The impact of internet marketing on business profitability

The work is basically on the usage of internet marketing in the hospitality sector. The work examines how the use of internet marketing can enhance business profitability and how a moderating variable (experience) can affect the relationship between internet marketing usage and business profitability. Business profitability was measured using four variables which are sales volume, profit margin, operating cost and return on equity. The results of the study shows that internet marketing usage affects the level of sales volume, profit margin and return on equity. The usage of internet marketing in the hospitality sector is influenced by factors such as level of star grading, managerial support, technological competence and existence of alliances. Experience in using internet marketing has a moderating effect on the relationship between internet marketing usage and business profitability.