Regional Formation and Development Studies

This article aims to assess the dynamic trends in the Lithuania’s hotel market and substantiate, plus illustrate their need, if it exists.Hotel business is becoming increasingly growing entrepreneurial branch that integrates political decisions together with businessinitiatives and local public attitude towards the tourist, or economic benefits left behind. In Lithuania and worldwide hotel businessis expanding rapidly, but the growth of the sector in state was and is particularly vulnerable to the historical conditions, politicaldecisions, new business trends - international business and globalization, and, of course, the needs of incoming tourists. But howand in what direction is reasonable to develop the hotel industry is the main topic discussed in the article with additionally carriedout statistical analysis.

The article aims to show that the main and most important prerequisite for successful hotel business growth in current promptly changing business environment becomes development of innovation in the hotel industry. Though the term innovation is already widely defined by many researchers, it is considered in the article as a subject for future discussions leading to proposed scientific classification of innovations based on selected criterions. Evaluation of the process of innovation appearance in the hotel market allowed creation of the model, presenting the main influences and attributes of the whole innovation process in a hotel industry. Afterwards, the article discusses some specific innovation tools that are essential for hotel enterprises and which could be challenging for hoteliers in Ukrainian market nowadays. Based on the empirical research results, the obstacles which hinder up-to-date innovative operations in Ukrainian Radisson chain hospitality market are discussed. As well, concerning prospective innovation trends for Radisson Hotels in Ukraine, advices for future innovation implementation were proposed.