Abstract: This study assessed how hotel occupancy rates contribute to income generation, employment creation, and business growth in Musanze District, Rwanda. Despite the district’s tourism potential, the extent to which hotel occupancy translates into local economic benefits requires further empirical investigation. Guided by Modernization Theory and Service-Dominant Logic, the study adopted a descriptive and correlational research design within a mixed-methods approach. The target population comprised 2,500 hospitality stakeholders, from whom a sample of 345 respondents was determined using Yamane’s (1967) formula. Stratified random and purposive sampling techniques were employed. Data were collected through structured questionnaires, semi-structured interviews, and document analysis. Quantitative data were analyzed using descriptive statistics and Pearson correlation analysis in SPSS, while qualitative data were analyzed thematically. The findings revealed that 93.4% of respondents agreed or strongly agreed that higher hotel occupancy rates increase income generation. Hotel occupancy rates also demonstrated a strong, positive, and statistically significant correlation with socio-economic development (r = 0.829, p < 0.01). The findings further suggested that increased hotel demand can support employment creation and business growth through greater demand for labour, local products, and services. However, the reported correlation does not independently establish the causal effects of occupancy rates on these outcomes. The study concludes that hotel occupancy rates are an important indicator of hospitality sector performance and can contribute to income generation, employment creation, and business growth in Musanze District. It recommends strengthening hotel marketing strategies, partnering with tour operators, improving service delivery, and promoting linkages between hotels and local suppliers to enhance occupancy rates and maximize local economic benefits.
Keywords: Hotel Occupancy Rates; Income Generation; Employment Creation; Business Growth; Musanze District, Rwanda.
Title: Assessing how Hotel Occupancy Rates Contribute to Income Generation, Employment Creation, and Business Growth in Musanze District, Rwanda
Author: Mutesi Rona, Dr. Charles Aloo
International Journal of Life Sciences Research
ISSN 2348-313X (Print), ISSN 2348-3148 (online)
Vol. 14, Issue 4, October 2026 - December 2026
Page No: 48-55
Research Publish Journals
Website: www.researchpublish.com
Published Date: 28-October-2026
