduction phase in this study,
the interview data is transcribed and arranged
systematically followed by coding on the themes
that appear consistently when the analysis of
interview results is done.
In this qualitative research, the writer uses
SWOT analysis method, that is identification of
various factors systematically to formulate company
strategy. Things that need to be considered in
internal factors are strength (Strength) and weakness
(Weakness), while things that need to be considered
in eksernal factors is opportunity (Opportunity) and
obstacle (Threat). The strategic factors of a company
are to combine external strategic factors (EFAS)
with internal strategic factors (IFAS) into a summary
of strategy factor analysis (SFAS). SFAS requires
strategic managers to condense external and internal
factors into less than 10 factors. Last Step is
preparation of the next SWOT analysis that use
qualitative approach and present in matrix Kearns.
4 RESULT AND DISCUSSION
Identification of Internal and External Factors of
Sharia Hotels Based on the research done on both
sharia hotels that became the object of this study,
and data obtained through interviews, field studies
and literature studies provide an overview of how
the conditions that run in sharia hotels in Indonesia,
besides also some internal and external factors for
the existence of the sharia hotels can be identified as
follows:
Internal Factors (IFAS)
Strength
1. The brand image of sharia hotels has
appeal to consumers
2. The brand image of sharia hotels has a
good reputation
3. The products offered reach all types of
guests, not just Muslims
4. Has an uniqueness of the product and
hospitality services
5. Shariah hotel rates are relatively
cheaper
6. Good service according to Islamic
principles
7. Sharia hotels offer guests comfort and
convenience
a. The existence of a Halal guarantee for
each product offered
8. j. Having Sharia Supervisory Board as
product quality assurance
9. k. Makes sharia principles as
corporate culture
10. l. Has responsibility to God, People
and the Environment
Weakness
1. Still only encountered sharia label
only
2. Facilities that have not accommodated
the needs of Muslim guests
The Prospect of Sharia Hotel in Indonesia: A SWOT Analysis
245
3. Lack of supporting facilities such as
entertainment etc.
4. Still dominated by 2 star and 3 star
hotels
5. Many Shariah provisions / principles
must be implemented
6. The lack of commitment to the
implementation of Sharia principles as a whole
7. The lack of understanding of human
resources on the principles of Shariah run in
hotel management
8. Operating revenues are not as big as
conventional hotels
9. Less commercial, so guests who come
only those who know about Sharia hotels
External Factors (EFAS)
Opportunity
1. Growing Business
2. Its presence does not narrow the
market
3. The existence of sharia hotels began
ogled by domestic and foreign tourists
4. The majority of Indonesian people are
Muslim and are very concerned about Halal
products
5. The tendency of Indonesian people to
use Halal products is an important factor for
the way the Sharia hotels are developed
6. Increasing Halal tourism that becomes
the national agenda requires Shariah
accommodation as a support facility
7. Indonesia represented by Lombok is
known as the world's Halal tour
8. Threath
9. The market is not so vast, so it
becomes one of the triggers of the difficulty of
sharia-based hotel berkembang growing rapidly
10. Many people think that conventional
hotels and sharia hotels are the same
11. The existence of the assumption that
sharia hotels are only for Muslims
12. Competition is not only happening to
conventional hotels, but fellow sharia hotels
which offer similar products that are superior
13. Conventional hotel is still the main
choice
14. Rate competition tight among sharia
hotel conventional
Prospects of Sharia Hotels in Indonesia:
Challenges and Opportunities
Sharia hotels in Indonesia have good business
prospects in the future, this is a sentence that was
originally submitted by some sources in this
research, this is reasonable and not a lay opinion that
does not consider various aspects in it. Data obtained
from the interviews show facts related to the practice
of Shariah hotels in Indonesia, these facts have been
studied based on theories and perspectives used in
this study. The interesting things revealed in this
research are inseparable from how the existence of
Sharia hotels in Indonesia which each raises the
question have a good business prospects, where the
prospect is a picture of the condition of the company
in the future In this case, the prospect of a Shariah
hotel is identified by looking at the challenges and
opportunities that the Shariah hotels have, the
challenge will be explored by looking at the
weaknesses and threats faced by the Sharia hotels in
order to show the overall challenge
Challenges of Sharia Hotels in Indonesia
The use of sharia labels in the hotel business is
something that is still ambiguous in Indonesian
society. Until now, only a few sharia hotels have the
courage to proclaim their spiritual concept to the
public. The use of the label 'sharia' is towed by a
hotel brand is not yet a widely recognized icon,
especially when compared with the widespread use
of labels sharia banking industry and others. The
challenges which faced sharia hotels in Indonesia
are: `
1 The market is not so vast, so it
becomes one of the triggers of the difficulty of
sharia-based hotel berkembang growing rapidly
. The existence of sharia hotels has not spread
evenly, for example in the province of South
Sumatra
2 The belief that sharia hotels are
exclusively for Muslims , it is well-founded that
the layman's understanding shapes the opinion.
In fact, sharia hotels are open to all parties not
only to Muslims,
3 Competition does not only happen to
conventional hotels , but its main rival is a
fellow sharia hotels that offer similar products
and more superior.
4 Survive though in terms of income not
as big as conventional hotels . This is a fact that
often test the commitment of sharia hotel
management to decide whether to continue with
the concept of sharia or even surrender and
switch back to conventional.
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246
5 The lack of understanding of human
resources on the principles of Shariah run in
hotel management. Another issue that has not
been a concern for some hotels labeled 'sharia',
Sharia Hotel Opportunities in Indonesia
Operationally, the services provided in
sharia hotels will almost certainly resemble
conventional / non-shariah hotels in general.
However the concept of this hotel balances the
spiritual aspects of Islam that apply in its
management and operation. Along with the growing
Sharia economy in Indonesia, the number of sharia
hotels that have received MUI certification as sharia
hotels is still very small, but the number of hotels
based on sharia principles developed slowly.
Behind the challenge of sharia hotels
that its existence is regarded as the exclusion of
target market Muslims only. The sharia hotel
opportunity is:
1 Growing business. As a new industry
and will continue to develop sharia hotels not
only become a trend in Indonesia but also in
various countries other.
2 The existence of sharia hotels has not
narrowed the market , but sharia hotels have
grown as new industries that have their own
enthusiasts. No only for Muslims, non-Muslims
even glance at sharia hotels as one of the
preferred accommodation
3 The majority of Indonesian people are
Muslim and are very concerned about Halal
products . It has become a habit for the people
of Indonesia to consume halal products, so
however the form of the product will certainly
put the halal.
Increasing Halal tourism that becomes the
national agenda requires Shariah accommodation as
a support facility
5 CONLUSION AND
SUGGESTION
This research shows that the sharia hotel industry
in Indonesia is experiencing a significant
development, it can be seen from the number of new
sharia hotels that stand in various regions. this
development is in line with the rise of halal tourism
which has become a potential destination in
Indonesia. Nevertheless, this study identifies various
internal and external factors which are analyzed
using the kearns matrix to provide comprehensive
results where the prospects for sharia hotels is the
focus of this research are revealed through a series
of challenges and opportunities faced by sharia.
challenges and opportunities into a comprehensive
picture of the real conditions that are taking place in
the sharia hotel industry in Indonesia and of course
be a guide for efforts to repair and development of
Islamic industry in the future
Limitations of Research
This study has limitations that could be
considered in future research include: difficulty
access to research on sharia hotel in Palembang, the
data obtained to be used as the comparison can not
be measured in depth so that the need for the active
participation of the hotel other Islamic to willing
researched and helped the development of the theory
and practice of sharia hotels in Indonesia.
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